VA Awards $2.5M for Globus Excelsius Navigation System to SDV Office Systems LLC
Contract Overview
Contract Amount: $2,542,915 ($2.5M)
Contractor: SDV Office Systems LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2026-01-09
End Date: 2026-04-30
Contract Duration: 111 days
Daily Burn Rate: $22.9K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: GLOBUS EXCELSIUS NAVIGATION SYSTEM
Place of Performance
Location: FLETCHER, HENDERSON County, NORTH CAROLINA, 28732
Plain-Language Summary
Department of Veterans Affairs obligated $2.5 million to SDV OFFICE SYSTEMS LLC for work described as: GLOBUS EXCELSIUS NAVIGATION SYSTEM Key points: 1. The Department of Veterans Affairs (VA) has contracted SDV Office Systems LLC for the Globus Excelsius Navigation System, a specialized medical device. 2. The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a focus on smaller value procurements. 3. The award is a Purchase Order with a Firm Fixed Price, indicating clear cost expectations. 4. The system falls under the Electromedical and Electrotherapeutic Apparatus Manufacturing NAICS code, placing it within the healthcare technology sector.
Value Assessment
Rating: good
The contract value of $2,542,915 for a specialized navigation system appears reasonable given the nature of the equipment. Benchmarking against similar high-tech medical device procurements would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, which typically involves a limited number of bidders. While competed, the specific competition method and its impact on price discovery are not fully detailed, but SAP aims for fair pricing for smaller acquisitions.
Taxpayer Impact: Taxpayer funds are being used for advanced medical equipment to support veterans' healthcare needs. The firm fixed price contract aims to ensure cost certainty.
Public Impact
Veterans will benefit from potentially improved surgical navigation and outcomes through this advanced medical technology. The procurement supports the VA's mission to provide comprehensive healthcare services to its beneficiaries. This investment in medical equipment signifies the government's commitment to modernizing healthcare infrastructure for service members.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition under SAP may not yield the absolute lowest price.
- Contract duration is relatively short (approx. 3 months), potentially limiting long-term value realization.
- Lack of detailed performance metrics in the provided data.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Procurement supports critical healthcare needs for veterans.
- Awarded to a specific company, indicating a clear vendor relationship.
Sector Analysis
The procurement falls within the Electromedical and Electrotherapeutic Apparatus Manufacturing sector, a segment of the broader healthcare technology industry. Spending in this area is driven by the need for advanced diagnostic and therapeutic equipment.
Small Business Impact
The data does not indicate if SDV Office Systems LLC is a small business. Further analysis would be needed to determine the impact on small business participation.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this contract. Standard government procurement oversight processes should apply to ensure delivery and performance.
Related Government Programs
- Electromedical and Electrotherapeutic Apparatus Manufacturing
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for higher costs due to limited competition.
- Short contract duration may limit long-term strategic benefits.
- Lack of detailed performance metrics.
- Dependence on a single vendor for this specific system.
Tags
electromedical-and-electrotherapeutic-ap, department-of-veterans-affairs, nc, purchase-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $2.5 million to SDV OFFICE SYSTEMS LLC. GLOBUS EXCELSIUS NAVIGATION SYSTEM
Who is the contractor on this award?
The obligated recipient is SDV OFFICE 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: 2026-01-09. End: 2026-04-30.
What is the specific clinical benefit of the Globus Excelsius Navigation System for veteran patients?
The Globus Excelsius Navigation System is designed to enhance surgical precision and accuracy, particularly in complex orthopedic and spinal procedures. For veteran patients, this could translate to reduced invasiveness, faster recovery times, and improved long-term outcomes, especially for those with service-related injuries or conditions requiring intricate surgical intervention.
What are the potential risks associated with a limited competition procurement under SAP for this type of equipment?
A primary risk of limited competition under SAP is the potential for higher prices compared to a fully open and competitive process. There's also a risk that alternative, potentially superior or more cost-effective solutions might not be considered, impacting overall value for money and technological advancement.
How does the firm fixed price contract structure ensure the effectiveness of the VA's spending on this navigation system?
The firm fixed price (FFP) contract structure ensures effectiveness by establishing a ceiling price that the contractor must adhere to, regardless of cost overruns. This incentivizes the contractor to manage costs efficiently and deliver the specified navigation system within the agreed budget, thereby providing cost certainty and accountability for the VA's expenditure.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Electromedical and Electrotherapeutic Apparatus Manufacturing
Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 36C24226Q0151
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 34 REDMOND DR UNIT C, FLETCHER, NC, 28732
Business Categories: Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $2,542,915
Exercised Options: $2,542,915
Current Obligation: $2,542,915
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-01-09
Current End Date: 2026-04-30
Potential End Date: 2026-04-30 00:00:00
Last Modified: 2026-01-09
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