DOJ's Federal Prison System awards $450M contract for medical supplies to Medline Industries, LP

Contract Overview

Contract Amount: $45,000 ($45.0K)

Contractor: Medline Industries, LP

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-09-30

Contract Duration: 364 days

Daily Burn Rate: $124/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: PRIME VENDOR FOR MEDICAL AND SURGICAL SUPPLIES ORDERED AND DELIVERED FROM OCTOBER 1, 2025 - SEPTEMBER 30, 2026

Place of Performance

Location: NORTHFIELD, COOK County, ILLINOIS, 60093

State: Illinois Government Spending

Plain-Language Summary

Department of Justice obligated $45,000 to MEDLINE INDUSTRIES, LP for work described as: PRIME VENDOR FOR MEDICAL AND SURGICAL SUPPLIES ORDERED AND DELIVERED FROM OCTOBER 1, 2025 - SEPTEMBER 30, 2026 Key points: 1. The contract covers medical and surgical supplies for the Federal Prison System. 2. Medline Industries, LP is the prime vendor for this delivery order. 3. The contract is valued at $450,000 and runs for one year. 4. This falls under the Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers sector.

Value Assessment

Rating: good

The contract value of $450,000 for a one-year supply of medical goods appears reasonable given the scope. Benchmarking against similar large-scale medical supply contracts would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process that likely resulted in fair market pricing. The specific price discovery mechanisms used during the bidding are not detailed.

Taxpayer Impact: Taxpayer funds are being used to procure essential medical supplies for federal inmates, ensuring healthcare access within the correctional system.

Public Impact

Ensures a consistent supply of critical medical and surgical items for federal inmates. Supports the operational needs of the Federal Prison System's healthcare services. Provides access to necessary medical equipment and supplies for inmate well-being.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Sector Analysis

This contract falls within the Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers sector. Spending in this sector is crucial for maintaining public health infrastructure and ensuring access to essential medical goods.

Small Business Impact

The data indicates that small businesses were not directly awarded this prime contract, as Medline Industries, LP is a large corporation. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

Oversight of this contract would involve monitoring delivery schedules, product quality, and adherence to the firm fixed price agreement by the Department of Justice's Federal Prison System.

Related Government Programs

Risk Flags

Tags

medical-dental-and-hospital-equipment-an, department-of-justice, il, delivery-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $45,000 to MEDLINE INDUSTRIES, LP. PRIME VENDOR FOR MEDICAL AND SURGICAL SUPPLIES ORDERED AND DELIVERED FROM OCTOBER 1, 2025 - SEPTEMBER 30, 2026

Who is the contractor on this award?

The obligated recipient is MEDLINE INDUSTRIES, LP.

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 $45,000.

What is the period of performance?

Start: 2025-10-01. End: 2026-09-30.

What is the historical spending trend for medical supplies within the Federal Prison System?

Historical spending data for medical supplies within the Federal Prison System is not provided in this specific contract award. To assess trends, one would need to review past contract awards for similar goods and services over several fiscal years. This would help identify any significant increases or decreases in expenditure and understand the long-term budgetary implications.

Are there any identified risks associated with Medline Industries, LP as a sole supplier for this contract?

While Medline Industries, LP is the prime vendor for this specific delivery order, the contract was awarded under full and open competition, suggesting multiple vendors were considered. The primary risk would be supply chain disruptions or quality control issues from Medline. However, the competitive award process mitigates the risk of sole-source dependency.

How does the pricing of this contract compare to similar federal or state correctional facility medical supply contracts?

A direct comparison of pricing for this $450,000 contract against similar federal or state correctional facility medical supply contracts requires access to benchmark data. Without specific unit cost comparisons or aggregated spending data from comparable entities, it is difficult to definitively assess if the pricing is optimal. The firm fixed price structure provides cost certainty for the government.

Industry Classification

NAICS: Wholesale TradeProfessional and Commercial Equipment and Supplies Merchant WholesalersMedical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3 LAKES DR, NORTHFIELD, IL, 60093

Business Categories: Category Business, Manufacturer of Goods, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,000

Exercised Options: $45,000

Current Obligation: $45,000

Actual Outlays: $3,458

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10X23D0032

IDV Type: IDC

Timeline

Start Date: 2025-10-01

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2026-04-09

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