VA Awards $11.4M Firm Fixed Price Contract for Surgical Appliances to Sunrise Medical (US) LLC

Contract Overview

Contract Amount: $11,447 ($11.4K)

Contractor: Sunrise Medical (US) LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-08-30

End Date: 2024-08-29

Contract Duration: 365 days

Daily Burn Rate: $31/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CUSTOM PWC

Place of Performance

Location: FRESNO, FRESNO County, CALIFORNIA, 93727

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $11,446.61 to SUNRISE MEDICAL (US) LLC for work described as: CUSTOM PWC Key points: 1. Contract value of $11.4M for surgical appliances. 2. Awarded under full and open competition. 3. Potential risk in reliance on a single vendor for a year. 4. Sector is manufacturing of surgical appliances and supplies.

Value Assessment

Rating: good

The contract is a firm fixed price delivery order, which provides cost certainty. The award amount of $11.4M for a one-year duration appears reasonable for specialized surgical supplies, though a direct per-unit comparison is not available without more detailed product information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving a fair price for the surgical appliances procured.

Public Impact

Ensures availability of essential surgical appliances for veterans. Supports the healthcare needs of the Department of Veterans Affairs. Potential for improved patient outcomes through timely access to supplies.

Waste & Efficiency Indicators

Waste Risk Score: 31 / 10

Warning Flags

Single award for a 1-year duration may limit future competition.
Reliance on one supplier could lead to supply chain vulnerabilities.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract provides cost predictability.

Sector Analysis

This contract falls within the Surgical Appliance and Supplies Manufacturing sector (NAICS 339113). Spending in this sector is critical for healthcare providers, including the VA, to ensure patient care. Benchmarks for this specific type of supply are highly variable based on product complexity.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were excluded or if the nature of the supplies favored larger manufacturers.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight of this contract. The firm fixed price structure and full and open competition provide a degree of accountability.

Related Government Programs

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

Risk Flags

Potential for vendor lock-in after the delivery order period.
Lack of small business participation noted.
Dependence on a single supplier for critical medical supplies.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $11,446.61 to SUNRISE MEDICAL (US) LLC. CUSTOM PWC

Who is the contractor on this award?

The obligated recipient is SUNRISE MEDICAL (US) 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 $11,446.61.

What is the period of performance?

Start: 2023-08-30. End: 2024-08-29.

What is the specific range of surgical appliances covered by this contract, and how does the $11.4M value compare to historical VA spending on similar aggregated product categories?

The contract covers surgical appliances and supplies. Without a detailed product breakdown, a precise comparison is difficult. However, $11.4M for a year's supply of diverse surgical items for a large agency like the VA is plausible. Historical data on aggregated spending for similar categories would provide a more robust benchmark for value assessment.

What are the potential risks associated with a single delivery order for a full year, particularly concerning supply chain disruptions or price increases in subsequent periods?

A single delivery order for a full year carries risks of supply chain disruptions if the sole supplier faces production issues or logistical challenges. While the price is fixed for this period, the VA might face higher prices or limited options if they need to re-compete or extend the contract in the future, especially if market conditions change unfavorably for this supplier.

How effectively does this contract support the VA's mission to provide timely and quality healthcare to veterans, considering the specific nature of the surgical appliances procured?

This contract directly supports the VA's mission by ensuring the availability of necessary surgical appliances. The firm fixed price and competitive award suggest a focus on reliable procurement. The effectiveness hinges on the quality and suitability of the specific appliances supplied by Sunrise Medical (US) LLC and their timely delivery to VA facilities.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2842 N BUSINESS PARK AVE, FRESNO, CA, 93727

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

Financial Breakdown

Contract Ceiling: $11,447

Exercised Options: $11,447

Current Obligation: $11,447

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36F79721D0063

IDV Type: FSS

Timeline