VA's November 2025 Medical-Surgical Prime Vendor Spending Reached $70.8 Million with Medline Industries

Contract Overview

Contract Amount: $70,773,471 ($70.8M)

Contractor: Medline Industries, LP

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-11-01

End Date: 2025-11-30

Contract Duration: 29 days

Daily Burn Rate: $2.4M/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: EXPRESS REPORT: MEDICAL SURGICAL PRIME VENDOR EXPENDITURES FOR THE MONTH OF NOVEMBER 2025

Place of Performance

Location: NORTHFIELD, COOK County, ILLINOIS, 60093

State: Illinois Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $70.8 million to MEDLINE INDUSTRIES, LP for work described as: EXPRESS REPORT: MEDICAL SURGICAL PRIME VENDOR EXPENDITURES FOR THE MONTH OF NOVEMBER 2025 Key points: 1. Spending for November 2025 totaled $70.8 million, representing a significant monthly expenditure. 2. Medline Industries, LP is the sole vendor under this contract. 3. The contract is managed by the Department of Veterans Affairs, indicating a focus on healthcare procurement. 4. The category is Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers.

Value Assessment

Rating: good

The monthly expenditure of $70.8 million is substantial. Benchmarking against similar prime vendor contracts for medical supplies would be necessary to fully assess pricing effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The VA's ability to secure competitive pricing through this contract directly impacts taxpayer funds allocated to veteran healthcare.

Public Impact

Veterans receive essential medical supplies and equipment through this contract. The contract ensures a steady supply chain for critical healthcare items. Efficient procurement of medical supplies supports the operational readiness of VA healthcare facilities.

Waste & Efficiency Indicators

Waste Risk Score: 71 / 10

Warning Flags

Lack of specific unit cost data makes detailed price analysis difficult.
Reliance on a single vendor (Medline Industries) for this large expenditure warrants ongoing monitoring.

Positive Signals

Awarded under full and open competition.
Contract ensures availability of critical medical supplies for veterans.

Sector Analysis

The Department of Veterans Affairs operates within the healthcare sector, a critical area for government spending. This contract falls under the Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers category, which is a significant segment of healthcare procurement.

Small Business Impact

The provided data does not indicate specific participation or subcontracting by small businesses under this contract. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Regular performance reviews and audits are crucial to ensure compliance and value for taxpayer money.

Related Government Programs

Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

High monthly expenditure requires close monitoring.
Sole vendor reliance could pose supply chain risks.
Need for detailed unit cost data for robust price analysis.
Potential for price creep over contract duration.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $70.8 million to MEDLINE INDUSTRIES, LP. EXPRESS REPORT: MEDICAL SURGICAL PRIME VENDOR EXPENDITURES FOR THE MONTH OF NOVEMBER 2025

Who is the contractor on this award?

The obligated recipient is MEDLINE INDUSTRIES, LP.

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 $70.8 million.

What is the period of performance?

Start: 2025-11-01. End: 2025-11-30.

What is the average monthly spending for this prime vendor contract over its lifecycle?

To determine the average monthly spending, we would need historical data beyond November 2025. Analyzing spending trends over the contract's duration, including initial award amounts and subsequent modifications, would provide a more comprehensive understanding of the overall value and cost-effectiveness.

Are there any identified risks associated with Medline Industries' performance or pricing under this contract?

While the contract was awarded competitively, the reliance on a single vendor for such a large volume of medical supplies presents a potential risk. Monitoring performance metrics, delivery timeliness, and price fluctuations against market benchmarks is essential to mitigate risks related to vendor dependency and cost escalation.

How does the November 2025 spending compare to previous months and projected budgets for medical-surgical supplies?

A direct comparison of November 2025 spending ($70.8 million) to previous months and budget projections is not possible with the provided data alone. Such an analysis would require access to historical expenditure reports and the VA's allocated budget for this specific contract or category.

Industry Classification

NAICS: Wholesale Trade › Professional and Commercial Equipment and Supplies Merchant Wholesalers › Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers

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: 36C10X23R0007

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3 LAKES DR, NORTHFIELD, IL, 60093

Business Categories: Category Business, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $70,773,471

Exercised Options: $70,773,471

Current Obligation: $70,773,471

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10X23D0032

IDV Type: IDC

Timeline