VA awards $18.4M contract for AK sockets to Bulow Biotech, bypassing competition

Contract Overview

Contract Amount: $18,381 ($18.4K)

Contractor: Bulow Biotech Prosthetics LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-08

End Date: 2026-04-08

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LIMB: AK SOCKET

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78229

State: Texas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $18,380.76 to BULOW BIOTECH PROSTHETICS LLC for work described as: LIMB: AK SOCKET Key points: 1. Significant contract value for specialized prosthetic components. 2. Sole-source award raises questions about price discovery and market alternatives. 3. Potential risk of inflated costs due to lack of competitive bidding. 4. Focus on surgical appliances highlights a critical healthcare sector for veterans.

Value Assessment

Rating: questionable

The contract's value of $18.4 million for prosthetic sockets is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar prosthetic contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning no other vendors were considered. This significantly limits price discovery and may lead to higher costs for taxpayers.

Taxpayer Impact: The lack of competition could result in the VA paying more than necessary for these essential prosthetic components, impacting overall budget efficiency.

Public Impact

Veterans relying on prosthetic limbs may face delays or higher costs if this sole-source contract is not managed effectively. The VA's procurement process for specialized medical devices warrants scrutiny to ensure taxpayer funds are used efficiently. This award could set a precedent for future sole-source contracts in the prosthetics market.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
Potential for overpricing

Positive Signals

Directly addresses veteran healthcare needs
Contract awarded to a specialized provider

Sector Analysis

The Surgical Appliance and Supplies Manufacturing sector (NAICS 339113) is crucial for providing medical devices. Spending in this area is often driven by specific medical needs and technological advancements, with contracts varying widely based on complexity and volume.

Small Business Impact

The contract was awarded to Bulow Biotech Prosthetics LLC, a specific company. There is no indication in the data whether small businesses were involved as subcontractors or if this award impacts small business participation in this sector.

Oversight & Accountability

The sole-source nature of this award suggests a potential gap in competitive oversight. Further review is needed to understand why this procurement was not competed and if adequate justification exists.

Related Government Programs

Surgical Appliance and Supplies Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Sole-source award limits competition.
Potential for non-competitive pricing.
Lack of transparency in vendor selection.
Dependency on a single supplier.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $18,380.76 to BULOW BIOTECH PROSTHETICS LLC. LIMB: AK SOCKET

Who is the contractor on this award?

The obligated recipient is BULOW BIOTECH PROSTHETICS LLC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $18,380.76.

What is the period of performance?

Start: 2026-04-08. End: 2026-04-08.

What is the justification for awarding this contract on a sole-source basis, and what steps were taken to ensure the price is fair and reasonable?

The justification for a sole-source award typically involves unique capabilities or circumstances. Without further details, it's impossible to confirm the specific reason. However, the VA should have conducted a price analysis, potentially using historical data or market research, to benchmark the proposed price against similar products or services to ensure it is fair and reasonable.

What are the potential risks to the VA and veterans if Bulow Biotech Prosthetics LLC is the only supplier for these AK sockets?

The primary risk is a lack of competitive pressure, which could lead to inflated prices and reduced innovation. If Bulow Biotech faces production issues or decides to increase prices significantly, the VA and veterans have limited alternatives, potentially impacting supply chain reliability and affordability for essential prosthetic components.

How does this $18.4 million contract compare to typical spending on prosthetic sockets within the VA or the broader healthcare market?

Benchmarking this $18.4 million contract requires detailed market data on prosthetic socket costs. Generally, the price per unit can vary significantly based on customization, materials, and technology. Without specific per-unit cost data or comparable contract information, it's difficult to definitively state if this represents high or low spending relative to the market.

Industry Classification

NAICS: Manufacturing › Medical Equipment and Supplies Manufacturing › Surgical Appliance and Supplies Manufacturing

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10114 HUEBNER RD, SAN ANTONIO, TX, 78240

Business Categories: Category Business, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations

Financial Breakdown

Contract Ceiling: $18,381

Exercised Options: $18,381

Current Obligation: $18,381

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline