HHS awards $10.95M for medical products to Laerdal Medical Corporation via sole-source purchase order
Contract Overview
Contract Amount: $10,951 ($11.0K)
Contractor: Laerdal Medical Corporation
Awarding Agency: Department of Health and Human Services
Start Date: 2020-01-16
End Date: 2021-02-13
Contract Duration: 394 days
Daily Burn Rate: $28/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: LAERDAL MEDICAL CORPORATION:1233313 [20-003980]
Place of Performance
Location: BETHESDA, MONTGOMERY County, MARYLAND, 20892
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $10,950.78 to LAERDAL MEDICAL CORPORATION for work described as: LAERDAL MEDICAL CORPORATION:1233313 [20-003980] Key points: 1. Spending of $10.95M on medical products. 2. Sole-source award to Laerdal Medical Corporation. 3. Contract duration of 394 days. 4. Awarded by the National Institutes of Health (NIH).
Value Assessment
Rating: fair
The contract value of $10.95M for medical products appears to be within a reasonable range for specialized equipment, but without specific product details, a precise benchmark is difficult. The firm fixed-price structure provides cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was awarded using a sole-source method, indicating a lack of competition. This approach may limit price discovery and potentially lead to higher costs compared to a competitive process.
Taxpayer Impact: Taxpayer funds are used for this sole-source award, with potential for reduced value due to the absence of competitive bidding.
Public Impact
Procurement of essential medical supplies for government health initiatives. Potential for increased costs due to sole-source award. Impact on small businesses is minimal as the award went to a large corporation.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition.
- Lack of detailed product information for cost comparison.
Positive Signals
- Firm fixed-price contract provides cost certainty.
- Awarded by a reputable agency (NIH).
Sector Analysis
The contract falls under the 'All Other Plastics Product Manufacturing' sector, specifically for medical products. Spending in this sector can vary widely based on product type and volume, but NIH procurements often involve specialized, high-value items.
Small Business Impact
This award was made to Laerdal Medical Corporation, a large business. There is no indication that small businesses were involved in this specific procurement, either as prime contractors or subcontractors.
Oversight & Accountability
The sole-source nature of this award warrants scrutiny to ensure the justification for bypassing competition was robust and that the pricing is fair. Standard NIH oversight processes should apply.
Related Government Programs
- All Other Plastics Product Manufacturing
- Department of Health and Human Services Contracting
- National Institutes of Health Programs
Risk Flags
- Sole-source award potentially inflates cost.
- Lack of competition limits price discovery.
- Absence of detailed product information hinders full analysis.
- Potential for overpayment without competitive benchmarking.
Tags
all-other-plastics-product-manufacturing, department-of-health-and-human-services, md, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $10,950.78 to LAERDAL MEDICAL CORPORATION. LAERDAL MEDICAL CORPORATION:1233313 [20-003980]
Who is the contractor on this award?
The obligated recipient is LAERDAL MEDICAL CORPORATION.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (National Institutes of Health).
What is the total obligated amount?
The obligated amount is $10,950.78.
What is the period of performance?
Start: 2020-01-16. End: 2021-02-13.
What specific medical products were procured under this contract, and what is their criticality to NIH operations?
The specific medical products procured are not detailed in the provided data, only that they fall under 'All Other Plastics Product Manufacturing'. Their criticality to NIH operations would depend on the specific research or healthcare services they support. Understanding the product's nature is crucial for assessing value and necessity.
What was the justification for awarding this contract on a sole-source basis, and were alternative competitive strategies considered?
The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs where competition is not feasible. Without further documentation, it's unclear if alternatives were explored. A thorough review of the justification is necessary to ensure it aligns with federal procurement regulations and best practices.
How does the per-unit cost of these medical products compare to similar items purchased competitively by other government agencies or the private sector?
A direct comparison of per-unit costs is not possible without knowing the specific products. However, sole-source contracts often result in higher prices than competitive ones. Benchmarking against similar, albeit not identical, items procured competitively would be the next step in assessing cost-effectiveness.
Industry Classification
NAICS: Manufacturing › Plastics Product Manufacturing › All Other Plastics Product Manufacturing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
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
Parent Company: T. Lærdal Holding AS
Address: 167 MYERS CORNERS RD, WAPPINGERS FALLS, NY, 12590
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $10,951
Exercised Options: $10,951
Current Obligation: $10,951
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2020-01-16
Current End Date: 2021-02-13
Potential End Date: 2021-02-13 00:00:00
Last Modified: 2026-04-01
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