VA Awards $2.1M Interim Outpatient Clinic Contract to Valor Healthcare Inc. in Kingston, NY

Contract Overview

Contract Amount: $2,103,608 ($2.1M)

Contractor: Valor Healthcare Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2025-11-01

End Date: 2026-10-31

Contract Duration: 364 days

Daily Burn Rate: $5.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: BASE PERIOD OF INTERIM COMMUNITY BASED OUTPATIENT CLINIC CONTRACT AT KINGSTON, NY

Place of Performance

Location: KINGSTON, ULSTER County, NEW YORK, 12401

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.1 million to VALOR HEALTHCARE INC for work described as: BASE PERIOD OF INTERIM COMMUNITY BASED OUTPATIENT CLINIC CONTRACT AT KINGSTON, NY Key points: 1. Contract awarded to Valor Healthcare Inc. for an interim community-based outpatient clinic. 2. The contract value is $2,103,607.84 for a 364-day base period. 3. The award was made under a 'Not Available for Competition' justification. 4. The sector is primarily healthcare services, specifically outpatient care centers.

Value Assessment

Rating: fair

The contract value of $2.1M for a 364-day period suggests a moderate level of spending for an interim clinic. Without comparable contracts for similar services or locations, a precise pricing assessment is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited approach. This likely means the VA identified a specific need or vendor that precluded a broader solicitation, potentially impacting price discovery and competition.

Taxpayer Impact: Taxpayers are funding an interim solution, the cost-effectiveness of which is not fully established due to the lack of competition.

Public Impact

Veterans in Kingston, NY, will continue to receive outpatient care services. The interim nature of the contract suggests a potential for a more permanent or competitive solution in the future. The award highlights the VA's ongoing efforts to provide community-based healthcare access.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Interim nature of the contract

Positive Signals

Continued service for veterans
Specific location addressed

Sector Analysis

The healthcare sector, particularly outpatient care, is a significant area of federal spending. Benchmarks for similar outpatient clinic contracts can vary widely based on scope, location, and service intensity.

Small Business Impact

There is no indication in the provided data whether small businesses were involved in this contract, either as prime contractors or subcontractors.

Oversight & Accountability

The 'Not Available for Competition' justification warrants oversight to ensure it was appropriate and that the VA explored all viable competitive options. Accountability for the interim solution's effectiveness and cost is crucial.

Related Government Programs

All Other Outpatient Care Centers
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Limited competition
Lack of detailed justification for sole-source award
Potential for higher costs due to limited competition
Interim nature may not represent optimal long-term solution

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.1 million to VALOR HEALTHCARE INC. BASE PERIOD OF INTERIM COMMUNITY BASED OUTPATIENT CLINIC CONTRACT AT KINGSTON, NY

Who is the contractor on this award?

The obligated recipient is VALOR HEALTHCARE 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 $2.1 million.

What is the period of performance?

Start: 2025-11-01. End: 2026-10-31.

What is the justification for limiting competition on this interim contract, and what steps are being taken to ensure a competitive process for any subsequent permanent contract?

The justification for limiting competition is not detailed in the provided data. However, interim contracts are often used to ensure continuity of services while a more thorough procurement process is underway. The VA should have a clear plan and timeline for transitioning to a competitive solicitation for a permanent contract to ensure fair pricing and access to the best available services.

How does the per-unit cost or overall contract value compare to similar community-based outpatient clinics managed by the VA or other federal agencies?

Without specific benchmarks for comparable contracts, it is difficult to definitively assess the value. The $2.1M for a 364-day period for an interim clinic needs further analysis against similar service agreements. Factors like patient volume, range of services, and geographic cost of living in Kingston, NY, would influence this comparison.

What is the expected impact of this interim contract on the long-term effectiveness and efficiency of VA healthcare delivery in the Kingston region?

This interim contract is intended to maintain service continuity, thus having a positive immediate impact on veterans' access to care. Its long-term effectiveness hinges on how efficiently services are delivered and whether it bridges the gap to a more robust, potentially competitive, long-term solution that optimizes resource allocation and patient outcomes.

Industry Classification

NAICS: Health Care and Social Assistance › Outpatient Care Centers › All Other Outpatient Care Centers

Product/Service Code: MEDICAL SERVICES › MEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14643 DALLAS PKWY, DALLAS, TX, 75254

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,103,608

Exercised Options: $2,103,608

Current Obligation: $2,103,608

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24226D0003

IDV Type: IDC

Timeline