VA's February 2026 Medical Cylinder Gas Spending Reached $32.8K, Primarily for Fills and Rentals

Contract Overview

Contract Amount: $32,778 ($32.8K)

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: $1.2K/day

Competition Type: COMPETED UNDER SAP

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 $32,777.61 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. Spending focused on essential medical gas services, indicating consistent demand for patient care. 2. The contract was competed under simplified acquisition procedures, suggesting a focus on smaller value procurements. 3. RAS ENTERPRISES LLC secured this order, highlighting their role in supplying critical medical gases. 4. The contract type is Firm Fixed Price, providing cost certainty for the VA. 5. The short duration of 27 days points to a tactical, short-term need for these services. 6. The North American Industry Classification System (NAICS) code 325120 places this within Industrial Gas Manufacturing.

Value Assessment

Rating: good

The reported monthly spend of $32,777.61 for medical cylinder gases, fills, and rentals appears reasonable for a single month's operational need within a healthcare setting. Without specific benchmarks for medical gas services in Mississippi or comparable VA facilities, a direct value-for-money assessment is challenging. However, the firm fixed-price contract type suggests that pricing was determined upfront, offering predictability. The relatively low dollar amount for this delivery order indicates it is likely part of a larger, ongoing requirement for these essential supplies.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under Simplified Acquisition Procedures (SAP), which are typically used for purchases below the threshold for full and open competition, often involving multiple bids from pre-qualified vendors. While the specific number of bidders is not provided, SAP generally encourages competition among a broader range of suppliers than sole-source or limited competition contracts. This method aims to balance efficiency with fair pricing.

Taxpayer Impact: Competition under SAP generally leads to competitive pricing for taxpayers, as multiple vendors are invited to bid, driving down costs compared to non-competitive awards.

Public Impact

Veterans receiving medical care benefit from the consistent availability of essential medical cylinder gases. The services provided include the filling of cylinders and rental of equipment, crucial for respiratory therapy and other medical treatments. The geographic impact is focused on Mississippi, where the VA facility requiring these services is located. This contract supports the healthcare workforce by ensuring they have the necessary supplies to treat patients effectively.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed competition data (number of bids) makes it difficult to fully assess price competitiveness.
No specific performance metrics or quality indicators are provided for RAS ENTERPRISES LLC's services.
The short duration of the order might indicate a reactive procurement rather than strategic planning.

Positive Signals

The contract was competed, suggesting an effort to obtain fair market value.
Firm Fixed Price contract type provides cost certainty for the government.
The vendor, RAS ENTERPRISES LLC, is actively supplying critical medical gases to the VA.

Sector Analysis

The market for industrial gas manufacturing, particularly medical-grade gases, is a critical component of the healthcare supply chain. This sector involves specialized production, purification, and distribution processes. Spending in this area is driven by patient demand for respiratory therapies, anesthesia, and other medical applications. While large corporations dominate much of the global market, smaller regional suppliers like RAS ENTERPRISES LLC play a vital role in fulfilling localized needs, especially through government contracts.

Small Business Impact

This contract was awarded under Simplified Acquisition Procedures, which can sometimes include opportunities for small businesses. However, the data does not specify if RAS ENTERPRISES LLC is a small business or if there were specific small business set-aside provisions for this particular order. Further analysis would be needed to determine the extent of small business participation or subcontracting opportunities related to this procurement.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' procurement and financial management systems. As a delivery order under a larger contract vehicle, its execution is monitored by the ordering officers and contracting specialists within the VA. Transparency is generally maintained through contract databases, though specific performance reviews and Inspector General involvement would depend on reported issues or audits.

Related Government Programs

Medical Supplies and Equipment
Pharmaceuticals and Medical Chemicals
Healthcare Services
Veterans Health Administration Procurement

Risk Flags

Potential supply chain disruptions for critical medical gases.
Dependence on a single vendor for a specific delivery order.
Limited transparency on specific performance metrics for this order.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $32,777.61 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 $32,777.61.

What is the period of performance?

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

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

Analyzing historical spending for medical cylinder gases and rentals by the VA requires access to comprehensive contract databases over multiple fiscal years. Generally, spending in this category is expected to be consistent, driven by the ongoing needs of VA medical centers and clinics for patient care, particularly in areas like respiratory therapy and surgery. Fluctuations might occur due to changes in patient volume, new medical technologies, or shifts in contracting strategies. For instance, a trend towards longer-term, larger-scale contracts versus numerous smaller delivery orders could indicate evolving procurement efficiencies or market dynamics. Without specific historical data for this NAICS code or service category, it's difficult to pinpoint precise trends, but consistent demand for these essential gases is a reasonable assumption.

How does the pricing of RAS ENTERPRISES LLC compare to other suppliers for similar medical cylinder gas services?

A direct comparison of RAS ENTERPRISES LLC's pricing for this specific delivery order against other suppliers is challenging without access to detailed pricing data from competing bids or other VA contracts for the same services. The contract being under Simplified Acquisition Procedures (SAP) suggests that pricing was likely competitive among the bidders invited. However, SAP thresholds mean that the scale of this procurement might not attract the largest national suppliers, potentially leading to different pricing structures compared to larger, full-and-open competition contracts. To benchmark effectively, one would need to compare unit prices for specific gases (e.g., oxygen, nitrous oxide), fill charges, and rental rates against market data or other government contracts awarded in the same region or for similar healthcare facilities.

What are the key performance indicators (KPIs) used to evaluate the performance of RAS ENTERPRISES LLC under this contract?

The provided data does not specify the Key Performance Indicators (KPIs) used to evaluate RAS ENTERPRISES LLC's performance for this particular delivery order. Typically, for contracts involving medical supplies and services, KPIs would focus on aspects such as on-time delivery rates, order accuracy, product quality (purity of gases), responsiveness to urgent requests, and compliance with safety regulations. For cylinder rentals, metrics might include the condition and availability of cylinders. The Department of Veterans Affairs usually has established performance management frameworks for its vendors, often detailed within the contract's Performance Work Statement (PWS). Without the PWS or specific contract clauses, identifying the exact KPIs remains speculative.

What is the typical contract duration and value for medical cylinder gas services procured by the VA?

The typical contract duration and value for medical cylinder gas services procured by the VA can vary significantly. Contracts can range from short-term, task-order-based agreements like this 27-day delivery order, to multi-year Indefinite Delivery/Indefinite Quantity (IDIQ) contracts. The value is highly dependent on the size and needs of the specific VA facility or network of facilities being served. Larger IDIQ contracts can be worth millions of dollars over their lifespan, covering a broad range of gases and services. Smaller, localized needs might be met through simplified acquisition procedures, resulting in orders in the tens of thousands of dollars, as seen here. The VA often uses a mix of contracting strategies to meet diverse requirements efficiently.

Are there any specific risks associated with the supply chain for medical cylinder gases, and how are they mitigated?

The supply chain for medical cylinder gases faces several potential risks, including disruptions in production due to raw material shortages or equipment failures, transportation challenges (especially for hazardous materials), and regulatory compliance issues. For instance, maintaining the purity and integrity of medical-grade gases requires stringent quality control. Additionally, demand can be unpredictable, spiking during public health emergencies. Mitigation strategies employed by the VA and its suppliers often include maintaining safety stock levels, diversifying suppliers where possible, utilizing robust logistics networks, and ensuring strict adherence to safety and quality standards. The firm fixed-price nature of this contract helps mitigate cost-related risks for the VA, assuming the supplier has adequately factored potential supply chain volatilities into their pricing.

Industry Classification

NAICS: Manufacturing › Basic Chemical Manufacturing › Industrial Gas Manufacturing

Product/Service Code: CHEMICALS AND CHEMICAL PRODUCTS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2512 25TH AVE STE 3, 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: $32,778

Exercised Options: $32,778

Current Obligation: $32,778

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C77620D0017

IDV Type: IDC

Timeline