VA awards $1.45M contract for Chemistry/Immunochemistry Laboratory to Roche Diagnostics

Contract Overview

Contract Amount: $1,450,682 ($1.5M)

Contractor: Roche Diagnostics Corporation

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-10-01

End Date: 2026-04-10

Contract Duration: 922 days

Daily Burn Rate: $1.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CHEMISTRY/IMMUNOCHEMISTRY LABORATORY FOR PR.

Place of Performance

Location: INDIANAPOLIS, MARION County, INDIANA, 46256

State: Indiana Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $1.5 million to ROCHE DIAGNOSTICS CORPORATION for work described as: CHEMISTRY/IMMUNOCHEMISTRY LABORATORY FOR PR. Key points: 1. Contract awarded to a single, established supplier. 2. Potential for higher costs due to limited competition. 3. Long-term contract duration may impact price competitiveness. 4. Spending aligns with analytical laboratory instrument manufacturing sector.

Value Assessment

Rating: fair

The contract value of $1.45M over approximately 2.5 years suggests a moderate annual spend. Benchmarking against similar laboratory instrument contracts is difficult without specific unit details, but the price appears reasonable for specialized equipment and services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. However, the award to a single vendor, Roche Diagnostics, suggests they were the most competitive or offered a unique solution.

Taxpayer Impact: The use of full and open competition aims to secure the best value for taxpayers. The final price reflects the competitive landscape at the time of award.

Public Impact

Ensures continued access to essential laboratory testing for veterans. Supports diagnostic capabilities within the VA healthcare system. Potential impact on smaller, competing laboratory equipment providers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited vendor choice post-award
Potential for price creep over contract duration

Positive Signals

Awarded under full and open competition
Supports critical healthcare services

Sector Analysis

This contract falls within the Analytical Laboratory Instrument Manufacturing sector, which involves specialized equipment for medical diagnostics. Spending benchmarks for such contracts vary widely based on technology and scope, but this award appears within a typical range for a multi-year, comprehensive laboratory solution.

Small Business Impact

While the contract was awarded under full and open competition, the award went to a large corporation, Roche Diagnostics. There is no explicit indication of small business participation in this specific award, suggesting limited direct benefit to small businesses in this instance.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard procurement regulations and contract management practices should ensure accountability and adherence to terms, but specific oversight details are not provided.

Related Government Programs

Analytical Laboratory Instrument Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Sole awardee despite full and open competition
Lack of detailed cost breakdown
Absence of specified performance metrics
Long contract duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $1.5 million to ROCHE DIAGNOSTICS CORPORATION. CHEMISTRY/IMMUNOCHEMISTRY LABORATORY FOR PR.

Who is the contractor on this award?

The obligated recipient is ROCHE DIAGNOSTICS CORPORATION.

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 $1.5 million.

What is the period of performance?

Start: 2023-10-01. End: 2026-04-10.

What is the specific breakdown of costs for instruments, reagents, and maintenance within this contract?

The provided data does not detail the cost breakdown. A full analysis would require access to the contract's line-item details to understand the allocation between capital equipment, consumables, and service agreements. This information is crucial for assessing value and identifying potential areas for cost optimization.

Were there any performance metrics or service level agreements included in the contract to ensure quality and timeliness of laboratory services?

The data does not specify performance metrics or SLAs. Effective oversight would typically include such clauses to guarantee the quality, accuracy, and turnaround time of laboratory results. The absence of this information raises a potential risk regarding service quality assurance.

How does the annual cost of this contract compare to the VA's previous spending on similar laboratory services or equipment?

A comparative analysis against historical VA spending on comparable services or equipment is not possible with the given data. Benchmarking against prior contracts or industry averages for similar capabilities would be necessary to determine if this award represents cost savings or an increase.

Industry Classification

NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Analytical Laboratory Instrument Manufacturing

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

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

Parent Company: Roche Holding AG

Address: 9115 HAGUE RD, INDIANAPOLIS, IN, 46256

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

Financial Breakdown

Contract Ceiling: $1,450,682

Exercised Options: $1,450,682

Current Obligation: $1,450,682

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36C24823A0029

IDV Type: BPA

Timeline