VA awards $249M task order to Loyal Source Government Services for physician services in FY24

Contract Overview

Contract Amount: $249,056,607 ($249.1M)

Contractor: Loyal Source Government Services LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-10-01

End Date: 2024-09-30

Contract Duration: 365 days

Daily Burn Rate: $682.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: FY24 FUNDING TASK ORDER

Place of Performance

Location: LA CROSSE, LA CROSSE County, WISCONSIN, 54601

State: Wisconsin Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $249.1 million to LOYAL SOURCE GOVERNMENT SERVICES LLC for work described as: FY24 FUNDING TASK ORDER Key points: 1. Significant contract value of $249M for physician services. 2. Loyal Source Government Services is the sole awardee. 3. Contract falls under the Offices of Physicians category. 4. This is a delivery order under an existing contract.

Value Assessment

Rating: good

The contract value of $249M is substantial for physician services. Benchmarking against similar contracts for physician staffing would be necessary to fully assess value, but the firm-fixed-price structure suggests clear cost expectations.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method is generally expected to yield fair market prices.

Taxpayer Impact: Taxpayer funds are being used for essential healthcare services, with competition aiming for cost-effectiveness.

Public Impact

Ensures continued access to physician services for veterans. Supports healthcare delivery within the Department of Veterans Affairs. Impacts the medical services sector by awarding a large contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price creep if not managed closely.
Reliance on a single vendor for a critical service.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract type provides cost certainty.

Sector Analysis

This contract falls within the Healthcare sector, specifically for physician services. Spending benchmarks for physician staffing contracts can vary widely based on location, specialty, and duration.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). Therefore, small businesses were likely not the primary focus of this specific award, though they may participate as subcontractors.

Oversight & Accountability

The award is a delivery order under an existing contract, suggesting prior oversight. Continued monitoring of performance and adherence to contract terms by the VA is crucial for accountability.

Related Government Programs

Offices of Physicians (except Mental Health Specialists)
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for vendor lock-in if not managed.
Need for robust performance monitoring.
Risk of scope creep if not clearly defined.
Dependence on a single awardee for critical services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $249.1 million to LOYAL SOURCE GOVERNMENT SERVICES LLC. FY24 FUNDING TASK ORDER

Who is the contractor on this award?

The obligated recipient is LOYAL SOURCE GOVERNMENT SERVICES 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 $249.1 million.

What is the period of performance?

Start: 2023-10-01. End: 2024-09-30.

What is the specific scope of physician services covered by this task order?

The task order is for physician services under NAICS code 621111 (Offices of Physicians). While the specific specialties or services are not detailed in the provided data, it generally covers medical practitioners providing direct patient care. Further details would be found in the task order's statement of work.

How does the awarded price compare to market rates for similar physician services?

Without specific details on the physician specialties, locations, and hours required, a direct comparison to market rates is challenging. However, the 'full and open competition' award method suggests the VA aimed to secure competitive pricing. A detailed cost analysis against industry benchmarks would be needed for a definitive assessment.

What mechanisms are in place to ensure the quality of physician services provided under this contract?

Quality assurance is typically managed through the contract's performance work statement and the government's quality assurance surveillance plan. The VA would likely monitor key performance indicators related to patient care, physician qualifications, and adherence to medical standards.

Industry Classification

NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians (except Mental Health Specialists)

Product/Service Code: MEDICAL SERVICES › NURSING, NURSING HOME, EVAL/SCREEN

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

Address: 12612 CHALLENGER PKWY STE 365, ORLANDO, FL, 32826

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $249,056,607

Exercised Options: $249,056,607

Current Obligation: $249,056,607

Actual Outlays: $224,735,909

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10X22D0011

IDV Type: IDC

Timeline