DOJ's $106M contract for mobile MRI services awarded to American Correctional Healthcare, Inc. for FY26
Contract Overview
Contract Amount: $10,600 ($10.6K)
Contractor: American Correctional Healthcare, Inc.
Awarding Agency: Department of Justice
Start Date: 2026-03-01
End Date: 2026-04-09
Contract Duration: 39 days
Daily Burn Rate: $272/day
Competition Type: NOT COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: ACH - MOBILE MRI MAR25 FY26
Place of Performance
Location: CUMBERLAND, ALLEGANY County, MARYLAND, 21502
State: Maryland Government Spending
Plain-Language Summary
Department of Justice obligated $10,600 to AMERICAN CORRECTIONAL HEALTHCARE, INC. for work described as: ACH - MOBILE MRI MAR25 FY26 Key points: 1. The contract value of $106 million for a 39-day period is substantial. 2. Awarded to American Correctional Healthcare, Inc., indicating potential single-vendor reliance. 3. The 'NOT COMPETED UNDER SAP' designation raises questions about competition and pricing. 4. The sector is healthcare services within the Federal Prison System.
Value Assessment
Rating: questionable
The contract's duration (39 days) and firm fixed price suggest a defined scope. However, without a competitive benchmark, assessing value for money is difficult. The high total value for a short period warrants scrutiny.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not competed under SAP, suggesting a limited competition approach. This method may not yield the best pricing or value compared to a full and open competition.
Taxpayer Impact: The lack of robust competition could lead to taxpayers paying more than necessary for these mobile MRI services.
Public Impact
Ensures access to critical medical imaging services for incarcerated individuals. Potential for increased healthcare costs due to limited competition. Highlights the reliance on specialized healthcare providers within correctional facilities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition raises cost concerns.
- Short contract duration for a high value.
- Lack of transparency in procurement method.
Positive Signals
- Provides essential medical services.
- Utilizes specialized mobile healthcare solutions.
Sector Analysis
This contract falls within the healthcare services sector, specifically for medical equipment and services within federal correctional facilities. Benchmarks for similar mobile MRI contracts are not readily available, making direct comparison challenging.
Small Business Impact
The data does not indicate any specific provisions or awards made to small businesses under this contract. Further analysis would be needed to determine small business participation.
Oversight & Accountability
The 'NOT COMPETED UNDER SAP' designation suggests a need for enhanced oversight to ensure fair pricing and justification for limited competition. Accountability for the procurement process is crucial.
Related Government Programs
- General Medical and Surgical Hospitals
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Limited competition
- Lack of justification for procurement method
- High value for short duration
- Potential for inflated pricing
Tags
general-medical-and-surgical-hospitals, department-of-justice, md, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $10,600 to AMERICAN CORRECTIONAL HEALTHCARE, INC.. ACH - MOBILE MRI MAR25 FY26
Who is the contractor on this award?
The obligated recipient is AMERICAN CORRECTIONAL HEALTHCARE, INC..
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 $10,600.
What is the period of performance?
Start: 2026-03-01. End: 2026-04-09.
What is the justification for not competing this contract under SAP, and how does it ensure fair pricing?
The justification for not competing under SAP is not provided in the data. Typically, this designation implies specific circumstances, such as urgency, proprietary technology, or a limited number of capable sources. Without further details, it's difficult to assess if fair pricing was achieved. A thorough review of the procurement file would be necessary to understand the rationale and verify price reasonableness.
What are the risks associated with awarding a $106 million contract for a short duration without full competition?
The primary risks include potential overpayment due to lack of competitive pressure, reduced innovation, and the possibility that the vendor may not be the most cost-effective or capable provider long-term. A short duration for a high value might also indicate a rushed procurement or a placeholder contract, leading to future inefficiencies or higher costs when a more permanent solution is sought.
How effective is this contract in ensuring timely and quality MRI services for the Federal Prison System?
The effectiveness hinges on the vendor's performance and the actual need for mobile MRI services within the specified timeframe. While the contract ensures a provider is in place, the limited competition raises questions about whether it represents the most effective use of taxpayer funds. Success would be measured by patient outcomes, service availability, and cost-efficiency compared to alternative service delivery models.
Industry Classification
NAICS: Health Care and Social Assistance › General Medical and Surgical Hospitals › General Medical and Surgical Hospitals
Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 120 MCKINLEY DR, BURLESON, TX, 76028
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $10,600
Exercised Options: $10,600
Current Obligation: $10,600
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-03-01
Current End Date: 2026-04-09
Potential End Date: 2026-04-09 00:00:00
Last Modified: 2026-04-09
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- Comprehensive Medical ACH - NOV 25 Outside Medical Trips — $282.0K (Department of Justice)
- Comprehensive Medical ACH - APR 26 Outside Medical Trips — $130.5K (Department of Justice)
- Comprehensive Medical ACH - MAR 25 MED Trips Availability of Clauses 52.232-18 — $126.8K (Department of Justice)
View all American Correctional Healthcare, Inc. federal contracts →
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