VA awards $732,780 contract for outpatient care to EGA ASSOCIATES, LLC in Pennsylvania
Contract Overview
Contract Amount: $732,780 ($732.8K)
Contractor: EGA Associates, LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2026-04-02
End Date: 2026-09-30
Contract Duration: 181 days
Daily Burn Rate: $4.0K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: MCCURTAIN CBOC
Place of Performance
Location: JEANNETTE, WESTMORELAND County, PENNSYLVANIA, 15644
Plain-Language Summary
Department of Veterans Affairs obligated $732,780 to EGA ASSOCIATES, LLC for work described as: MCCURTAIN CBOC Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration is 181 days, indicating a short-term service requirement. 3. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. The award is a Delivery Order, likely part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 5. The North American Industry Classification System (NAICS) code 621498 covers Outpatient Care Centers, aligning with the contract's purpose. 6. The contract is managed by the Department of Veterans Affairs, serving the veteran population.
Value Assessment
Rating: good
The contract value of $732,780 for 181 days of outpatient care services appears reasonable given the scope. Benchmarking against similar contracts for specialized outpatient services would provide a more precise value-for-money assessment. The Firm Fixed Price structure indicates that the contractor bears the risk of cost overruns, which is generally favorable for the government.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that the solicitation was made available to all responsible sources, but specific sources were excluded from the initial bidding process for defined reasons. The number of bidders is not specified, but the 'full and open' nature suggests a robust competition was intended, which typically leads to better price discovery and value for the government.
Taxpayer Impact: A competitive award process generally benefits taxpayers by driving down prices and ensuring the government receives the best value for its investment. The open competition aims to prevent price gouging and encourage efficiency among potential contractors.
Public Impact
Veterans in Pennsylvania will benefit from the outpatient care services provided under this contract. The contract supports the delivery of essential healthcare services, contributing to the well-being of the veteran community. The geographic impact is focused on Pennsylvania, where the services will be rendered. The contract supports healthcare professionals employed by EGA ASSOCIATES, LLC, potentially creating or maintaining jobs in the sector.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific details on the exclusion of sources in the 'full and open' competition could obscure potential competitive disadvantages.
- The short duration of the contract (181 days) may lead to frequent re-competition, incurring administrative costs and potential service disruptions.
- Without performance metrics, it's difficult to assess the quality and effectiveness of the services provided by EGA ASSOCIATES, LLC.
Positive Signals
- The contract was awarded through a full and open competition process, indicating a commitment to leveraging market forces for best value.
- The Firm Fixed Price contract type effectively transfers cost overrun risk to the contractor, protecting the government from unexpected expenses.
- The Department of Veterans Affairs is a reputable agency with established procurement processes, suggesting a degree of oversight.
Sector Analysis
The healthcare sector, specifically outpatient care, is a significant area of federal spending, particularly for the Department of Veterans Affairs. This contract falls under the 'All Other Outpatient Care Centers' category (NAICS 621498), which encompasses a wide range of non-hospital-based medical services. Federal spending in this area is driven by the need to provide accessible and specialized care to beneficiaries, with competition often focused on quality, cost-effectiveness, and provider network reach.
Small Business Impact
There is no indication that this contract was specifically set aside for small businesses, nor is there information regarding subcontracting plans. The award to EGA ASSOCIATES, LLC, without further details on its size, makes it difficult to assess the direct impact on the small business ecosystem. Future analysis could explore whether small businesses are participating as subcontractors or if similar contracts are being awarded to small entities.
Oversight & Accountability
Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting officers and program managers. Accountability measures are inherent in the Firm Fixed Price contract type, which requires the contractor to deliver specified services within the agreed-upon price. Transparency is facilitated by the public nature of contract awards, though detailed performance data may not always be readily available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.
Related Government Programs
- Department of Veterans Affairs Medical Care Programs
- Outpatient Medical Services Contracts
- Healthcare Services for Federal Beneficiaries
Risk Flags
- Potential for quality compromises under FFP if contractor faces cost pressures.
- Short contract duration may lead to administrative inefficiencies and continuity concerns.
- Lack of detailed performance metrics makes objective assessment difficult.
- Exclusion of sources in 'full and open' competition warrants further scrutiny.
Tags
healthcare, department-of-veterans-affairs, pennsylvania, delivery-order, outpatient-care, firm-fixed-price, full-and-open-competition, veterans, medical-services, small-contract-value
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $732,780 to EGA ASSOCIATES, LLC. MCCURTAIN CBOC
Who is the contractor on this award?
The obligated recipient is EGA ASSOCIATES, 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 $732,780.
What is the period of performance?
Start: 2026-04-02. End: 2026-09-30.
What is the track record of EGA ASSOCIATES, LLC in performing federal contracts, particularly with the Department of Veterans Affairs?
Information regarding the specific track record of EGA ASSOCIATES, LLC in performing federal contracts, especially with the Department of Veterans Affairs, is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes. Without this data, it is difficult to gauge their reliability and past performance quality. Federal procurement databases and past performance questionnaires are typically used to evaluate contractor history. Further investigation into their contract portfolio and client feedback would be necessary to establish a clear understanding of their capabilities and dependability.
How does the awarded amount of $732,780 for 181 days of outpatient care compare to market rates for similar services in Pennsylvania?
The awarded amount of $732,780 for 181 days of outpatient care translates to approximately $4,049 per day. To benchmark this against market rates, one would need to compare it with the average daily cost of similar outpatient services provided by comparable facilities in Pennsylvania. Factors such as the specific type of outpatient care (e.g., primary, specialty, diagnostic), the patient population served, and the scope of services included are crucial for an accurate comparison. Without detailed service descriptions and access to market rate surveys for healthcare providers in the region, a definitive assessment of whether this represents a competitive price is challenging. However, the 'full and open competition' suggests an effort to secure a fair market price.
What are the specific risks associated with a Firm Fixed Price contract for outpatient care services?
While Firm Fixed Price (FFP) contracts generally shift cost risk to the contractor, potential risks for the government in this context include the contractor potentially cutting corners on quality or scope to maintain profitability if unforeseen cost increases arise. If the contractor underestimates costs significantly, they might face financial distress, potentially impacting service delivery. Another risk is that the government might pay a premium upfront to compensate the contractor for taking on this risk. For outpatient care, ensuring that the fixed price adequately covers all necessary services without compromising patient care quality is paramount. The government must have robust oversight to monitor performance and ensure adherence to the contract's requirements.
What is the expected effectiveness and impact of the services provided under this contract on veteran healthcare outcomes?
The effectiveness and impact of the services provided under this contract on veteran healthcare outcomes are contingent upon the specific nature of the outpatient care being delivered and the quality of service provided by EGA ASSOCIATES, LLC. As this is a delivery order for 'All Other Outpatient Care Centers,' the services could range widely from routine check-ups to specialized treatments. Positive impacts would include improved access to timely care, better management of chronic conditions, and enhanced overall health for the veteran beneficiaries. Negative impacts could arise from inadequate service provision, leading to delayed treatment or suboptimal health outcomes. Measuring effectiveness would require tracking key performance indicators related to patient satisfaction, clinical outcomes, and access to care metrics.
How has the Department of Veterans Affairs' spending on outpatient care centers evolved over the past five years, and how does this contract fit into that trend?
Analyzing the Department of Veterans Affairs' (VA) spending on outpatient care centers over the past five years would reveal trends in demand, service expansion, and contracting strategies. This specific contract, valued at $732,780 for a 181-day period, represents a relatively small portion of the VA's overall healthcare budget. If VA spending in this category has been increasing, this contract aligns with a broader trend of utilizing external providers for specialized or supplementary outpatient services. Conversely, if spending has been stable or decreasing, this award might indicate a shift in procurement focus or a response to specific regional needs. Without historical spending data for NAICS code 621498 or similar outpatient services, it's difficult to definitively place this contract within a larger spending trajectory.
Industry Classification
NAICS: Health Care and Social Assistance › Outpatient Care Centers › All Other Outpatient Care Centers
Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES
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
Parent Company: EGA Associates LLC
Address: 602 CLAY AVE STE 200, JEANNETTE, PA, 15644
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $732,780
Exercised Options: $732,780
Current Obligation: $732,780
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 36C25926D0008
IDV Type: IDC
Timeline
Start Date: 2026-04-02
Current End Date: 2026-09-30
Potential End Date: 2036-03-31 00:00:00
Last Modified: 2026-04-02
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