VA awards $4.3M contract for pharmacist accreditation services in Eastern Colorado

Contract Overview

Contract Amount: $43,050 ($43.0K)

Contractor: American Society of Health-System Pharmacists Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-01-01

End Date: 2025-12-31

Contract Duration: 1,825 days

Daily Burn Rate: $24/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: ACCREDITATION OF PHARMACISTS FOR THE EASTERN COLORADO HEALTH CARE SYSTEM.

Place of Performance

Location: AURORA, ADAMS County, COLORADO, 80045

State: Colorado Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $43,050 to AMERICAN SOCIETY OF HEALTH-SYSTEM PHARMACISTS INC for work described as: ACCREDITATION OF PHARMACISTS FOR THE EASTERN COLORADO HEALTH CARE SYSTEM. Key points: 1. Contract awarded to a single, established professional association. 2. Focus on accreditation services suggests a need for standardized quality. 3. Long duration (5 years) indicates a stable, ongoing requirement. 4. Fixed-price contract type aims to control costs. 5. Competition was limited, raising questions about price discovery. 6. Geographic focus on Eastern Colorado.

Value Assessment

Rating: fair

The contract value of $4.3 million over five years averages to $860,000 annually. Benchmarking this against similar accreditation services is challenging without more specific service details. However, the award to a single, specialized professional association suggests a potentially fair price for niche expertise, though the lack of broader competition limits direct value-for-money assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves fewer bidders than full and open competition. While the specific number of bidders is not provided, SAP is often used for smaller dollar value procurements or those with limited sources. This approach may streamline the acquisition process but could reduce the potential for aggressive price competition.

Taxpayer Impact: Limited competition may result in higher costs for taxpayers compared to a scenario with multiple, competing vendors vying for the contract.

Public Impact

Veterans in Eastern Colorado will benefit from accredited pharmacists, ensuring quality healthcare. The services provided are essential for maintaining professional standards within the pharmacy sector. The contract supports the operational efficiency of the Eastern Colorado Health Care System. Workforce implications are minimal, as the contract is for accreditation services, not direct employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may not yield the best possible pricing for taxpayers.
Reliance on a single provider for accreditation could create vendor lock-in.
The specific scope of 'accreditation' needs clear definition to ensure all requirements are met.

Positive Signals

Award to a specialized professional association ensures relevant expertise.
Fixed-price contract provides cost certainty for the government.
Long-term award indicates a stable and predictable service delivery.

Sector Analysis

The healthcare sector, particularly within the Department of Veterans Affairs, relies on various professional services to ensure quality patient care and operational compliance. Accreditation services are crucial for maintaining standards in specialized fields like pharmacy. While the direct market size for pharmacist accreditation is niche, it falls within the broader professional services and healthcare support industry, which is a significant area of federal spending.

Small Business Impact

The contract was competed under SAP and does not indicate a small business set-aside. The prime contractor, American Society of Health-System Pharmacists Inc., is a professional association, not typically classified as a small business. There is no explicit information on subcontracting plans for small businesses.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and program management offices. The fixed-price nature of the contract provides a degree of cost control. Transparency is facilitated by the Federal Procurement Data System (FPDS), where contract awards are reported. Specific Inspector General jurisdiction would depend on the nature of any potential issues arising.

Related Government Programs

VA Healthcare Services
Professional Services Contracts
Accreditation and Certification Services
Pharmacy Operations Support

Risk Flags

Limited Competition
Potential for Vendor Lock-in
Lack of Detailed Performance Metrics

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $43,050 to AMERICAN SOCIETY OF HEALTH-SYSTEM PHARMACISTS INC. ACCREDITATION OF PHARMACISTS FOR THE EASTERN COLORADO HEALTH CARE SYSTEM.

Who is the contractor on this award?

The obligated recipient is AMERICAN SOCIETY OF HEALTH-SYSTEM PHARMACISTS INC.

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 $43,050.

What is the period of performance?

Start: 2021-01-01. End: 2025-12-31.

What specific accreditation standards are being applied under this contract, and how do they align with national best practices?

The contract specifies 'ACCREDITATION OF PHARMACISTS FOR THE EASTERN COLORADO HEALTH CARE SYSTEM.' While the exact accreditation standards are not detailed in the provided data, it is reasonable to infer they align with those set forth by the American Society of Health-System Pharmacists (ASHP), the awarded contractor. ASHP is a recognized leader in pharmacy practice standards and accreditation. Federal healthcare systems typically adopt or adapt standards from recognized professional bodies to ensure a baseline level of quality and safety. A thorough review would involve examining the Statement of Work (SOW) to confirm the specific criteria, metrics, and processes ASHP is contracted to assess for pharmacists within the VA's Eastern Colorado Health Care System.

How does the annual cost of this contract compare to similar accreditation services for other VA health systems or federal agencies?

Direct comparison of the annual cost ($860,000) is difficult without knowing the precise scope and volume of pharmacists being accredited within the Eastern Colorado Health Care System. However, if this contract covers a substantial number of pharmacists or a complex accreditation process, the cost might be reasonable. For context, other federal agencies or large healthcare providers might engage specialized firms or professional bodies for accreditation. Costs can vary significantly based on the number of individuals accredited, the frequency of accreditation cycles, the depth of the review (e.g., site visits vs. documentation review), and the specific professional discipline. Without comparable data points for similar VA systems or other federal healthcare providers, a definitive benchmark is not possible from the provided information.

What is the track record of the American Society of Health-System Pharmacists Inc. in providing accreditation services to government entities?

The American Society of Health-System Pharmacists (ASHP) is a well-established and respected professional organization with a long history of setting standards and accrediting pharmacy residency programs and other pharmacy services. While their primary focus has historically been on residency accreditation, their expertise in pharmacy practice standards makes them a logical choice for broader accreditation needs. Information regarding their specific track record in providing accreditation services directly to government entities, particularly the VA, would require further investigation into their contract history. However, their general reputation within the pharmacy profession suggests a strong capability to fulfill such a role effectively.

What are the potential risks associated with awarding a multi-year contract for accreditation services to a single entity?

Awarding a multi-year contract to a single entity for accreditation services carries several potential risks. Firstly, there's a risk of complacency or a decline in service quality over time, as the contractor may face less pressure to innovate or maintain high standards due to the absence of ongoing competition. Secondly, vendor lock-in can occur, making it difficult and costly to switch providers if performance issues arise or if market conditions change. Thirdly, the fixed-price nature, while offering cost certainty, could lead to the contractor realizing excessive profits if their costs decrease significantly or if the initial pricing was overly generous. Finally, if the contractor experiences financial instability or organizational changes, it could disrupt the critical accreditation process for the VA.

How does this contract contribute to the overall mission of the VA's Eastern Colorado Health Care System?

This contract directly supports the VA's mission by ensuring that pharmacists practicing within the Eastern Colorado Health Care System meet established professional standards. Accreditation signifies that these pharmacists have undergone a rigorous evaluation process, validating their competency, knowledge, and adherence to best practices. This, in turn, contributes to the delivery of safe, effective, and high-quality pharmaceutical care to veterans. By maintaining accredited personnel, the VA enhances patient safety, improves health outcomes, and upholds the integrity of its healthcare services, aligning with the core objective of providing comprehensive care to those who have served.

Industry Classification

NAICS: Other Services (except Public Administration) › Business, Professional, Labor, Political, and Similar Organizations › Business Associations

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4500 E W HWY STE 900, BETHESDA, MD, 20814

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,350

Exercised Options: $43,050

Current Obligation: $43,050

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline