DOJ's Bureau of Prisons awards $751K contract for medical services at Springfield facility

Contract Overview

Contract Amount: $751,000 ($751.0K)

Contractor: Mercy Hospital Springfield

Awarding Agency: Department of Justice

Start Date: 2026-07-01

End Date: 2026-07-31

Contract Duration: 30 days

Daily Burn Rate: $25.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: FY26 B2 MERCY OUTSIDE MEDICAL JUL 26 OUTSIDE COMPREHENSIVE MEDICAL SERVICES FOR USMCFP SPRINGFIELD - ESTIMATED COST JULY FY26

Place of Performance

Location: SPRINGFIELD, GREENE County, MISSOURI, 65804

State: Missouri Government Spending

Plain-Language Summary

Department of Justice obligated $751,000 to MERCY HOSPITAL SPRINGFIELD for work described as: FY26 B2 MERCY OUTSIDE MEDICAL JUL 26 OUTSIDE COMPREHENSIVE MEDICAL SERVICES FOR USMCFP SPRINGFIELD - ESTIMATED COST JULY FY26 Key points: 1. Contract aims to ensure comprehensive medical care for inmates. 2. Fixed-price contract type suggests predictable costs for the government. 3. Short 30-day duration may indicate a need for immediate or temporary services. 4. Competition level is 'Full and Open', suggesting a robust bidding process. 5. The contract is for a single delivery order, not a multi-year commitment. 6. Geographic focus on Missouri for services. 7. The estimated cost is $751,000 for the specified period.

Value Assessment

Rating: fair

The estimated cost of $751,000 for one month of comprehensive medical services appears high for a single facility, especially considering it's a delivery order. Benchmarking against similar contracts for correctional facility medical services would be necessary to determine true value for money. The firm fixed-price structure provides cost certainty, but the per-day cost needs further analysis against industry standards for inmate healthcare.

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 process is generally expected to yield competitive pricing and a wider range of potential solutions. The number of bidders is not specified, but the open competition suggests a healthy market for these services.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it typically drives down prices through market forces and encourages multiple providers to offer their best terms.

Public Impact

Inmates at the USMCFP Springfield facility will receive comprehensive medical services. The contract ensures continuity of care and access to necessary healthcare within the correctional system. Services are geographically concentrated in Springfield, Missouri. The contract supports healthcare professionals and administrative staff involved in delivering these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen medical needs arise beyond the scope of the fixed price.
Dependence on a single provider for critical inmate health services.
Limited duration may lead to frequent re-competition and potential disruption if a new vendor is not readily available.

Positive Signals

Firm fixed-price contract provides cost certainty for the government.
Full and open competition suggests a competitive bidding process that could lead to favorable pricing.
Ensures essential medical services are provided to a vulnerable population.

Sector Analysis

The healthcare services sector within federal prisons is a critical component of correctional facility operations. This contract falls under the broader category of general medical and surgical hospitals, with a specific focus on providing care within a secure environment. The market for correctional healthcare is specialized, often involving providers with experience in managing patient populations with unique needs and security considerations. Comparable spending benchmarks would typically look at per-diem costs for inmate healthcare across different federal and state correctional facilities.

Small Business Impact

The provided data does not indicate any small business set-aside or subcontracting requirements for this contract. Therefore, the direct impact on the small business ecosystem is likely minimal unless small businesses are part of a larger prime contractor's team, which is not specified here.

Oversight & Accountability

Oversight for this contract would typically fall under the Bureau of Prisons' contracting and program management offices. Accountability measures would include performance monitoring against the contract's terms and conditions, and adherence to healthcare standards. Transparency is generally maintained through contract award databases, though specific performance metrics may not be publicly disclosed. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Federal Prison System Medical Services
Bureau of Prisons Healthcare Contracts
Inmate Health Services
Correctional Facility Medical Support

Risk Flags

Potential for high per-day cost given the short duration.
Lack of detailed service scope in summary data.
Limited historical performance data for the contractor in this specific context.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $751,000 to MERCY HOSPITAL SPRINGFIELD. FY26 B2 MERCY OUTSIDE MEDICAL JUL 26 OUTSIDE COMPREHENSIVE MEDICAL SERVICES FOR USMCFP SPRINGFIELD - ESTIMATED COST JULY FY26

Who is the contractor on this award?

The obligated recipient is MERCY HOSPITAL SPRINGFIELD.

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 $751,000.

What is the period of performance?

Start: 2026-07-01. End: 2026-07-31.

What is the historical spending pattern for medical services at the USMCFP Springfield facility?

Historical spending data for medical services specifically at the USMCFP Springfield facility is not provided in the current data. To assess historical patterns, one would need to access past contract awards and expenditures for this specific institution. This would involve searching federal procurement databases for previous contracts related to medical services at this location, analyzing their values, durations, and the contractors involved. Understanding past spending can help identify trends, potential cost increases over time, and the consistency of service providers, offering context for the current estimated cost of $751,000 for a 30-day period.

How does the estimated cost of $751,000 for 30 days of medical services compare to similar contracts for correctional facilities?

Without specific benchmark data for comparable correctional facility medical service contracts, it is difficult to definitively assess if $751,000 for 30 days is high or low. However, this equates to approximately $25,033 per day. This daily rate needs to be compared against average per-diem healthcare costs in similar federal or state correctional institutions, considering factors like inmate population size, acuity of medical needs, and the scope of services (e.g., routine care, specialized treatments, emergency services). A detailed analysis would require access to a database of similar contracts to establish a reliable market rate.

What are the specific medical services included in this contract?

The contract specifies 'OUTSIDE COMPREHENSIVE MEDICAL SERVICES'. While the term 'comprehensive' suggests a broad range of care, the exact services are not detailed in the provided data. Typically, comprehensive medical services in a correctional setting would include primary care, emergency medical services, mental health services, dental care, and potentially specialized care depending on the inmate population's needs. A full review of the contract's statement of work (SOW) would be necessary to ascertain the precise scope, including any exclusions or limitations on services provided.

What is the track record of Mercy Hospital Springfield in providing government contracts, particularly for correctional facilities?

The provided data identifies 'MERCY HOSPITAL SPRINGFIELD' as the contractor. Information regarding their track record with government contracts, especially within correctional facilities, is not included. To assess their performance history, one would need to research their past federal contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or issues. This would provide insight into their reliability, quality of service, and experience in meeting government requirements.

What are the potential risks associated with a short, 30-day duration for this medical services contract?

A short, 30-day duration for comprehensive medical services presents several potential risks. Firstly, it may indicate a temporary or emergency need, which could imply underlying issues with previous arrangements or unexpected surges in demand. Secondly, it necessitates frequent re-competition or extension processes, which can be administratively burdensome and potentially lead to service disruptions if a new contract is not awarded or extended promptly. Thirdly, it might limit the contractor's incentive to invest in long-term improvements or specialized staffing, focusing instead on meeting immediate requirements within the short timeframe. This could also lead to higher per-diem costs if contractors factor in the uncertainty and administrative overhead of short-term contracts.

Industry Classification

NAICS: Health Care and Social Assistance › General Medical and Surgical Hospitals › General Medical and Surgical Hospitals

Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15BFA025R00000011

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1235 E CHEROKEE ST, SPRINGFIELD, MO, 65804

Business Categories: Category Business, Corporate Entity Tax Exempt, Hospital, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $751,000

Exercised Options: $751,000

Current Obligation: $751,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15BCMS26D00000002

IDV Type: IDC

Timeline