DOJ's $22.9M contract for medical instruments awarded to Four Points Technology, L.L.C

Contract Overview

Contract Amount: $22,906 ($22.9K)

Contractor: Four Points Technology, L.L.C.

Awarding Agency: Department of Justice

Start Date: 2025-10-01

End Date: 2026-04-10

Contract Duration: 191 days

Daily Burn Rate: $120/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: FY26 FOUR POINTS BD TECHNOLOGY PYXIS OCTOBER 2025 - MARCH 2026

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Justice obligated $22,905.55 to FOUR POINTS TECHNOLOGY, L.L.C. for work described as: FY26 FOUR POINTS BD TECHNOLOGY PYXIS OCTOBER 2025 - MARCH 2026 Key points: 1. Contract value represents a significant investment in medical instrument supply for federal correctional facilities. 2. The award was made under full and open competition, suggesting a competitive market for these goods. 3. The fixed-price contract type aims to control costs and provide budget certainty. 4. The duration of the order is relatively short, indicating potential for frequent re-evaluation of needs. 5. The specific North American Industry Classification System (NAICS) code points to a specialized manufacturing sector.

Value Assessment

Rating: good

The contract value of $22.9 million for a six-month period appears reasonable given the specialized nature of surgical and medical instruments. Benchmarking against similar contracts for federal agencies would provide a more precise value-for-money assessment. The firm-fixed-price structure suggests an expectation of stable pricing, but the absence of detailed cost breakdowns makes a granular price assessment challenging. However, the competitive award process likely contributed to a fair market price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' indicating that multiple vendors were allowed to bid, but specific sources were excluded for reasons not detailed here. The fact that it was competed broadly suggests a healthy market with several capable suppliers. The number of bidders is not specified, but the open competition is a positive sign for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices through market forces and encouraging innovation among potential suppliers.

Public Impact

Federal Prison System (Bureau of Prisons) facilities will receive essential surgical and medical instruments. This ensures the continuity of healthcare services for incarcerated individuals. The contract supports the operational readiness of correctional healthcare providers. The geographic impact is nationwide, covering all facilities served by the Bureau of Prisons.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions if the awarded vendor faces production or delivery issues.
The exclusion of certain sources, while potentially justified, warrants scrutiny to ensure fairness and maximize competition.
Reliance on a single vendor for a critical supply chain could pose risks if not managed effectively.

Positive Signals

Award to a single vendor under full and open competition suggests strong performance or competitive advantage.
Firm-fixed-price contract provides cost certainty for the government.
The contract supports essential healthcare services, aligning with public safety and welfare objectives.

Sector Analysis

The contract falls within the Surgical and Medical Instrument Manufacturing sector (NAICS 339112). This industry is characterized by specialized production, stringent quality control, and often serves critical public health and safety functions. Federal agencies, particularly those with healthcare needs like the Bureau of Prisons, are significant customers. Market size for this sector is substantial, driven by both public and private healthcare demand. This contract represents a portion of the federal government's ongoing investment in maintaining healthcare infrastructure.

Small Business Impact

The data indicates that small business participation (sb) is false for this specific award. There is no indication of a small business set-aside. Subcontracting opportunities for small businesses are not explicitly detailed in the provided information, but given the nature of the contract, it's possible that specialized components or services could be sourced from small businesses by the prime contractor.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Justice's Bureau of Prisons contracting officers and program managers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified goods. Transparency is facilitated by the contract award being publicly available. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract.

Related Government Programs

Federal Prison System Medical Supplies
Bureau of Prisons Equipment Procurement
Department of Justice Healthcare Contracts
Surgical Instrument Federal Procurement
Medical Device Supply Chain Management

Risk Flags

Potential for limited competition due to source exclusion.
Risk of supply chain disruption if vendor performance falters.
Need for robust quality assurance given the critical nature of medical supplies.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $22,905.55 to FOUR POINTS TECHNOLOGY, L.L.C.. FY26 FOUR POINTS BD TECHNOLOGY PYXIS OCTOBER 2025 - MARCH 2026

Who is the contractor on this award?

The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..

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 $22,905.55.

What is the period of performance?

Start: 2025-10-01. End: 2026-04-10.

What is the track record of Four Points Technology, L.L.C. in fulfilling federal contracts, particularly for medical supplies?

A thorough review of Four Points Technology, L.L.C.'s past performance in federal contracting databases (such as SAM.gov's Contractor Performance Assessment Reporting System - CPARS) would be necessary to assess their track record. Key indicators would include on-time delivery rates, quality of goods provided, responsiveness to issues, and overall customer satisfaction reported by previous federal agencies. Examining awards for similar medical or surgical instruments would be particularly relevant. Without specific past performance data, it is difficult to definitively assess their reliability for this $22.9 million contract.

How does the per-unit cost of the instruments compare to market rates or similar federal contracts?

Determining the per-unit cost requires access to the detailed pricing structure of the contract, which is not provided in the summary data. To benchmark effectively, one would need to compare the unit prices of specific instruments (e.g., scalpels, syringes, diagnostic tools) against publicly available commercial price lists, GSA schedules, or data from previously awarded federal contracts for comparable items. The firm-fixed-price nature suggests the contractor has factored in their costs and profit, but without itemized data, a precise value-for-money assessment on a per-unit basis is not feasible from the given information.

What are the specific risks associated with the exclusion of certain sources in this 'full and open competition after exclusion of sources' award?

The exclusion of sources, while permitted under specific circumstances (e.g., national security, unique capabilities), can introduce risks. If legitimate potential bidders were excluded without clear justification, it could limit competition, potentially leading to higher prices or reduced innovation. It also raises concerns about fairness and equal opportunity in government contracting. The risk lies in whether the exclusion was necessary and properly documented, or if it inadvertently restricted the government's access to the best possible value. A review of the justification for exclusion would be needed to fully assess this risk.

How effective is the firm-fixed-price contract type in ensuring the quality and timely delivery of these critical medical instruments?

The firm-fixed-price (FFP) contract type is generally effective in controlling costs for the government, as the price is set at the outset and does not typically increase due to contractor cost overruns. This provides budget certainty. However, FFP contracts can sometimes incentivize contractors to cut corners on quality or delivery to maximize profit if not rigorously monitored. For critical medical instruments, the Bureau of Prisons would need robust inspection and acceptance procedures to ensure that the quality and timeliness meet the required standards, mitigating the potential risks associated with the FFP structure.

What is the historical spending pattern for surgical and medical instruments by the Federal Prison System or the Department of Justice?

Analyzing historical spending data for surgical and medical instruments by the Federal Prison System (FPS) and the broader Department of Justice (DOJ) would provide context for the current $22.9 million award. This would involve examining contract databases over several fiscal years to identify trends in spending levels, major awardees, types of instruments procured, and average contract values. Understanding these patterns can reveal whether this award represents an increase, decrease, or stable level of investment in these supplies, and whether spending is concentrated with specific vendors or spread across the market.

What are the implications of the short contract duration (approx. 6 months) for supply chain reliability and future procurement strategies?

The relatively short duration of this delivery order (October 2025 - March 2026) suggests a strategy of frequent re-evaluation of needs or a desire to maintain flexibility in procurement. While this allows for quicker adaptation to changing requirements or market conditions, it can also create uncertainty for the contractor regarding future business. For the government, it necessitates ongoing contract management and timely initiation of subsequent procurement actions to ensure uninterrupted supply. It may also limit the contractor's willingness to invest heavily in specialized production lines if future orders are not guaranteed, potentially impacting long-term supply chain reliability.

Industry Classification

NAICS: Manufacturing › Medical Equipment and Supplies Manufacturing › Surgical and Medical Instrument Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15BPCC25Q00000025

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13221 WOODLAND PARK RD, HERNDON, VA, 20171

Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $22,906

Exercised Options: $22,906

Current Obligation: $22,906

Actual Outlays: $13,089

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15BPCC25D00000025

IDV Type: IDC

Timeline