R604--UPS - Saginaw | Follow on Base | 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), Network Contracting Office 10, has awarded a Firm Fixed-Price sole-source contract to United Parcel Service Co. (UPS) for shipping and package delivery services at the Saginaw VA Medical Center. The award, valued at $350,100.00, covers a one-year period starting April 1, 2026.
Scope of Work
This contract provides essential package pickup and delivery services for the Saginaw VA Medical Center. Services include logistic support and deliveries to patients, Community-Based Outpatient Clinics (CBOCs), and Medical Center campuses. Key requirements involve daily pickup and drop-off Monday through Friday, expedited support for time-sensitive items, and deliveries to both residential and commercial addresses. The Product Service Code is R604 (Mailing And Distribution Services), and the NAICS code is 492110 (Couriers and Express Package Services).
Contract Details
- Awardee: United Parcel Service Co.
- Contract Type: Firm Fixed Price (FFP)
- Value: Not-to-exceed $350,100.00
- Period of Performance: One year, commencing April 1, 2026
- Award Date: February 27, 2026
- Award Number: HTC711-23-D-C025 36C25026F0324
- Set-Aside: None (Sole Source Justification)
Justification & Evaluation
This was a sole-source award justified under FAR 16.505(b)(2)(i)(B), citing that only UPS is capable of providing the required services at the necessary quality level due to unique or highly specialized requirements. Market research, including the "VA Rule of Two" for SDVOSB/VOSB concerns, concluded that no other capable small businesses expressed interest or could provide the breadth of service required without significant risk to patient care. UPS was selected for providing the best overall value in the VHA VISN 10 region, offering superior service, time-sensitive shipping expertise, reduced costs for 3-Day Air, specialized handling, and stronger guarantees on ground shipments. The acquisition aligns with OMB Memorandum M-17-29 (Next Generation Delivery Service - NGDS) and VA Directive #7179.
Contact Information
For questions regarding this award, contact Venkatlekhith Muntha, Contracting Specialist, at Venkatlekhith.Muntha@VA.gov or 317-988-1510.