VA awards $2.5M contract for outpatient care to BRUCE W. DENNIS, M.D., P.L.L.C. in Oklahoma

Contract Overview

Contract Amount: $2,512,563 ($2.5M)

Contractor: Bruce W. Dennis, M.D., P.l.l.c.

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $6.9K/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: ADA CBOC

Place of Performance

Location: ADA, PONTOTOC County, OKLAHOMA, 74820

State: Oklahoma Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.5 million to BRUCE W. DENNIS, M.D., P.L.L.C. for work described as: ADA CBOC Key points: 1. Contract awarded for "All Other Outpatient Care Centers" services. 2. The contract duration is 364 days, indicating a short-term need or a bridge contract. 3. Awarded as a Delivery Order, suggesting it's part of a larger indefinite-delivery contract or schedule. 4. The contract was not competed under simplified acquisition procedures, raising questions about competition. 5. The firm fixed price contract type aims to control costs, but the lack of competition may inflate the price. 6. The contractor, BRUCE W. DENNIS, M.D., P.L.L.C., is based in Oklahoma, aligning with the service location. 7. The contract is for outpatient care, a critical service for veterans. 8. No small business set-aside was utilized for this award.

Value Assessment

Rating: fair

The contract value of $2.51 million for a 364-day period for outpatient care services appears to be within a reasonable range for specialized medical services. However, without specific details on the scope of services and comparable contract data for similar outpatient care centers within the VA or other agencies, a precise value-for-money assessment is challenging. The lack of competition is a significant factor that could lead to suboptimal pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as 'NOT COMPETED UNDER SAP,' which typically implies a sole-source or limited competition scenario, often justified by specific circumstances or the nature of the service provider. The absence of a competitive bidding process means that multiple potential providers were not evaluated, potentially limiting price discovery and the opportunity to secure the best possible value for the government.

Taxpayer Impact: The lack of competition means taxpayers may not have benefited from the cost savings that can arise from a robust bidding process. This could result in a higher price paid for the services than might have been achieved in a fully competitive environment.

Public Impact

Veterans in Oklahoma will benefit from access to outpatient care services. The contract supports the delivery of essential healthcare services to the veteran population. The geographic impact is localized to Oklahoma, where the contractor is based and services are likely delivered. The contract supports the healthcare workforce by engaging a medical practice for service delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Limited transparency into the justification for sole-source award.
Potential for price inflation due to absence of competitive bidding.
Scope of services not detailed, making it difficult to assess true value.
Short contract duration could indicate a stop-gap measure, raising questions about long-term planning.

Positive Signals

Contract awarded to a specific medical practice, potentially ensuring continuity of care for existing patients.
Firm fixed price contract type provides cost certainty for the awarded amount.
Awarded by the Department of Veterans Affairs, indicating a focus on veteran healthcare needs.
Service location in Oklahoma aligns with the contractor's base, potentially facilitating service delivery.

Sector Analysis

The healthcare sector, particularly outpatient care, is a significant area of federal spending, especially within the Department of Veterans Affairs. This contract falls under the broader category of healthcare services, which includes a wide range of medical, diagnostic, and treatment services provided outside of hospital settings. The market for such services is diverse, involving numerous private practices, clinics, and specialized healthcare providers. Benchmarking this contract's value is difficult without knowing the specific services rendered, but federal spending in healthcare services is consistently high, driven by the need to provide comprehensive care to beneficiaries.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it appear to have specific subcontracting requirements for small businesses mentioned in the provided data. The award to BRUCE W. DENNIS, M.D., P.L.L.C. (a P.L.L.C. suggests a professional limited liability company, often considered a small business depending on revenue and employee count) does not automatically indicate a focus on broader small business ecosystem support beyond the primary contractor. Further analysis would be needed to determine if the primary contractor itself qualifies as a small business and if any subcontracting opportunities are anticipated.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and program management offices. Accountability measures are typically embedded in the contract terms, including performance standards and payment schedules tied to service delivery. Transparency is limited by the sole-source nature of the award and the lack of detailed public justification. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected in the contract's execution or award.

Related Government Programs

VA Medical Services Contracts
Outpatient Care Services
Professional Medical Services
Healthcare Delivery Contracts
Veterans Health Administration

Risk Flags

Lack of Competition
Potential for Overpricing
Limited Transparency
Unclear Scope of Services

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.5 million to BRUCE W. DENNIS, M.D., P.L.L.C.. ADA CBOC

Who is the contractor on this award?

The obligated recipient is BRUCE W. DENNIS, M.D., P.L.L.C..

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 $2.5 million.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What specific outpatient care services are covered under this $2.51 million contract?

The provided data indicates the contract is for 'All Other Outpatient Care Centers' (NAICS code 621498). This broad classification suggests a range of non-specific outpatient services that do not fit into more specialized categories like dialysis, mental health, or substance abuse treatment centers. These could include general medical examinations, diagnostic services, minor procedures, and follow-up care. However, without access to the full contract statement of work (SOW), the precise scope of services, including the types of specialists involved, frequency of services, and specific treatments, remains undefined. This lack of detail makes it challenging to benchmark the value or assess the necessity of the award beyond its general purpose.

What is the justification for awarding this contract on a sole-source basis?

The data states the contract was 'NOT COMPETED UNDER SAP' (Simplified Acquisition Procedures). This often implies a sole-source award, which requires a justification under Federal Acquisition Regulation (FAR) Part 6. Common justifications include that only one responsible source can satisfy the agency's needs, or that the agency is a sole provider of the product or service. For healthcare services, this could be due to a unique capability of the provider, a critical need for continuity of care for specific patient populations, or a lack of other qualified providers in the geographic area. Without the specific justification document (e.g., a Justification and Approval - J&A), the exact reason for the sole-source award remains speculative, but it is a key area for scrutiny regarding competition and potential value.

How does the $2.51 million contract value compare to similar outpatient care contracts awarded by the VA or other federal agencies?

Benchmarking this $2.51 million contract value is difficult without a detailed statement of work. However, the award is for a 364-day period, equating to approximately $6,900 per day. This daily rate needs to be compared against the average daily cost of similar outpatient care services provided by other VA facilities or contracted through similar sole-source or limited-competition awards. Factors such as the patient load, complexity of cases, and specific services offered (e.g., primary care, specialist consultations, diagnostic tests) heavily influence cost. Given the lack of competition, it is plausible that this rate might be higher than what could be achieved through a competitive process, but without comparative data, it's hard to quantify the difference.

What is the track record of BRUCE W. DENNIS, M.D., P.L.L.C. with federal contracts, particularly with the VA?

The provided data does not include historical contract information for BRUCE W. DENNIS, M.D., P.L.L.C. To assess their track record, one would need to search federal procurement databases like SAM.gov or FPDS for previous awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any past issues or disputes. A history of successful contract performance, positive past performance reviews, and timely delivery of services would indicate reliability. Conversely, a history of poor performance, contract terminations, or unresolved issues would raise concerns about their ability to meet the requirements of this new award effectively and efficiently.

What are the potential risks associated with a sole-source contract for essential healthcare services?

Sole-source contracts for essential healthcare services carry several risks. Firstly, the lack of competition can lead to inflated prices, meaning taxpayers may overpay for the services. Secondly, it reduces the incentive for the contractor to innovate or improve service quality beyond the minimum contractual requirements, as there is no competitive pressure. Thirdly, it limits the government's options if the contractor's performance deteriorates or if circumstances change, potentially leading to disruptions in care. Finally, it can raise concerns about fairness and equal opportunity for other qualified providers who were not given a chance to compete for the contract.

How does this contract align with the VA's broader mission to provide comprehensive healthcare to veterans?

This contract aligns with the VA's mission by securing necessary outpatient care services for veterans. The Department of Veterans Affairs is mandated to provide a full spectrum of medical, surgical, and rehabilitative services. By contracting for 'All Other Outpatient Care Centers' services, the VA is supplementing its internal capabilities or filling specific gaps in service availability, particularly in geographic areas where its own facilities may be limited or overburdened. The award to a local provider in Oklahoma suggests an effort to ensure veterans in that region have access to care, contributing to the VA's goal of delivering timely and accessible healthcare.

Industry Classification

NAICS: Health Care and Social Assistance › Outpatient Care Centers › All Other Outpatient Care Centers

Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 721 BETTER NOW PLAZA, ADA, OK, 74820

Business Categories: Category Business, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,512,563

Exercised Options: $2,512,563

Current Obligation: $2,512,563

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C25926D0001

IDV Type: IDC

Timeline