DOJ's $4.96M Estes Hearing Contract for FY26 Faces Limited Competition Under SAP
Contract Overview
Contract Amount: $4,962 ($5.0K)
Contractor: Estes Hearing
Awarding Agency: Department of Justice
Start Date: 2026-02-01
End Date: 2026-04-09
Contract Duration: 67 days
Daily Burn Rate: $74/day
Competition Type: COMPETED UNDER SAP
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: FY26 B1 ESTES HEARING FEB 26
Place of Performance
Location: NIXA, CHRISTIAN County, MISSOURI, 65714
State: Missouri Government Spending
Plain-Language Summary
Department of Justice obligated $4,962 to ESTES HEARING for work described as: FY26 B1 ESTES HEARING FEB 26 Key points: 1. The contract is for hearing services, a niche but essential healthcare support function. 2. Competition was limited under the Specific Acquisition Procedures (SAP), potentially impacting price discovery. 3. The firm fixed-price contract type offers cost certainty but may limit flexibility. 4. The small business status is not indicated, raising questions about broader economic impact.
Value Assessment
Rating: fair
The estimated award value of $4.96M for a 67-day period suggests a high per-diem cost. Benchmarking against similar healthcare service contracts for correctional facilities is needed to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, indicating a limited number of bidders were solicited. This method, while potentially faster, can restrict the pool of offerors and may not yield the most competitive pricing.
Taxpayer Impact: The limited competition raises concerns about whether taxpayers are receiving the best possible value for the $4.96M expenditure on these essential hearing services.
Public Impact
Ensures essential hearing health services for inmates within the Federal Prison System. Supports the Bureau of Prisons' mission to provide comprehensive care to incarcerated individuals. The contract's duration of 67 days suggests a focused, potentially urgent need for these services.
Waste & Efficiency Indicators
Waste Risk Score: 74 / 10
Warning Flags
- Limited competition under SAP
- Lack of small business participation indicated
- High estimated per-diem cost potential
Positive Signals
- Firm fixed-price contract provides cost certainty
- Essential healthcare service delivery
Sector Analysis
This contract falls within the healthcare services sector, specifically supporting correctional facilities. Spending benchmarks for healthcare services in federal prisons are highly variable, influenced by inmate population size and specific medical needs.
Small Business Impact
The provided data does not indicate whether this contract was set aside for small businesses or if small businesses participated in the competition. Further analysis is needed to determine the extent of small business involvement and its impact on economic opportunity.
Oversight & Accountability
Oversight will be crucial to ensure the quality of services delivered under this contract and to monitor adherence to the firm fixed-price terms, especially given the limited competition.
Related Government Programs
- Offices of All Other Miscellaneous Health Practitioners
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Limited competition
- Potential for inflated pricing
- Lack of small business participation data
- High estimated cost per day
Tags
offices-of-all-other-miscellaneous-healt, department-of-justice, mo, delivery-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $4,962 to ESTES HEARING. FY26 B1 ESTES HEARING FEB 26
Who is the contractor on this award?
The obligated recipient is ESTES HEARING.
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 $4,962.
What is the period of performance?
Start: 2026-02-01. End: 2026-04-09.
What is the benchmark per-unit cost for similar hearing services in federal correctional facilities?
Determining a precise benchmark per-unit cost for hearing services in federal correctional facilities is challenging due to variations in service scope, inmate population health profiles, and regional cost differences. However, a comparative analysis of contracts for audiology, hearing aid provision, and related diagnostic services within the Bureau of Prisons or similar agencies would be necessary to establish a reasonable range. This analysis should consider factors like the number of inmates served, the types of services provided (e.g., screenings, diagnostics, fittings), and the contract duration.
What are the specific risks associated with limited competition under SAP for this contract?
Limited competition under SAP poses several risks. Primarily, it can lead to higher prices than might be achieved in a fully open competition, as the agency may not receive the most cost-effective proposals. It also reduces the opportunity for new or innovative providers to enter the market. Furthermore, a restricted bidder pool might lack the necessary expertise or capacity, potentially impacting service quality or delivery timelines, and increasing the risk of contract performance issues.
How effective is the firm fixed-price contract type in ensuring value for money for these hearing services?
The firm fixed-price (FFP) contract type is generally effective in controlling costs and providing budget certainty, as the price is set regardless of the contractor's actual costs. For routine, well-defined services like hearing screenings or basic audiology, FFP can be highly effective. However, if unforeseen complexities arise in inmate hearing health during the contract period, the contractor might be less incentivized to absorb additional costs, potentially leading to requests for modifications or impacting the scope of services provided, thus affecting overall effectiveness.
Industry Classification
NAICS: Health Care and Social Assistance › Offices of Other Health Practitioners › Offices of All Other Miscellaneous Health Practitioners
Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 15B41424Q00000005
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 749 RENE RD, NIXA, MO, 65714
Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $4,962
Exercised Options: $4,962
Current Obligation: $4,962
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 15B41424D00000055
IDV Type: IDC
Timeline
Start Date: 2026-02-01
Current End Date: 2026-04-09
Potential End Date: 2026-04-09 00:00:00
Last Modified: 2026-04-09
Other Department of Justice Contracts
- Contractor Owned and Operated Existing Correctional Facility for Approximately 3,500 LOW Security Male Inmates — $794.5M (Cornell Companies, Inc.)
- Detention Services - SAN Diego — $776.9M (THE GEO Group, Inc.)
- CO: Telly Renfroe Award of NEW Task Order Base Year Initial Funding — $616.4M (AT&T Enterprises, LLC)
- TAS 151060 - Services for the Management and Operation of a Contractor-Owned, Contractor-Operated, Correctional Facility for 2,567 Beds in Adams County, Mississippi — $574.3M (Corecivic, Inc.)
- Provide Services for the Management and Operation of a Correctional Facility in Accordance With Rfp-Pcc-0014 — $568.9M (Cornell Companies, Inc.)