VA Awards $2.5M Special Needs Transport Contract to Alternative Transportation Systems, LLC

Contract Overview

Contract Amount: $2,480,000 ($2.5M)

Contractor: Alternative Transportation Systems, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-07-01

End Date: 2026-06-30

Contract Duration: 364 days

Daily Burn Rate: $6.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BEDFORD & BOSTON SPECIAL MODE TRANSPORT OY4 EXERCISE

Place of Performance

Location: BEDFORD, MIDDLESEX County, MASSACHUSETTS, 01730

State: Massachusetts Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.5 million to ALTERNATIVE TRANSPORTATION SYSTEMS, LLC for work described as: BEDFORD & BOSTON SPECIAL MODE TRANSPORT OY4 EXERCISE Key points: 1. Contract awarded for special needs transportation services. 2. Alternative Transportation Systems, LLC secured the contract. 3. The contract value is approximately $2.5 million. 4. Service period runs from July 1, 2025, to June 30, 2026. 5. The procurement method was full and open competition after exclusion of sources.

Value Assessment

Rating: good

The contract value of $2.5 million for a 364-day period appears reasonable for specialized transportation services. Benchmarking against similar contracts for medical or special needs transport would provide a more precise assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition after exclusion of sources, indicating a competitive process was intended. This method generally promotes price discovery and fair market value.

Taxpayer Impact: Taxpayer funds are being used for essential transportation services, with the competitive award aiming to ensure efficient use of resources.

Public Impact

Ensures access to essential services for veterans with special needs. Supports the Department of Veterans Affairs' mission to care for veterans. Provides employment opportunities within the transportation sector. Enhances the quality of life for beneficiaries requiring specialized transport.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for increased costs if demand exceeds projections.
Reliance on a single vendor for critical services.

Positive Signals

Competitive award process.
Clear service period and defined scope.
Firm fixed price contract type.

Sector Analysis

This contract falls within the professional services sector, specifically focusing on transportation and logistics for government agencies. Spending in this area is often driven by specific program needs and beneficiary populations.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this award. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract to ensure service delivery meets the required standards and that funds are used appropriately.

Related Government Programs

Special Needs Transportation
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for service disruptions if vendor faces operational issues.
Contract duration is relatively short (one year), requiring potential re-competition soon.
Dependence on a single awardee for critical veteran transportation needs.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.5 million to ALTERNATIVE TRANSPORTATION SYSTEMS, LLC. BEDFORD & BOSTON SPECIAL MODE TRANSPORT OY4 EXERCISE

Who is the contractor on this award?

The obligated recipient is ALTERNATIVE TRANSPORTATION SYSTEMS, 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 $2.5 million.

What is the period of performance?

Start: 2025-07-01. End: 2026-06-30.

What specific criteria were used to exclude other sources during the 'full and open competition after exclusion of sources' process?

The exclusion of sources typically occurs when specific capabilities, geographic coverage, or unique requirements necessitate a particular vendor, even within a nominally open competition. The VA would have documented justification for excluding other potential bidders, possibly related to specialized vehicles, trained personnel, or established service routes critical for veteran care.

How does the per-unit cost of this special needs transportation compare to industry benchmarks for similar services?

Without specific per-unit cost data (e.g., cost per mile, cost per trip), a direct comparison is difficult. However, the total contract value of $2.5 million for 364 days suggests a significant operational scale. A detailed cost analysis would be required to benchmark against industry standards for specialized medical or accessibility transportation.

What are the key performance indicators (KPIs) for this contract, and how will their achievement be measured to ensure effectiveness?

Key performance indicators likely include on-time performance, vehicle availability, safety incident rates, and patient/veteran satisfaction. The VA contracting officer and technical representatives will monitor these KPIs through regular reporting, site visits, and feedback mechanisms to ensure the contractor meets service level agreements and provides effective transportation.

Industry Classification

NAICS: Transportation and Warehousing › Other Transit and Ground Passenger Transportation › Special Needs Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9 DUDLEY CT, ARLINGTON, MA, 02476

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,480,000

Exercised Options: $2,480,000

Current Obligation: $2,480,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24121D0022

IDV Type: IDC

Timeline