VA Awards $340K for Irradiation Apparatus to GE Healthcare, Despite Full and Open Competition

Contract Overview

Contract Amount: $340,625 ($340.6K)

Contractor: GE Precision Healthcare LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-09-25

End Date: 2027-09-30

Contract Duration: 735 days

Daily Burn Rate: $463/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MODALITY: WORKSTATION STATION: VAMC SAN ANTONIO, TX PURCHASE ORDER: 36A79725N0452, 671B50034 REQUIREMENT: ADMINISTRATIVE CORRECTIONS

Place of Performance

Location: WAUKESHA, WAUKESHA County, WISCONSIN, 53188

State: Wisconsin Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $340,624.8 to GE PRECISION HEALTHCARE LLC for work described as: MODALITY: WORKSTATION STATION: VAMC SAN ANTONIO, TX PURCHASE ORDER: 36A79725N0452, 671B50034 REQUIREMENT: ADMINISTRATIVE CORRECTIONS Key points: 1. The Department of Veterans Affairs (VA) awarded a $340,624 contract for an irradiation apparatus. 2. GE Precision Healthcare LLC is the sole awardee, despite the contract being listed as full and open competition. 3. The purchase order is for administrative corrections at VAMC San Antonio, TX. 4. The contract duration is 735 days, ending September 30, 2027. 5. The spending category is Irradiation Apparatus Manufacturing.

Value Assessment

Rating: fair

The contract value of $340,624.80 for an irradiation apparatus appears within a reasonable range for specialized medical equipment. However, without specific details on the apparatus's capabilities and features, a precise benchmark is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, yet only one vendor, GE Precision Healthcare LLC, received the award. This suggests either a lack of other responsive bidders or potential issues with the solicitation process that may have limited effective price discovery.

Taxpayer Impact: Taxpayers may not be receiving the best value if competition was not fully realized, potentially leading to higher costs than a more robustly contested procurement.

Public Impact

Veterans in San Antonio may benefit from updated or improved medical equipment, enhancing diagnostic or treatment capabilities. The use of taxpayer funds for specialized medical equipment highlights the government's commitment to healthcare infrastructure. The discrepancy between 'full and open competition' and a single awardee warrants scrutiny to ensure fair market practices.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential lack of robust competition despite 'full and open' designation
Unclear if best value was achieved due to limited vendor participation

Positive Signals

Procurement supports critical healthcare infrastructure for veterans
Contract awarded to a known entity in the healthcare sector

Sector Analysis

The healthcare sector, particularly within government agencies like the VA, frequently procures specialized medical equipment. Spending benchmarks for irradiation apparatus can vary widely based on technology, manufacturer, and specific application, making direct comparisons challenging without detailed specifications.

Small Business Impact

There is no indication that small businesses were involved in this specific procurement, either as prime contractors or subcontractors. The award went to a large corporation, GE Precision Healthcare LLC.

Oversight & Accountability

The VA is responsible for overseeing this contract. The 'administrative corrections' note on the purchase order could indicate a need for closer review of the procurement process to ensure accuracy and compliance, especially regarding the competition aspect.

Related Government Programs

Irradiation Apparatus Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for limited competition despite 'full and open' status
Lack of detailed justification for sole awardee under open competition
Need for clarification on the 'administrative corrections' purpose
Absence of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $340,624.8 to GE PRECISION HEALTHCARE LLC. MODALITY: WORKSTATION STATION: VAMC SAN ANTONIO, TX PURCHASE ORDER: 36A79725N0452, 671B50034 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 $340,624.8.

What is the period of performance?

Start: 2025-09-25. End: 2027-09-30.

Was the 'full and open competition' designation accurate, or did factors limit actual market participation?

The data indicates the contract was awarded under 'full and open competition,' yet only GE Precision Healthcare LLC received the award. This raises questions about whether the solicitation effectively reached all potential bidders or if other factors, such as highly specific technical requirements or market concentration, limited the number of responsive offers. Further investigation into the solicitation and award process is needed to confirm if true competition was achieved and if taxpayers received the best possible value.

What is the specific function and necessity of this irradiation apparatus for VAMC San Antonio?

The data states the requirement is for 'administrative corrections' related to an irradiation apparatus at VAMC San Antonio. While the exact medical function isn't detailed, irradiation apparatus are typically used in medical imaging, sterilization, or cancer treatment. Understanding the specific application is crucial to assessing the necessity and value of this $340,624.80 expenditure for veteran care.

How does the pricing of this contract compare to similar irradiation apparatus procurements by other federal agencies or healthcare providers?

Benchmarking the price of this irradiation apparatus is difficult without knowing the specific model, capabilities, and included services. However, $340,624.80 for a single unit suggests a significant investment. A thorough review would involve comparing this cost against publicly available data for similar equipment from GE Precision Healthcare or other manufacturers, considering factors like warranty, installation, and training.

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

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: $340,625

Exercised Options: $340,625

Current Obligation: $340,625

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