DOJ's Federal Prison System awards $955K for medical supplies to Medline Industries, LP

Contract Overview

Contract Amount: $955,000 ($955.0K)

Contractor: Medline Industries, LP

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-05-31

Contract Duration: 242 days

Daily Burn Rate: $3.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MEDLINE: CENTRAL SUPPLY MEDICAL SUPPLIES DOS: OCTOBER 1, 2025 THRU MAY 31, 2026 FUNDING THROUGH JANUARY 31, 2026 JUSTIFICATION: ADD FUNDING TO HEADER ACCOUNTING.

Place of Performance

Location: NORTHFIELD, COOK County, ILLINOIS, 60093

State: Illinois Government Spending

Plain-Language Summary

Department of Justice obligated $955,000 to MEDLINE INDUSTRIES, LP for work described as: MEDLINE: CENTRAL SUPPLY MEDICAL SUPPLIES DOS: OCTOBER 1, 2025 THRU MAY 31, 2026 FUNDING THROUGH JANUARY 31, 2026 JUSTIFICATION: ADD FUNDING TO HEADER ACCOUNTING. Key points: 1. Value for money appears reasonable given the fixed-price contract for essential medical supplies. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. No immediate risk indicators are apparent from the provided data. 4. The contract supports ongoing medical supply needs for federal correctional facilities. 5. This falls within the broader healthcare and medical supplies sector for government procurement.

Value Assessment

Rating: good

The contract value of $955,000 for a period of approximately 8 months appears to be within a reasonable range for bulk medical supplies. Without specific itemized pricing or comparison to similar recent contracts for the same or equivalent supplies, a precise value-for-money assessment is challenging. However, the firm fixed-price structure generally provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. This suggests a robust bidding environment, which typically leads to better price discovery and potentially more favorable pricing for the government. The number of bidders is not specified, but the method of competition implies multiple interested parties.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it maximizes the potential for competitive pricing and ensures that the government is obtaining goods and services at the best possible value through a transparent process.

Public Impact

Inmates within the federal prison system will benefit from the continued availability of necessary medical supplies. Essential medical, dental, and hospital equipment and supplies will be delivered to federal correctional facilities. The geographic impact is national, serving federal prisons across the United States. This contract supports the operational capacity of the Federal Prison System to provide healthcare services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Firm fixed-price contract provides cost predictability.
Awarded through full and open competition, indicating a competitive market.
Contract duration is defined with clear start and end dates.

Sector Analysis

This contract falls within the Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers sector. This is a critical sector for government operations, particularly for agencies like the Department of Justice that manage healthcare for incarcerated individuals. Government spending in this area is substantial, supporting a wide range of medical needs.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. Medline Industries, LP is a large corporation. There is no information on subcontracting plans for small businesses within this award.

Oversight & Accountability

The Department of Justice, specifically the Federal Prison System, is responsible for the oversight of this contract. Accountability is maintained through the terms of the firm fixed-price contract and delivery order. Transparency is generally supported by federal procurement regulations, though specific oversight reports or IG involvement are not detailed here.

Related Government Programs

Federal Prison System Medical Services
Bureau of Prisons Healthcare Procurement
Medical Supplies for Government Facilities

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $955,000 to MEDLINE INDUSTRIES, LP. MEDLINE: CENTRAL SUPPLY MEDICAL SUPPLIES DOS: OCTOBER 1, 2025 THRU MAY 31, 2026 FUNDING THROUGH JANUARY 31, 2026 JUSTIFICATION: ADD FUNDING TO HEADER ACCOUNTING.

Who is the contractor on this award?

The obligated recipient is MEDLINE INDUSTRIES, LP.

Which agency awarded this contract?

Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).

What is the total obligated amount?

The obligated amount is $955,000.

What is the period of performance?

Start: 2025-10-01. End: 2026-05-31.

What is Medline Industries, LP's track record with federal contracts, particularly with the Department of Justice?

Medline Industries, LP is a significant federal contractor, frequently awarded contracts across various agencies for medical supplies and equipment. While specific details for the Department of Justice are not provided in this data snippet, their history suggests a capacity to fulfill large-scale government requirements. A deeper analysis would involve reviewing their past performance evaluations (e.g., CPARS) and the volume and types of contracts previously awarded by the DOJ and its components like the Federal Prison System to assess reliability and past performance quality.

How does the awarded amount of $955,000 compare to similar medical supply contracts for federal correctional facilities?

Without access to a comprehensive database of comparable federal contracts for medical supplies specifically for correctional facilities, a direct comparison is difficult. However, $955,000 for an approximate 8-month period (October 1, 2025, through May 31, 2026) suggests a substantial but not exceptionally large award for a national supplier like Medline. The Federal Prison System operates numerous facilities, and the cost of medical supplies can vary significantly based on the volume and types of items procured. Benchmarking would require analyzing contracts for similar quantities and categories of supplies awarded to other large medical distributors serving federal or state correctional systems.

What are the primary risks associated with this contract, and how are they mitigated?

Potential risks include supply chain disruptions, quality control issues with the medical supplies, or unexpected price increases if the contract terms are not sufficiently robust. Mitigation strategies likely involve the firm fixed-price nature of the contract, which locks in pricing, and the requirement for Medline Industries, LP to meet specific quality standards and delivery schedules. The Federal Prison System's procurement oversight and potential for contract termination for default also serve as risk mitigators. However, the provided data does not detail specific risk management plans or contingency measures.

How effective is the Federal Prison System in managing its medical supply procurement to ensure optimal program effectiveness?

The effectiveness of the Federal Prison System's medical supply procurement is indirectly indicated by the continuity of care provided to inmates. Awarding contracts like this one ensures that essential supplies are available, which is crucial for maintaining health services. The use of full and open competition aims to achieve cost-effectiveness. However, a true measure of effectiveness would require analyzing inmate health outcomes, the efficiency of the supply chain, and whether the procured supplies meet the specific and evolving healthcare needs within the facilities, which is beyond the scope of this data.

What are the historical spending patterns for medical supplies within the Federal Prison System?

Historical spending patterns for medical supplies within the Federal Prison System are likely substantial and consistent, given the ongoing need to provide healthcare to a large inmate population. While this specific award is for $955,000, annual spending could be significantly higher when aggregated across all facilities and contract types. Analyzing past years' budgets and actual expenditures for medical supplies would reveal trends, identify major suppliers, and highlight any fluctuations in demand or cost. This context helps in evaluating the current award's significance within the broader spending landscape.

Industry Classification

NAICS: Wholesale Trade › Professional and Commercial Equipment and Supplies Merchant Wholesalers › Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3 LAKES DR, NORTHFIELD, IL, 60093

Business Categories: Category Business, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $955,000

Exercised Options: $955,000

Current Obligation: $955,000

Actual Outlays: $472,880

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10X23D0032

IDV Type: IDC

Timeline