VA awards $11.8M for ER physician staffing, highlighting long-term contract and full competition

Contract Overview

Contract Amount: $11,874,838 ($11.9M)

Contractor: NES Government Services, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2005-08-01

End Date: 2010-12-31

Contract Duration: 1,978 days

Daily Burn Rate: $6.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: PROVIDE PHYSICIAN AND PHYSICIAN ASSISTANT STAFFING FOR EMERGENCY ROOM.

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77030

State: Texas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $11.9 million to NES GOVERNMENT SERVICES, INC. for work described as: PROVIDE PHYSICIAN AND PHYSICIAN ASSISTANT STAFFING FOR EMERGENCY ROOM. Key points: 1. Contract awarded to NES Government Services, Inc. for physician and physician assistant staffing. 2. The contract spans over 5 years, indicating a significant commitment to ongoing services. 3. Full and open competition was utilized, suggesting a robust price discovery process. 4. The sector is healthcare services, specifically physician staffing for emergency rooms.

Value Assessment

Rating: good

The contract value of $11.8M over 5 years averages approximately $2.37M annually. This appears reasonable for specialized emergency room staffing, though direct comparison requires detailed service level data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for achieving fair market prices. This method allows multiple qualified vendors to bid, fostering a competitive environment that drives down costs.

Taxpayer Impact: The competitive bidding process likely resulted in a fair price, maximizing the value of taxpayer dollars spent on essential emergency room staffing.

Public Impact

Ensures continuous operation of emergency medical services at VA facilities. Supports veteran healthcare by providing necessary medical professionals. Creates stable employment opportunities for physicians and physician assistants.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Long contract duration could lead to price escalation if not managed.
Reliance on a single contractor for critical staffing.

Positive Signals

Full and open competition utilized.
Addresses a critical healthcare need for veterans.

Sector Analysis

This contract falls within the healthcare sector, specifically focusing on physician staffing for emergency departments. Benchmarks for such specialized services can vary widely based on location and required expertise, but consistent staffing is crucial for patient care.

Small Business Impact

The data does not indicate if small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of Veterans Affairs managed this contract, implying oversight of service delivery and contractor performance. The long duration suggests a need for ongoing monitoring to ensure quality and cost-effectiveness.

Related Government Programs

Offices of Physicians (except Mental Health Specialists)
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Long-term contract duration
Potential for price creep over time
Dependence on a single provider for critical services

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $11.9 million to NES GOVERNMENT SERVICES, INC.. PROVIDE PHYSICIAN AND PHYSICIAN ASSISTANT STAFFING FOR EMERGENCY ROOM.

Who is the contractor on this award?

The obligated recipient is NES GOVERNMENT SERVICES, 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 $11.9 million.

What is the period of performance?

Start: 2005-08-01. End: 2010-12-31.

What was the specific scope of services and staffing levels required under this contract?

The contract was for providing physician and physician assistant staffing for emergency rooms. The exact number of physicians and physician assistants, their required qualifications, shift coverage, and specific duties would be detailed in the contract's statement of work. This information is crucial for a precise value assessment.

Were there any performance issues or contract modifications during its 5-year duration?

Without access to contract performance reports or modification logs, it's impossible to determine if there were any issues. A review of contract history would reveal if the contractor met performance standards, if any disputes arose, or if changes in scope or price occurred.

How did the final awarded price compare to the government's independent cost estimate?

The provided data does not include the government's independent cost estimate. Comparing the awarded price to an estimate would offer insight into the effectiveness of the competition and negotiation process in achieving a fair and reasonable price for the services rendered.

Industry Classification

NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians (except Mental Health Specialists)

Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6477 COLLEGE PARK SQ STE 316, VIRGINIA BEACH, VA, 02

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $11,874,838

Exercised Options: $11,874,838

Current Obligation: $11,874,838

Timeline