VA awards $22.1M contract for KOREBALANCE PREMIER 22 SYSTEM to Derrah Morrison Enterprises LLC
Contract Overview
Contract Amount: $22,065 ($22.1K)
Contractor: Derrah Morrison Enterprises LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2026-04-10
End Date: 2026-10-31
Contract Duration: 204 days
Daily Burn Rate: $108/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: KOREBALANCE PREMIER 22 SYSTEM
Place of Performance
Location: BUTLER, BUTLER County, PENNSYLVANIA, 16001
Plain-Language Summary
Department of Veterans Affairs obligated $22,065 to DERRAH MORRISON ENTERPRISES LLC for work described as: KOREBALANCE PREMIER 22 SYSTEM Key points: 1. Contract awarded for surgical and medical instruments, a critical sector for healthcare. 2. Competition method was 'COMPETED UNDER SAP', suggesting a streamlined process. 3. The contract value is substantial, requiring careful monitoring of performance and cost. 4. Fixed-price contract type aims to control costs for the government.
Value Assessment
Rating: fair
The contract value of $22.1 million for a 204-day duration appears reasonable given the product type. Benchmarking against similar complex medical equipment procurements would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves fewer vendors and potentially less aggressive price negotiation than full and open competition. This method may limit price discovery.
Taxpayer Impact: While competition was limited, the firm fixed-price structure helps protect taxpayers from cost overruns. The overall value needs to be assessed against market rates.
Public Impact
Ensures availability of essential medical equipment for veterans. Supports a specific manufacturer's product line within the VA supply chain. Potential for improved patient care through access to advanced medical systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may have impacted price.
- Short contract duration could lead to follow-on procurements.
- Reliance on a single vendor for a critical system.
Positive Signals
- Firm fixed-price contract mitigates cost risk.
- Awarded to a specific business (Derrah Morrison Enterprises LLC).
- Supports the Department of Veterans Affairs mission.
Sector Analysis
The Department of Veterans Affairs frequently procures medical equipment and supplies. Spending in this sector is driven by healthcare needs and technological advancements, with significant government investment annually.
Small Business Impact
The data does not indicate if Derrah Morrison Enterprises LLC is a small business. Further analysis is needed to determine the impact on small business participation in this procurement.
Oversight & Accountability
The award was made via a purchase order, which is a common method for acquiring goods and services. Oversight will focus on contract performance, delivery timelines, and adherence to the fixed-price terms.
Related Government Programs
- Surgical and Medical Instrument Manufacturing
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition
- Potential for price inflation
- Lack of small business participation data
- Short contract duration
Tags
surgical-and-medical-instrument-manufact, department-of-veterans-affairs, pa, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $22,065 to DERRAH MORRISON ENTERPRISES LLC. KOREBALANCE PREMIER 22 SYSTEM
Who is the contractor on this award?
The obligated recipient is DERRAH MORRISON ENTERPRISES 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 $22,065.
What is the period of performance?
Start: 2026-04-10. End: 2026-10-31.
What is the specific function and criticality of the KOREBALANCE PREMIER 22 SYSTEM within VA healthcare facilities?
The KOREBALANCE PREMIER 22 SYSTEM is likely a specialized piece of medical equipment used for diagnostic or therapeutic purposes, potentially related to patient balance, rehabilitation, or neurological assessment. Its criticality stems from its role in supporting patient care and treatment plans within VA facilities, directly impacting the quality and efficiency of healthcare services provided to veterans.
How does the pricing of this contract compare to similar systems or previous procurements by the VA or other federal agencies?
Without specific benchmark data for the KOREBALANCE PREMIER 22 SYSTEM, a direct price comparison is difficult. However, the $22.1 million award for a 204-day period suggests a high per-unit cost or a significant number of units. Further investigation into market research reports, GSA schedules, or historical VA contract data for comparable medical devices is necessary to assess if the pricing is competitive and represents good value for taxpayer dollars.
What are the potential risks associated with the limited competition under SAP for this significant contract value?
Limited competition under SAP, while efficient, carries risks. It may result in higher prices than a fully competed contract due to reduced market pressure. There's also a risk that the VA might not be accessing the best available technology or pricing if other capable vendors were not solicited or aware of the opportunity. This could lead to suboptimal value for the government and taxpayers.
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: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 36C24426Q0420
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 15205 HOLLY LN STE B, AUSTIN, TX, 78734
Business Categories: Category Business, 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, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $22,065
Exercised Options: $22,065
Current Obligation: $22,065
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-04-10
Current End Date: 2026-10-31
Potential End Date: 2026-10-31 00:00:00
Last Modified: 2026-04-07
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