Department of Veterans Affairs (VA)

The VA operates the largest integrated healthcare system in the United States, serving over nine million veterans. This massive operational footprint generates one of the broadest and deepest federal contracting markets outside DoD.

What is the VA?

The Department of Veterans Affairs provides benefits, healthcare, and memorial services to the nation's veterans through three main administrations: the Veterans Health Administration (VHA), the Veterans Benefits Administration (VBA), and the National Cemetery Administration (NCA). VHA operates 170+ medical centers and 1,000+ outpatient facilities, creating enormous demand for medical supplies, pharmaceuticals, healthcare IT, construction and facilities management, and professional services. The VA has statutory preferences for veteran-owned small businesses through the Veterans First Contracting Program, which mandates that contracting officers prioritize service-disabled veteran-owned small businesses (SDVOSBs) and veteran-owned small businesses (VOSBs) before considering other set-aside categories. The VA Center for Verification and Evaluation (CVE) verifies SDVOSB and VOSB status for VA contracts. The VA also manages large enterprise IT programs including the Electronic Health Record Modernization (EHRM) initiative.

Why the VA matters for government contractors

The VA's healthcare mission creates unusually consistent, long-term contracting needs across medical equipment, IT, facilities, and professional services. The veteran-owned business preference creates a significant competitive advantage for SDVOSBs pursuing VA contracts.

Example

An SDVOSB healthcare IT firm targets the VA's network of regional medical centers for electronic health records support services. It registers its SDVOSB status with the VA CVE, identifies relevant solicitations on SAM.gov, and benefits from the Veterans First priority in evaluation.

Frequently Asked Questions

What is the Veterans First Contracting Program?

Veterans First requires VA contracting officers to consider SDVOSBs before any other set-aside category, including 8(a) businesses. This reversed the traditional hierarchy and created a powerful entry advantage for veteran-owned firms.

Does the VA CVE verify all veteran-owned businesses?

The VA CVE verifies SDVOSB and VOSB status for VA contracts specifically. SBA also verifies these statuses for non-VA federal contracts. Both programs require documentation of veteran ownership and control.

What is the VA's largest procurement category?

Medical and pharmaceutical supplies, healthcare services, and healthcare IT are the VA's dominant procurement categories by dollar value. Construction and facilities management represent a significant secondary category.

Are VA contracts subject to the Service Contract Act?

Yes. VA service contracts above $2,500 are subject to SCA requirements for covered service employees.

Does the VA have its own procurement regulations beyond the FAR?

Yes. The VA Acquisition Regulation (VAAR) supplements the FAR with VA-specific policies covering healthcare acquisitions, veteran-owned business verification, and VA-specific contract clauses.