VA awards $3M for Lenalidomide to Exelan Pharmaceuticals Inc. via full and open competition

Contract Overview

Contract Amount: $3,014,589 ($3.0M)

Contractor: Exelan Pharmaceuticals Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-01-15

End Date: 2027-01-14

Contract Duration: 364 days

Daily Burn Rate: $8.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LENALIDOMIDE FOR THE ASHEVILLE VAMC FOR PATIENT CARE.

Place of Performance

Location: BOCA RATON, PALM BEACH County, FLORIDA, 33432

State: Florida Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3.0 million to EXELAN PHARMACEUTICALS INC for work described as: LENALIDOMIDE FOR THE ASHEVILLE VAMC FOR PATIENT CARE. Key points: 1. The contract is for essential patient care medication, Lenalidomide. 2. Exelan Pharmaceuticals Inc. is the awardee, indicating a specific supplier for this drug. 3. The award was made under full and open competition, suggesting multiple bids were considered. 4. The contract duration is one year, with a potential for renewal. 5. The total value is approximately $3 million.

Value Assessment

Rating: good

The contract value of $3,014,589.14 for a one-year supply of Lenalidomide appears reasonable given the nature of pharmaceutical procurement. Benchmarking against similar government contracts for specialized medications would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made through full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The existence of multiple bidders likely contributed to price discovery.

Taxpayer Impact: The competitive nature of this award is expected to yield a fair price, ensuring taxpayer funds are used efficiently for essential patient care.

Public Impact

Ensures continued availability of a critical medication for veterans' patient care. Supports the pharmaceutical supply chain and potentially local economies where the supplier operates. Highlights the Department of Veterans Affairs' commitment to providing necessary medical treatments.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in subsequent years if competition diminishes.
Reliance on a single supplier for a critical drug could pose supply chain risks.

Positive Signals

Awarded through full and open competition, indicating a competitive market.
Contract ensures supply of a vital medication for patient care.
Clear delivery period and fixed pricing structure.

Sector Analysis

This contract falls within the pharmaceutical manufacturing sector, which is characterized by high R&D costs, stringent regulatory requirements, and significant market competition. Government procurement in this sector often focuses on ensuring access to essential medicines at competitive prices.

Small Business Impact

The data does not indicate whether small businesses were involved in this specific contract award. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract to ensure timely delivery and adherence to quality standards. The fixed-price contract structure provides some cost control, but ongoing monitoring is crucial.

Related Government Programs

Pharmaceutical Preparation Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for price escalation in future years.
Single awardee for a critical medication.
Dependence on pharmaceutical supply chain stability.
Need for ongoing quality assurance monitoring.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $3.0 million to EXELAN PHARMACEUTICALS INC. LENALIDOMIDE FOR THE ASHEVILLE VAMC FOR PATIENT CARE.

Who is the contractor on this award?

The obligated recipient is EXELAN PHARMACEUTICALS 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 $3.0 million.

What is the period of performance?

Start: 2026-01-15. End: 2027-01-14.

What is the historical pricing trend for Lenalidomide from this vendor or similar vendors to assess long-term value?

Analyzing historical pricing data for Lenalidomide from Exelan Pharmaceuticals Inc. and comparable vendors is crucial for assessing long-term value. This involves comparing current award prices against past contract values and market benchmarks. Understanding price fluctuations due to market dynamics, competition levels, and manufacturing costs will help determine if the current award represents a favorable price point over time and identify potential cost savings opportunities in future procurements.

What are the specific risks associated with relying on Exelan Pharmaceuticals Inc. for this critical medication?

Risks associated with relying on Exelan Pharmaceuticals Inc. include potential supply chain disruptions due to the manufacturer's capacity, quality control issues, or unforeseen geopolitical events impacting raw material sourcing. Dependence on a single awardee for a critical drug like Lenalidomide could also lead to reduced negotiating leverage for future contracts, potentially resulting in higher costs if competition is not sustained or re-established.

How effectively does the full and open competition process ensure optimal patient outcomes for veterans receiving Lenalidomide?

The full and open competition process aims to ensure optimal patient outcomes by securing the most cost-effective supply of high-quality Lenalidomide. By fostering competition, the VA can potentially negotiate better prices, allowing for a larger quantity or higher grade of the medication within budget constraints. This process also encourages suppliers to maintain high standards to win and retain contracts, indirectly benefiting patient care through reliable access to necessary treatments.

Industry Classification

NAICS: Manufacturing › Pharmaceutical and Medicine Manufacturing › Pharmaceutical Preparation Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 370 W CAMINO GARDENS BLVD STE 204, BOCA RATON, FL, 33432

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

Financial Breakdown

Contract Ceiling: $3,014,589

Exercised Options: $3,014,589

Current Obligation: $3,014,589

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36F79720D0227

IDV Type: FSS

Timeline