DOJ awards $2.9M for residential reentry services in North Carolina, with a 364-day term

Contract Overview

Contract Amount: $2,930,867 ($2.9M)

Contractor: Dismas Charities Inc

Awarding Agency: Department of Justice

Start Date: 2024-10-01

End Date: 2025-09-30

Contract Duration: 364 days

Daily Burn Rate: $8.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TO PROVIDE RESIDENTIAL REENTRY CENTER (RRC) SERVICES AND HOME CONFINEMENT SERVICES IN GREENSBORO, NORTH CAROLINA IN ACCORDANCE WITH SOLICITATION 15BRRC20R00000355.

Place of Performance

Location: LOUISVILLE, JEFFERSON County, KENTUCKY, 40208

State: Kentucky Government Spending

Plain-Language Summary

Department of Justice obligated $2.9 million to DISMAS CHARITIES INC for work described as: TO PROVIDE RESIDENTIAL REENTRY CENTER (RRC) SERVICES AND HOME CONFINEMENT SERVICES IN GREENSBORO, NORTH CAROLINA IN ACCORDANCE WITH SOLICITATION 15BRRC20R00000355. Key points: 1. Contract awarded via full and open competition, suggesting a robust market for these services. 2. The fixed-price contract type aims to control costs and provide predictable spending. 3. Performance period of one year indicates a need for ongoing, but not long-term, service provision. 4. The specific geographic focus on Greensboro, NC, highlights localized service delivery. 5. The North American Industry Classification System (NAICS) code 623990 points to specialized residential care facilities.

Value Assessment

Rating: good

The contract value of approximately $2.93 million for a 364-day period for residential reentry services appears reasonable given the specialized nature of the services. Benchmarking against similar contracts for RRC services in other regions would provide a more precise value assessment. However, the firm-fixed-price structure suggests an effort to manage costs effectively. The absence of task orders (no) indicates that the full value may not be utilized, or that the base award is for initial services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors were likely solicited and had the opportunity to bid. This competitive process is generally expected to yield fair market prices and encourage innovation. The specific number of bidders is not provided, but the designation suggests a healthy level of market interest and capability for providing these essential reentry services.

Taxpayer Impact: Taxpayers benefit from a competitive bidding process that is designed to secure the best value for the government by driving down prices and improving service quality.

Public Impact

Individuals re-entering the community from correctional facilities in the Greensboro, North Carolina area will receive essential support services. Services include residential reentry and home confinement, aiding in successful reintegration and reducing recidivism. The contract directly supports the Federal Prison System's mission to manage offenders and facilitate their transition back into society. Local workforce in Greensboro may see employment opportunities within the contracted residential reentry center.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data makes it difficult to assess service quality and effectiveness.
The duration of the contract (364 days) may require a subsequent competitive process, potentially leading to service disruptions if not managed proactively.
Geographic concentration in Greensboro might limit options for individuals requiring services in adjacent areas.

Positive Signals

Awarded through full and open competition, indicating a potentially competitive market and good value.
Firm-fixed-price contract type helps control costs and provides budget certainty.
Clear service description (RRC and home confinement) ensures focused delivery.

Sector Analysis

The contract falls within the 'Other Residential Care Facilities' sector (NAICS 623990), which includes establishments primarily engaged in providing residential care services, except for those providing supervision of alcohol/drug recovery or those for the elderly/disabled. This sector is crucial for supporting government correctional and rehabilitation programs. Spending in this area is often driven by federal and state correctional facility populations and recidivism reduction initiatives. Comparable spending benchmarks would typically be assessed against per-diem rates for similar facilities in the region or nationally.

Small Business Impact

The provided data does not indicate any small business set-aside provisions for this contract, nor does it mention subcontracting goals. As it was awarded under full and open competition, it is possible that larger, established providers were the primary bidders. Further analysis would be needed to determine if small businesses had opportunities to participate as prime contractors or subcontractors in this procurement.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Federal Bureau of Prisons (BOP), a component of the Department of Justice. The BOP has established procedures for contract management, performance monitoring, and quality assurance to ensure that services meet contractual requirements. Transparency is generally maintained through contract award databases, though specific performance reports may not always be publicly accessible.

Related Government Programs

Federal Prison System Services
Reentry and Rehabilitation Programs
Community Corrections Programs
Offender Management Services

Risk Flags

Potential for service disruption if provider faces operational issues.
Limited scope for innovation if provider becomes complacent.
Future price increases may occur if competition diminishes.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $2.9 million to DISMAS CHARITIES INC. TO PROVIDE RESIDENTIAL REENTRY CENTER (RRC) SERVICES AND HOME CONFINEMENT SERVICES IN GREENSBORO, NORTH CAROLINA IN ACCORDANCE WITH SOLICITATION 15BRRC20R00000355.

Who is the contractor on this award?

The obligated recipient is DISMAS CHARITIES 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 $2.9 million.

What is the period of performance?

Start: 2024-10-01. End: 2025-09-30.

What is the historical spending pattern for residential reentry center (RRC) services by the Department of Justice, specifically the Federal Bureau of Prisons?

The Department of Justice, primarily through the Federal Bureau of Prisons (BOP), has consistently allocated significant funding towards residential reentry center (RRC) services. These services are critical for the successful reintegration of individuals transitioning from correctional facilities back into society, aiming to reduce recidivism rates. Historical spending data reveals a steady demand for RRC services, often awarded through competitive solicitations. The total annual expenditure can fluctuate based on the number of individuals requiring these services, the geographic distribution of facilities, and the specific service requirements outlined in solicitations. For instance, in recent fiscal years, the BOP has awarded hundreds of millions of dollars annually for RRC contracts nationwide. This specific contract for Greensboro, NC, valued at approximately $2.93 million for a one-year period, represents a localized investment within this broader national strategy. Analyzing trends over the past 5-10 years would show the evolution of program scope, pricing structures, and the increasing emphasis on evidence-based practices within RRC programming.

How does the per-diem cost of this contract compare to national averages for similar RRC services?

To accurately compare the per-diem cost, we would need to know the estimated number of individuals to be served daily under this contract. The total contract value is $2,930,866.98 for 364 days. If we assume an average daily census, we can calculate a rough per-diem rate. For example, if the facility is expected to house an average of 100 residents per day, the per-diem rate would be approximately $8,052,986 / 100 residents / 364 days = $22.12 per resident per day. National averages for RRC services can vary significantly based on location, level of security, and the specific services provided (e.g., medical care, job training). However, typical per-diem rates often range from $70 to $150 or more. If the calculated rate is indeed around $22, it would be exceptionally low compared to national benchmarks, potentially indicating a highly efficient operation, a specific service model, or that the contract value represents a base amount with potential for additional task orders not reflected in the initial award. Further clarification on the expected resident capacity and service scope is necessary for a definitive comparison.

What are the key performance indicators (KPIs) typically used to evaluate the success of residential reentry center contracts?

Key performance indicators (KPIs) for residential reentry center (RRC) contracts are crucial for ensuring the effectiveness of the services provided and achieving the goal of reducing recidivism. Common KPIs include: 1. **Recidivism Rates:** The percentage of individuals who do not re-offend (e.g., are not arrested, convicted, or incarcerated) within a specified period after release. This is often the primary measure of success. 2. **Employment Rates:** The percentage of residents who secure and maintain employment during and after their stay at the RRC. 3. **Program Completion Rates:** The percentage of residents who successfully complete all required RRC programs, such as substance abuse treatment, life skills training, and educational programs. 4. **Housing Stability:** The percentage of residents who secure stable housing upon exiting the RRC. 5. **Rule Violations:** The number of rule violations by residents during their stay, indicating adherence to facility regulations. 6. **Timeliness of Services:** Ensuring that case management, counseling, and other support services are provided promptly as outlined in the contract. The specific KPIs and their weighting are typically detailed within the contract's Performance Work Statement (PWS).

What is the track record of Dismas Charities Inc. in managing federal contracts for correctional or reentry services?

Dismas Charities Inc. is a well-established non-profit organization with a significant history of providing residential reentry services to federal, state, and local correctional agencies. They operate numerous facilities across the United States. Their track record with federal contracts, particularly with the Federal Bureau of Prisons (BOP), is extensive. Dismas Charities has consistently been awarded contracts for RRC services, indicating a level of trust and proven capability from the government's perspective. Performance evaluations for their contracts are generally available through federal procurement databases, though specific details might be proprietary. Historically, organizations like Dismas Charities are evaluated on their ability to meet performance standards related to resident management, program delivery, safety, and achieving desired outcomes such as reduced recidivism and successful community reintegration. While specific contract performance details require deeper data dives, their continued success in securing federal funding suggests a generally positive and reliable performance history in this specialized sector.

What are the potential risks associated with relying on a single provider for residential reentry services in a specific geographic area?

Relying on a single provider for residential reentry services (RRC) in a specific geographic area, even if awarded through competition, can present several potential risks. Firstly, there's a risk of **service degradation** if the provider becomes complacent due to a lack of direct competition for renewals or expansions within that area. Secondly, **operational disruptions** due to unforeseen circumstances (e.g., financial instability, natural disasters, major compliance issues) at the sole provider's facility could leave the government scrambling to find alternative solutions, potentially impacting the continuity of care for individuals. Thirdly, **limited innovation** may occur, as the provider might have less incentive to invest in new or improved methodologies if they are the only option. Fourthly, **price increases** could be a risk in future contract negotiations if the provider faces minimal competitive pressure. While this contract was awarded competitively, future procurements or the need for additional capacity might face a situation where only one viable provider exists locally, necessitating careful market analysis and contingency planning by the contracting agency.

Industry Classification

NAICS: Health Care and Social Assistance › Other Residential Care Facilities › Other Residential Care Facilities

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: 2500 7TH STREET RD STE 1, LOUISVILLE, KY, 40208

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

Financial Breakdown

Contract Ceiling: $2,930,867

Exercised Options: $2,930,867

Current Obligation: $2,930,867

Actual Outlays: $2,942,803

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15BRRC22D00000362

IDV Type: IDC

Timeline