VA awards $18.8M for stair lifts, with limited competition raising price concerns

Contract Overview

Contract Amount: $18,807 ($18.8K)

Contractor: Center Span LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-02

End Date: 2027-04-01

Contract Duration: 364 days

Daily Burn Rate: $52/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CUSTOM STAIR LIFT

Place of Performance

Location: DEER PARK, SUFFOLK County, NEW YORK, 11729

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $18,807.04 to CENTER SPAN LLC for work described as: CUSTOM STAIR LIFT Key points: 1. The contract value of $18.8 million for stair lifts represents a significant investment in patient mobility solutions. 2. The award was made via a purchase order, indicating a streamlined procurement process. 3. The fixed-price contract structure aims to provide cost certainty for the government. 4. The duration of the contract is one year, suggesting a need for ongoing support or frequent replacements. 5. The manufacturing code 339113 points to the specialized nature of the medical equipment required. 6. The absence of small business set-aside flags indicates a focus on larger or specialized suppliers.

Value Assessment

Rating: fair

Benchmarking the $18.8 million price tag for custom stair lifts is challenging without specific unit details or comparable contract data. However, the 'NOT COMPETED UNDER SAP' (Simplified Acquisition Procedures) designation suggests that the procurement may not have undergone the most rigorous price scrutiny typically associated with larger, open competitions. While fixed-price contracts offer predictability, the lack of competitive bidding could potentially lead to a higher-than-market price if the sole source or limited competition did not drive down costs effectively. Further analysis of unit pricing against industry standards would be necessary to definitively assess value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not competed under SAP, indicating it was likely awarded through a limited competition or a sole-source justification. The data provided states 'NOT COMPETED UNDER SAP,' which implies that standard competitive procedures for simplified acquisitions were not followed. The specific reason for this limited competition is not detailed, but it could be due to the specialized nature of the custom stair lifts, existing relationships with suppliers, or urgent needs. The limited number of bidders, or potentially only one, means that price discovery may have been less robust, potentially impacting the final negotiated price.

Taxpayer Impact: Limited competition can mean taxpayers may pay a premium if effective price negotiation was not achieved due to a lack of robust bidding. This could result in less efficient use of taxpayer funds compared to a fully open and competitive process.

Public Impact

Veterans requiring mobility assistance will benefit from the provision of custom stair lifts. The services delivered will enhance the quality of life and independence for individuals with physical limitations. The contract's geographic impact is centered in New York, where the supplier is located. The contract supports specialized manufacturing jobs within the surgical appliance and supplies sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may result in higher costs for taxpayers.
Lack of transparency in the procurement process hinders full value assessment.
Potential for price inflation due to restricted bidding opportunities.

Positive Signals

Addresses a critical need for mobility assistance for veterans.
Fixed-price contract provides cost certainty.
Supplier is located within the state of New York, potentially aiding logistics.

Sector Analysis

The custom stair lift market falls within the broader medical device and assistive technology sector. This sector is characterized by specialized manufacturing, stringent regulatory requirements, and a growing demand driven by an aging population and increased awareness of accessibility needs. Spending in this area by government agencies like the VA is crucial for supporting veterans' health and well-being. Comparable spending benchmarks would typically involve analyzing other government contracts for similar assistive devices or private sector procurement data for high-end mobility solutions.

Small Business Impact

The contract does not indicate any small business set-aside provisions (ss: false, sb: false). This suggests that the procurement was either awarded to a large business or that the specialized nature of custom stair lifts did not lend itself to a small business set-aside. There is no explicit mention of subcontracting requirements for small businesses. The impact on the small business ecosystem is likely minimal for this specific award, as it does not appear to have been designed to foster small business participation.

Oversight & Accountability

The primary oversight mechanism for this purchase order would be the Department of Veterans Affairs' internal procurement and financial management systems. Accountability is established through the fixed-price contract terms, requiring the contractor to deliver the specified goods by the end date. Transparency is limited due to the non-competitive nature of the award; details regarding the justification for not competing under SAP and the specific pricing negotiations are not publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Veterans Health Administration Medical Equipment Procurement
Assistive Technology for Disabled Individuals
Durable Medical Equipment Contracts
Home Health and Personal Care Aid Services

Risk Flags

Limited Competition
Potential for Overpricing
Lack of Transparency in Procurement Justification

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $18,807.04 to CENTER SPAN LLC. CUSTOM STAIR LIFT

Who is the contractor on this award?

The obligated recipient is CENTER SPAN 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 $18,807.04.

What is the period of performance?

Start: 2026-04-02. End: 2027-04-01.

What is the specific justification for awarding this contract on a non-competitive basis under SAP?

The provided data indicates the contract was 'NOT COMPETED UNDER SAP.' This designation suggests that the procurement did not follow the standard procedures for simplified acquisitions, which are typically used for purchases below a certain dollar threshold (e.g., $250,000). Reasons for not competing under SAP can include the specialized nature of the product or service, the existence of only one responsible source, urgent and compelling needs, or specific agency policies. Without further documentation from the Department of Veterans Affairs, the precise justification remains unclear. However, for a $18.8 million award, it is unusual not to have a more robust competitive process unless there are significant technical or logistical barriers to entry for other potential suppliers.

How does the unit cost of these custom stair lifts compare to market rates for similar devices?

Determining the precise unit cost is not possible with the provided data, as only the total contract value ($18.8 million) and duration (364 days) are given. Custom stair lifts can vary significantly in price based on features, installation complexity, and manufacturer. However, given the contract was not competed under SAP and awarded as a purchase order, it is difficult to benchmark against market rates without knowing the number of units procured and the specific model. If the average cost per unit is significantly higher than comparable devices purchased through competitive means or available from other specialized suppliers, it could indicate a potential overpayment. A thorough analysis would require access to the detailed pricing breakdown within the purchase order.

What are the potential risks associated with awarding a large contract with limited competition?

Awarding a contract of this magnitude ($18.8 million) with limited competition presents several risks. Primarily, there is a risk of paying a higher price than would be achieved in a fully competitive environment, as the lack of bidding may reduce the incentive for the contractor to offer the lowest possible price. This can lead to inefficient use of taxpayer funds. Additionally, limited competition can stifle innovation and reduce market responsiveness, as potential competitors are not given the opportunity to demonstrate their capabilities or offer alternative solutions. There's also a risk of vendor lock-in if the chosen supplier becomes the sole provider for an extended period, making future procurements more difficult and potentially more expensive.

What is the track record of Center Span LLC in providing similar medical equipment to the VA or other government agencies?

Information regarding Center Span LLC's track record specifically with the VA or other government agencies for providing custom stair lifts or similar medical equipment is not detailed in the provided data. A comprehensive assessment would require searching federal procurement databases (like SAM.gov or FPDS) for past performance history, contract awards, and any reported issues or successes. Understanding their experience, past performance ratings, and history of delivering on similar contracts is crucial for evaluating the reliability and potential risks associated with this award. Without this information, it's difficult to assess their capability and suitability beyond the fact that they were selected for this specific purchase order.

What is the expected impact of these stair lifts on veteran independence and quality of life?

The custom stair lifts are expected to significantly enhance the independence and quality of life for veterans who have mobility impairments, particularly those affecting their ability to navigate stairs in their homes. By providing a safe and reliable means to move between floors, these devices can help veterans maintain their autonomy, reduce the risk of falls, and allow them to continue living in their preferred environment. This can lead to improved mental well-being, reduced reliance on caregivers, and greater overall satisfaction with their living situation. The VA's investment in such equipment directly supports its mission to provide comprehensive care and improve the daily lives of its beneficiaries.

How does this spending compare to historical VA spending on mobility assistance devices?

The provided data does not include historical spending patterns for the VA on mobility assistance devices, making a direct comparison difficult. However, the $18.8 million award for custom stair lifts suggests a substantial commitment to this specific type of equipment within a single contract period. To assess historical context, one would need to analyze aggregated VA spending data over several fiscal years for categories such as durable medical equipment, assistive devices, and home modifications. Understanding trends in spending, the types of devices procured, and the average costs would provide valuable insights into whether this contract represents an increase, decrease, or stable level of investment in such solutions.

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: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 100 E JEFRYN BLVD STE L, DEER PARK, NY, 11729

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,807

Exercised Options: $18,807

Current Obligation: $18,807

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline