VA Awards $3.9M Inpatient Pharmacy Compounding Room Contract to DAX Safety & Staffing
Contract Overview
Contract Amount: $3,909,003 ($3.9M)
Contractor: DAX Safety & Staffing Solutions, LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2025-09-01
End Date: 2026-05-29
Contract Duration: 270 days
Daily Burn Rate: $14.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: 508-21-107 | INPATIENT PHARMACY IV COMPOUNDING ROOM | FINAL EVALUATION REPORT
Place of Performance
Location: DECATUR, DEKALB County, GEORGIA, 30033
State: Georgia Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $3.9 million to DAX SAFETY & STAFFING SOLUTIONS, LLC for work described as: 508-21-107 | INPATIENT PHARMACY IV COMPOUNDING ROOM | FINAL EVALUATION REPORT Key points: 1. Contract value of $3.9M for a critical healthcare facility upgrade. 2. DAX Safety & Staffing Solutions, LLC, a new awardee, faces initial scrutiny. 3. Risk of performance issues due to limited past performance data. 4. Spending falls within the typical range for similar construction projects.
Value Assessment
Rating: fair
The contract value of $3.9M appears reasonable for a specialized construction project of this nature. Benchmarking against similar VA or healthcare facility construction contracts would provide a more definitive assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition after excluding sources, suggesting a deliberate process to ensure fair pricing. However, the limited number of bids (2) warrants further investigation into the effectiveness of the solicitation process.
Taxpayer Impact: Taxpayer funds are being used for a necessary upgrade to a VA healthcare facility, aiming to improve patient care and safety.
Public Impact
Improved patient care through enhanced pharmacy compounding capabilities. Potential for job creation in the construction sector. Ensures compliance with healthcare facility standards and regulations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited past performance data for the awardee.
- Low number of bids received.
- Potential for schedule delays in construction projects.
Positive Signals
- Awarded under full and open competition.
- Firm fixed price contract type limits cost overruns.
- Project addresses critical healthcare infrastructure needs.
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector. Spending benchmarks for similar projects vary widely based on scope, location, and specific requirements, but $3.9M is within a plausible range for a specialized facility upgrade.
Small Business Impact
The contract was not awarded to a small business. Further analysis is needed to determine if small business participation was adequately considered or if opportunities were missed.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight. The definitive contract award type suggests a structured process, but monitoring performance and adherence to contract terms will be crucial.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Awardee's limited past performance.
- Low number of bids received.
- Potential for construction delays.
- Lack of small business participation.
Tags
commercial-and-institutional-building-co, department-of-veterans-affairs, ga, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $3.9 million to DAX SAFETY & STAFFING SOLUTIONS, LLC. 508-21-107 | INPATIENT PHARMACY IV COMPOUNDING ROOM | FINAL EVALUATION REPORT
Who is the contractor on this award?
The obligated recipient is DAX SAFETY & STAFFING SOLUTIONS, 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 $3.9 million.
What is the period of performance?
Start: 2025-09-01. End: 2026-05-29.
What is the specific scope of work for the inpatient pharmacy IV compounding room, and how does it compare to industry standards for similar facilities?
The specific scope involves the construction or renovation of an inpatient pharmacy IV compounding room. This typically includes specialized ventilation, sterile environments, and workflow design to ensure the safe preparation of intravenous medications. Benchmarking against industry standards requires detailed specifications of the room's size, equipment, and required certifications (e.g., USP <797>, <800>).
Given the limited number of bids (2), what steps were taken to ensure the government received fair market value for this construction project?
The contracting officer should have conducted thorough market research to establish a reasonable price before soliciting offers. The use of a firm fixed-price contract provides cost certainty. However, the low bid count suggests potential issues with the solicitation's reach or attractiveness, necessitating a review of the procurement process to ensure adequate competition was encouraged.
What are the key performance indicators (KPIs) for this contract, and how will the VA measure the effectiveness of the new compounding room post-construction?
Key performance indicators likely include adherence to schedule, quality of construction, compliance with sterile compounding standards, and timely completion of punch list items. Effectiveness will be measured by the facility's ability to meet regulatory requirements, improve workflow efficiency for pharmacy staff, and ultimately contribute to enhanced patient safety and medication accuracy.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: 36C24725R0046
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2158 SPRING COVE RD, SUNRISE BEACH, MO, 65079
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: $3,909,003
Exercised Options: $3,909,003
Current Obligation: $3,909,003
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2025-09-01
Current End Date: 2026-05-29
Potential End Date: 2026-05-29 00:00:00
Last Modified: 2026-01-20
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