VA awards $151,873 for XR equipment consolidation at Walla Walla VAMC, with delivery expected by July 2026

Contract Overview

Contract Amount: $151,874 ($151.9K)

Contractor: GE Precision Healthcare LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-04-09

End Date: 2026-07-09

Contract Duration: 456 days

Daily Burn Rate: $333/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT

Sector: Healthcare

Official Description: MODALITY: XR US PURCHASE ORDER:687B53001 STATION: VAMC WALLA WALLA WA REQUIREMENT: SEP FY25 EQ CONSOLIDATION

Place of Performance

Location: WAUKESHA, WAUKESHA County, WISCONSIN, 53188

State: Wisconsin Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $151,873.6 to GE PRECISION HEALTHCARE LLC for work described as: MODALITY: XR US PURCHASE ORDER:687B53001 STATION: VAMC WALLA WALLA WA REQUIREMENT: SEP FY25 EQ CONSOLIDATION Key points: 1. The contract value appears reasonable for specialized medical equipment, but a detailed benchmark against similar procurements is needed. 2. Full and open competition was utilized, suggesting a potentially competitive pricing environment. 3. The fixed-price with economic price adjustment structure introduces some risk of cost escalation. 4. This procurement supports the VA's ongoing efforts to modernize medical technology and consolidate essential equipment. 5. The contract falls within the 'Irradiation Apparatus Manufacturing' NAICS code, indicating a specific niche within the healthcare sector.

Value Assessment

Rating: fair

The contract value of $151,873 for XR equipment is difficult to assess without specific equipment details and market benchmarks. Comparing this to similar VA or other federal agency procurements for comparable XR systems would provide better insight into value for money. The fixed-price with economic price adjustment (EPA) clause introduces a degree of uncertainty regarding the final cost, as it allows for adjustments based on economic factors. While EPA is common for long-lead items, it warrants careful monitoring.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. This method generally promotes a competitive environment, which can lead to better pricing and quality. The solicitation details, including the number of bidders (5), suggest a moderate level of interest. A higher number of bidders typically correlates with stronger price discovery and potentially lower costs for the government.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it maximizes the potential for competitive pricing and ensures the government receives offers from a wide range of qualified vendors, leading to better value.

Public Impact

Veterans receiving care at the VAMC Walla Walla WA will benefit from updated and consolidated XR equipment. The services delivered include the provision and likely installation of specialized medical imaging apparatus. The geographic impact is localized to the Walla Walla, Washington area, serving the veteran population there. This contract supports jobs within the medical equipment manufacturing and healthcare technology sectors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Risk of cost escalation due to the Economic Price Adjustment (EPA) clause.
Potential for vendor lock-in if specialized maintenance or consumables are required post-delivery.
Dependence on a single vendor (GE Precision Healthcare LLC) for this specific equipment, even if competed.

Positive Signals

Procurement through full and open competition maximizes potential for competitive pricing.
The contract is for essential medical equipment, directly supporting patient care.
Delivery Order (DO) indicates it's part of a larger Indefinite Delivery/Indefinite Quantity (IDIQ) contract, potentially offering streamlined future acquisitions.

Sector Analysis

The procurement of Irradiation Apparatus falls under the broader healthcare technology and medical device manufacturing sector. This sector is characterized by high innovation, significant R&D investment, and stringent regulatory requirements. The market size for medical imaging equipment, including XR systems, is substantial globally and within the US. This contract represents a specific instance of federal spending within this sector, supporting the VA's mission to provide advanced healthcare services to veterans.

Small Business Impact

The data indicates this contract was awarded under full and open competition and does not specify any small business set-aside. Therefore, there is no direct indication of small business participation through a set-aside. However, the prime contractor, GE Precision Healthcare LLC, may engage small businesses as subcontractors, though this information is not provided in the data. The impact on the small business ecosystem would depend on subcontracting opportunities, if any.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs (VA) contracting officers and program managers. The VA has an Office of Inspector General (OIG) responsible for auditing and investigating waste, fraud, and abuse within VA programs and contracts. Transparency is facilitated through contract databases like SAM.gov, where basic award information is publicly available. Accountability measures are typically embedded in the contract terms and conditions, including performance standards and payment schedules.

Related Government Programs

VA Medical Equipment Procurement
XR and Imaging Technology Contracts
Federal Healthcare IT Spending
Department of Veterans Affairs Capital Investments

Risk Flags

Potential for cost overruns due to EPA clause.
Lack of specific equipment details for precise value assessment.
Limited insight into small business subcontracting opportunities.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $151,873.6 to GE PRECISION HEALTHCARE LLC. MODALITY: XR US PURCHASE ORDER:687B53001 STATION: VAMC WALLA WALLA WA REQUIREMENT: SEP FY25 EQ CONSOLIDATION

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 $151,873.6.

What is the period of performance?

Start: 2025-04-09. End: 2026-07-09.

What specific type of XR equipment is being procured, and what are its intended clinical applications at VAMC Walla Walla?

The provided data identifies the NAICS code as 'Irradiation Apparatus Manufacturing' and the modality as 'XR'. However, it does not specify the exact type of XR equipment (e.g., X-ray, CT scanner, fluoroscopy system) or its precise clinical applications. XR typically refers to 'X-ray', which encompasses a broad range of diagnostic imaging technologies. The intended applications would likely be for diagnostic imaging of various body parts to aid in the diagnosis and monitoring of medical conditions among veterans served by the VAMC Walla Walla. Further details would be available in the contract's Statement of Work (SOW).

How does the awarded price of $151,873 compare to similar XR equipment procurements by the VA or other federal agencies?

Benchmarking the $151,873 award requires comparing it to procurements of identical or highly similar XR equipment. Without specific model numbers or detailed specifications, a direct comparison is challenging. However, based on general market knowledge, this amount could represent a single unit of advanced diagnostic imaging equipment or a package of related components. A comprehensive value analysis would involve searching federal procurement databases (like FPDS or SAM.gov) for contracts with similar NAICS codes, PSC codes (if available), and descriptions within the last 1-3 years to identify average pricing trends and identify potential outliers.

What are the key risks associated with the 'Fixed Price with Economic Price Adjustment' (FP-EPA) contract type for this procurement?

The primary risk of an FP-EPA contract is potential cost escalation for the government. While the base price is fixed, the EPA clause allows the contractor to adjust the price based on specified economic factors, such as inflation in labor, materials, or transportation costs. For specialized equipment like XR systems, which may involve long lead times for manufacturing and delivery, these economic fluctuations can become significant. The government's risk is mitigated by carefully defining the economic indices and adjustment formulas within the contract to ensure fairness and prevent excessive price increases. Monitoring these adjustments closely is crucial.

What is the track record of GE Precision Healthcare LLC in delivering similar medical equipment to federal agencies, particularly the VA?

GE Precision Healthcare LLC is a known entity in the medical equipment market. Assessing their track record would involve reviewing their past performance on federal contracts, specifically those involving XR or similar imaging apparatus. This includes examining contract completion timeliness, adherence to quality standards, and any history of disputes or performance issues. Data from contract performance reports (if available) and past performance evaluations on federal procurement platforms would provide insights into their reliability and capability in fulfilling government requirements.

What is the expected impact of this equipment consolidation on the operational efficiency and patient care at VAMC Walla Walla?

Consolidating XR equipment is generally intended to improve operational efficiency and potentially enhance patient care. By replacing older or disparate systems with newer, potentially integrated technology, the VAMC can streamline workflows, reduce maintenance complexities, and possibly improve image quality and diagnostic capabilities. This consolidation could lead to faster patient throughput, reduced downtime, and better utilization of technical staff. For patients, it may mean quicker diagnoses and less invasive procedures, contributing to a better overall healthcare experience.

How does this $151,873 expenditure fit into the broader context of VA spending on medical equipment and technology modernization?

This $151,873 award represents a specific investment within the VA's larger budget allocated for medical equipment and technology modernization. The VA consistently invests billions annually in upgrading its facilities and medical technology to provide state-of-the-art care to veterans. This particular contract contributes to that overarching goal by ensuring a key piece of diagnostic imaging capability is current at the Walla Walla VAMC. It reflects the VA's ongoing commitment to leveraging technology to improve healthcare delivery across its network of facilities.

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: 36A79725Q0011

Offers Received: 5

Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)

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: $151,874

Exercised Options: $151,874

Current Obligation: $151,874

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