DOJ's $948K medical services contract for March 2026 awarded to Wellpath LLC

Contract Overview

Contract Amount: $948,116 ($948.1K)

Contractor: Wellpath LLC

Awarding Agency: Department of Justice

Start Date: 2026-03-01

End Date: 2026-03-31

Contract Duration: 30 days

Daily Burn Rate: $31.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: B1 - COMPREHENSIVE MEDICAL SERVICES FOR MARCH 01 - MARCH 31, 2026.

Place of Performance

Location: NASHVILLE, DAVIDSON County, TENNESSEE, 37211

State: Tennessee Government Spending

Plain-Language Summary

Department of Justice obligated $948,115.67 to WELLPATH LLC for work described as: B1 - COMPREHENSIVE MEDICAL SERVICES FOR MARCH 01 - MARCH 31, 2026. Key points: 1. Contract awarded on a sole-source basis, limiting price competition. 2. The contract covers a single month of services, suggesting a short-term need or bridge. 3. Fixed-price contract type offers cost certainty but may not incentivize efficiency. 4. The specific medical services are not detailed, making performance assessment difficult. 5. Awarded to a single vendor, raising questions about market availability and alternatives. 6. The contract value appears reasonable for a month of comprehensive medical services.

Value Assessment

Rating: fair

The contract value of $948,115.67 for one month of comprehensive medical services appears to be within a reasonable range for a facility of this nature. However, without specific details on the scope of services provided, it is difficult to benchmark against similar contracts or market rates. The firm fixed-price structure provides cost predictability for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when only one vendor can provide the required services, or in urgent situations. The lack of competition means that the government did not benefit from potential price reductions or service enhancements that could arise from a competitive bidding process.

Taxpayer Impact: The absence of competition means taxpayers may not have received the best possible price for these medical services, as there was no market pressure to drive down costs.

Public Impact

Inmates within the Federal Prison System in Tennessee will receive comprehensive medical services. Ensures continuity of care for a vulnerable population during the specified period. Supports the operational readiness of the Federal Prison System by addressing healthcare needs. Maintains public health standards within correctional facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award limits transparency and potential cost savings.
Lack of detailed service scope hinders performance evaluation.
Short contract duration may indicate a temporary solution or potential for future re-competition.

Positive Signals

Firm fixed-price contract provides budget certainty.
Award ensures essential medical services are provided to inmates.

Sector Analysis

The healthcare services sector within the federal government is substantial, encompassing a wide range of medical support for various agencies and populations. Contracts for correctional healthcare are a significant component, ensuring the well-being of inmates. Benchmarking this specific contract is challenging without more granular data on the facility size and specific medical needs, but it falls within the broader category of healthcare provision for government institutions.

Small Business Impact

This contract does not appear to have a small business set-aside. As a sole-source award, it is unlikely that subcontracting opportunities for small businesses were explicitly mandated or explored through a competitive process. Further analysis would be needed to determine if Wellpath LLC has a subcontracting plan that includes small businesses.

Oversight & Accountability

Oversight for this contract would fall under the Department of Justice's Federal Bureau of Prisons. Accountability measures would be tied to the terms and conditions of the firm fixed-price purchase order, including the delivery of specified medical services. Transparency is limited due to the sole-source nature of the award and the lack of publicly available detailed service requirements.

Related Government Programs

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

Risk Flags

Sole-source award limits competition.
Lack of detailed service scope.
Potential for cost overruns if not properly managed.
Quality of care concerns in correctional healthcare.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $948,115.67 to WELLPATH LLC. B1 - COMPREHENSIVE MEDICAL SERVICES FOR MARCH 01 - MARCH 31, 2026.

Who is the contractor on this award?

The obligated recipient is WELLPATH 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 $948,115.67.

What is the period of performance?

Start: 2026-03-01. End: 2026-03-31.

What is the track record of Wellpath LLC in providing medical services to federal correctional facilities?

Wellpath LLC is a significant provider of correctional healthcare services across the United States, serving numerous state and local jails, as well as federal facilities. They have a history of managing comprehensive medical and mental health programs within correctional settings. However, like many large healthcare providers in this sector, they have faced scrutiny and legal challenges related to the quality of care, staffing levels, and patient outcomes in some of their contracts. Specific performance data for their federal contracts, including this one, would require a deeper dive into agency performance reports and any associated litigation or Inspector General findings.

How does the per-day cost of this contract compare to similar federal correctional healthcare contracts?

The daily cost for this contract is approximately $30,552 ($948,115.67 / 31 days). Benchmarking this against similar federal correctional healthcare contracts is challenging without knowing the specific inmate population size, acuity levels, and the full scope of services included (e.g., primary care, specialty care, dental, mental health, pharmacy). However, correctional healthcare is a complex and often expensive service. A preliminary comparison suggests this daily rate is within the expected range for comprehensive services in a federal facility, but a definitive assessment would require access to detailed service level agreements and cost breakdowns from comparable contracts.

What are the primary risks associated with a sole-source award for essential medical services?

The primary risks associated with a sole-source award for essential medical services include a lack of price competition, potentially leading to higher costs for taxpayers. It can also reduce the incentive for the contractor to innovate or improve service quality beyond the minimum contractual requirements, as there is no immediate threat of losing the contract to a competitor. Furthermore, it limits the government's ability to explore alternative service delivery models or providers that might offer better value or specialized expertise. This approach can also raise concerns about fairness and equal opportunity for other qualified vendors.

What is the expected effectiveness of these medical services given the firm fixed-price contract type?

A firm fixed-price (FFP) contract type is generally intended to provide cost certainty to the government. For medical services, effectiveness is primarily measured by the quality of care, patient outcomes, and adherence to medical standards. While FFP can be effective in controlling costs, it may not inherently drive improvements in the quality or efficiency of care unless explicitly tied to performance metrics within the contract. The effectiveness will largely depend on the clarity of the service requirements, the contractor's operational capacity, and the government's oversight and performance monitoring mechanisms. If the scope is well-defined and the contractor is capable, FFP can ensure predictable service delivery.

What are the historical spending patterns for medical services at this specific federal facility or within the Bureau of Prisons?

Analyzing historical spending patterns for medical services at this specific federal facility or within the Bureau of Prisons (BOP) is crucial for context. Without access to the BOP's historical contract database or specific facility budget data, it's difficult to provide precise figures. However, the BOP consistently spends hundreds of millions of dollars annually on healthcare services across its facilities. Spending can fluctuate based on inmate population health needs, facility expansions or closures, and changes in healthcare delivery models. A sole-source award like this, especially if it's a continuation of services, might reflect a stable historical spending level, but any significant deviation would warrant further investigation into the reasons behind it.

Are there any specific performance metrics or Key Performance Indicators (KPIs) associated with this contract?

The provided data does not specify any performance metrics or Key Performance Indicators (KPIs) for this contract. In a firm fixed-price contract, especially for services, the effectiveness and value are often tied to the contractor's ability to meet the defined scope of work and any explicit service level agreements (SLAs). Without stated KPIs, assessing the contractor's performance beyond basic delivery of services becomes more subjective and reliant on qualitative oversight. It is common for government contracts, particularly for essential services like healthcare, to include performance standards related to response times, patient satisfaction, clinical outcomes, and compliance with regulations. The absence of explicit KPIs in the summary data is a notable point for further inquiry.

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: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Boosted Commerce Inc.

Address: 3340 PERIMETER HILL DR, NASHVILLE, TN, 37211

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $948,116

Exercised Options: $948,116

Current Obligation: $948,116

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline