VA Awards $505K for Reference Lab Testing to Quest Diagnostics Under Full and Open Competition
Contract Overview
Contract Amount: $504,972 ($505.0K)
Contractor: Quest Diagnostics Incorporated
Awarding Agency: Department of Veterans Affairs
Start Date: 2024-11-01
End Date: 2025-10-31
Contract Duration: 364 days
Daily Burn Rate: $1.4K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: REFERENCE LABORATORY TESTING SERVICES
Place of Performance
Location: SECAUCUS, HUDSON County, NEW JERSEY, 07094
Plain-Language Summary
Department of Veterans Affairs obligated $504,971.59 to QUEST DIAGNOSTICS INCORPORATED for work described as: REFERENCE LABORATORY TESTING SERVICES Key points: 1. Contract value of $504,971.59 for one year. 2. Quest Diagnostics, a major player, secured the award. 3. Full and open competition was utilized. 4. The contract is for medical laboratory services.
Value Assessment
Rating: good
The contract value appears reasonable for reference laboratory testing services for a one-year period. Benchmarking against similar contracts would provide a more definitive assessment, but the amount is not immediately indicative of overpricing.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method allows multiple qualified vendors to bid, driving competitive pricing.
Taxpayer Impact: Taxpayer funds are being used efficiently through a competitive bidding process, aiming to secure the best value for essential laboratory services.
Public Impact
Ensures access to critical laboratory testing for veterans. Supports the Department of Veterans Affairs' healthcare mission. Provides continuity of essential medical services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price increases in future contract renewals.
- Dependence on a single vendor for a critical service.
Positive Signals
- Competitive award process ensures fair pricing.
- Contract duration aligns with service needs.
Sector Analysis
The healthcare sector, particularly medical laboratories, is a significant area of federal spending. Benchmarks for similar laboratory service contracts vary widely based on scope and volume, but this award appears within a typical range for a single-award BPA call.
Small Business Impact
The data indicates that small businesses were not awarded this specific contract, as it was won by a large, established provider. Future solicitations could explore opportunities for small business participation in specific components or as subcontractors.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this contract to ensure service delivery meets quality standards and contractual obligations. Regular performance reviews and audits are standard oversight mechanisms.
Related Government Programs
- Medical Laboratories
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for vendor lock-in if not managed proactively.
- Reliance on a single provider for critical diagnostic services.
- Need for ongoing monitoring of service quality and cost-effectiveness.
- Limited visibility into subcontractor performance if applicable.
Tags
medical-laboratories, department-of-veterans-affairs, nj, bpa-call, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $504,971.59 to QUEST DIAGNOSTICS INCORPORATED. REFERENCE LABORATORY TESTING SERVICES
Who is the contractor on this award?
The obligated recipient is QUEST DIAGNOSTICS INCORPORATED.
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 $504,971.59.
What is the period of performance?
Start: 2024-11-01. End: 2025-10-31.
What is the historical pricing trend for reference laboratory services with the VA?
Historical pricing data for reference laboratory services with the VA would be crucial for a comprehensive value assessment. Analyzing past contract awards, including any price escalations or reductions over time, can reveal trends. This context helps determine if the current $504,971.59 award represents a fair market price or a potential deviation from historical norms, informing future negotiation strategies and budget allocations.
What are the specific performance metrics and quality assurance measures for this contract?
Understanding the specific performance metrics and quality assurance measures is vital for assessing contract effectiveness and risk. This includes turnaround times for tests, accuracy rates, and reporting protocols. Robust oversight ensures that Quest Diagnostics meets the VA's standards, mitigating risks associated with service quality and patient care, and confirming that the awarded funds are directly tied to high-quality, reliable laboratory results.
How does the scope of services in this BPA call compare to other similar contracts awarded by the VA or other agencies?
Comparing the scope of services in this BPA call to similar contracts provides essential context for evaluating its value and potential risks. If this contract covers a broader or more specialized range of tests than typical, the price may be justified. Conversely, if the scope is standard, it allows for a more direct price comparison, highlighting potential cost efficiencies or areas where spending might be optimized in future procurements.
Industry Classification
NAICS: Health Care and Social Assistance › Medical and Diagnostic Laboratories › Medical Laboratories
Product/Service Code: MEDICAL SERVICES › LABORATORY TESTING SERVICES
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: 500 PLAZA DR, SECAUCUS, NJ, 07094
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $504,972
Exercised Options: $504,972
Current Obligation: $504,972
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 36C25721A0006
IDV Type: BPA
Timeline
Start Date: 2024-11-01
Current End Date: 2025-10-31
Potential End Date: 2025-10-31 00:00:00
Last Modified: 2026-04-02
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