Department of Veterans Affairs Awarded a Contract to CADUCEUS HEALTHCARE INC for $15,000,000.00

Summary of Award

The recent contract awarded to Caduceus Healthcare Inc. by the Department of Veterans Affairs (VA) is a pivotal example of the government's deployment of resources to fulfill critical social services. Defined as an "Indefinite Delivery / Indefinite Quantity" (IDIQ) contract, this award demonstrates a strategic commitment to providing essential social worker staffing services, specifically for the VA Greater Los Angeles Healthcare System (VAGLAHS).

### Contract Overview

This IDIQ contract, identified with the procurement instrument identifier (PIID) 36C26222D0066, was officially signed on September 21, 2022, with a base and all options value totaling $15,000,000. Although the total obligation to date stands at zero, this structure underscores the potential for the Department of Veterans Affairs to secure necessary services when required, without the immediate fiscal burden. The contract's lifespan extends over a five-year period, from September 23, 2022, to September 22, 2027, providing a substantial timeframe for procurement flexibility and service management. ### Awarding and Funding Agency Both the awarding and funding responsibilities fall under the authority of the Department of Veterans Affairs, specifically managed by the Network Contract Office 22 and the VA Greater Los Angeles Healthcare System. These offices indicate a remarkable level of coordination aimed at enhancing healthcare services for veterans in the Los Angeles region. ### Recipient Details Caduceus Healthcare Inc., based in Atlanta, Georgia, is the contract recipient. This corporation is notable for its wide range of business categories, highlighting its diversified capabilities and compliance with regulatory frameworks. A Service-Disabled Veteran-Owned Small Business (SDVOSBC), Caduceus is categorized under several business designations, including Minority Owned and Hispanic American Owned Business. This diversity is particularly relevant given federal initiatives to support underrepresented groups in government contracting. ### Services and Industry Classification The services procured under this contract fall under the North American Industry Classification System (NAICS) code 561320, which pertains to "Temporary Help Services." This designation aligns with the contract's focus on social worker staffing, providing a pipeline of temporary social rehabilitation professionals to support veterans' healthcare needs. The Product or Service Code (PSC) of G004, described as "Social - Social Rehabilitation," further encapsulates the specialization and the social service dimensions of the contract. ### Transactions and Modifications The transaction history associated with this contract presents a consistent pattern of modifications (Mods P00001 to P00006), indicating progressive adjustments over time without direct financial exchange as noted by the zero transaction amounts. These modifications could involve administrative adjustments, changes in service specifications, or scheduling refinements that drive the contract's effective execution. 1. **Initial Transaction**: On September 21, 2022, the initial transaction "Mod 0" set the foundation for subsequent developments. This baseline step initiated the formal relationship between the VA and Caduceus Healthcare Inc. 2. **Subsequent Adjustments**: Modifications through subsequent periods reflect the contract's evolving nature, with actions taken on February 8, 2023 (Mod P00001), July 31, 2024 (Mod P00002), and continued into 2024 and 2025. Each transaction underscores the governmental process of managing complex service contracts, ensuring alignment with evolving needs and compliance with regulatory frameworks. ### Competitive Procurement Process Notably, the contract was procured through a process involving an extensive competition, with 21 offers received. The solicitation identified with tracking number 36C26222R0124 and negotiation procedures highlights the competitive landscape and the rigorous evaluation that precedes such awards. Significantly, this contract was part of a set-aside for SDVOSBC, promoting the inclusion of veteran entrepreneurs in the economic mainstream. ### Contractual and Compliance Features This contract categorizes under "Full and Open Competition After Exclusion of Sources," demonstrating compliance with federal procedures to balance openness with strategic exclusions aimed at fostering small business participation. Additionally, it adheres to labor standards, although pricing data was not required, typical in firm fixed-price agreements. Caduceus operates as a U.S.-owned business, further reinforcing the government's orientation towards supporting domestic enterprises that reinvest in regional economies. ### Conclusion The partnership between the Department of Veterans Affairs and Caduceus Healthcare Inc. is quintessentially aligned with the broader goal of enhancing veteran healthcare services through strategically allocated resources. With a robust framework for temporary staffing and a commitment to supporting diverse business enterprises, this contract symbolizes a modern approach to government procurement, aiming at inclusivity and high-quality service delivery. As this partnership unfolds over the contract's duration, it is poised to significantly impact the operational capabilities of the VA Greater Los Angeles Healthcare Systems, ensuring veterans receive the social support essential for rehabilitation and reintegration into society.