VA awards $3.56M for Irradiation Apparatus to Siemens Medical Solutions, ensuring critical equipment availability

Contract Overview

Contract Amount: $3,559,118 ($3.6M)

Contractor: Siemens Medical Solutions USA, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-01-30

End Date: 2026-09-30

Contract Duration: 243 days

Daily Burn Rate: $14.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: XR CT 508B5008 TKY 508B52001 ATLANTA VAMC

Place of Performance

Location: MALVERN, CHESTER County, PENNSYLVANIA, 19355

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3.6 million to SIEMENS MEDICAL SOLUTIONS USA, INC. for work described as: XR CT 508B5008 TKY 508B52001 ATLANTA VAMC Key points: 1. Siemens Medical Solutions is a key player in medical imaging and equipment. 2. The contract value is substantial for specialized medical equipment. 3. Potential risks include reliance on a single supplier for critical components. 4. The healthcare sector relies heavily on such advanced medical devices.

Value Assessment

Rating: good

The price of $3.56 million for an irradiation apparatus appears reasonable given the specialized nature of the equipment and the supplier's market position. Benchmarking against similar, high-end medical imaging systems suggests this is within an expected range.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process likely contributed to achieving a fair market price for the irradiation apparatus.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that aims to secure the best value for essential medical equipment for veterans.

Public Impact

Ensures continued access to advanced medical technology for veterans. Supports the operational capabilities of the Atlanta VAMC. Contributes to the broader healthcare infrastructure for veteran care.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for sole-source reliance in future maintenance or upgrades.
Long-term availability of specialized parts and service.

Positive Signals

Awarded through full and open competition.
Secures critical medical equipment for a VA facility.

Sector Analysis

This contract falls within the medical equipment manufacturing sector, specifically for irradiation apparatus used in diagnostic imaging or treatment. Spending in this area is crucial for maintaining high standards of care in healthcare facilities.

Small Business Impact

The data does not indicate any specific involvement or benefit to small businesses in this particular contract award. Further analysis would be needed to determine if subcontracting opportunities exist.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard procurement regulations and oversight mechanisms should ensure proper execution and accountability.

Related Government Programs

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

Risk Flags

Reliance on a specific manufacturer for critical medical technology.
Potential for increased costs if future maintenance is not competitive.
Need for ongoing monitoring of technological advancements in the field.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $3.6 million to SIEMENS MEDICAL SOLUTIONS USA, INC.. XR CT 508B5008 TKY 508B52001 ATLANTA VAMC

Who is the contractor on this award?

The obligated recipient is SIEMENS MEDICAL SOLUTIONS USA, 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 $3.6 million.

What is the period of performance?

Start: 2026-01-30. End: 2026-09-30.

What is the expected lifespan and maintenance cost of this irradiation apparatus?

The expected lifespan and associated maintenance costs for this specific irradiation apparatus are not detailed in the provided data. A thorough lifecycle cost analysis would be beneficial to understand the total cost of ownership beyond the initial purchase price, including service contracts, potential repairs, and upgrades over the equipment's operational period.

How does the performance of this Siemens apparatus compare to competing models?

The provided data does not include comparative performance metrics against competing irradiation apparatus models. A comprehensive assessment would require evaluating technical specifications, clinical outcomes, user feedback, and reliability data from other manufacturers to determine if this Siemens model offers superior or comparable performance for its intended use.

Are there plans for future procurements of similar equipment, and will competition be maintained?

Future procurement plans for similar equipment are not specified. While this award was under full and open competition, it is essential for the VA to plan future acquisitions strategically to ensure continued competitive opportunities and avoid potential sole-source situations for essential medical technology.

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: 36A79725Q0005

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Altair Engineering Inc.

Address: 40 LIBERTY BLVD, MALVERN, PA, 19355

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $3,559,118

Exercised Options: $3,559,118

Current Obligation: $3,559,118

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: SPE2D117D0023

IDV Type: IDC

Timeline