VA Awards $215K for Kalish Canisters, Sole-Source Purchase Order to IMA North America Inc

Contract Overview

Contract Amount: $215,250 ($215.3K)

Contractor: IMA North America Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-07-24

End Date: 2026-04-30

Contract Duration: 280 days

Daily Burn Rate: $769/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: KALISH CANISTERS. USED TO DISPENSE PHARMACEUTICALS

Place of Performance

Location: LEOMINSTER, WORCESTER County, MASSACHUSETTS, 01453

State: Massachusetts Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $215,250 to IMA NORTH AMERICA INC for work described as: KALISH CANISTERS. USED TO DISPENSE PHARMACEUTICALS Key points: 1. The Department of Veterans Affairs (VA) is procuring Kalish Canisters, essential for pharmaceutical dispensing. 2. This contract was awarded on a sole-source basis, raising questions about potential price discovery. 3. The contract value is $215,250, with a performance period extending through April 2026. 4. The sector involves pharmaceutical packaging and glass container manufacturing.

Value Assessment

Rating: questionable

The contract was not competed, making a direct pricing assessment against similar contracts difficult. Without competitive bids, it's hard to determine if the price reflects fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded sole-source, meaning no competition was sought. This limits price discovery and may result in a higher price than if multiple vendors had bid.

Taxpayer Impact: Without competition, taxpayers may be paying a premium for these pharmaceutical canisters.

Public Impact

Veterans will receive their medications in secure and appropriate containers. The VA ensures a consistent supply chain for critical pharmaceutical packaging. Potential for increased costs due to lack of competitive bidding impacts taxpayer funds.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition and price negotiation.
Lack of transparency in pricing due to no-bid award.

Positive Signals

Ensures supply of essential pharmaceutical dispensing containers.
Contract awarded to a known entity (IMA North America Inc.).

Sector Analysis

The procurement falls within the pharmaceutical packaging and glass container manufacturing sectors. Benchmarks for similar specialized pharmaceutical containers are difficult to ascertain without competitive data.

Small Business Impact

There is no indication that small businesses were involved in this sole-source award, nor is there information on whether they could have provided the required product.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure the VA obtained the best possible value for taxpayer dollars. Further review of the justification for sole-source procurement is recommended.

Related Government Programs

Glass Container Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Sole-source award
Lack of competitive bidding
Potential for inflated pricing
Limited transparency in price discovery

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $215,250 to IMA NORTH AMERICA INC. KALISH CANISTERS. USED TO DISPENSE PHARMACEUTICALS

Who is the contractor on this award?

The obligated recipient is IMA NORTH AMERICA 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 $215,250.

What is the period of performance?

Start: 2025-07-24. End: 2026-04-30.

What was the justification for awarding this contract sole-source instead of through a competitive process?

The justification for a sole-source award typically involves specific circumstances, such as the unavailability of the product from other sources, urgent and compelling needs, or unique capabilities possessed by a single vendor. Without access to the specific justification documentation, it is impossible to definitively state why this contract was not competed. This lack of competition is a key factor in assessing the value for money.

What is the potential risk to the VA if IMA North America Inc. is the only supplier of these specific Kalish Canisters?

The primary risk is a lack of leverage in price negotiations and potential supply chain disruptions if IMA North America Inc. faces production issues or decides to increase prices significantly. The VA is dependent on a single source, which can lead to higher costs over time and limited options in case of unforeseen problems with the supplier.

How effective is this procurement in ensuring the VA receives high-quality pharmaceutical dispensing containers at a reasonable cost?

The effectiveness in terms of quality is presumed, as the VA is procuring the item. However, the effectiveness in securing a reasonable cost is questionable due to the sole-source award. Without competition, there's no market validation of the price, making it difficult to ascertain if taxpayers are receiving optimal value. The VA's internal cost analysis or historical pricing would be needed to assess cost-effectiveness.

Industry Classification

NAICS: Manufacturing › Glass and Glass Product Manufacturing › Glass Container Manufacturing

Product/Service Code: CONTAINERS/PACKAGING/PACKING SUPPL

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 36C77025Q0227

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: So.fi.m.a. SOC Finanziaria Macchine Automatiche SPA OD

Address: 7 NEW LANCASTER RD, LEOMINSTER, MA, 01453

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $215,250

Exercised Options: $215,250

Current Obligation: $215,250

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline