VA awards $10.8M contract for wheelchair transportation in Florida, emphasizing firm fixed price

Contract Overview

Contract Amount: $10,797,617 ($10.8M)

Contractor: Navarre Corporation

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-09-01

End Date: 2025-08-31

Contract Duration: 364 days

Daily Burn Rate: $29.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: OY3 WHEELCHAIR TRANSPORTATION

Place of Performance

Location: ORLANDO, ORANGE County, FLORIDA, 32827

State: Florida Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $10.8 million to NAVARRE CORPORATION for work described as: OY3 WHEELCHAIR TRANSPORTATION Key points: 1. Contract value of $10.8M for specialized transportation services. 2. Firm Fixed Price contract type suggests predictable costs for the government. 3. Competition was full and open after exclusion of sources, indicating a competitive process. 4. Service delivery concentrated in Florida, impacting veterans in that region. 5. Contract duration of one year with potential for renewal. 6. Navarre Corporation is the primary contractor for these services.

Value Assessment

Rating: good

The contract's firm fixed price structure is a positive indicator for cost control. Benchmarking against similar specialized transportation contracts for veterans would provide further insight into value for money. Given the specific nature of wheelchair transportation, pricing is likely influenced by regulatory requirements and specialized equipment needs. The total award of $10.8M over one year suggests a significant operational scale.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which implies that while the competition was intended to be broad, specific sources may have been excluded for defined reasons. This suggests a competitive process was undertaken, likely with multiple bidders vying for the contract. The level of competition, even with exclusions, should generally lead to price discovery and potentially better pricing for the government.

Taxpayer Impact: This competitive approach aims to ensure taxpayer funds are used efficiently by fostering a market-driven price for essential veteran transportation services.

Public Impact

Veterans in Florida requiring wheelchair transportation will benefit from this service. The contract ensures the provision of specialized transportation, crucial for mobility-impaired individuals. Geographic impact is focused on Florida, serving a specific veteran population within the state. Potential workforce implications include employment opportunities for drivers and support staff in the transportation sector within Florida.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for service disruptions if contractor performance falters.
Dependence on a single contractor for a critical service.

Positive Signals

Firm fixed price contract provides cost certainty.
Full and open competition suggests a robust bidding process.
Contract duration allows for stable service provision.

Sector Analysis

The healthcare transportation sector is a critical component of the broader healthcare delivery system, ensuring patients can access necessary medical services. This contract falls within specialized transportation services, often characterized by specific vehicle requirements, trained personnel, and adherence to strict safety and accessibility regulations. The market for such services can be competitive, with providers needing to demonstrate compliance and reliability. The VA's spending in this area reflects the ongoing need to support veterans' access to care.

Small Business Impact

Information regarding small business set-asides or subcontracting plans was not explicitly provided in the data. Analysis of whether small businesses were involved as prime contractors or subcontractors would be necessary to assess their impact. Without this data, it's difficult to determine the extent to which this contract supports the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Veterans Affairs contracting officers and program managers. Accountability measures would be embedded in the contract terms, including performance standards and reporting requirements. Transparency is generally facilitated through contract award databases, though specific performance metrics and oversight reports may not always be publicly accessible.

Related Government Programs

Veterans Health Administration Medical Care Programs
TRICARE Medical Transportation Services
DOD Medical Readiness and Logistics

Risk Flags

Potential for service disruption due to contractor performance.
Geographic concentration of service delivery.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $10.8 million to NAVARRE CORPORATION. OY3 WHEELCHAIR TRANSPORTATION

Who is the contractor on this award?

The obligated recipient is NAVARRE 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 $10.8 million.

What is the period of performance?

Start: 2024-09-01. End: 2025-08-31.

What is Navarre Corporation's track record with VA contracts, particularly for transportation services?

Navarre Corporation has a history of contracting with the Department of Veterans Affairs. While specific details on their performance for wheelchair transportation services require deeper analysis of past contract performance reports and any associated award or termination notices, their presence as a contractor indicates a level of established capability. Further investigation into their past performance ratings, any past performance issues, and the types of services previously rendered to the VA would provide a more comprehensive understanding of their reliability and suitability for this current award. Examining their contract history for similar specialized transportation services would also be beneficial in assessing their experience and capacity.

How does the $10.8M award compare to similar VA contracts for specialized transportation in other regions?

Benchmarking the $10.8M award against similar VA contracts for specialized transportation, particularly wheelchair transportation, in other regions requires access to a broader dataset of federal contract awards. Factors such as the geographic area served, the number of veterans requiring services, the duration of the contract, and the specific service requirements (e.g., emergency transport, scheduled appointments) can significantly influence contract value. Without comparative data on contract size, scope, and pricing for similar services in other states or regions, it is challenging to definitively assess whether this award represents a particularly high or low value. However, the firm fixed price nature suggests an effort to control costs.

What are the primary risk indicators associated with this contract, and how are they being mitigated?

Primary risk indicators for this contract include potential contractor performance issues (e.g., service delays, vehicle maintenance problems, driver shortages), leading to disruptions in veteran care access. Another risk is the potential for cost overruns if the firm fixed price model does not adequately account for unforeseen operational challenges, though this is less likely than with cost-reimbursable contracts. Mitigation strategies likely involve stringent performance monitoring by the VA, clear service level agreements, and potentially penalties for non-compliance. The competitive bidding process itself serves as a risk mitigation tool by selecting a contractor deemed capable and offering competitive pricing. The concentration of service in Florida also presents a geographic risk if local conditions impact service delivery.

What is the expected effectiveness of this contract in ensuring timely and reliable wheelchair transportation for Florida veterans?

The effectiveness of this contract in ensuring timely and reliable wheelchair transportation for Florida veterans hinges on several factors. The firm fixed price contract and the 'full and open competition after exclusion of sources' award method suggest an intent to secure reliable service at a predictable cost. Navarre Corporation's performance history with the VA, which needs further review, will be a key determinant. The contract's duration of one year provides a stable period for service delivery. Success will be measured by the contractor's ability to meet defined service level agreements, maintain an adequate fleet of accessible vehicles, employ sufficient qualified drivers, and respond promptly to transportation requests. The VA's oversight and performance management will be critical in ensuring the contract achieves its intended outcomes.

How has VA spending on specialized transportation services, like wheelchair transport, trended historically?

Analyzing historical VA spending trends on specialized transportation services, including wheelchair transport, would require access to historical contract data over multiple fiscal years. Such an analysis would reveal whether spending in this category has been increasing, decreasing, or remaining relatively stable. Factors influencing these trends could include changes in veteran population demographics, healthcare utilization patterns, VA policy shifts, and the overall federal budget allocated to healthcare services. A historical perspective would help contextualize the current $10.8M award and identify any significant deviations or patterns in VA's investment in this critical support service for veterans.

Industry Classification

NAICS: Transportation and Warehousing › Other Transit and Ground Passenger Transportation › Special Needs Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRAVEL, LODGING, RECRUITMENT SVCS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3102 WEST END AVE STE 450, NASHVILLE, TN, 37203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $10,797,617

Exercised Options: $10,797,617

Current Obligation: $10,797,617

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C24821D0082

IDV Type: IDC

Timeline