R604--Small Package Delivery (UPS) (DET) | Follow on | Start: 4/1/26
Overview
Buyer
Place of Performance
NAICS
PSC
Set Aside
Original Source
Timeline
Qualification Details
Fit reasons
- NAICS alignment with historical contract wins in similar service areas.
- Scope strongly matches core technical capabilities and delivery model.
Risks
- Past performance thresholds may require one additional teaming partner.
- Potential clarification needed on staffing minimums before bid/no-bid.
Next steps
Validate eligibility requirements, assign capture owner, and schedule partner outreach to confirm teaming strategy before submission planning.
Quick Summary
The Department of Veterans Affairs (VA) has awarded a Firm Fixed-Price task order valued at $190,000.00 to United Parcel Service Co. (UPS) for Small Package Delivery services at the Detroit VA Medical Center. This is a one-year, sole-source follow-on award, starting April 1, 2026, utilizing the Next Generation Delivery Service (NGDS) contract.
Scope of Work
The contract requires comprehensive package pickup and delivery services, including logistic support, for patients, Community-Based Outpatient Clinics (CBOCs), and Medical Center campuses. Services include daily pickup and drop-off, Monday-Friday delivery, and expedited support for time-sensitive items. Delivery addresses may be residential or commercial.
Contract & Timeline
- Contract Type: Firm Fixed-Price (FFP) task order
- Award Amount: $190,000.00 (not-to-exceed ceiling, bulk funded)
- Period of Performance: One year, starting April 1, 2026
- Award Date: February 27, 2026
- Awardee: UNITED PARCEL SERVICE CO. (UEI: YF8QFWJLNBV8)
- Product Service Code: R604 (Mailing And Distribution Services)
- NAICS Code: 492110 (Couriers and Messengers)
Set-Aside & Justification
This award was made on a sole-source basis under FAR 16.505(b)(2)(i)(B), citing that only UPS is capable of providing the required services at the necessary quality level. Market research, including an RFI, was conducted to assess small business participation, but no viable SDVOSB or VOSB options were identified to meet the "VA Rule of Two" or "SBA Rule of Two" requirements.
Evaluation
UPS was selected based on providing the best overall value for Next Day and Residential Ground service within the VHA VISN 10 region, compared to other NGDS GWAC vendors. The rates offered under the NGDS-2 contract are considered competitively solicited, fair, and reasonable.
Additional Notes
This action utilizes the Next Generation Delivery Service (NGDS), which is a Best-in-Class mandatory solution. The contracting office is 250-NETWORK CONTRACT OFFICE 10 (36C250).