VA's $248K XR MRI Upgrade at Topeka VAMC: Administrative Corrections for Irradiation Apparatus Manufacturing

Contract Overview

Contract Amount: $248,305 ($248.3K)

Contractor: GE Precision Healthcare LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-07-21

End Date: 2027-09-30

Contract Duration: 801 days

Daily Burn Rate: $310/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MODALITY: XR MRI UPGRADE STATION: VAMC TOPEKA, KS PURCHASE ORDER: 36A79725N0323, 589B52002 REQUIREMENT: ADMINISTRATIVE CORRECTIONS

Place of Performance

Location: WAUKESHA, WAUKESHA County, WISCONSIN, 53188

State: Wisconsin Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $248,305 to GE PRECISION HEALTHCARE LLC for work described as: MODALITY: XR MRI UPGRADE STATION: VAMC TOPEKA, KS PURCHASE ORDER: 36A79725N0323, 589B52002 REQUIREMENT: ADMINISTRATIVE CORRECTIONS Key points: 1. The contract value of $248,305 appears reasonable for specialized medical equipment upgrades. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract is a delivery order under an existing contract, indicating potential for streamlined procurement. 4. The duration of 801 days (approx. 2.2 years) aligns with typical medical equipment installation and integration timelines. 5. The North American Industry Classification System (NAICS) code 334517 points to a specific manufacturing sector. 6. The contract's purpose is administrative corrections, which may imply a need for precise documentation and compliance.

Value Assessment

Rating: good

The contract value of $248,305 for an XR MRI upgrade station at the VAMC Topeka is within a reasonable range for specialized medical equipment. Benchmarking against similar upgrades for MRI systems, which can range from tens of thousands to several hundred thousand dollars depending on the scope and technology, suggests this is a fair price. The firm-fixed-price structure further supports value for money by shifting risk to the contractor.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The specific number of bidders is not provided, but the use of full and open competition generally fosters a competitive environment, which is beneficial for price discovery and ensuring the government receives competitive pricing.

Taxpayer Impact: Taxpayers benefit from full and open competition as it typically leads to lower prices and a wider selection of qualified vendors, maximizing the use of public funds.

Public Impact

Veterans receiving care at the VAMC Topeka will benefit from an upgraded XR MRI system, potentially leading to improved diagnostic accuracy and patient outcomes. The upgrade supports the Department of Veterans Affairs' mission to provide comprehensive healthcare services to its beneficiaries. The contract's focus on administrative corrections ensures accurate record-keeping and compliance for critical medical equipment. The successful implementation of this upgrade contributes to the modernization of medical infrastructure within the VA system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the 'administrative corrections' could obscure the true scope and necessity of the upgrade.
The duration of the contract (801 days) might indicate potential for delays or complexities in the upgrade process.

Positive Signals

The use of full and open competition suggests a robust procurement process.
The firm-fixed-price contract type provides cost certainty for the government.
The upgrade of critical medical imaging equipment directly benefits veteran healthcare.

Sector Analysis

The contract falls within the medical equipment manufacturing and services sector, specifically related to diagnostic imaging. The market for MRI upgrades is driven by technological advancements and the need for healthcare facilities to maintain state-of-the-art equipment. Spending in this area is significant across federal agencies, particularly the VA, which invests heavily in medical infrastructure to serve its veteran population. Comparable spending benchmarks would typically involve analyzing procurements for similar MRI system upgrades or new installations.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this contract. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this particular award. The primary focus appears to be on securing the necessary equipment upgrade through the most competitive means available.

Oversight & Accountability

The Department of Veterans Affairs, as the contracting agency, is responsible for oversight of this contract. The firm-fixed-price nature of the award provides a degree of accountability for the contractor to deliver the specified upgrade within the agreed-upon terms. Transparency is facilitated through contract databases, and any significant issues would likely fall under the purview of the VA's Office of Inspector General.

Related Government Programs

VA Medical Equipment Procurement
Diagnostic Imaging Systems
Capital Equipment Upgrades
Healthcare Technology Modernization

Risk Flags

Potential for scope creep if 'administrative corrections' are not clearly defined.
Reliance on a single vendor (GE Precision Healthcare LLC) for this specific upgrade, though competition was used for the initial contract.
Contract duration of 801 days may indicate potential for schedule slippage.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $248,305 to GE PRECISION HEALTHCARE LLC. MODALITY: XR MRI UPGRADE STATION: VAMC TOPEKA, KS PURCHASE ORDER: 36A79725N0323, 589B52002 REQUIREMENT: ADMINISTRATIVE CORRECTIONS

Who is the contractor on this award?

The obligated recipient is GE PRECISION HEALTHCARE LLC.

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 $248,305.

What is the period of performance?

Start: 2025-07-21. End: 2027-09-30.

What specific "administrative corrections" are being made to the XR MRI upgrade station, and what is the justification for these corrections?

The provided data indicates the requirement is for 'ADMINISTRATIVE CORRECTIONS'. Without further details, it is difficult to ascertain the exact nature of these corrections. They could range from software updates, calibration adjustments, documentation updates, or rectifications of previous errors in ordering or configuration. The justification would likely stem from ensuring the equipment meets operational standards, regulatory compliance, or accurate inventory and asset management within the VAMC Topeka. Further inquiry with the contracting officer or relevant VAMC technical staff would be necessary to obtain specific details and the underlying rationale for these administrative corrections.

How does the $248,305 contract value compare to typical costs for XR MRI upgrade stations in similar federal healthcare facilities?

The contract value of $248,305 for an XR MRI upgrade station is within a reasonable range for specialized medical equipment. Benchmarking against similar procurements for MRI system upgrades or components in federal healthcare facilities, particularly within the Department of Veterans Affairs, suggests this figure is competitive. Costs for such upgrades can vary significantly based on the specific technology (e.g., software enhancements, hardware replacements, detector upgrades), the scope of work, and the vendor. Given that this is a delivery order under an existing contract and awarded through full and open competition, the price is likely reflective of market conditions and competitive bidding. Without specific details on the exact nature of the 'XR MRI upgrade,' a precise comparison is challenging, but the amount does not immediately appear excessive for this type of medical equipment enhancement.

What is the track record of GE Precision Healthcare LLC in fulfilling similar medical equipment upgrade contracts for the Department of Veterans Affairs or other federal agencies?

GE Precision Healthcare LLC is a known entity in the medical technology sector. To assess their track record for this specific contract, a review of their past performance with the Department of Veterans Affairs (VA) and other federal agencies would be necessary. This would involve examining previous contracts for similar medical equipment, such as MRI systems or related diagnostic imaging technology, to evaluate on-time delivery, adherence to specifications, and overall customer satisfaction. Data on past performance, including any awards or penalties, would provide insight into their reliability and capability to execute this $248,305 XR MRI upgrade. A comprehensive analysis would require access to federal procurement databases and performance evaluation reports.

What are the potential risks associated with a contract focused on 'administrative corrections' for medical equipment, and how are these mitigated?

Contracts focused on 'administrative corrections' for medical equipment, such as this XR MRI upgrade, carry potential risks including scope creep if the corrections evolve into more substantial modifications, delays if the underlying issues are more complex than initially assessed, and potential for disputes over the definition of 'administrative.' Mitigation strategies typically involve clearly defining the scope of work in the contract, establishing precise deliverables, and implementing robust change management processes. The VA would likely ensure that the contractor provides detailed documentation of the corrections made and their impact. Regular progress reviews and clear communication channels between the VA and GE Precision Healthcare LLC are crucial for managing expectations and addressing any emerging issues promptly to ensure the upgrade meets its intended purpose without unforeseen complications.

How does the $248,305 expenditure for this XR MRI upgrade fit into the broader historical spending patterns of the VA for diagnostic imaging equipment?

The expenditure of $248,305 for this XR MRI upgrade station at VAMC Topeka represents a specific investment within the VA's broader budget for diagnostic imaging equipment. The VA consistently allocates significant funds towards maintaining and upgrading its medical technology infrastructure to serve the veteran population. Historical spending patterns reveal a continuous need for advanced imaging capabilities, including MRI systems, due to their critical role in diagnosis and treatment planning. This particular contract, being a delivery order under an existing agreement and awarded via full and open competition, suggests a targeted procurement rather than a large-scale new system acquisition. To contextualize this amount, one would compare it to the VA's annual capital equipment budgets, specific MRI procurement cycles, and the average cost of similar upgrade projects across its network of facilities over the past several fiscal years.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Irradiation Apparatus Manufacturing

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: SPE2D1-15-R-0001

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: MIM Software Inc.

Address: 3000 NORTH GRANDVIEW BOULEVARD, WAUKESHA, WI, 53188

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $248,305

Exercised Options: $248,305

Current Obligation: $248,305

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA797H17D0024

IDV Type: IDC

Timeline