DOJ's Bureau of Prisons awards $197K bridge contract for medical lab services to Quest Diagnostics
Contract Overview
Contract Amount: $19,719 ($19.7K)
Contractor: Quest Diagnostics Incorporated
Awarding Agency: Department of Justice
Start Date: 2026-01-01
End Date: 2026-03-31
Contract Duration: 89 days
Daily Burn Rate: $222/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: BRIDGE CONTRACT REQUEST TO COVER JANUARY 2026 - MARCH 2026 SERVICES. RP #26-0083
Place of Performance
Location: SECAUCUS, HUDSON County, NEW JERSEY, 07094
Plain-Language Summary
Department of Justice obligated $19,719.43 to QUEST DIAGNOSTICS INCORPORATED for work described as: BRIDGE CONTRACT REQUEST TO COVER JANUARY 2026 - MARCH 2026 SERVICES. RP #26-0083 Key points: 1. Contract provides essential medical laboratory services for a critical period. 2. Quest Diagnostics, a large established provider, is the awardee. 3. The contract is a bridge to ensure continuity of care. 4. The award value is relatively small, indicating a short-term need. 5. Services are concentrated in New Jersey. 6. The contract type is Firm Fixed Price, offering cost certainty.
Value Assessment
Rating: good
This $197,194 contract for medical laboratory services appears to be a reasonable bridge to ensure continuity of care for the Federal Prison System. Given the short duration (3 months), the value is appropriate for covering essential services. Benchmarking against similar short-term contracts for medical labs within federal facilities would provide further context, but the price seems aligned with the scope of a bridge requirement.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the competitive process suggests that the Bureau of Prisons sought the best value. This approach is generally favorable for price discovery and ensuring a fair market price.
Taxpayer Impact: A full and open competition, even for a bridge contract, is beneficial for taxpayers as it encourages multiple vendors to offer competitive pricing, potentially leading to cost savings.
Public Impact
Inmates within the Federal Prison System in New Jersey will continue to receive essential medical laboratory services. This contract ensures the uninterrupted provision of diagnostic testing critical for inmate health and treatment. The services are geographically focused within New Jersey facilities. The contract supports the operational needs of the Bureau of Prisons' healthcare services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for increased reliance on incumbent if follow-on contract is not competitively re-awarded.
- Short duration may limit opportunities for new entrants to demonstrate capabilities.
- Dependence on a single large provider for critical services.
Positive Signals
- Award to an established provider ensures immediate service continuity.
- Firm Fixed Price contract provides budget certainty.
- Full and open competition process is a positive signal for market engagement.
Sector Analysis
The healthcare sector, specifically medical laboratories (NAICS 621511), is a critical component of the broader healthcare industry. Federal agencies, including the Bureau of Prisons, rely on these services for diagnostic testing. The market includes large national providers as well as regional and local laboratories. Spending in this area is driven by the health needs of the population served, in this case, federal inmates.
Small Business Impact
This contract was not set aside for small businesses and the awardee, Quest Diagnostics, is a large corporation. There is no indication of subcontracting requirements for small businesses in the provided data. The focus appears to be on securing essential services from a capable provider, rather than specifically promoting small business participation for this particular award.
Oversight & Accountability
The contract is a Firm Fixed Price award, which provides a degree of cost control. Oversight would typically be managed by the Bureau of Prisons contracting officer and program managers responsible for healthcare services. Transparency is facilitated by the contract award being publicly available. Further oversight details would depend on internal Bureau of Prisons procedures and any specific Inspector General reviews related to healthcare procurement.
Related Government Programs
- Federal Prison System Medical Services
- Bureau of Prisons Laboratory Services
- Medical Diagnostic Testing Contracts
- Healthcare Services for Incarcerated Individuals
Risk Flags
- Short-term nature of bridge contract may limit long-term strategic planning.
- Potential for service disruption if follow-on contract is delayed.
- Reliance on a single vendor for critical services during the bridge period.
Tags
healthcare, medical-laboratories, department-of-justice, bureau-of-prisons, firm-fixed-price, full-and-open-competition, bridge-contract, new-jersey, quest-diagnostics, medical-services
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $19,719.43 to QUEST DIAGNOSTICS INCORPORATED. BRIDGE CONTRACT REQUEST TO COVER JANUARY 2026 - MARCH 2026 SERVICES. RP #26-0083
Who is the contractor on this award?
The obligated recipient is QUEST DIAGNOSTICS INCORPORATED.
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 $19,719.43.
What is the period of performance?
Start: 2026-01-01. End: 2026-03-31.
What is the historical spending pattern for medical laboratory services by the Bureau of Prisons in New Jersey?
Analyzing historical spending for medical laboratory services by the Bureau of Prisons (BOP) in New Jersey is crucial for understanding the context of this $197,194 bridge contract. While specific historical data for this exact location and service is not provided, the BOP generally contracts for a wide range of healthcare services, including laboratory testing, across its facilities nationwide. Past awards for similar services have varied significantly in value and duration, depending on the facility's needs, inmate population size, and the scope of services required. Bridge contracts like this one are often used when existing contracts expire unexpectedly or when a new procurement process is underway. Without access to the BOP's historical contract database or specific solicitations for New Jersey facilities, it's difficult to provide precise figures. However, the relatively modest value of this 3-month bridge contract suggests it's intended to cover essential, routine testing rather than large-scale diagnostic initiatives.
How does the pricing of this contract compare to similar medical laboratory services procured by other federal agencies?
Benchmarking the pricing of this $197,194 contract against similar medical laboratory services procured by other federal agencies requires detailed cost data that is not fully available in the provided summary. The contract is a Firm Fixed Price (FFP) award for a 3-month period, covering services for the Federal Prison System in New Jersey. FFP contracts offer price certainty, but the actual value-for-money assessment depends on the specific services rendered and the volume of tests performed. To conduct a thorough comparison, one would need to examine the contract's line-item pricing, the specific types and quantities of laboratory tests included, and the per-unit costs. Comparing this to contracts awarded by agencies like the Department of Veterans Affairs (VA) or the Defense Health Agency (DHA) for comparable laboratory services, considering factors like geographic location, labor costs, and the complexity of tests, would be necessary. Given that Quest Diagnostics is a large, established provider, their pricing is likely competitive within the market for such services, but without detailed service breakdowns, a definitive value comparison is challenging.
What are the potential risks associated with awarding a short-term bridge contract for essential medical services?
Short-term bridge contracts for essential medical services, like this $197,194 award to Quest Diagnostics by the Bureau of Prisons, carry several potential risks. Firstly, there's the risk of 'evergreen contracts' where bridge contracts become a de facto long-term solution, potentially stifling competition and innovation if a full and open competition for a permanent contract is delayed indefinitely. Secondly, the pricing for bridge contracts might not be as optimized as for longer-term, competitively bid agreements, as vendors may factor in the uncertainty and administrative costs of a short duration. Thirdly, if the bridge is poorly managed or transitions abruptly, there could be disruptions in service delivery, impacting patient care. Finally, there's a risk that the chosen vendor for the bridge may not be the best long-term fit, but is selected due to expediency, potentially leading to suboptimal performance or higher costs in the future. The Bureau of Prisons' effective management and timely execution of a follow-on procurement are critical to mitigating these risks.
What is Quest Diagnostics' track record with federal government contracts, particularly for correctional facilities?
Quest Diagnostics Incorporated is a major provider of diagnostic testing services and has a significant track record of contracting with various federal government entities, including agencies that serve large populations like the Department of Defense and the Department of Veterans Affairs. While specific details on their contracts exclusively with the Federal Prison System (FPS) or Bureau of Prisons (BOP) are not provided in this summary, their extensive experience suggests familiarity with government procurement processes and compliance requirements. Large healthcare providers like Quest Diagnostics often hold numerous federal contracts, ranging from large-scale diagnostic support to specialized testing services. Their ability to secure this bridge contract, awarded under full and open competition, indicates they met the government's requirements for capability, capacity, and potentially price. A deeper dive into federal contract databases (like SAM.gov or FPDS) would reveal the full scope and performance history of Quest Diagnostics' federal awards, including any specific to correctional healthcare.
How does the 'full and open competition' designation impact the value and efficiency of this specific contract?
The designation of 'full and open competition' for this $197,194 bridge contract is a positive indicator for value and efficiency. It signifies that the Bureau of Prisons actively solicited bids from all responsible sources, allowing for a competitive marketplace to determine the most advantageous offer. This process typically drives down prices as vendors vie for the contract, and encourages providers to offer the best combination of quality, service, and cost. For taxpayers, this means the government is likely to receive services at a more competitive rate than if the contract had been awarded through a limited or sole-source process. Furthermore, the competitive nature can lead to greater efficiency as contractors are motivated to perform well to secure future business and maintain a positive performance record. While this is a bridge contract, the competitive award process suggests an effort to ensure that even short-term essential services are procured in a manner that maximizes value for the government.
Industry Classification
NAICS: Health Care and Social Assistance › Medical and Diagnostic Laboratories › Medical Laboratories
Product/Service Code: MEDICAL SERVICES › LABORATORY TESTING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 500 PLAZA DR, SECAUCUS, NJ, 07094
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $19,719
Exercised Options: $19,719
Current Obligation: $19,719
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 15BNAS26A00000038
IDV Type: BPA
Timeline
Start Date: 2026-01-01
Current End Date: 2026-03-31
Potential End Date: 2026-03-31 00:00:00
Last Modified: 2026-04-09
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