VA Awards $19.1M Contract for Custom Lifts to Center Span LLC, Sole Source

Contract Overview

Contract Amount: $19,175 ($19.2K)

Contractor: Center Span LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-03-04

End Date: 2027-03-04

Contract Duration: 365 days

Daily Burn Rate: $53/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CUSTOM 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 $19,175 to CENTER SPAN LLC for work described as: CUSTOM LIFT Key points: 1. The Department of Veterans Affairs (VA) awarded a $19.1 million contract for custom lifts. 2. The contract was awarded to Center Span LLC on a sole-source basis. 3. This award represents a significant investment in specialized medical equipment for veterans. 4. The duration of the contract is one year, with a potential for extension. 5. The contract is for Surgical Appliance and Supplies Manufacturing.

Value Assessment

Rating: questionable

Pricing for custom medical equipment can vary widely. Without competitive bids, it's difficult to assess if $19.1 million represents fair market value for these custom lifts. Benchmarking against similar, non-customized equipment suggests a potential for overpayment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed under the Simplified Acquisition Procedures (SAP) and was awarded sole-source. This limits price discovery and potentially leads to higher costs for taxpayers as there was no direct competition to drive down the price.

Taxpayer Impact: The sole-source nature of this award raises concerns about taxpayer value, as competitive bidding was bypassed, potentially increasing the overall cost.

Public Impact

Veterans requiring specialized custom lifts will benefit from this contract. The award ensures the availability of critical medical equipment for patient care. The sole-source award may limit options for future procurement and innovation. The significant dollar amount warrants scrutiny to ensure efficient use of funds.

Waste & Efficiency Indicators

Waste Risk Score: 53 / 10

Warning Flags

Sole-source award bypasses competition
Potential for inflated pricing without competitive bids
Limited transparency in price discovery

Positive Signals

Ensures availability of critical medical equipment
Supports veteran healthcare needs

Sector Analysis

The healthcare sector, particularly in medical equipment manufacturing, often involves specialized products. Spending benchmarks for custom medical devices are highly variable due to unique specifications and R&D costs. This $19.1 million award for custom lifts falls within the higher end for specialized equipment.

Small Business Impact

The data indicates this contract was not awarded to small businesses. There is no indication of subcontracting opportunities for small businesses within this sole-source award.

Oversight & Accountability

The sole-source nature of this award necessitates robust oversight from the VA to ensure the necessity of the equipment and the reasonableness of the price. Accountability for the $19.1 million expenditure is crucial.

Related Government Programs

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

Risk Flags

Lack of competition
Potential for overpricing
Limited transparency
No small business participation evident

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $19,175 to CENTER SPAN LLC. CUSTOM 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 $19,175.

What is the period of performance?

Start: 2026-03-04. End: 2027-03-04.

What justification was provided for the sole-source award, and does it align with federal procurement regulations for non-competitive bids?

Federal regulations permit sole-source awards under specific circumstances, such as when only one responsible source can provide the required supplies or services. The VA must have documented a compelling reason, like unique technical requirements or proprietary technology, to justify bypassing full and open competition. This justification is critical for ensuring the award is both necessary and compliant.

How was the $19.1 million price determined to be fair and reasonable without competitive bidding?

Without competition, the VA likely relied on market research, historical pricing data for similar (though perhaps not identical) items, or independent cost estimates. The agency must have a documented process to validate the price, potentially involving technical experts and contracting officers to ensure it aligns with industry standards and avoids excessive costs. This validation is key to taxpayer accountability.

What is the expected impact of these custom lifts on patient care and rehabilitation for the intended veteran population?

The custom lifts are expected to significantly improve the quality of life and mobility for veterans with specific physical needs, enabling greater independence and facilitating rehabilitation. The $19.1 million investment aims to provide tailored solutions that standard equipment cannot offer, directly addressing the unique challenges faced by these individuals and enhancing their overall healthcare outcomes.

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: $19,175

Exercised Options: $19,175

Current Obligation: $19,175

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline