VA awards $12.2M for Outpatient Care Centers to Valor Healthcare Inc

Contract Overview

Contract Amount: $12,246,848 ($12.2M)

Contractor: Valor Healthcare Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2007-08-01

End Date: 2012-07-31

Contract Duration: 1,826 days

Daily Burn Rate: $6.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CBOC PUTNAM COUNTY

Place of Performance

Location: COOKEVILLE, PUTNAM County, TENNESSEE, 38501

State: Tennessee Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $12.2 million to VALOR HEALTHCARE INC for work described as: CBOC PUTNAM COUNTY Key points: 1. Contract awarded to Valor Healthcare Inc. for outpatient care services. 2. Full and open competition was utilized for this award. 3. The contract duration is 5 years, ending July 31, 2012. 4. The total award amount is $12,246,847.58. 5. The PSC code is 621498, indicating Outpatient Care Centers.

Value Assessment

Rating: good

The award amount of $12.2M over 5 years suggests a reasonable annual value for outpatient care services. Benchmarking against similar contracts for comprehensive outpatient centers would provide a clearer picture of pricing efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition indicates a robust price discovery process. This method allows multiple vendors to bid, theoretically leading to more competitive pricing for the government.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair value for the services rendered, as multiple companies vied for the contract.

Public Impact

Veterans in Putnam County, Tennessee, will receive essential outpatient care services. The contract ensures continuity of care for beneficiaries of the Department of Veterans Affairs. Valor Healthcare Inc. plays a key role in supporting VA healthcare delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract duration of 5 years may require re-evaluation of market prices.
Specific performance metrics and quality assurance details are not provided.

Positive Signals

Awarded through full and open competition.
Long-term contract provides service stability for veterans.
Clear total award amount and duration.

Sector Analysis

The healthcare sector, particularly outpatient care, is a significant area of federal spending. Benchmarks for similar outpatient care center contracts would be necessary for a precise comparison, but the award size is substantial.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors or prime contractors in this award. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight mechanisms for healthcare service contracts would apply, including performance monitoring and payment verification.

Related Government Programs

All Other Outpatient Care Centers
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Contract duration
Potential for performance issues
Lack of detailed performance metrics in summary
Dependence on a single provider

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $12.2 million to VALOR HEALTHCARE INC. CBOC PUTNAM COUNTY

Who is the contractor on this award?

The obligated recipient is VALOR HEALTHCARE 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 $12.2 million.

What is the period of performance?

Start: 2007-08-01. End: 2012-07-31.

What was the competitive landscape like during the bidding process?

The contract was awarded under 'full and open competition,' suggesting that multiple qualified vendors were encouraged to submit bids. This process typically involves advertising the requirement widely and allowing any responsible source to submit a proposal. The number of bids received and the range of proposed prices would offer further insight into the competitive intensity and the effectiveness of the price discovery.

Are there any identified risks associated with this contract's execution?

Potential risks could include the contractor's ability to consistently deliver high-quality care meeting VA standards, potential cost overruns if the fixed-price structure doesn't account for unforeseen circumstances, and the long-term stability of the contractor. Dependence on a single contractor for a significant duration also presents a risk if performance issues arise or if market conditions change drastically.

How effectively does this contract meet the VA's need for outpatient care?

The contract's effectiveness hinges on Valor Healthcare Inc.'s performance in delivering the specified outpatient services. Assuming the contractor meets performance expectations and provides quality care, the contract effectively addresses the VA's need for these services in Putnam County. The full and open competition suggests an effort to secure effective services at a competitive price.

Industry Classification

NAICS: Health Care and Social Assistance › Outpatient Care Centers › All Other Outpatient Care Centers

Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: VA-249-07-RP-0050A

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 12000 BISCAYNE BLVD, MIAMI, FL, 90

Business Categories: Category Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,766,786

Exercised Options: $15,004,947

Current Obligation: $12,246,848

Contract Characteristics

Cost or Pricing Data: NO

Timeline