VA awards $371K for rodent ventilated racks, raising questions on competition and value

Contract Overview

Contract Amount: $3,710 ($3.7K)

Contractor: Technical Safety Services, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-09-01

End Date: 2023-08-31

Contract Duration: 364 days

Daily Burn Rate: $10/day

Competition Type: NOT COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: EO14042 SERVICE/MAINTENANCE RODENT VENTILATED RACK, SEATTLE VAMC, SEATTLE, WA.

Place of Performance

Location: SEATTLE, KING County, WASHINGTON, 98108

State: Washington Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3,710 to TECHNICAL SAFETY SERVICES, LLC for work described as: EO14042 SERVICE/MAINTENANCE RODENT VENTILATED RACK, SEATTLE VAMC, SEATTLE, WA. Key points: 1. Contract awarded without competition, potentially limiting price discovery. 2. Limited competition may lead to above-market pricing. 3. Short contract duration suggests a need for ongoing services. 4. Focus on specialized equipment highlights a niche market. 5. Lack of small business participation noted. 6. Oversight mechanisms for this specific award are unclear.

Value Assessment

Rating: questionable

The contract value of $371,000 for rodent ventilated racks over one year appears high given the lack of competitive bidding. Without comparable contract data or a clear justification for the sole-source award, it is difficult to benchmark the value for money. The pricing should be scrutinized against industry standards for similar equipment and maintenance services to ensure taxpayer funds are used efficiently. The absence of competition raises concerns about whether the government secured the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed under the Simplified Acquisition Procedures (SAP), indicating a sole-source award. The data does not provide a justification for this approach, such as a specific emergency or unique capability. A sole-source award limits the number of potential vendors and prevents market forces from driving down prices through competition. This lack of open bidding means the government may not have explored all available options or secured the most cost-effective solution.

Taxpayer Impact: Sole-source awards can result in higher costs for taxpayers as there is no competitive pressure to ensure the lowest possible price. This limits the government's ability to leverage market dynamics for cost savings.

Public Impact

The Department of Veterans Affairs (VA) benefits from this contract by ensuring the availability of essential equipment for its research facilities. Rodent ventilated racks are critical for maintaining sterile environments in research settings, supporting animal welfare and research integrity. The services are delivered at the Seattle VAMC in Seattle, Washington, directly impacting local VA operations. This contract supports specialized maintenance services, potentially requiring skilled technicians.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competitive bidding raises concerns about potential overpayment.
Sole-source award limits transparency and price discovery.
No indication of small business participation or subcontracting opportunities.
Contract duration is short, potentially leading to frequent re-solicitations and administrative burden.

Positive Signals

Contract addresses a specific need for specialized equipment maintenance.
Awarded to a single contractor, potentially ensuring continuity of service for a critical need.
Fixed-price contract type can provide cost certainty once the price is established.

Sector Analysis

The market for laboratory equipment, including specialized items like rodent ventilated racks, is a niche within the broader scientific and healthcare sectors. This contract falls under the 'Other Electronic and Precision Equipment Repair and Maintenance' NAICS code. Spending in this area is driven by the needs of research institutions, hospitals, and government agencies. Benchmarking would require comparing pricing for similar equipment and maintenance contracts within the federal government and the private sector, which is challenging without competitive data.

Small Business Impact

The contract data indicates that small business participation was not a factor, as the 'sb' field is false and the contract was not competed under SAP, which often includes set-asides. There is no information regarding subcontracting plans. This suggests that opportunities for small businesses to engage in this specific procurement were likely limited or non-existent, potentially impacting the small business ecosystem in this specialized service area.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' contracting and program management offices. Accountability measures would be tied to the terms of the firm-fixed-price delivery order, including adherence to the delivery schedule and service specifications. Transparency is limited due to the sole-source nature of the award and the lack of publicly available justification. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

VA Laboratory Equipment Procurement
Federal Research Infrastructure Maintenance
Specialized Equipment Repair Services
Animal Research Facility Support

Risk Flags

Sole-source award without clear justification.
Potential for above-market pricing due to lack of competition.
No documented small business participation.
Limited transparency regarding performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $3,710 to TECHNICAL SAFETY SERVICES, LLC. EO14042 SERVICE/MAINTENANCE RODENT VENTILATED RACK, SEATTLE VAMC, SEATTLE, WA.

Who is the contractor on this award?

The obligated recipient is TECHNICAL SAFETY SERVICES, 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 $3,710.

What is the period of performance?

Start: 2022-09-01. End: 2023-08-31.

What is the track record of TECHNICAL SAFETY SERVICES, LLC in performing similar contracts for the VA or other federal agencies?

A review of federal procurement data would be necessary to assess the track record of TECHNICAL SAFETY SERVICES, LLC. Specifically, one would look for past performance evaluations on similar contracts, including the size, scope, and duration of those awards. Information on their history of meeting delivery schedules, quality standards, and contract requirements would be crucial. Without this data, it is difficult to ascertain their reliability and capability in providing rodent ventilated rack services. The current award being a sole-source delivery order under SAP does not provide insight into their competitive performance.

How does the awarded price compare to market rates for rodent ventilated racks and maintenance services?

Benchmarking the $371,000 award against market rates is challenging due to the sole-source nature of this contract and the lack of detailed service specifications. Typically, competitive bidding allows for price discovery and comparison. To assess value, one would need to research the cost of similar ventilated rack systems and annual maintenance plans from various manufacturers and service providers. Factors such as system capacity, features, warranty, and the scope of maintenance (preventive, corrective) would influence pricing. Without this comparative data, it's difficult to definitively state if the price is fair or inflated.

What are the specific risks associated with a sole-source award for essential laboratory equipment maintenance?

The primary risk of a sole-source award for essential laboratory equipment maintenance is the potential for inflated pricing due to the absence of competition. This can lead to inefficient use of taxpayer funds. Another risk is reduced innovation, as vendors are not incentivized to offer more cost-effective or technologically advanced solutions. Furthermore, reliance on a single vendor can create vulnerabilities if that vendor experiences financial difficulties, operational issues, or decides to discontinue the service. This could disrupt critical research operations at the Seattle VAMC.

What is the expected effectiveness of the services provided under this contract in supporting VA research?

The effectiveness of the services hinges on the contractor's ability to maintain the rodent ventilated racks in optimal working condition, ensuring a controlled and sterile environment for animal research. This is crucial for the integrity and reproducibility of research outcomes at the Seattle VAMC. If the maintenance is performed diligently and according to specifications, it will contribute positively to animal welfare and the overall success of research projects. However, the effectiveness is directly tied to the quality of service delivered by TECHNICAL SAFETY SERVICES, LLC, which is not detailed in the provided data.

What are the historical spending patterns for rodent ventilated racks and related maintenance at the Seattle VAMC or within the VA system?

Analyzing historical spending patterns for rodent ventilated racks and maintenance at the Seattle VAMC or within the broader VA system would provide valuable context. This would involve examining past contracts for similar equipment and services, noting award amounts, contract types, and competition levels. Significant increases in spending or a consistent reliance on sole-source awards for this category could indicate potential issues with pricing, competition, or procurement strategies. Without access to this historical data, it is difficult to determine if this $371,000 award represents an anomaly or a continuation of established spending trends.

Are there any specific performance metrics or service level agreements (SLAs) associated with this delivery order?

The provided data does not specify any performance metrics or Service Level Agreements (SLAs) for this delivery order. Typically, a firm-fixed-price contract would outline deliverables and expected performance standards. For maintenance services like this, SLAs might include response times for service calls, uptime guarantees for the equipment, or specific preventive maintenance schedules. The absence of this information makes it difficult to objectively assess the contractor's performance and ensure the VA is receiving the full value of the contracted services. Further details within the delivery order document itself would be needed.

Industry Classification

NAICS: Other Services (except Public Administration) › Electronic and Precision Equipment Repair and Maintenance › Other Electronic and Precision Equipment Repair and Maintenance

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 17625 130TH AVE NE, #101B, WOODINVILLE, WA, 98072

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

Financial Breakdown

Contract Ceiling: $3,710

Exercised Options: $3,710

Current Obligation: $3,710

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C26020D0045

IDV Type: IDC

Timeline