VA's Automated Prescription Fulfillment System contract awarded to Leidos, Inc. for over $79 million
Contract Overview
Contract Amount: $79,040,099 ($79.0M)
Contractor: Leidos, Inc.
Awarding Agency: Department of Veterans Affairs
Start Date: 2020-04-06
End Date: 2026-04-10
Sector: Healthcare
Official Description: AUTOMATED PRESCRIPTION FULFILLMENT SYSTEM (APFS)FOR LEAVENWORTH CMOP
Plain-Language Summary
Department of Veterans Affairs obligated $79.0 million to LEIDOS, INC. for work described as: AUTOMATED PRESCRIPTION FULFILLMENT SYSTEM (APFS)FOR LEAVENWORTH CMOP Key points: 1. Significant investment in automating prescription fulfillment for veterans. 2. Leidos, Inc. is the sole contractor for this system. 3. Potential risks include system integration challenges and vendor lock-in. 4. The contract aims to improve efficiency and accuracy in medication delivery.
Value Assessment
Rating: good
The contract value of approximately $79 million over its term represents a substantial investment by the VA in modernizing its prescription fulfillment capabilities. This spending is directed towards a critical function that directly impacts veteran healthcare.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This appears to be a sole-source award to Leidos, Inc., indicating a specific need or capability that only this vendor could meet at the time of contracting. Further justification for the sole-source nature would be beneficial.
Taxpayer Impact: Taxpayers are funding a significant technological upgrade to ensure efficient and accurate delivery of medications to veterans.
Public Impact
Faster and more accurate prescription fulfillment for veterans. Potential for reduced medication errors. Improved access to necessary medications.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Reliance on a single vendor could lead to increased costs or reduced flexibility in the future.
- Successful integration with existing VA systems is crucial for operational effectiveness.
- Ensuring data security and patient privacy within the automated system is paramount.
Positive Signals
- Modernization of a critical healthcare support function.
- Potential for significant operational efficiencies.
- Direct benefit to veteran healthcare outcomes.
Sector Analysis
This contract falls within the healthcare technology sector, specifically focusing on the logistical and operational aspects of pharmaceutical distribution within a large federal agency.
Small Business Impact
The contract was not set-aside for small businesses and was awarded to a large corporation, Leidos, Inc. There is no indication of specific provisions for small business participation.
Oversight & Accountability
The Department of Veterans Affairs is the contracting and awarding agency. Oversight will likely involve performance monitoring, quality assurance, and adherence to contract terms to ensure the system meets its objectives.
Related Government Programs
- Automated Prescription Fulfillment System (APFS)
- Leavenworth CMOP
Risk Flags
- Sole-source justification
- System integration risk
- Vendor lock-in potential
Tags
veterans-affairs, prescription-fulfillment, leidos, healthcare-technology, automated-systems, sole-source, contract-spending
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $79.0 million to LEIDOS, INC.. AUTOMATED PRESCRIPTION FULFILLMENT SYSTEM (APFS)FOR LEAVENWORTH CMOP
Who is the contractor on this award?
The obligated recipient is LEIDOS, 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 $79.0 million.
What is the period of performance?
Start: 2020-04-06. End: 2026-04-10.
Analysis insight 1
The contract's duration extends to 2026, suggesting a long-term operational requirement.
Analysis insight 2
The substantial funding indicates a comprehensive system implementation rather than a minor upgrade.
Analysis insight 3
Understanding the specific technological advancements offered by APFS would provide further insight into its value.