VA awards $164K contract for biohazard waste removal to Best Choice Environmental Inc

Contract Overview

Contract Amount: $164,011 ($164.0K)

Contractor: Best Choice Environmental Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-06-01

End Date: 2027-05-31

Contract Duration: 1,460 days

Daily Burn Rate: $112/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BIOHAZARD WASTE REMOVAL SERVICES

Place of Performance

Location: MINNEAPOLIS, HENNEPIN County, MINNESOTA, 55417

State: Minnesota Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $164,010.67 to BEST CHOICE ENVIRONMENTAL INC for work described as: BIOHAZARD WASTE REMOVAL SERVICES Key points: 1. Contract awarded for essential biohazard waste removal services, ensuring public health and safety. 2. Competition dynamics indicate a potentially competitive award process under SAP. 3. Fixed price contract type suggests cost certainty for the government. 4. Performance period spans four years, indicating a need for sustained service. 5. Contract awarded to a single vendor, highlighting the importance of specialized services. 6. Geographic focus on Minnesota suggests localized service delivery.

Value Assessment

Rating: good

The contract value of $164,010.67 over four years appears reasonable for specialized biohazard waste removal services. Benchmarking against similar contracts is difficult without more specific service details and geographic scope. However, the fixed-price nature of the award provides cost predictability. The award to Best Choice Environmental Inc. suggests they met the government's requirements and offered competitive pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a competitive process for awards under a certain dollar threshold. While the data indicates two bidders, the specific level of competition and the number of proposals received are not detailed. SAP can sometimes result in less robust competition than full and open procedures for larger contracts, but it aims to streamline the acquisition process for smaller needs.

Taxpayer Impact: Competition under SAP aims to balance efficiency with achieving fair market prices. For this contract value, a competitive process, even under SAP, should have yielded a reasonable price for taxpayers.

Public Impact

Benefits the Department of Veterans Affairs by ensuring safe and compliant disposal of biohazardous waste. Provides critical environmental services that protect public health and prevent the spread of infectious agents. Services are geographically focused on Minnesota, supporting facilities within that state. Supports the specialized workforce required for hazardous waste handling and disposal.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition if SAP procedures were not fully leveraged.
Reliance on a single vendor for a critical service could pose a risk if performance issues arise.

Positive Signals

Award to a single vendor suggests they met all technical and price requirements.
Fixed-price contract provides budget certainty.
Four-year performance period indicates a stable, ongoing need for the service.

Sector Analysis

The biohazard waste removal sector is a critical component of the broader waste management industry, focusing on the safe handling and disposal of materials that pose a threat to public health. This contract fits within the government's need for specialized environmental services to manage regulated medical waste, particularly from healthcare facilities like those operated by the VA. Spending in this sector is driven by regulatory compliance and public health imperatives.

Small Business Impact

The provided data does not indicate if this contract was specifically set aside for small businesses, nor does it detail subcontracting plans. Given the nature of specialized waste removal, it's possible that larger firms or specialized divisions of larger firms participate. Further analysis would be needed to determine the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' contracting and program management offices. Accountability measures are inherent in the fixed-price contract terms, requiring the contractor to deliver services as specified. Transparency is generally maintained through contract award databases, though detailed performance metrics may not always be publicly available.

Related Government Programs

Hazardous Waste Treatment and Disposal Services
Medical Waste Disposal Contracts
Environmental Services Contracts

Risk Flags

Potential for limited competition under SAP
Reliance on a single vendor for critical service

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $164,010.67 to BEST CHOICE ENVIRONMENTAL INC. BIOHAZARD WASTE REMOVAL SERVICES

Who is the contractor on this award?

The obligated recipient is BEST CHOICE ENVIRONMENTAL 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 $164,010.67.

What is the period of performance?

Start: 2023-06-01. End: 2027-05-31.

What is the track record of Best Choice Environmental Inc. with federal contracts?

Information regarding Best Choice Environmental Inc.'s specific track record with federal contracts is not detailed in the provided data. A comprehensive review would involve searching federal procurement databases like SAM.gov and FPDS-NG for past performance history, including any awards, past performance evaluations, and any instances of contract disputes or terminations. Understanding their experience with similar government agencies and contract types (e.g., fixed-price purchase orders) would provide further insight into their reliability and capability for fulfilling this biohazard waste removal contract.

How does the awarded price compare to market rates for biohazard waste removal in Minnesota?

Directly comparing the awarded price of $164,010.67 over four years to specific market rates for biohazard waste removal in Minnesota is challenging without detailed service scope and volume data. Market rates can vary significantly based on the type and quantity of waste, frequency of pickup, distance to disposal facilities, and specific regulatory compliance requirements. However, the fact that the contract was competed under SAP suggests that the VA sought competitive pricing. A thorough benchmark would require analyzing pricing from multiple comparable service providers in the region for similar service levels.

What are the primary risks associated with this biohazard waste removal contract?

Key risks associated with this contract include potential performance failures by the contractor, such as missed pickups, improper disposal, or non-compliance with environmental regulations, which could lead to health hazards and legal liabilities for the VA. Another risk is contractor viability; if Best Choice Environmental Inc. faces financial difficulties or operational challenges, it could disrupt essential services. Given the specialized nature of biohazard waste removal, a lack of readily available backup providers could exacerbate any service interruptions. Ensuring robust oversight and clear performance standards is crucial to mitigate these risks.

How effective is the VA's current approach to procuring biohazard waste removal services?

The effectiveness of the VA's current approach to procuring biohazard waste removal services, as exemplified by this contract, can be assessed by its ability to secure reliable, compliant, and cost-effective services. The use of SAP suggests an effort to streamline procurement for needs under certain thresholds, potentially increasing efficiency. The award to a single vendor indicates that Best Choice Environmental Inc. was deemed the best value. However, a deeper analysis of past performance, contractor compliance rates, and cost trends over time would be necessary to definitively evaluate the overall effectiveness of the VA's procurement strategy in this domain.

What are the historical spending patterns for biohazard waste removal services by the VA?

Historical spending patterns for biohazard waste removal services by the Department of Veterans Affairs are not detailed in the provided data. To analyze this, one would need to examine aggregated contract data over several fiscal years, looking at total obligated amounts, number of contracts awarded, average contract values, and the primary contractors utilized. Understanding these patterns would reveal trends in demand, pricing fluctuations, and the VA's reliance on specific vendors or contract types for these essential services across its network of facilities.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Treatment and Disposal › Hazardous Waste Treatment and Disposal

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C26323Q0315

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 707 LEHMANN WAY, SUITE B, SOMERSET, WI, 54025

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

Financial Breakdown

Contract Ceiling: $254,386

Exercised Options: $164,011

Current Obligation: $164,011

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline