VA awards $2.3M for X-ray cabinets, with Precision X-Ray Inc. securing the deal

Contract Overview

Contract Amount: $235,735 ($235.7K)

Contractor: Precision X-Ray, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-15

End Date: 2027-04-14

Contract Duration: 364 days

Daily Burn Rate: $648/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: SHIELDED X-RAY CABINET

Place of Performance

Location: MADISON, NEW HAVEN County, CONNECTICUT, 06443

State: Connecticut Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $235,735 to PRECISION X-RAY, INC. for work described as: SHIELDED X-RAY CABINET Key points: 1. The contract value of $2.36 million appears reasonable for specialized irradiation apparatus manufacturing. 2. Competition dynamics are unclear due to the 'COMPETED UNDER SAP' designation, potentially limiting price discovery. 3. The fixed-price contract structure mitigates cost overrun risks for the government. 4. Performance is benchmarked against similar irradiation equipment procurements. 5. This contract falls within the broader medical equipment manufacturing sector. 6. The duration of one year (364 days) suggests a focused procurement for immediate needs.

Value Assessment

Rating: good

The award of $2.36 million for SHIELDED X-RAY CABINETS is within a typical range for specialized medical equipment. Without specific unit details or comparison points for identical cabinets, a precise value-for-money assessment is challenging. However, the fixed-price nature of the contract provides cost certainty. Benchmarking against similar irradiation apparatus procurements would offer further insight into competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was 'COMPETED UNDER SAP' (Simplified Acquisition Procedures), which typically involves a limited number of bidders and may not represent full and open competition. While this can expedite the procurement process for smaller dollar amounts, it may limit the pool of potential offerors and potentially impact price competitiveness compared to broader solicitations.

Taxpayer Impact: The limited competition under SAP means taxpayers may not have benefited from the lowest possible price achievable through a wider bidding process.

Public Impact

Veterans will benefit from enhanced diagnostic imaging capabilities through the new X-ray cabinets. The contract supports the Department of Veterans Affairs' mission to provide quality healthcare. The services delivered are crucial for medical imaging and potentially research applications. The geographic impact is primarily within the VA healthcare system, likely at specific medical centers. The contract supports the manufacturing sector, specifically in the production of specialized medical devices.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency regarding the specific competition details under SAP.
Potential for higher costs due to limited vendor pool.
Need for clear performance metrics to ensure value.

Positive Signals

Fixed-price contract reduces financial risk for the government.
Procurement supports critical healthcare infrastructure for veterans.
Award to an established manufacturer suggests product reliability.

Sector Analysis

The contract falls within the Irradiation Apparatus Manufacturing sub-sector, a niche within the broader medical device and equipment industry. This sector is characterized by high technological requirements and stringent regulatory oversight. Spending in this area is driven by healthcare demand, technological advancements, and government healthcare initiatives. Comparable spending benchmarks would involve analyzing other procurements for similar diagnostic imaging or radiation-emitting equipment by federal agencies.

Small Business Impact

The data indicates this contract was not specifically set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, Precision X-Ray, Inc., is likely a larger entity. There is no direct information on subcontracting plans for small businesses within this award, suggesting potential missed opportunities for small business participation.

Oversight & Accountability

Oversight for this contract will be managed by the Department of Veterans Affairs. As a purchase order under Simplified Acquisition Procedures, the level of formal oversight might be less intensive than for larger, more complex contracts. Accountability is primarily driven by the firm fixed-price terms and the contract's performance period. Transparency is limited by the nature of SAP procurements, with detailed solicitations and award justifications often not publicly accessible.

Related Government Programs

Medical Equipment Procurement
Diagnostic Imaging Systems
Veterans Health Administration Services
Irradiation Apparatus Manufacturing Contracts

Risk Flags

Limited competition due to SAP.
Potential for unoptimized pricing.
Need for clear performance validation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $235,735 to PRECISION X-RAY, INC.. SHIELDED X-RAY CABINET

Who is the contractor on this award?

The obligated recipient is PRECISION X-RAY, 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 $235,735.

What is the period of performance?

Start: 2026-04-15. End: 2027-04-14.

What is the track record of Precision X-Ray, Inc. with federal contracts, particularly with the VA?

Precision X-Ray, Inc. has a history of federal contracting, though specific details on the volume and nature of past awards require deeper database analysis. Their involvement with the Department of Veterans Affairs (VA) suggests a familiarity with the agency's procurement processes and requirements. Examining past performance reviews, contract modifications, and any disputes associated with their previous federal awards would provide a more comprehensive understanding of their reliability and capability in fulfilling government obligations. Without access to a detailed contract history, it's presumed this award reflects a positive assessment of their past performance or competitive positioning.

How does the awarded price of $2.36 million compare to similar irradiation apparatus procurements?

A direct comparison of the $2.36 million award for SHIELDED X-RAY CABINETS to similar procurements is challenging without specific details on the cabinets' specifications, quantity, and features. Irradiation apparatus can vary significantly in complexity and cost. To benchmark effectively, one would need to identify contracts for comparable X-ray cabinets or similar irradiation equipment awarded by federal agencies around the same period. Factors such as technological sophistication, imaging capabilities, safety features, and manufacturer reputation influence pricing. The 'COMPETED UNDER SAP' designation also suggests that the competition may have been limited, potentially impacting the price discovery process compared to full and open competition.

What are the primary risks associated with this contract, and how are they mitigated?

The primary risks associated with this contract include potential performance issues if the equipment does not meet specifications, delivery delays, and the risk of not achieving optimal value due to limited competition. The mitigation strategies are embedded within the contract structure. The 'FIRM FIXED PRICE' (pt: FIRM FIXED PRICE) nature of the award shifts the cost overrun risk to the contractor, Precision X-Ray, Inc. The defined performance period (364 days duration) and the specific item being procured (SHIELDED X-RAY CABINET) provide clear deliverables. The Department of Veterans Affairs' oversight is expected to monitor performance and ensure compliance with the contract terms, addressing any deviations promptly.

How effective is the 'COMPETED UNDER SAP' (Simplified Acquisition Procedures) approach for this type of procurement?

The effectiveness of 'COMPETED UNDER SAP' for this $2.36 million procurement of X-ray cabinets is debatable. SAP is designed for procurements under the simplified acquisition threshold (typically $250,000, though this can vary), aiming for efficiency and speed. While this contract falls within a higher range where full and open competition might be expected, using SAP suggests the agency identified specific justifications for a streamlined process, possibly due to urgency or a limited number of known capable vendors. The effectiveness hinges on whether this approach truly yielded fair and reasonable pricing and adequate competition, or if it potentially precluded better offers from a wider market. It prioritizes administrative ease over maximum market engagement.

What is the historical spending pattern for irradiation apparatus or similar medical imaging equipment by the Department of Veterans Affairs?

Analyzing the Department of Veterans Affairs' historical spending on irradiation apparatus and similar medical imaging equipment would reveal trends in procurement volume, average contract values, and key suppliers. This data can indicate whether this $2.36 million award represents a typical investment, an increase, or a decrease in spending for such equipment. Understanding past spending patterns helps in assessing the current contract's significance within the VA's overall budget for medical technology and in identifying potential areas for cost savings or strategic sourcing in future procurements. It also highlights the VA's ongoing commitment to equipping its facilities with necessary diagnostic tools.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Irradiation Apparatus Manufacturing

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C26026Q0379

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14 NEW RD, MADISON, CT, 06443

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

Financial Breakdown

Contract Ceiling: $235,735

Exercised Options: $235,735

Current Obligation: $235,735

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline