VA awards $15.2M for lower limb prosthetics, raising questions about competition and value

Contract Overview

Contract Amount: $15,234 ($15.2K)

Contractor: Geiger Prosthetics & Orthotics

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-09

End Date: 2026-05-27

Contract Duration: 48 days

Daily Burn Rate: $317/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LOWER LIMB PROSTHESIS BELOW KNEE

Place of Performance

Location: VISALIA, TULARE County, CALIFORNIA, 93291

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $15,233.62 to GEIGER PROSTHETICS & ORTHOTICS for work described as: LOWER LIMB PROSTHESIS BELOW KNEE Key points: 1. Contract awarded via purchase order, indicating limited competition. 2. Pricing and value for money require further scrutiny due to non-competitive award. 3. Performance period is short, suggesting potential for future contract actions. 4. Geographic focus on California for prosthetic services. 5. Small business participation is not explicitly detailed in this award.

Value Assessment

Rating: questionable

The contract value of $15.2 million for lower limb prosthetics is significant. However, without a competitive bidding process, it is difficult to benchmark the pricing against market rates or similar contracts. The award method (Purchase Order) and the lack of disclosed competition raise concerns about whether the government secured the best possible value. Further analysis of historical pricing for similar prosthetics and the specific services rendered would be necessary to provide a more definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as a 'NOT COMPETED' action, which typically signifies a sole-source or limited competition scenario. The specific justification for not competing this award is not provided in the data. Without a competitive process, it is challenging to determine the number of potential bidders or the extent of market interest. This lack of competition limits the government's ability to leverage market forces to drive down costs and ensure optimal pricing.

Taxpayer Impact: The absence of a competitive bidding process for this $15.2 million award means taxpayers may not have received the most cost-effective solution. Without competing offers, the potential for overpayment exists, as there was no direct comparison of prices from multiple suppliers.

Public Impact

Veterans in California requiring below-knee prosthetics are the primary beneficiaries. The contract facilitates the provision of essential prosthetic devices and related services. The award supports the healthcare infrastructure for veterans' mobility and quality of life. Potential workforce implications for prosthetic technicians and fitting specialists in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competitive bidding may lead to inflated costs for taxpayers.
Limited transparency regarding the justification for sole-source award.
Potential for vendor lock-in if this becomes a recurring non-competitive award.

Positive Signals

Ensures provision of critical prosthetic devices to veterans.
Awarded to a known entity in the prosthetics field (Geiger Prosthetics & Orthotics).
Clear contract end date provides a defined period for service delivery.

Sector Analysis

The market for prosthetics and orthotics is a specialized segment within the broader healthcare manufacturing industry. This contract falls under Surgical Appliance and Supplies Manufacturing (NAICS 339113). The industry involves the design, production, and fitting of artificial limbs and supportive devices. Spending in this sector is driven by healthcare needs, an aging population, and advancements in materials and technology. Comparable spending benchmarks would typically involve analyzing other VA or Department of Defense contracts for similar prosthetic devices and services.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). As a sole-source award, there is no explicit subcontracting plan detailed. This means that opportunities for small businesses to participate in fulfilling this contract may be limited unless the prime contractor voluntarily engages them. Further investigation into the contractor's subcontracting practices would be needed to assess the impact on the small business ecosystem.

Oversight & Accountability

The Department of Veterans Affairs (VA) is responsible for the oversight of this contract. As a Purchase Order, it falls under standard procurement regulations. Accountability measures would typically involve performance monitoring and payment verification by the contracting officer. Transparency is limited due to the non-competitive nature of the award; the justification for not competing is not publicly detailed. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

VA Prosthetic and Sensory Aids Service
Department of Defense Medical Equipment Contracts
Medicare/Medicaid Prosthetics Reimbursement

Risk Flags

Non-competitive award raises concerns about value for money.
Lack of transparency regarding the justification for sole-source procurement.
Potential for higher costs due to absence of market competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $15,233.62 to GEIGER PROSTHETICS & ORTHOTICS. LOWER LIMB PROSTHESIS BELOW KNEE

Who is the contractor on this award?

The obligated recipient is GEIGER PROSTHETICS & ORTHOTICS.

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 $15,233.62.

What is the period of performance?

Start: 2026-04-09. End: 2026-05-27.

What is the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was awarded as 'NOT COMPETED' (ct: NOT COMPETED). However, the specific justification for this sole-source determination is not included in the dataset. Typically, federal agencies must document reasons such as urgency, lack of available sources, or specific technical requirements that only one vendor can meet. Without this documentation, it is impossible to fully assess the appropriateness of the sole-source award and whether it represents a missed opportunity for competition that could have yielded better pricing for taxpayers.

How does the price of this contract compare to similar lower limb prosthetics awarded by the VA or other federal agencies?

Direct price comparison is challenging without knowing the exact specifications and components of the prosthetics being procured under this $15.2 million award. Furthermore, the non-competitive nature of this award makes it difficult to establish a fair market price. To conduct a thorough comparison, one would need to identify other VA or federal contracts for similar below-knee prosthetics, analyze their pricing structures (including unit costs, installation, and maintenance), and account for differences in product features, materials, and service requirements. Benchmarking against publicly available pricing from durable medical equipment suppliers could also provide some context, though federal contract pricing often includes specific service agreements.

What are the potential risks associated with awarding a large contract like this without competition?

The primary risk of awarding a contract without competition is the potential for paying a higher price than necessary, as the government does not benefit from the price reductions typically achieved through competitive bidding. There's also a risk of reduced innovation, as vendors may have less incentive to offer cutting-edge solutions if they are the sole provider. Furthermore, a lack of competition can lead to vendor lock-in, making it difficult and potentially more expensive to switch providers in the future. Finally, it raises concerns about fairness and equal opportunity for other qualified businesses that were not given a chance to bid.

What is the expected performance standard and how will it be measured for Geiger Prosthetics & Orthotics?

The provided data does not detail the specific performance standards or Key Performance Indicators (KPIs) that Geiger Prosthetics & Orthotics must meet under this contract. Typically, contracts of this nature would include clauses related to product quality, delivery timelines, patient satisfaction, and compliance with clinical standards. Performance monitoring would be the responsibility of the VA's contracting officer and technical monitors, who would track metrics such as on-time delivery, defect rates, and adherence to specifications. Failure to meet these standards could result in contractual remedies, including potential penalties or termination.

What is the historical spending pattern for lower limb prosthetics by the Department of Veterans Affairs?

Analyzing historical spending patterns for lower limb prosthetics by the VA is crucial for understanding trends and identifying potential anomalies. This $15.2 million award represents a significant investment. To assess historical spending, one would need to examine VA procurement data over several fiscal years, looking at the total amount spent on prosthetics, the number of contracts awarded, the types of prosthetics procured (e.g., below-knee, above-knee), and the primary award mechanisms (competitive vs. sole-source). This analysis could reveal whether spending has been increasing, if certain contractors consistently receive large awards, and the typical price ranges for different prosthetic categories.

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

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 917 W CENTER AVE, VISALIA, CA, 93291

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,234

Exercised Options: $15,234

Current Obligation: $15,234

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline