$6.8B VA contract hit with bid protests

A $6.8 billion VA contract to improve how it determines disability benefits has run into several protests that will delay the start of the program.

The Veterans Affairs Department’s $6.8 billion contract for medical disability exams has run into several protests, which will delay the start of the program.

The contract is a series of 12 awards that went to three companies, including Lockheed Martin’s QTC Medical Services business. QTC will become part of Leidos later this year when it acquires Lockheed’s IT business.

Other winners are VetFed Resources and Veterans Evaluation Services. Veterans Evaluation Services has filed three protests.

The contract has separate awards in seven different regions or districts. Some districts have more than one winner. Veterans Evaluation Services won spots in three of the seven districts.

VA is using the contract to centralize how it manages and delivers disability benefits claims decisions. Each contract is for 12 months with four 12-month options.

QTC, VetFed and Veterans Evaluation Services are all incumbents from previous contracts, but this contract puts all of the work into a single program management structure with a central management group from both Veterans Benefits Administration and the Veterans Health Administration.

The goal is to reduce veteran wait times for examinations and make faster claims decision, the agency said.

But with the protests, the start of the contract will be delays.

Veterans Evaluation Services filed its protest April 4. A decision from the Government Accountability Office is due July 13.