Express report: pharmaceutical prime vendor (PPV)FY2026 december

Ended Awarded Last action

Contract number
36C24026K1003
Awardee
Awarding agency
Obligated
$1,110,402,104

Award facts

Contract value 100% obligated
$1,110,402,103.93 Current and potential, with all options
Completion date 100% complete
Current and potential, with all options
NAICS code
325412 Pharmaceutical Preparation Manufacturing
PSC
6505 Drugs And Biologicals
Set-aside
No set-aside
Competition
Full and Open Competition Negotiated Proposal / Quote
Pricing
Firm Fixed Price
Place of performance
Irving, TX 75039, USA

Award details come from SAM.gov/FPDS.

About this award

McKesson Corporation has been awarded a delivery order under the Pharmaceutical Prime Vendor (PPV) program with a ceiling value of $1.11 billion. The contract, awarded December 1, 2025, with an ultimate completion date of December 31, 2025, will be performed in Irving, Texas. This delivery order is structured as firm fixed price and does not utilize a small business set-aside designation. The award supports the supply of pharmaceutical products and related healthcare distribution services to federal agencies, leveraging McKesson's established role as a critical pharmaceutical supplier across multiple government healthcare operations.

This award reflects McKesson's significant federal contracting presence, particularly within programs serving the Department of Justice's Bureau of Prisons, the Indian Health Service under the Department of Health and Human Services, and the Department of Homeland Security. The company operates as a large business contractor providing controlled and non-controlled medications, specialty pharmaceuticals, and medical consumables essential to federal correctional facilities, veterans' healthcare networks, and public health initiatives. The Pharmaceutical Prime Vendor program represents a key procurement vehicle through which federal agencies efficiently obtain routine medication and medical supply replenishment, ensuring reliable access to critical pharmaceutical products across the federal government's healthcare infrastructure.

Quick answers

Who was awarded contract 36C24026K1003?

36C24026K1003 was awarded to Mckesson Corporation by Headquarters (Department of Veterans Affairs) on December 1, 2025.

How much is contract 36C24026K1003 worth?

The government has obligated $1,110,402,104 on 36C24026K1003.

Is contract 36C24026K1003 an order under another contract?

Yes. 36C24026K1003 is a delivery order under 36W79720D0001, an indefinite delivery contract.

Was contract 36C24026K1003 competed?

The extent of competition for 36C24026K1003 was full and open competition.

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