VA awards $3.68M contract for controlled substance returns, highlighting support services needs

Contract Overview

Contract Amount: $36,850 ($36.9K)

Contractor: D'S Ventures, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-05-01

End Date: 2027-04-30

Contract Duration: 364 days

Daily Burn Rate: $101/day

Competition Type: COMPETED UNDER SAP

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: RETURNS OF EXPIRED CONTROLLED SUBSTANCES FOR VAGLAHS.

Place of Performance

Location: LOS ANGELES, LOS ANGELES County, CALIFORNIA, 90073

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $36,850 to D'S VENTURES, LLC for work described as: RETURNS OF EXPIRED CONTROLLED SUBSTANCES FOR VAGLAHS. Key points: 1. Contract focuses on essential support services for managing controlled substances. 2. Competition was conducted under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 3. The contract duration of one year indicates a need for ongoing, but not necessarily long-term, service provision. 4. Firm Fixed Price contract type aims to provide cost certainty for the government. 5. The award to D'S Ventures, LLC suggests a specific capability or market presence in this niche service area. 6. Geographic focus on California points to a regionalized need for these services.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific service delivery metrics or comparable contracts for controlled substance returns. The award amount of $3.68 million for a one-year period for 'All Other Support Services' appears reasonable for specialized logistical and compliance-related tasks. However, a deeper analysis of the scope of work and the specific services required would be necessary to definitively assess value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under Simplified Acquisition Procedures (SAP), which typically involves a limited number of bidders and is used for procurements valued below a certain threshold. While SAP aims for efficiency, it may not always yield the same level of price competition as full and open competition. The specific number of bidders is not provided, making it difficult to fully assess the competitive landscape.

Taxpayer Impact: Limited competition under SAP may result in less aggressive pricing compared to broader solicitations, potentially leading to higher costs for taxpayers if robust price analysis was not conducted.

Public Impact

Beneficiaries include the Department of Veterans Affairs facilities requiring management of controlled substance returns. Services delivered will ensure compliance with regulations regarding the disposal and return of controlled substances. Geographic impact is concentrated within California, serving VA facilities in that state. Workforce implications may involve specialized logistics and compliance personnel employed by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition under SAP could potentially reduce price discovery and offer less value.
Lack of detailed performance metrics makes it difficult to assess the contractor's efficiency and effectiveness.
The specific nature of 'All Other Support Services' requires further definition to understand the full scope and associated risks.

Positive Signals

Firm Fixed Price contract provides cost certainty for the VA.
Awarding to a specific LLC suggests a targeted approach to meet a specialized need.
Contract duration of one year allows for periodic reassessment of service needs and contractor performance.

Sector Analysis

This contract falls within the broader 'Support Services' sector, specifically addressing specialized logistical and compliance needs related to controlled substances. The market for such services is often niche, driven by regulatory requirements and the specific operational needs of government agencies, particularly in healthcare and pharmaceutical management. Comparable spending benchmarks are difficult to establish without more granular data on the services provided.

Small Business Impact

Information regarding small business set-asides or subcontracting plans is not available for this contract. The award was made to D'S Ventures, LLC, but its size status (small or large business) is not specified. Further analysis would be needed to determine the impact on the small business ecosystem.

Oversight & Accountability

Oversight of this contract would typically fall under the Department of Veterans Affairs' contracting and program management offices. Accountability measures are inherent in the Firm Fixed Price contract type, requiring the contractor to deliver specified services within the agreed price. Transparency is facilitated through contract award databases, though detailed performance reporting may be internal to the agency.

Related Government Programs

Pharmaceutical Supply Chain Management
Medical Logistics Services
Controlled Substance Disposal Services
Veterans Health Administration Operations

Risk Flags

Potential for regulatory non-compliance
Risk of security breaches in handling controlled substances
Dependence on contractor's specialized expertise
Limited competition may impact price optimization

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $36,850 to D'S VENTURES, LLC. RETURNS OF EXPIRED CONTROLLED SUBSTANCES FOR VAGLAHS.

Who is the contractor on this award?

The obligated recipient is D'S VENTURES, 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 $36,850.

What is the period of performance?

Start: 2026-05-01. End: 2027-04-30.

What is the specific nature of the 'All Other Support Services' required for the returns of controlled substances?

The provided data indicates the contract is for 'RETURNS OF EXPIRED CONTROLLED SUBSTANCES FOR VAGLAHS.' This suggests services related to the collection, documentation, secure transportation, and compliant disposal or return of expired or unused controlled substances from VA facilities. The 'All Other Support Services' designation implies a broad category that could encompass logistical coordination, regulatory compliance assistance, inventory management related to returns, and potentially secure handling protocols. Without a detailed Statement of Work (SOW), the precise activities remain generalized, but the core function is to manage the lifecycle of controlled substances post-use or expiration in a compliant manner.

How does the $3.68 million award compare to historical spending for similar services by the VA or other agencies?

Direct comparison of the $3.68 million award for a one-year period is difficult without access to specific historical contract data for 'returns of expired controlled substances' or similar niche support services. General government spending on logistics and support services can be substantial, but the specialized nature of handling controlled substances implies a smaller, more specialized market. The VA's overall budget is significant, and this contract represents a small fraction allocated to a specific operational need. To provide a meaningful comparison, one would need to identify contracts with similar scope, duration, and regulatory compliance requirements, ideally within the last 2-3 years, and adjust for inflation and potential service scope variations.

What are the key performance indicators (KPIs) or metrics used to evaluate the contractor's performance?

The provided data does not specify the Key Performance Indicators (KPIs) or metrics for evaluating D'S Ventures, LLC's performance on this contract. Typically, for services involving controlled substances, KPIs would focus on compliance rates (e.g., adherence to DEA regulations, state laws), timeliness of returns and disposal, accuracy of documentation, security of transport, and potentially cost-efficiency of the disposal process. The Firm Fixed Price nature of the contract implies that meeting the defined scope of work is paramount. The VA's contracting officer and technical monitors would be responsible for establishing and tracking these metrics throughout the contract period to ensure satisfactory performance and accountability.

What is the track record of D'S Ventures, LLC in providing similar support services, particularly for government contracts?

Information regarding the specific track record of D'S Ventures, LLC in providing similar support services, especially to government entities, is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), other federal or state contracts awarded to the company, and any publicly available information on their operational history and expertise in handling controlled substances. Without this background, it's challenging to gauge their experience level and reliability for this critical function. Further due diligence would be necessary to understand their past performance and suitability.

What are the potential risks associated with the contractor's performance, and how are they mitigated?

Potential risks associated with this contract include non-compliance with stringent regulations governing controlled substances, security breaches during transport or handling, delays in processing returns leading to facility issues, or inaccurate record-keeping. Mitigation strategies would involve the VA's robust oversight, clear contractual requirements, potentially requiring specific certifications or licenses for the contractor, and performance monitoring. The Firm Fixed Price structure incentivizes the contractor to manage risks effectively to maintain profitability. Furthermore, the limited duration allows the VA to reassess the contractor's performance before potential renewal, providing a mechanism to address any emerging issues.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services

Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5240 SNAPFINGER PARK DRIVE SUITE 115, DECATUR, GA, 30035

Business Categories: 8(a) Program Participant, Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $467,510

Exercised Options: $36,850

Current Obligation: $36,850

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C26222D0043

IDV Type: IDC

Timeline