DoD awards $31M for COVID-19 safety syringes and needles via full and open competition
Contract Overview
Contract Amount: $31,097,313 ($31.1M)
Contractor: HTL Strefa Inc
Awarding Agency: Department of Defense
Start Date: 2020-08-03
End Date: 2021-12-31
Contract Duration: 515 days
Daily Burn Rate: $60.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 16
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: SAFETY SYRINGES AND NEEDLES TO SUPPORT COVID-19 RESPONSE.
Place of Performance
Location: MARIETTA, COBB County, GEORGIA, 30066
State: Georgia Government Spending
Plain-Language Summary
Department of Defense obligated $31.1 million to HTL STREFA INC for work described as: SAFETY SYRINGES AND NEEDLES TO SUPPORT COVID-19 RESPONSE. Key points: 1. Significant award for essential medical supplies during a critical public health event. 2. Competition method suggests potential for competitive pricing. 3. Risk of supply chain disruption for critical medical items. 4. Sector: Healthcare/Medical Supplies.
Value Assessment
Rating: good
The award value of $31M for safety syringes and needles appears reasonable given the context of a national health emergency. Benchmarking against similar large-scale procurements for medical supplies during COVID-19 would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and can lead to more competitive pricing.
Taxpayer Impact: The use of full and open competition is taxpayer-favorable as it aims to secure the best value and price for essential goods.
Public Impact
Ensures availability of critical safety syringes and needles for the COVID-19 response. Supports healthcare providers and public health initiatives by securing necessary equipment. Contributes to the overall preparedness and response capabilities during the pandemic.
Waste & Efficiency Indicators
Waste Risk Score: 60 / 10
Warning Flags
- Potential for future demand fluctuations impacting long-term pricing.
- Reliance on a single manufacturer (HTL STREFA INC) for this specific award.
Positive Signals
- Awarded during a critical period for public health.
- Utilized a competitive procurement process.
- Supports a vital national response effort.
Sector Analysis
The procurement falls within the medical device manufacturing sector, specifically surgical and medical instruments. Spending in this area surged during the pandemic to meet unprecedented demand for personal protective equipment and medical supplies.
Small Business Impact
The data indicates this contract was not awarded to small businesses. Further analysis would be needed to determine if small businesses were excluded or if the scope of the requirement was beyond their typical capacity.
Oversight & Accountability
The Department of Defense's procurement of medical supplies highlights inter-agency support during national emergencies. Oversight would focus on ensuring timely delivery, quality control, and adherence to contract terms.
Related Government Programs
- Surgical and Medical Instrument Manufacturing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Supply chain vulnerability
- Quality assurance of medical devices
- Potential for price fluctuations in future procurements
- Concentration of award to a single vendor
Tags
surgical-and-medical-instrument-manufact, department-of-defense, ga, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $31.1 million to HTL STREFA INC. SAFETY SYRINGES AND NEEDLES TO SUPPORT COVID-19 RESPONSE.
Who is the contractor on this award?
The obligated recipient is HTL STREFA INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $31.1 million.
What is the period of performance?
Start: 2020-08-03. End: 2021-12-31.
What was the unit price for the safety syringes and needles, and how does it compare to market rates during the pandemic?
The provided data does not include the specific unit price for the safety syringes and needles, making a direct comparison to market rates impossible. However, given the $31M award value and 16 contract actions, the average value per action is approximately $1.9M. Understanding the quantity per order and unit cost would be crucial for a thorough price assessment.
What were the primary risks associated with this procurement, and how were they mitigated?
Key risks likely included supply chain disruptions, quality control of medical devices, and ensuring sufficient quantities to meet demand. Mitigation strategies would typically involve stringent vendor vetting, quality assurance protocols, and potentially diversifying suppliers if feasible, though this award appears concentrated.
How effective was this procurement in supporting the COVID-19 response efforts?
The effectiveness hinges on the timely delivery and quality of the safety syringes and needles provided. Assuming the contract was fulfilled as intended, this procurement was likely effective in ensuring healthcare professionals had access to essential equipment, thereby supporting frontline response efforts and patient safety.
Industry Classification
NAICS: Manufacturing › Medical Equipment and Supplies Manufacturing › Surgical and Medical Instrument Manufacturing
Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W911SR20R0003
Offers Received: 16
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3005 CHASTAIN MEADOWS PKWY STE 300, MARIETTA, GA, 30066
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $31,097,313
Exercised Options: $31,097,313
Current Obligation: $31,097,313
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2020-08-03
Current End Date: 2021-12-31
Potential End Date: 2021-12-31 00:00:00
Last Modified: 2023-01-13
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