VA Awards $1.44M for VISN 6 Reference Lab Testing and Courier Services to Quest Diagnostics
Contract Overview
Contract Amount: $1,440,000 ($1.4M)
Contractor: Quest Diagnostics Incorporated
Awarding Agency: Department of Veterans Affairs
Start Date: 2026-04-01
End Date: 2027-03-31
Contract Duration: 364 days
Daily Burn Rate: $4.0K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: VISN 6 REFERENCE LAB TESTING AND COURIER SERVICES - OY3
Place of Performance
Location: SECAUCUS, HUDSON County, NEW JERSEY, 07094
Plain-Language Summary
Department of Veterans Affairs obligated $1.4 million to QUEST DIAGNOSTICS INCORPORATED for work described as: VISN 6 REFERENCE LAB TESTING AND COURIER SERVICES - OY3 Key points: 1. The contract is for reference laboratory testing and courier services for VISN 6. 2. Quest Diagnostics Incorporated is the awardee. 3. The contract has a duration of 364 days. 4. The total award amount is $1,440,000. 5. The contract was awarded under full and open competition.
Value Assessment
Rating: good
The award amount of $1.44M for a 364-day contract appears reasonable for specialized laboratory testing and courier services. Benchmarking against similar contracts for reference lab services would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, indicating a robust price discovery process. The use of a BPA Call suggests a streamlined procurement method within an existing framework.
Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, ensuring taxpayer funds are used efficiently for essential medical services.
Public Impact
Ensures continued access to critical laboratory testing for veterans in VISN 6. Supports timely delivery of medical samples through courier services. Maintains healthcare continuity for a significant veteran population. Potential for improved diagnostic accuracy and patient outcomes.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is just under one year, potentially leading to frequent re-procurement efforts.
- Lack of specific performance metrics in the provided data.
- Geographic scope (VISN 6) is broad, requiring efficient logistics.
Positive Signals
- Awarded under full and open competition.
- Utilizes an existing BPA Call, suggesting efficiency.
- Secures essential medical services for veterans.
Sector Analysis
This contract falls within the Healthcare sector, specifically for medical laboratories and related support services. Spending in this area is crucial for patient care and diagnostics, with benchmarks varying widely based on service scope and volume.
Small Business Impact
The provided data does not indicate any specific set-asides for small businesses. Further analysis would be needed to determine if small businesses had an opportunity to participate or if subcontracting goals were established.
Oversight & Accountability
The award was made by the Department of Veterans Affairs, which has established oversight mechanisms for contract performance. Monitoring Quest Diagnostics' adherence to service level agreements and quality standards will be key.
Related Government Programs
- Medical Laboratories
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for service disruptions if courier logistics are not robust.
- Dependence on a single vendor for critical lab services.
- Contract duration limits long-term strategic planning.
- Need for clear performance metrics to ensure quality.
Tags
medical-laboratories, department-of-veterans-affairs, nj, bpa-call, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $1.4 million to QUEST DIAGNOSTICS INCORPORATED. VISN 6 REFERENCE LAB TESTING AND COURIER SERVICES - OY3
Who is the contractor on this award?
The obligated recipient is QUEST DIAGNOSTICS INCORPORATED.
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 $1.4 million.
What is the period of performance?
Start: 2026-04-01. End: 2027-03-31.
What is the specific scope of 'reference lab testing' covered by this contract?
The scope of 'reference lab testing' typically includes specialized diagnostic tests that are not performed by the facility's in-house laboratory due to complexity, cost, or required equipment. This can encompass a wide range of analyses, from genetic testing to complex toxicology and infectious disease identification, supporting accurate diagnosis and treatment plans for veterans.
What are the key performance indicators (KPIs) for the courier services component?
Key performance indicators for courier services would likely include sample integrity during transport, on-time pickup and delivery rates, chain of custody compliance, and response times for urgent sample requests. These metrics are crucial to ensure that patient care is not delayed and that diagnostic results are accurate and timely.
How does the pricing compare to similar reference lab contracts awarded by other federal agencies?
Without specific pricing details or a detailed scope of work, a direct comparison is difficult. However, the $1.44M award for a year of service suggests a significant volume or complexity of tests. Benchmarking against contracts for similar specialized lab services and courier logistics from agencies like HHS or DoD would be necessary for a comprehensive assessment.
Industry Classification
NAICS: Health Care and Social Assistance › Medical and Diagnostic Laboratories › Medical Laboratories
Product/Service Code: MEDICAL SERVICES › LABORATORY TESTING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 500 PLAZA DR, SECAUCUS, NJ, 07094
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $1,440,000
Exercised Options: $1,440,000
Current Obligation: $1,440,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 36C24623A0020
IDV Type: BPA
Timeline
Start Date: 2026-04-01
Current End Date: 2027-03-31
Potential End Date: 2027-03-31 00:00:00
Last Modified: 2026-04-06
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