VA Boise Awards $597K Contract for Reference Laboratory Services to Quest Diagnostics
Contract Overview
Contract Amount: $596,830 ($596.8K)
Contractor: Quest Diagnostics Incorporated
Awarding Agency: Department of Veterans Affairs
Start Date: 2025-09-01
End Date: 2026-02-28
Contract Duration: 180 days
Daily Burn Rate: $3.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: REFERENCE LABORATORY SERVICES FOR VA BOISE HEALTHCARE SYSTEM
Place of Performance
Location: BOISE, ADA County, IDAHO, 83702
State: Idaho Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $596,829.87 to QUEST DIAGNOSTICS INCORPORATED for work described as: REFERENCE LABORATORY SERVICES FOR VA BOISE HEALTHCARE SYSTEM Key points: 1. Contract awarded to Quest Diagnostics for essential laboratory services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract duration is 180 days, indicating a short-term need. 4. The North American Industry Classification System (NAICS) code is 621511 (Medical Laboratories).
Value Assessment
Rating: good
The contract value of $596,829.87 for 180 days of service appears reasonable given the scope of reference laboratory services. Benchmarking against similar contracts for medical laboratories 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, which typically fosters competitive pricing and ensures the government receives the best value. The use of a delivery order suggests this is part of a larger contract vehicle.
Taxpayer Impact: Taxpayer funds are being used efficiently through a competitive process to secure necessary medical laboratory services for veterans.
Public Impact
Ensures access to critical diagnostic testing for veterans at the VA Boise Healthcare System. Supports the operational efficiency of the VA healthcare system by outsourcing specialized laboratory services. Potentially impacts patient care timelines and diagnostic accuracy through timely test results.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Short contract duration may lead to frequent re-competition and potential service disruption.
- Reliance on a single vendor for a critical service could pose risks if performance issues arise.
Positive Signals
- Awarded through full and open competition, indicating a fair market price was likely achieved.
- Supports a vital healthcare function for a specific veteran population.
Sector Analysis
The healthcare sector, particularly medical laboratories, is crucial for diagnostic services. Spending benchmarks for reference laboratory services can vary significantly based on volume, complexity, and geographic location. This contract falls within the typical range for specialized laboratory support.
Small Business Impact
The data does not indicate whether small businesses were involved in this procurement. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight mechanisms for delivery orders under a larger contract vehicle would apply, focusing on performance and adherence to terms.
Related Government Programs
- Medical Laboratories
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Short contract duration
- Potential for service disruption if follow-on contract is delayed
- Reliance on a single vendor for critical services
Tags
medical-laboratories, department-of-veterans-affairs, id, delivery-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $596,829.87 to QUEST DIAGNOSTICS INCORPORATED. REFERENCE LABORATORY SERVICES FOR VA BOISE HEALTHCARE SYSTEM
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 $596,829.87.
What is the period of performance?
Start: 2025-09-01. End: 2026-02-28.
What is the specific scope of services included in this reference laboratory contract?
The provided data does not detail the specific tests or services covered. A comprehensive understanding of the scope would require reviewing the contract's statement of work. This would clarify the types of diagnostic procedures, specimen handling, and reporting requirements expected from Quest Diagnostics.
How does the pricing compare to other reference laboratory contracts awarded by the VA or other federal agencies?
Without access to a benchmark database of similar contracts, a direct price comparison is difficult. However, the contract's value and duration suggest a need for specialized services. Further analysis would involve comparing per-test costs or bundled service costs against industry standards and other government contracts.
What are the potential risks associated with a short-term contract for essential laboratory services?
A short duration (180 days) increases the risk of service interruption if a new contract is not awarded promptly. It also necessitates frequent re-competition, which can be administratively burdensome and may not allow for long-term vendor investment in service improvements. This could also lead to price volatility in subsequent contract periods.
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
Offers Received: 1
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: $863,993
Exercised Options: $596,830
Current Obligation: $596,830
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: V797D70090
IDV Type: FSS
Timeline
Start Date: 2025-09-01
Current End Date: 2026-02-28
Potential End Date: 2026-02-28 00:00:00
Last Modified: 2026-04-07
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