DOJ Awards $41M to CoreCivic for Correctional Facility Management, Facing Limited Competition
Contract Overview
Contract Amount: $41,053,335 ($41.1M)
Contractor: Corecivic, Inc.
Awarding Agency: Department of Justice
Start Date: 2020-10-01
End Date: 2021-11-30
Contract Duration: 425 days
Daily Burn Rate: $96.6K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PROVIDE SERVICES FOR THE MANAGEMENT AND OPERATION OF A CORRECTIONAL FACILITY IN ACCORDANCE WITH RFP-PCC-0017.
Place of Performance
Location: MC RAE, TELFAIR County, GEORGIA, 31055
State: Georgia Government Spending
Plain-Language Summary
Department of Justice obligated $41.1 million to CORECIVIC, INC. for work described as: PROVIDE SERVICES FOR THE MANAGEMENT AND OPERATION OF A CORRECTIONAL FACILITY IN ACCORDANCE WITH RFP-PCC-0017. Key points: 1. CoreCivic secured a $41M contract for correctional facility operations. 2. The contract was awarded under full and open competition. 3. Potential risks include service quality and cost overruns. 4. The sector is government services, specifically correctional facilities management.
Value Assessment
Rating: fair
The contract value of $41M for a 14-month period appears reasonable for correctional facility management. However, without specific performance metrics or comparison data, a definitive value assessment is difficult. The benchmark of $9.6M in prior contract value suggests potential for cost increases.
Cost Per Unit: $96,596 (prior contract)
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating a robust price discovery process. This method allows multiple vendors to bid, theoretically driving down costs and ensuring the government receives competitive pricing.
Taxpayer Impact: Taxpayer funds are utilized for the management and operation of federal correctional facilities, a necessary but significant expenditure.
Public Impact
Ensures continued operation of federal correctional facilities, maintaining public safety and order. Supports employment within the correctional services sector. Potential impact on inmate welfare and rehabilitation programs based on service quality.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost escalation in future contract renewals.
- Dependence on a single contractor for critical infrastructure management.
- Ensuring consistent service quality and adherence to standards.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract type limits cost uncertainty.
- Contract supports essential government function.
Sector Analysis
This contract falls within the government services sector, specifically focusing on correctional facility management. Spending in this area is driven by federal and state needs for incarceration and detention services, with significant annual outlays.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract award. Large, specialized contractors typically dominate the correctional facility management sector.
Oversight & Accountability
The Department of Justice, through the Bureau of Prisons, is responsible for overseeing this contract. Oversight mechanisms should ensure compliance with contract terms, performance standards, and ethical conduct.
Related Government Programs
- Facilities Support Services
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Potential for cost overruns in future periods.
- Contractor performance risk.
- Dependence on a single provider for critical services.
- Ensuring adequate oversight of operations.
Tags
facilities-support-services, department-of-justice, ga, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $41.1 million to CORECIVIC, INC.. PROVIDE SERVICES FOR THE MANAGEMENT AND OPERATION OF A CORRECTIONAL FACILITY IN ACCORDANCE WITH RFP-PCC-0017.
Who is the contractor on this award?
The obligated recipient is CORECIVIC, INC..
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 $41.1 million.
What is the period of performance?
Start: 2020-10-01. End: 2021-11-30.
What specific performance metrics are included in the contract to ensure quality of service and inmate welfare?
The provided data does not detail specific performance metrics. A thorough review of the RFP-PCC-0017 and the awarded contract would be necessary to ascertain the quality assurance measures, inmate welfare standards, and any associated penalties for non-compliance. Effective oversight is crucial to ensure these aspects are adequately addressed.
How does the current contract's pricing compare to similar correctional facility management contracts awarded by other federal agencies or state governments?
Direct comparison is challenging without access to a broader market analysis of similar contracts. The prior contract value of $9.6M for a shorter duration suggests a significant increase. Benchmarking against peer facilities and services would be essential to determine if the $41M award represents competitive pricing or potential overpayment.
What are the contingency plans in place should CoreCivic fail to meet its contractual obligations or face operational disruptions?
The contract likely includes clauses for default and termination, allowing the Department of Justice to transition services to another provider or assume direct management. However, the speed and effectiveness of such transitions are critical. Contingency planning should also address potential disruptions like staffing shortages or security breaches.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 10 BURTON HILLS BLVD, NASHVILLE, TN, 37215
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $41,053,335
Exercised Options: $41,053,335
Current Obligation: $41,053,335
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: DJB1PC016
IDV Type: IDC
Timeline
Start Date: 2020-10-01
Current End Date: 2021-11-30
Potential End Date: 2021-11-30 00:00:00
Last Modified: 2021-08-06
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