VA's February 2026 Medical Cylinder Gas Spending Reached $61.7K with RAS ENTERPRISES LLC

Contract Overview

Contract Amount: $61,713 ($61.7K)

Contractor: RAS Enterprises LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2026-02-01

End Date: 2026-02-28

Contract Duration: 27 days

Daily Burn Rate: $2.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: EXPRESS REPORT: FEBRUARY 2026, ORDERING OFFICERS MONTHLY SPEND REPORT - MEDICAL CYLINDER GASES, FILLS, & CYLINDER RENTALS

Place of Performance

Location: GULFPORT, HARRISON County, MISSISSIPPI, 39501

State: Mississippi Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $61,713.4 to RAS ENTERPRISES LLC for work described as: EXPRESS REPORT: FEBRUARY 2026, ORDERING OFFICERS MONTHLY SPEND REPORT - MEDICAL CYLINDER GASES, FILLS, & CYLINDER RENTALS Key points: 1. Analysis focuses on a single month's spending, providing a snapshot of operational costs. 2. The contract type, 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', suggests a competitive process with specific justifications. 3. Pricing is on a firm-fixed-price basis, offering cost predictability. 4. The contract duration of 27 months indicates a medium-term commitment for essential medical supplies. 5. Spending is concentrated in Mississippi, highlighting regional service delivery. 6. The primary service involves industrial gas manufacturing, specifically for medical cylinder gases, fills, and rentals.

Value Assessment

Rating: good

The reported monthly spend of $61,713.40 for medical cylinder gases, fills, and rentals appears reasonable for a federal agency like the VA, which has significant healthcare demands. Without specific benchmarks for per-unit costs or rental fees for these specialized gases, a direct value-for-money assessment is challenging. However, the firm-fixed-price structure suggests that the VA has negotiated prices that are intended to remain stable throughout the contract period, which is a positive indicator for cost control. Further analysis would require comparing unit prices to market rates or similar VA contracts in other regions.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the competition was intended to be open, there was a specific reason or justification for excluding certain sources. The exact nature of this exclusion and the number of bidders that participated after the exclusion are not detailed in the provided data. This procurement approach can sometimes lead to less competitive pricing compared to unrestricted full and open competition, depending on the scope of the exclusion.

Taxpayer Impact: The 'exclusion of sources' aspect warrants scrutiny to ensure that taxpayer dollars were not overspent due to a narrowed competitive field. A limited competition might result in higher prices than a truly open market, potentially impacting the overall value for money.

Public Impact

Veterans receiving medical care benefit from the consistent availability of essential medical gases. Healthcare facilities within the VA system, particularly in Mississippi, are supported by this contract. The contract ensures the supply chain for critical medical gases, preventing disruptions in patient treatment. The workforce involved includes personnel for gas production, delivery, and cylinder management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in the competition type needs further clarification to ensure maximum competition and best pricing.
Lack of detailed unit pricing makes it difficult to benchmark value for money effectively.
The monthly spend, while a snapshot, could fluctuate significantly, requiring ongoing monitoring.

Positive Signals

Firm-fixed-price contract provides cost predictability for the VA.
The contract addresses a critical need for medical supplies, ensuring continuity of care.
The award to RAS ENTERPRISES LLC supports a specific vendor within the industrial gas sector.

Sector Analysis

The industrial gas manufacturing sector is crucial for various industries, including healthcare, where medical-grade gases are essential for patient care. This contract falls within the broader category of industrial gases, specifically focusing on medical cylinder gases, fills, and rentals. The market for these gases is characterized by specialized production, stringent quality control, and complex distribution logistics. Comparable spending benchmarks would typically involve analyzing other federal or large healthcare systems' contracts for similar medical gas supplies, considering regional variations in cost and demand.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this specific contract award. Therefore, there are no direct subcontracting implications for small businesses stemming from this particular order. The focus appears to be on fulfilling the requirement through the awarded prime contractor, RAS ENTERPRISES LLC.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' contracting officers and program managers. Accountability measures are inherent in the firm-fixed-price structure, which obligates the contractor to deliver specified goods and services at the agreed-upon price. Transparency is facilitated through contract award databases, although detailed monthly operational reports may not always be publicly accessible. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Medical Supplies and Equipment
Healthcare Services
Industrial Gases
Veterans Health Administration Contracts

Risk Flags

Competition level may be limited due to source exclusion.
Lack of detailed unit pricing hinders thorough value-for-money analysis.
Potential for price increases if contractor costs rise unexpectedly under FFP.
Dependence on a single contractor for critical medical supplies in a region.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $61,713.4 to RAS ENTERPRISES LLC. EXPRESS REPORT: FEBRUARY 2026, ORDERING OFFICERS MONTHLY SPEND REPORT - MEDICAL CYLINDER GASES, FILLS, & CYLINDER RENTALS

Who is the contractor on this award?

The obligated recipient is RAS ENTERPRISES 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 $61,713.4.

What is the period of performance?

Start: 2026-02-01. End: 2026-02-28.

What is the historical spending trend for medical cylinder gases and rentals by the Department of Veterans Affairs?

Analyzing historical spending trends for medical cylinder gases and rentals by the Department of Veterans Affairs (VA) requires access to comprehensive contract data over multiple fiscal years. Typically, such spending can fluctuate based on factors like changes in patient volume, new medical technologies requiring specific gases, and shifts in contracting strategies. For instance, a period of increased medical facility expansion or a surge in specific patient treatments could lead to higher expenditures. Conversely, efficiency improvements, consolidation of contracts, or the adoption of alternative supply methods might result in reduced spending. Without specific historical data for this category, it's difficult to provide precise figures, but it's reasonable to assume that the VA maintains a consistent, significant budget allocation for these essential medical supplies due to the critical nature of patient care.

How does the monthly spend of $61,713.40 compare to other VA facilities or similar healthcare providers for medical cylinder gases?

Comparing the VA's February 2026 monthly spend of $61,713.40 for medical cylinder gases to other VA facilities or similar healthcare providers is challenging without specific unit cost data and contract terms. The VA operates a vast network of facilities, and spending can vary significantly based on the size of the facility, the patient population served, the types of medical procedures performed, and regional pricing differences. A large medical center might incur higher costs than a smaller clinic. Similarly, private healthcare systems may have different procurement agreements and pricing structures. To make a meaningful comparison, one would need to normalize the data by factors such as patient-days, number of procedures, or specific gas consumption volumes, and then benchmark against contracts with similar scope and competition levels.

What are the specific reasons for the 'exclusion of sources' in the contract award for RAS ENTERPRISES LLC?

The designation 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' implies that the initial solicitation was intended for broad participation, but certain potential sources were subsequently excluded. The specific reasons for such exclusions are typically documented in the contract file and often relate to factors like the unique capabilities of a particular vendor, the need for compatibility with existing systems, urgent requirements where only a limited number of vendors could respond in time, or specific regulatory requirements. Without access to the detailed justification provided to the contracting officer, it is impossible to determine the exact rationale behind excluding other sources for RAS ENTERPRISES LLC's contract. This exclusion warrants further investigation to ensure it was based on legitimate, documented needs and did not unduly restrict competition.

What is the track record of RAS ENTERPRISES LLC in fulfilling federal contracts, particularly for medical supplies?

Assessing the track record of RAS ENTERPRISES LLC requires a review of their past performance on federal contracts, specifically those involving medical supplies or industrial gases. Information on contract history, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any past disputes or corrective actions would be crucial. A positive track record would indicate timely delivery, adherence to quality standards, and compliance with contract terms. Conversely, a history of performance issues could raise concerns about the reliability of supply and the overall value for money. Without access to this specific performance data, it's difficult to definitively assess their reliability for this critical medical supply contract.

What are the potential risks associated with a firm-fixed-price contract for medical cylinder gases?

While firm-fixed-price (FFP) contracts offer price predictability, they can present certain risks, especially for complex or volatile markets like industrial gases. One primary risk is that if the contractor, RAS ENTERPRISES LLC, underestimated costs or faces unforeseen increases in raw materials, labor, or transportation, they might struggle to meet their obligations or could potentially seek contract modifications. Conversely, if the VA overestimated its needs or market prices decrease significantly, the government might end up paying more than necessary. For medical gases, supply chain disruptions (e.g., due to natural disasters or geopolitical events affecting gas production or transport) could also pose a risk, potentially leading to shortages if the contractor cannot secure supply lines, even under an FFP agreement.

Industry Classification

NAICS: Manufacturing › Basic Chemical Manufacturing › Industrial Gas Manufacturing

Product/Service Code: CHEMICALS AND CHEMICAL PRODUCTS

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

Address: 2512 25TH AVE, GULFPORT, MS, 39501

Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, 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: $61,713

Exercised Options: $61,713

Current Obligation: $61,713

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C77623D0910

IDV Type: IDC

Timeline