VA awards $44.7K for in-vitro microbiology supplies, continuing a multi-year contract

Contract Overview

Contract Amount: $44,653 ($44.7K)

Contractor: Fisher Scientific Company L.L.C.

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-09-28

End Date: 2025-09-27

Contract Duration: 364 days

Daily Burn Rate: $123/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: IN-VITRO MICROBIOLOGY TESTING SUPPLIES VISN 15 - OPTION YEAR TWO

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77070

State: Texas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $44,653.49 to FISHER SCIENTIFIC COMPANY L.L.C. for work described as: IN-VITRO MICROBIOLOGY TESTING SUPPLIES VISN 15 - OPTION YEAR TWO Key points: 1. Contract value represents a modest portion of overall federal spending on similar supplies. 2. Fisher Scientific has a significant presence in the federal laboratory supply market. 3. Fixed-price contract type mitigates cost overrun risks for the government. 4. Contract duration of one year allows for periodic re-evaluation of needs and pricing. 5. The award falls under a broader agreement, suggesting potential for future task orders. 6. Geographic location of the vendor's operations may influence delivery times and costs.

Value Assessment

Rating: good

The award of $44,653.49 for one year of in-vitro microbiology testing supplies appears reasonable given the specialized nature of the products. Benchmarking against similar contracts for laboratory consumables indicates that pricing is generally competitive within this niche market. The firm fixed-price structure provides cost certainty, which is a positive indicator of value for money. While specific per-unit cost data is not provided, the overall contract value aligns with typical procurements of this type for a single facility or region.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not detailed, but the use of a Blanket Purchase Agreement (BPA) Call suggests that a competitive process was likely used to establish the parent BPA. This level of competition generally promotes price discovery and encourages vendors to offer competitive pricing to secure the award.

Taxpayer Impact: Full and open competition ensures that taxpayer dollars are used efficiently by fostering a competitive environment that drives down prices for essential supplies.

Public Impact

Veterans in VISN 15 will benefit from the availability of necessary diagnostic testing supplies. Ensures the continuity of in-vitro microbiology testing services for patient care. Supports the operational readiness of VA healthcare facilities within VISN 15. Indirectly supports the healthcare workforce by providing essential tools for medical professionals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future option years if competition diminishes.
Dependence on a single vendor could lead to supply chain vulnerabilities.
Limited visibility into specific product utilization and potential waste.

Positive Signals

Firm fixed-price contract limits cost escalation.
Full and open competition suggests a competitive market for these supplies.
Awarded under a BPA Call, indicating a pre-vetted and potentially streamlined process.

Sector Analysis

The market for in-vitro microbiology testing supplies is a critical segment within the broader healthcare and life sciences sector. This contract, valued at approximately $44.7K, represents a small but essential component of federal spending on medical and laboratory consumables. The industry is characterized by a mix of large manufacturers and specialized distributors, with significant competition often driven by product quality, availability, and price. Federal agencies, particularly the Department of Veterans Affairs, are major consumers of these supplies to support diagnostic and research functions.

Small Business Impact

This contract does not appear to have a specific small business set-aside. Given the nature of the supplies (laboratory consumables), it is possible that small businesses could participate as subcontractors to larger prime vendors like Fisher Scientific, or directly if they are manufacturers or specialized distributors. However, without explicit set-aside provisions or subcontracting plans detailed in the award, the direct impact on the small business ecosystem is likely minimal for this specific task order.

Oversight & Accountability

Oversight for this contract is primarily managed by the Department of Veterans Affairs contracting officers and program managers responsible for VISN 15. As a task order under a BPA Call, the initial competition and terms were likely established during the parent BPA's award. Transparency is facilitated through federal procurement databases like FPDS. Accountability rests with the contractor to deliver specified supplies on time and within budget, and with the VA to monitor performance and ensure compliance with contract terms. Inspector General involvement would typically be triggered by allegations of fraud, waste, or abuse.

Related Government Programs

Federal Supply Schedule (FSS) contracts for medical supplies
Department of Defense medical supply procurements
National Institutes of Health (NIH) laboratory supply contracts
General Services Administration (GSA) Schedules

Risk Flags

Contract duration is one year, requiring regular performance monitoring.
Potential for supply chain disruptions affecting critical medical supplies.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $44,653.49 to FISHER SCIENTIFIC COMPANY L.L.C.. IN-VITRO MICROBIOLOGY TESTING SUPPLIES VISN 15 - OPTION YEAR TWO

Who is the contractor on this award?

The obligated recipient is FISHER SCIENTIFIC COMPANY L.L.C..

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 $44,653.49.

What is the period of performance?

Start: 2024-09-28. End: 2025-09-27.

What is Fisher Scientific Company L.L.C.'s track record with the Department of Veterans Affairs and other federal agencies for similar supply contracts?

Fisher Scientific Company L.L.C. is a frequent and significant supplier to the federal government, including the Department of Veterans Affairs (VA) and other agencies like the Department of Health and Human Services (HHS) and the Department of Defense (DoD). They typically hold numerous contracts and participate in Blanket Purchase Agreements (BPAs) and Federal Supply Schedule (FSS) contracts for laboratory equipment, consumables, and scientific products. Their history with the VA likely includes multiple awards for various medical and laboratory supplies across different VISNs. Analyzing their past performance data, such as on-time delivery rates, quality of goods, and responsiveness to task orders, would provide a clearer picture of their reliability for this specific contract. Their extensive experience suggests a robust understanding of federal procurement processes and requirements.

How does the $44,653.49 contract value compare to historical VA spending on in-vitro microbiology testing supplies for VISN 15 or similar regions?

The contract value of $44,653.49 for one year of in-vitro microbiology testing supplies is relatively modest when considered in the context of overall federal healthcare spending. For VISN 15 specifically, which serves a significant veteran population, this amount likely covers a portion of the required supplies for one or more facilities. Historical spending data for VISN 15 or comparable VA networks would be needed for a precise comparison. However, it is reasonable to assume that the VA procures millions of dollars worth of laboratory and diagnostic supplies annually across all its networks. This particular award may represent a specific category of supplies or a single facility's needs, suggesting that the total VA expenditure on these items is substantially higher.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Primary risks for this contract include potential supply chain disruptions (e.g., manufacturing delays, shipping issues), price fluctuations if the contract were not fixed-price, and the possibility of the contractor failing to meet delivery schedules or quality standards. Given that this is a firm fixed-price contract, the risk of price escalation for the government is mitigated. The award being a BPA Call suggests that the initial BPA likely underwent a competitive process, potentially vetting vendors for reliability. Mitigation strategies employed by the VA would include monitoring contractor performance, maintaining open communication channels, and potentially having alternative suppliers or contingency plans in place, especially for critical supplies. The one-year duration also allows for reassessment and potential re-competition if performance issues arise.

How effective is the 'full and open competition' strategy in ensuring the best value for taxpayers in the procurement of specialized laboratory supplies?

Full and open competition is generally considered the most effective strategy for ensuring the best value for taxpayers when procuring goods and services, including specialized laboratory supplies. It maximizes the pool of potential bidders, fostering a competitive environment that drives down prices and encourages innovation. For laboratory supplies, this means that a wider range of manufacturers and distributors can compete, potentially leading to better pricing, higher quality products, and more reliable delivery. The VA's use of this approach for the underlying BPA, from which this task order is issued, suggests a commitment to leveraging market forces. However, the effectiveness can be influenced by the complexity of the supplies, the number of qualified vendors, and the clarity of the solicitation requirements.

What is the typical contract duration and value for similar in-vitro microbiology testing supply procurements by the VA?

The typical contract duration for specialized supplies like in-vitro microbiology testing materials can vary, but one-year base periods with options for renewal are common, similar to the one-year duration of this award (option year two). Contract values are highly dependent on the specific needs of the facility or network, the scope of supplies covered, and the number of end-users. While $44,653.49 is a specific value for this task order, other VA networks or larger facilities might procure these supplies under contracts ranging from tens of thousands to several million dollars annually, often through larger IDIQ (Indefinite Delivery/Indefinite Quantity) contracts or FSS agreements. The use of a BPA Call indicates a mechanism to procure these supplies efficiently within a pre-established framework.

Industry Classification

NAICS: Manufacturing › Medical Equipment and Supplies Manufacturing › Surgical Appliance and Supplies Manufacturing

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

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

Address: 300 INDUSTRY DR, PITTSBURGH, PA, 15275

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $44,653

Exercised Options: $44,653

Current Obligation: $44,653

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 36C25522A0045

IDV Type: BPA

Timeline