VA awards $18.7M for medical waste services in Pennsylvania, ensuring compliant disposal

Contract Overview

Contract Amount: $18,732 ($18.7K)

Contractor: Neie Medical Waste Services, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-07-01

End Date: 2027-06-30

Contract Duration: 364 days

Daily Burn Rate: $51/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: REGULATED MEDICAL WASTE TRANSPORTATION AND DISPOSAL FOR VISN 4. ALTOONA OP #2.

Place of Performance

Location: ALTOONA, BLAIR County, PENNSYLVANIA, 16602

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $18,731.79 to NEIE MEDICAL WASTE SERVICES, LLC for work described as: REGULATED MEDICAL WASTE TRANSPORTATION AND DISPOSAL FOR VISN 4. ALTOONA OP #2. Key points: 1. Contract ensures essential medical waste services for Veterans Affairs VISN 4. 2. The fixed-price contract structure provides cost certainty for the VA. 3. Competition was conducted after exclusion of sources, requiring justification. 4. Performance period spans one year, aligning with operational needs. 5. The contract is a delivery order under a larger indefinite-delivery contract. 6. Small business participation is not explicitly mandated in this award.

Value Assessment

Rating: good

The contract value of $18.7 million for one year of regulated medical waste transportation and disposal appears reasonable given the specialized nature of the services. Benchmarking against similar contracts for medical waste disposal across different VA networks or other federal agencies would provide a more precise value-for-money assessment. The firm fixed-price structure helps mitigate cost escalation risks for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES.' This indicates that while competition was sought, certain sources were excluded, and a justification for this exclusion was likely required. The specific reasons for excluding other potential bidders are not detailed here, but this method suggests a limited competitive pool compared to unrestricted full and open competition.

Taxpayer Impact: The limited competition may result in less aggressive pricing than if all qualified vendors could bid without exclusion. Taxpayers benefit from the VA's effort to secure competitive bids, but the exclusion of sources warrants scrutiny to ensure the best possible price was achieved.

Public Impact

Veterans in VISN 4 will benefit from safe and compliant medical waste disposal. Ensures proper handling and disposal of hazardous and regulated medical waste generated at VA facilities. The service area is primarily Pennsylvania, impacting local healthcare operations. Supports the operational continuity of VA healthcare facilities within the specified region. Contributes to environmental protection by ensuring regulated waste is managed according to federal standards.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition method requires further investigation to ensure fair market access and optimal pricing.
Lack of explicit small business set-aside or subcontracting goals may limit opportunities for smaller businesses in this contract.

Positive Signals

The firm fixed-price contract type provides budget predictability for the Department of Veterans Affairs.
The contract duration of one year allows for regular re-evaluation of needs and market conditions.
Awarding a delivery order under an existing IDIQ structure can streamline procurement for essential services.

Sector Analysis

The regulated medical waste disposal industry is a critical component of the healthcare support services sector. This contract falls within the hazardous waste treatment and disposal NAICS code (562211). The market involves specialized logistics, treatment facilities, and strict regulatory compliance. Spending in this area is driven by healthcare facility operations, with government agencies being significant consumers due to their extensive healthcare networks.

Small Business Impact

This contract does not appear to have a specific small business set-aside. The award to NEIE MEDICAL WASTE SERVICES, LLC does not indicate whether they are a small business. Without explicit subcontracting requirements, the direct impact on the broader small business ecosystem for waste management services is unclear. Further analysis would be needed to determine if subcontracting opportunities exist or are being utilized.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting officers and program managers. The contract's performance will be monitored against the terms and conditions outlined in the delivery order. Inspector General reviews may occur periodically to assess compliance and identify any potential fraud, waste, or abuse, particularly concerning the handling and disposal of regulated medical waste.

Related Government Programs

VA Medical Waste Disposal Contracts
Healthcare Support Services
Hazardous Waste Management
VISN 4 Contracts
Regulated Waste Services

Risk Flags

Competition Method Justification
Contractor Performance History
Regulatory Compliance Risk
Service Disruption Potential

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $18,731.79 to NEIE MEDICAL WASTE SERVICES, LLC. REGULATED MEDICAL WASTE TRANSPORTATION AND DISPOSAL FOR VISN 4. ALTOONA OP #2.

Who is the contractor on this award?

The obligated recipient is NEIE MEDICAL WASTE SERVICES, 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 $18,731.79.

What is the period of performance?

Start: 2026-07-01. End: 2027-06-30.

What is the track record of NEIE MEDICAL WASTE SERVICES, LLC with the federal government?

Information regarding NEIE MEDICAL WASTE SERVICES, LLC's specific track record with the federal government is not provided in the data. To assess their performance, one would need to review past federal contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or corrective actions. A lack of extensive federal contract history might indicate a newer entrant or a focus on state/local contracts. Understanding their experience with similar-sized contracts and regulatory environments is crucial for evaluating their capability to fulfill this VA requirement effectively.

How does the $18.7 million contract value compare to similar medical waste disposal contracts?

Direct comparison of the $18.7 million contract value requires access to a database of similar federal contracts for regulated medical waste transportation and disposal. Factors such as geographic scope, volume of waste, specific services required (e.g., incineration, autoclaving), and contract duration significantly influence pricing. For a one-year contract, $18.7 million suggests a substantial volume or a wide service area within VISN 4. Benchmarking against contracts for other VA VISNs or other federal healthcare providers (like the DoD) would be necessary to determine if this represents a competitive price point or indicates potential over/underpricing.

What are the primary risks associated with this medical waste disposal contract?

Key risks include regulatory non-compliance, which could lead to environmental damage, fines, and reputational harm for the VA. Service disruptions due to logistical issues, equipment failure, or contractor performance problems could impact VA healthcare operations. Price volatility for fuel or disposal services, although mitigated by the firm fixed-price structure, could still pose a risk if unforeseen market shifts occur. Furthermore, the 'exclusion of sources' competition method introduces a risk of suboptimal pricing or limited vendor innovation if not properly justified and managed. Ensuring the contractor maintains adequate insurance and security protocols for hazardous materials is also critical.

How effective is the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' method for this type of service?

This competition method aims to balance the need for broad competition with specific requirements or justifications for excluding certain sources. For regulated medical waste disposal, it might be used if only a few vendors possess the necessary specialized licenses, permits, or geographic coverage within VISN 4. Its effectiveness hinges on the validity of the exclusion justification and whether it still allows for sufficient competition among the remaining qualified vendors to achieve fair market prices. If the exclusion was too broad or poorly justified, it could limit price discovery and potentially lead to higher costs for the VA compared to unrestricted competition.

What is the historical spending trend for medical waste disposal in VA VISN 4?

Historical spending data for medical waste disposal specifically within VA VISN 4 is not provided. To analyze trends, one would need to examine contract awards for this service category over several fiscal years for that specific VISN. Key metrics to track would include the number of contracts awarded, average contract values, average duration, and the primary contractors. Understanding past spending patterns can help identify potential increases or decreases in service costs, shifts in market concentration, and the overall budget allocation for this essential service within the VISN.

What are the potential workforce implications of this contract?

This contract primarily impacts the workforce of the contractor, NEIE MEDICAL WASTE SERVICES, LLC, requiring personnel for transportation, handling, and disposal of medical waste. For the VA, it means their internal clinical staff can focus on patient care rather than waste management logistics. The contract ensures that specialized, trained personnel are employed by the contractor to meet stringent safety and regulatory standards, potentially reducing the VA's direct workforce burden in this area. There are no direct VA workforce additions or reductions implied by this specific service contract.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Treatment and Disposal › Hazardous Waste Treatment and Disposal

Product/Service Code: NATURAL RESOURCES MANAGEMENT › ENVIRONMENTAL SYSTEMS PROTECTION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: ALTERNATIVE SOURCES

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9 W MARKET ST, BLAIRSVILLE, PA, 15717

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

Financial Breakdown

Contract Ceiling: $18,732

Exercised Options: $18,732

Current Obligation: $18,732

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24425D0090

IDV Type: IDC

Timeline