VA Awards $102.7M Task Order to OptumServe for Physician Services
Contract Overview
Contract Amount: $102,684,957 ($102.7M)
Contractor: Optumserve Health Services, Inc.
Awarding Agency: Department of Veterans Affairs
Start Date: 2017-09-26
End Date: 2019-11-25
Contract Duration: 790 days
Daily Burn Rate: $130.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: TASK ORDER AWARD| IGF::OT::IGF
Place of Performance
Location: LA CROSSE, LA CROSSE County, WISCONSIN, 54601
Plain-Language Summary
Department of Veterans Affairs obligated $102.7 million to OPTUMSERVE HEALTH SERVICES, INC. for work described as: TASK ORDER AWARD| IGF::OT::IGF Key points: 1. Significant contract value of $102.7 million. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. Potential risk associated with a single award for a large sum. 4. Focuses on physician services within the healthcare sector.
Value Assessment
Rating: good
The contract value of $102.7 million for physician services appears reasonable given the duration and scope. Benchmarking against similar large-scale healthcare service contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing by allowing all eligible vendors to bid.
Taxpayer Impact: The competitive nature of the award is likely to ensure taxpayer funds are used efficiently for physician services.
Public Impact
Ensures continued access to physician services for veterans. Supports healthcare delivery within the Department of Veterans Affairs. Impacts the healthcare services market by awarding a large contract.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Single award for a substantial amount could limit future competition.
- Dependence on a single vendor for critical services.
Positive Signals
- Awarded through full and open competition.
- Addresses a critical need for physician services.
Sector Analysis
This contract falls within the healthcare sector, specifically focusing on physician services. Spending benchmarks for similar physician staffing contracts within federal agencies can vary widely based on specialty and location.
Small Business Impact
The data indicates that small businesses were not directly awarded this contract, as it was awarded to OptumServe Health Services, Inc. Further analysis would be needed to determine if small businesses were involved as subcontractors.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this task order. Standard oversight mechanisms for federal contracts, including performance monitoring and financial audits, would apply.
Related Government Programs
- Offices of Physicians (except Mental Health Specialists)
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Large contract value concentrated with a single vendor.
- Potential for vendor lock-in.
- Dependence on a single entity for critical healthcare services.
- Need for robust performance monitoring to ensure quality of care.
Tags
offices-of-physicians-except-mental-heal, department-of-veterans-affairs, wi, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $102.7 million to OPTUMSERVE HEALTH SERVICES, INC.. TASK ORDER AWARD| IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is OPTUMSERVE HEALTH 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 $102.7 million.
What is the period of performance?
Start: 2017-09-26. End: 2019-11-25.
What is the specific scope of physician services covered by this task order and how does it align with VA's overall healthcare needs?
The task order focuses on physician services, likely encompassing a range of medical specialties required by the Department of Veterans Affairs. Its alignment with VA's needs would depend on the specific medical gaps it aims to fill, such as addressing physician shortages in particular areas or providing specialized care not readily available internally. A detailed review of the Statement of Work (SOW) is necessary for a precise understanding.
What are the key performance indicators (KPIs) used to measure OptumServe's performance under this contract?
Key performance indicators for this contract would typically include metrics related to physician availability, patient wait times, quality of care, patient satisfaction, and adherence to VA protocols. The specific KPIs would be detailed in the contract's Statement of Work (SOW) and performance work statement (PWS), ensuring that OptumServe meets the required standards for delivering healthcare services to veterans.
How does the pricing structure of this task order compare to market rates for similar physician services in Wisconsin?
The pricing structure, being Firm Fixed Price, provides cost certainty. A comparison to market rates in Wisconsin would require analyzing the specific physician specialties, hours, and geographic locations covered. Benchmarking against other VA contracts or commercial healthcare providers in the region for comparable services would reveal if the $102.7 million award represents a fair and reasonable price.
Industry Classification
NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians (except Mental Health Specialists)
Product/Service Code: MEDICAL SERVICES › NURSING, NURSING HOME, EVAL/SCREEN
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Unitedhealth Group Incorporated (UEI: 112871561)
Address: 328 FRONT ST S, LA CROSSE, WI, 54601
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $102,684,957
Exercised Options: $102,684,957
Current Obligation: $102,684,957
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: VA119A16D0077
IDV Type: IDC
Timeline
Start Date: 2017-09-26
Current End Date: 2019-11-25
Potential End Date: 2019-11-25 00:00:00
Last Modified: 2019-11-25
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