VA awards $483K for OMNICELL XT Anesthesia Workstation to Trillamed LLC

Contract Overview

Contract Amount: $482,982 ($483.0K)

Contractor: Trillamed LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-04-14

End Date: 2026-06-14

Contract Duration: 61 days

Daily Burn Rate: $7.9K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: OMNICELL XT ANESTHESIA WORKSTATION

Place of Performance

Location: SOUTHFIELD, OAKLAND County, MICHIGAN, 48076

State: Michigan Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $482,982.17 to TRILLAMED LLC for work described as: OMNICELL XT ANESTHESIA WORKSTATION Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. The contract duration is short (61 days), suggesting a specific, immediate need. 3. The North American Industry Classification System (NAICS) code 339112 points to surgical and medical instrument manufacturing. 4. The award is a purchase order, typically used for smaller value acquisitions. 5. The contract is notated as 'NOT COMPETED UNDER SAP', indicating it bypassed standard competitive procedures for simplified acquisitions. 6. The fixed price contract type aims to control costs, but the lack of competition may inflate the unit price.

Value Assessment

Rating: questionable

Benchmarking the value of this specific workstation is challenging without more detailed specifications and comparable contract data. However, the sole-source nature of the award raises concerns about whether the Department of Veterans Affairs (VA) secured the best possible price. The total award amount of $482,982.17 for a 61-day period suggests a high per-diem cost. Without competitive bids, it's difficult to ascertain if this represents fair market value or if a more competitive process could have yielded savings.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. The notation 'NOT COMPETED UNDER SAP' suggests that the agency determined that competition was not practicable or available. This significantly limits the number of potential bidders and reduces the pressure on the contractor to offer competitive pricing. The lack of a competitive process means that the VA did not benefit from the price discovery that typically occurs when multiple vendors vie for a contract.

Taxpayer Impact: Taxpayers may be paying a premium for this workstation due to the absence of a competitive bidding process. The VA did not have the opportunity to leverage multiple offers to secure the most cost-effective solution.

Public Impact

Veterans receiving care at VA facilities will benefit from the use of the OMNICELL XT Anesthesia Workstation. The workstation is intended to support surgical and medical procedures. The contract is being executed in Michigan, indicating a specific geographic impact. The acquisition supports the medical equipment sector within the healthcare industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs for taxpayers.
Sole-source award raises questions about the thoroughness of the procurement process.
Short contract duration could indicate an urgent need that bypassed standard competitive procedures.

Positive Signals

The contract is a Firm Fixed Price (FFP) type, which helps in cost control if the scope is well-defined.
The award is to Trillamed LLC, a specific entity, implying a direct relationship for this need.
The contract is for a specific medical device, addressing a clear operational requirement.

Sector Analysis

The market for surgical and medical instruments is a significant segment of the broader healthcare industry. Companies in this sector manufacture a wide range of products, from basic consumables to complex diagnostic and therapeutic equipment. The OMNICELL XT Anesthesia Workstation falls into the category of specialized medical equipment used in operating rooms. Spending in this area is driven by healthcare facility needs, technological advancements, and patient care requirements. Comparable spending benchmarks would typically involve analyzing the procurement of similar anesthesia systems or integrated operating room technology by other federal agencies or large healthcare networks.

Small Business Impact

There is no indication that this contract involved a small business set-aside. The award was made to Trillamed LLC on a sole-source basis. Therefore, there are no direct subcontracting implications for small businesses stemming from this specific award. The focus appears to be on fulfilling a direct need with a specific vendor rather than utilizing the contract as a vehicle for small business participation.

Oversight & Accountability

The primary oversight mechanism for this contract would be through the Department of Veterans Affairs' internal procurement and financial management systems. As a purchase order, it is subject to standard financial controls and auditing. The Inspector General's office within the VA would have jurisdiction to investigate any potential fraud, waste, or abuse related to this procurement. Transparency is limited due to the sole-source nature, as the justification for not competing is not publicly detailed.

Related Government Programs

Medical Equipment Procurement
Surgical Supplies
Anesthesia Devices
Department of Veterans Affairs Medical Services

Risk Flags

Sole-source award may result in higher costs.
Lack of competition limits price discovery.
Short contract duration could indicate urgency bypassing standard procedures.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $482,982.17 to TRILLAMED LLC. OMNICELL XT ANESTHESIA WORKSTATION

Who is the contractor on this award?

The obligated recipient is TRILLAMED 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 $482,982.17.

What is the period of performance?

Start: 2026-04-14. End: 2026-06-14.

What is the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT COMPETED UNDER SAP' and is a sole-source award. Typically, sole-source justifications are required when only one responsible source is available or when the agency determines that competition is not practicable. Reasons can include unique capabilities of the vendor, urgent and compelling needs where a delay for competition would cause significant financial or operational damage, or specific government requirements that only one vendor can meet. Without further documentation from the VA, the precise reason for this sole-source determination remains unknown, but it implies that a competitive process was deemed inappropriate or impossible for this particular acquisition.

How does the per-unit cost of the OMNICELL XT Anesthesia Workstation compare to market rates or similar VA procurements?

The total award is $482,982.17 for a 61-day period, which translates to approximately $7,918 per day. This daily rate is for the provision or use of the OMNICELL XT Anesthesia Workstation. Without knowing the exact nature of the service (e.g., rental, lease with maintenance, or a purchase order for a specific unit with a short delivery window), a direct per-unit cost comparison is difficult. However, this daily rate appears high for a typical medical equipment lease or rental, especially considering it's a purchase order. A more detailed analysis would require understanding if this is a full-service lease, the specific model and its features, and comparing it against industry benchmarks for anesthesia workstations or similar high-value medical devices, which are often procured through competitive bids to ensure fair pricing.

What is Trillamed LLC's track record with the Department of Veterans Affairs and other federal agencies?

The provided data identifies Trillamed LLC as the contractor for this specific purchase order. To assess their track record, a review of federal procurement databases (like SAM.gov or FPDS) would be necessary to identify other contracts awarded to Trillamed LLC. This would reveal the types of goods or services they have provided, the agencies they have served, the contract values, and their performance history. A history of successful, on-time, and within-budget contract completions would indicate reliability, while a pattern of issues, disputes, or poor performance would raise concerns about their capability to fulfill future requirements effectively.

What are the potential risks associated with a sole-source award for critical medical equipment?

Sole-source awards for critical medical equipment like anesthesia workstations carry several risks. Firstly, the absence of competition can lead to inflated prices, meaning the VA may pay more than necessary, impacting budget efficiency. Secondly, it limits the agency's ability to explore alternative solutions or newer technologies that might be offered by other vendors. Thirdly, it can create vendor lock-in, making it difficult to switch to a different provider or system in the future, potentially hindering long-term cost savings or operational flexibility. Finally, it raises concerns about the thoroughness of the procurement process and whether the best value for taxpayer money was truly achieved.

How does this contract fit into the VA's overall spending on surgical and medical instruments?

This contract represents a small portion of the VA's overall spending on surgical and medical instruments, with a value of $482,982.17. The VA is a massive healthcare provider and procures a vast array of medical equipment and supplies annually. This specific award is for an anesthesia workstation, a specialized item. To understand its place in the broader context, one would need to examine the VA's historical spending data for NAICS code 339112 (Surgical and Medical Instrument Manufacturing) and related categories. This would reveal trends, identify major suppliers, and highlight the proportion of spending allocated to specific types of equipment like anesthesia machines versus other instruments or supplies.

Industry Classification

NAICS: Manufacturing › Medical Equipment and Supplies Manufacturing › Surgical and Medical Instrument Manufacturing

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 36C24226Q0389

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 20300 W 12 MILE RD STE 103, SOUTHFIELD, MI, 48076

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $482,982

Exercised Options: $482,982

Current Obligation: $482,982

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline