VA awards $3.3M for Lenalidomide to Exelan Pharmaceuticals, ensuring pharmaceutical supply through 2027

Contract Overview

Contract Amount: $3,300,315 ($3.3M)

Contractor: Exelan Pharmaceuticals Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-01-16

End Date: 2027-01-15

Contract Duration: 364 days

Daily Burn Rate: $9.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: LENALIDOMIDE

Place of Performance

Location: BOCA RATON, PALM BEACH County, FLORIDA, 33432

State: Florida Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3.3 million to EXELAN PHARMACEUTICALS INC for work described as: LENALIDOMIDE Key points: 1. The contract focuses on a critical pharmaceutical, Lenalidomide, vital for patient treatment. 2. Exelan Pharmaceuticals Inc. is the sole awardee, highlighting a specific supplier relationship. 3. The contract duration extends to January 2027, indicating a medium-term supply commitment. 4. The award value of $3.3M suggests a significant but not massive expenditure for this drug.

Value Assessment

Rating: good

The contract value of $3.3M for Lenalidomide appears reasonable given the 364-day duration and the nature of pharmaceutical supply contracts. Benchmarking against similar contracts for this drug would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives fair value.

Taxpayer Impact: The competitive award process aims to secure the best possible price for taxpayers, minimizing unnecessary expenditure on essential medications.

Public Impact

Ensures continued access to Lenalidomide for veterans, supporting ongoing treatment regimens. Supports the pharmaceutical supply chain, contributing to medication availability. The award to Exelan Pharmaceuticals Inc. may impact other potential suppliers in the market.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future contract renewals.
Dependence on a single supplier for a critical medication.

Positive Signals

Awarded under full and open competition.
Long-term supply assurance for veterans.
Firm fixed price contract limits cost escalation.

Sector Analysis

The pharmaceutical sector is characterized by high R&D costs, patent protections, and stringent regulatory requirements. Spending in this area is often driven by medical necessity and patient outcomes, with government contracts ensuring access to essential drugs for specific populations.

Small Business Impact

No specific information is provided regarding small business participation in this contract. Further analysis would be needed to determine if small businesses were involved as prime contractors or subcontractors.

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.

Related Government Programs

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

Risk Flags

Potential for price increases in future contract renewals.
Dependence on a single supplier for a critical medication.
Vulnerability to supply chain disruptions affecting pharmaceutical availability.
Regulatory changes impacting drug efficacy or approval.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $3.3 million to EXELAN PHARMACEUTICALS INC. LENALIDOMIDE

Who is the contractor on this award?

The obligated recipient is EXELAN PHARMACEUTICALS INC.

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 $3.3 million.

What is the period of performance?

Start: 2026-01-16. End: 2027-01-15.

What is the historical pricing trend for Lenalidomide under VA contracts?

Analyzing historical pricing data for Lenalidomide under previous VA contracts is crucial. This would reveal if the current award of $3.3M represents an increase, decrease, or stable pricing compared to prior agreements. Understanding these trends helps assess long-term value and identify potential cost-saving opportunities or emerging price pressures.

What are the specific therapeutic uses and patient population for this Lenalidomide contract?

Understanding the specific medical conditions Lenalidomide is prescribed for by the VA and the size of the veteran patient population requiring it is key. This context helps justify the contract value and duration, and assess the criticality of the supply chain. It also informs potential risks associated with supply disruptions.

Are there any upcoming patent expirations or generic alternatives for Lenalidomide that could impact future pricing?

Investigating the patent status and availability of generic alternatives for Lenalidomide is vital for future contract planning. Patent expirations often lead to significant price reductions. Awareness of these market dynamics allows the VA to anticipate cost savings or negotiate more favorable terms for subsequent contracts.

Industry Classification

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

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 36C25226Q0161

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 370 CAMINO GARDENS BLVD, BOCA RATON, FL, 33432

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

Financial Breakdown

Contract Ceiling: $3,300,315

Exercised Options: $3,300,315

Current Obligation: $3,300,315

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline