VA Awards $910K for TB Gold Plus Tests, Sole-Source to QIAGEN, LLC

Contract Overview

Contract Amount: $91,034 ($91.0K)

Contractor: Qiagen, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-04-16

End Date: 2025-09-30

Contract Duration: 532 days

Daily Burn Rate: $171/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LIASON QUANTIFERON-TB GOLD PLUSE US & CONTROL QUANTIFERON-TB GOLD PLUS.

Place of Performance

Location: RIVIERA BEACH, PALM BEACH County, FLORIDA, 33410

State: Florida Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $91,034.14 to QIAGEN, LLC for work described as: LIASON QUANTIFERON-TB GOLD PLUSE US & CONTROL QUANTIFERON-TB GOLD PLUS. Key points: 1. Contract awarded for Quantiferon-TB Gold Plus diagnostic tests. 2. Sole-source award to QIAGEN, LLC raises competition concerns. 3. Potential for higher pricing due to lack of competition. 4. Sector is Pharmaceutical Preparation Manufacturing, a critical healthcare area.

Value Assessment

Rating: fair

The contract value of $910,341.14 for 532 days appears reasonable for specialized diagnostic kits. However, without competitive bidding, it's difficult to ascertain if this represents the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded sole-source, indicating no competition was sought. This method limits price discovery and may result in higher costs for taxpayers.

Taxpayer Impact: The sole-source nature of this award means taxpayers may not be receiving the most cost-effective solution available for these diagnostic tests.

Public Impact

Ensures availability of critical diagnostic tests for tuberculosis. Impacts veterans' healthcare by providing necessary diagnostic tools. Potential for increased healthcare costs due to lack of competition.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits competition.
Potential for overpayment without competitive pricing.
Lack of transparency in pricing justification.

Positive Signals

Ensures supply of essential medical diagnostic.
Supports veteran healthcare needs.

Sector Analysis

This contract falls within the Pharmaceutical Preparation Manufacturing sector, which is vital for public health. Spending benchmarks for similar diagnostic kits can vary widely based on volume and specific product.

Small Business Impact

The awardee, QIAGEN, LLC, is not identified as a small business. There is no indication that small businesses were considered or had an opportunity to compete for this contract.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight. The sole-source justification should be thoroughly reviewed to ensure it meets regulatory requirements and taxpayer interests.

Related Government Programs

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

Risk Flags

Sole-source justification requires scrutiny.
Lack of competitive bidding may lead to overpricing.
Potential for non-compliance with full and open competition rules.
Limited transparency on pricing and vendor selection.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $91,034.14 to QIAGEN, LLC. LIASON QUANTIFERON-TB GOLD PLUSE US & CONTROL QUANTIFERON-TB GOLD PLUS.

Who is the contractor on this award?

The obligated recipient is QIAGEN, 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 $91,034.14.

What is the period of performance?

Start: 2024-04-16. End: 2025-09-30.

What is the justification for the sole-source award, and was a market research conducted to confirm no other sources could provide the required diagnostic tests?

The justification for the sole-source award is not provided in the data. Typically, sole-source contracts are used when only one responsible source can satisfy the agency's needs. A thorough market research should have been conducted to confirm the uniqueness of the product or the inability of other qualified vendors to meet the requirement, ensuring fair and reasonable pricing.

How does the unit cost of these Quantiferon-TB Gold Plus tests compare to publicly available pricing or contracts with other federal agencies?

Without access to specific unit pricing and competitive benchmarks, a direct comparison is difficult. However, sole-source awards often lead to higher per-unit costs compared to competitively procured items. Further analysis would require obtaining the specific unit price and comparing it against market data or other government contracts for similar diagnostic kits.

What is the potential impact on the VA's budget and overall healthcare effectiveness if this sole-source contract leads to significantly inflated prices over its duration?

Inflated prices on this sole-source contract could divert funds from other critical healthcare services or necessitate budget adjustments within the VA. Over the contract's duration, this could lead to a less efficient allocation of resources, potentially impacting the overall effectiveness of healthcare delivery to veterans if funds are constrained.

Industry Classification

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

Product/Service Code: INSTRUMENTS AND LABORATORY EQPT

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 19300 GERMANTOWN RD, GERMANTOWN, MD, 20874

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: $217,835

Exercised Options: $91,034

Current Obligation: $91,034

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline