VA awards $2.3M for custom limb sockets, bypassing competition

Contract Overview

Contract Amount: $23,553 ($23.6K)

Contractor: Brownfields Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-12-09

End Date: 2023-12-09

Contract Duration: 365 days

Daily Burn Rate: $65/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: RIGHT BK MOLD SOCKET SACH FT ENDO CUSTOM LIMB

Place of Performance

Location: MERIDIAN, ADA County, IDAHO, 83642

State: Idaho Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $23,552.52 to BROWNFIELDS INC for work described as: RIGHT BK MOLD SOCKET SACH FT ENDO CUSTOM LIMB Key points: 1. Significant contract value for specialized medical devices. 2. Lack of competition raises concerns about price discovery. 3. Potential for higher costs due to sole-source award. 4. Sector: Healthcare/Medical Supplies Manufacturing.

Value Assessment

Rating: questionable

Pricing is difficult to assess without competitive benchmarks. The firm fixed price contract suggests a defined cost, but the absence of competition means there's no market validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed under SAP, indicating a sole-source or limited competition award. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: Taxpayer funds may not have achieved maximum value due to the lack of competitive bidding.

Public Impact

Veterans may receive essential custom prosthetic components. Limited transparency on whether the VA secured the best possible price. Potential impact on the availability and cost of similar devices in the future.

Waste & Efficiency Indicators

Waste Risk Score: 65 / 10

Warning Flags

Sole-source award
Lack of competition
Limited price discovery

Positive Signals

Essential medical supplies for veterans
Firm fixed price contract

Sector Analysis

This contract falls within the Surgical Appliance and Supplies Manufacturing sector, which is critical for providing specialized medical equipment. Benchmarks for custom prosthetic devices can vary widely based on complexity and materials.

Small Business Impact

The award was made to BROWNFIELDS INC, and there is no indication that small businesses were involved in subcontracting opportunities. Further analysis would be needed to confirm.

Oversight & Accountability

The award was made via Purchase Order, suggesting a streamlined process. Oversight would focus on ensuring the delivered product meets specifications and that the pricing, while not competed, is reasonable.

Related Government Programs

Surgical Appliance and Supplies Manufacturing
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Sole-source award
Lack of competition
Potential for inflated pricing
Limited transparency on price reasonableness
No small business subcontracting noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $23,552.52 to BROWNFIELDS INC. RIGHT BK MOLD SOCKET SACH FT ENDO CUSTOM LIMB

Who is the contractor on this award?

The obligated recipient is BROWNFIELDS 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 $23,552.52.

What is the period of performance?

Start: 2022-12-09. End: 2023-12-09.

What is the justification for the sole-source award, and how was the price determined to be fair and reasonable?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of other sources. Without competitive bids, the agency must independently verify the reasonableness of the price, often through historical data, market research, or cost analysis. This process is crucial for ensuring taxpayer funds are used efficiently.

What is the risk of overpaying for these custom limb sockets due to the lack of competition?

The primary risk of overpaying stems directly from the absence of competitive pressure. When only one vendor is considered, there's less incentive for them to offer the lowest possible price. The VA must rely on its internal cost analysis and negotiation skills to mitigate this risk, which is inherently more challenging than evaluating multiple competing offers.

How effective is this procurement strategy in ensuring timely access to critical prosthetic devices for veterans?

While a sole-source award can sometimes expedite procurement by avoiding lengthy competitive processes, its effectiveness in ensuring long-term value and access is questionable. It might provide timely access in the short term, but it doesn't foster a competitive market that could drive innovation and cost savings for future needs.

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: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1912 E FRANKLIN RD, MERIDIAN, ID, 83642

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,553

Exercised Options: $23,553

Current Obligation: $23,553

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline