DOJ's Bureau of Prisons awards $419,924 for hospital services to NAPHCARE LLC
Contract Overview
Contract Amount: $419,924 ($419.9K)
Contractor: Naphcare LLC
Awarding Agency: Department of Justice
Start Date: 2025-12-01
End Date: 2025-12-31
Contract Duration: 30 days
Daily Burn Rate: $14.0K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: FOR ESTIMATED OUTSIDE HOSPITAL SERVICES (B2) FOR THE PERIOD OF DECEMBER 1, 2025 THROUGH DECEMBER 31, 2025.
Place of Performance
Location: BIRMINGHAM, JEFFERSON County, ALABAMA, 35216
State: Alabama Government Spending
Plain-Language Summary
Department of Justice obligated $419,924.33 to NAPHCARE LLC for work described as: FOR ESTIMATED OUTSIDE HOSPITAL SERVICES (B2) FOR THE PERIOD OF DECEMBER 1, 2025 THROUGH DECEMBER 31, 2025. Key points: 1. The contract is for estimated outside hospital services, indicating a need for specialized care not provided internally. 2. NAPHCARE LLC is the sole awardee, raising questions about the extent of competition. 3. The contract duration is short (30 days), suggesting a potential need for ongoing or recurring services. 4. The service category (General Medical and Surgical Hospitals) is critical for inmate well-being.
Value Assessment
Rating: fair
The contract value of $419,924 for a 30-day period appears high for estimated outside hospital services. Benchmarking against similar contracts for specialized medical care within correctional facilities is needed for a precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), which typically involves limited competition. While this can be efficient for smaller procurements, it may not always yield the best price discovery compared to full and open competition.
Taxpayer Impact: Taxpayer funds are being used for essential inmate healthcare. Ensuring competitive pricing within the SAP framework is crucial to maximize value for money.
Public Impact
Ensures access to necessary medical services for federal inmates. Supports the operational needs of the Federal Prison System. Potential for cost savings if competitive bidding within SAP is effective. Highlights reliance on external providers for specialized healthcare.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition under SAP
- High estimated cost for short duration
- Potential for sole-source if only one bidder responded
Positive Signals
- Addresses critical inmate healthcare needs
- Utilizes established procurement procedures (SAP)
Sector Analysis
The healthcare sector within federal prisons is a specialized area. Spending benchmarks for outsourced hospital services can vary significantly based on geographic location, inmate population health needs, and the specific services required.
Small Business Impact
Information on whether small businesses were solicited or participated in this SAP procurement is not provided. Further analysis would be needed to determine the impact on small business participation.
Oversight & Accountability
Oversight of this contract would involve monitoring the quality of services provided by NAPHCARE LLC and ensuring adherence to the terms of the purchase order. The Bureau of Prisons is responsible for this oversight.
Related Government Programs
- General Medical and Surgical Hospitals
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Limited competition potential
- High estimated cost for short duration
- Lack of detailed service description
- Potential for price not being the lowest achievable
Tags
general-medical-and-surgical-hospitals, department-of-justice, al, purchase-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $419,924.33 to NAPHCARE LLC. FOR ESTIMATED OUTSIDE HOSPITAL SERVICES (B2) FOR THE PERIOD OF DECEMBER 1, 2025 THROUGH DECEMBER 31, 2025.
Who is the contractor on this award?
The obligated recipient is NAPHCARE LLC.
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 $419,924.33.
What is the period of performance?
Start: 2025-12-01. End: 2025-12-31.
What specific outside hospital services are being procured, and why are they not available internally?
The specific outside hospital services are not detailed in the provided data. However, the need for external services suggests that the Federal Prison System's internal medical facilities may lack the specialized equipment, expertise, or capacity to handle certain medical conditions or procedures required by the inmate population. This could range from complex surgeries to advanced diagnostic imaging.
What was the pricing basis for the $419,924 estimate, and how does it compare to market rates for similar services?
The provided data indicates a 'FIRM FIXED PRICE' contract type, but the basis for the $419,924 estimate is not detailed. A thorough review would involve comparing this estimated cost against historical data for similar services within correctional facilities or general hospital rates in Alabama, considering factors like inmate care complexity and volume.
How effective is the SAP procurement method in ensuring value for money for these specialized healthcare services?
Simplified Acquisition Procedures (SAP) are designed for efficiency in procuring goods and services below certain thresholds. While SAP can expedite the process, its effectiveness in ensuring optimal value for specialized healthcare services depends on the number of responsive bidders and the rigor of the evaluation. If competition was limited, there's a risk that the price might not be the lowest achievable.
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: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 2090 COLUMBIANA RD, VESTAVIA HILLS, AL, 35216
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $419,924
Exercised Options: $419,924
Current Obligation: $419,924
Actual Outlays: $64,772
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2025-12-01
Current End Date: 2025-12-31
Potential End Date: 2025-12-31 00:00:00
Last Modified: 2026-04-09
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