DOJ awards $30M contract for inmate healthcare, aiming to improve community-based services

Contract Overview

Contract Amount: $30,000,000 ($30.0M)

Contractor: Naphcare LLC

Awarding Agency: Department of Justice

Start Date: 2025-12-01

End Date: 2026-09-30

Contract Duration: 303 days

Daily Burn Rate: $99.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: REQUEST FOR HEALTHCARE DELIVERY SERVICES FOR INMATES IN THE COMMUNITY.

Place of Performance

Location: BIRMINGHAM, JEFFERSON County, ALABAMA, 35216

State: Alabama Government Spending

Plain-Language Summary

Department of Justice obligated $30.0 million to NAPHCARE LLC for work described as: REQUEST FOR HEALTHCARE DELIVERY SERVICES FOR INMATES IN THE COMMUNITY. Key points: 1. Contract focuses on enhancing healthcare delivery for inmates transitioning to community settings. 2. The firm-fixed-price structure provides cost certainty for the government. 3. Competition was full and open, suggesting a potentially competitive bidding process. 4. The contract duration of 303 days indicates a short-term need for these services. 5. Performance will be monitored to ensure quality of care for a vulnerable population. 6. The geographic focus is Alabama, targeting specific community re-entry points.

Value Assessment

Rating: good

The contract's value of $30 million for a 303-day period for healthcare delivery services to inmates in the community appears reasonable given the specialized nature of the services. Benchmarking against similar contracts for correctional healthcare or community re-entry programs would provide a more precise assessment, but the scope suggests a significant operational undertaking. The firm-fixed-price contract type helps manage cost risks for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally fosters a competitive environment, which can lead to better pricing and service offerings. The government sought a broad range of potential providers to meet the complex needs of inmate healthcare in a community setting.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it increases the likelihood of obtaining the best value through a robust bidding process, potentially driving down costs and improving service quality.

Public Impact

Inmates transitioning from federal correctional facilities to community supervision in Alabama will benefit from enhanced healthcare services. The contract aims to ensure continuity of care, addressing medical and surgical needs during the re-entry phase. Services are geographically focused within Alabama, supporting community re-entry programs in the state. This initiative could positively impact the health outcomes of individuals reintegrating into society, potentially reducing recidivism. The contract supports the Bureau of Prisons' mission to provide comprehensive care for federal inmates, including post-release support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Ensuring consistent quality of care across different community settings.
Monitoring contractor performance to meet the specific health needs of the inmate population.
Managing the transition of care from correctional facilities to community providers effectively.
Potential for scope creep if additional health services are deemed necessary during the contract period.

Positive Signals

The firm-fixed-price contract provides cost predictability.
Full and open competition suggests a potentially competitive market for these services.
Focus on community-based care aligns with rehabilitation and re-entry goals.
The contract duration allows for focused service delivery over a defined period.

Sector Analysis

The healthcare services sector, particularly within correctional facilities and community re-entry programs, is a specialized area. This contract falls under the General Medical and Surgical Hospitals (NAICS 622110) category. The market for correctional healthcare is significant, with government agencies often contracting out these services to specialized providers to manage costs and ensure compliance with healthcare regulations within secure environments. This contract represents a specific instance of federal spending within this niche, focusing on the critical transition period for inmates.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary focus is on larger, potentially specialized healthcare providers capable of meeting the extensive requirements of inmate healthcare. There is no explicit information regarding subcontracting plans for small businesses. The absence of a small business set-aside suggests that the primary awardee is expected to have the capacity and resources to fulfill the contract requirements directly.

Oversight & Accountability

Oversight for this contract will likely be managed by the Bureau of Prisons (BOP), a division of the Department of Justice. The BOP typically has contracting officers and program managers responsible for monitoring contractor performance, ensuring compliance with contract terms, and verifying the quality of services delivered. The firm-fixed-price nature of the contract provides a degree of financial oversight. Transparency will depend on the BOP's reporting practices and any public disclosures related to contract performance and outcomes.

Related Government Programs

Federal Bureau of Prisons Healthcare Services
Community Re-entry Program Services
Inmate Health and Medical Services
Correctional Healthcare Contracts
Public Health Services for Vulnerable Populations

Risk Flags

Potential for service gaps during transition
Ensuring quality of care in community settings
Managing complex health needs of re-entering population
Coordination with external healthcare providers

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $30.0 million to NAPHCARE LLC. REQUEST FOR HEALTHCARE DELIVERY SERVICES FOR INMATES IN THE COMMUNITY.

Who is the contractor on this award?

The obligated recipient is NAPHCARE 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 $30.0 million.

What is the period of performance?

Start: 2025-12-01. End: 2026-09-30.

What is the historical spending pattern for inmate healthcare services by the Bureau of Prisons in Alabama?

Analyzing historical spending for inmate healthcare in Alabama by the Bureau of Prisons requires access to detailed procurement data over several fiscal years. Typically, the BOP contracts for a range of healthcare services, including primary care, specialty care, mental health, and pharmaceutical services, both within facilities and during community re-entry. Spending patterns can fluctuate based on inmate population size, specific health needs identified, contract renewals, and the competitive landscape of healthcare providers in the region. Without specific historical data for Alabama, it's difficult to provide precise figures, but it's reasonable to assume consistent, significant investment in inmate healthcare to meet constitutional standards for medical care.

How does the $30 million contract value compare to similar healthcare delivery contracts for correctional facilities or re-entry programs?

Comparing the $30 million contract value requires benchmarking against contracts of similar scope, duration, and geographic focus. Correctional healthcare contracts can vary widely, from comprehensive medical care contracts for entire prison systems to specialized services for specific populations or locations. A $30 million award for a 303-day period suggests a substantial service requirement, potentially encompassing a significant number of inmates or a broad range of medical services. To assess value, one would ideally compare this to contracts for similar inmate populations in community re-entry settings or for comparable healthcare services within correctional facilities in other states or regions. Factors like the acuity of patient needs, the level of staffing required, and the specific services included (e.g., primary care, mental health, chronic disease management) heavily influence contract value.

What are the key performance indicators (KPIs) that will be used to evaluate NAPHCARE LLC's performance under this contract?

Key Performance Indicators (KPIs) for a contract like this would typically focus on the quality, timeliness, and accessibility of healthcare services provided to inmates. Common KPIs might include patient satisfaction scores, adherence to treatment plans, rates of preventable hospital readmissions, response times for medical emergencies, availability of primary and specialty care appointments within specified timeframes, and compliance with all relevant healthcare regulations and standards (e.g., HIPAA, ACA). For a community re-entry program, KPIs might also track the successful transition of care, management of chronic conditions post-release, and coordination with community healthcare providers. The specific KPIs would be detailed in the contract's Performance Work Statement (PWS).

What is NAPHCARE LLC's track record in providing healthcare services to correctional populations or in community re-entry programs?

NAPHCARE LLC is a known provider of correctional healthcare services, operating across various states. Their track record typically involves managing comprehensive medical, dental, and mental health services for inmate populations within correctional facilities. Information regarding their specific experience with community re-entry programs would need to be verified through their company profile, past performance reviews, and potentially contract award histories. Generally, companies in this space aim to demonstrate a history of providing cost-effective, compliant, and quality care, often highlighting their ability to manage complex health needs within secure environments and facilitate smoother transitions for individuals returning to the community.

What are the potential risks associated with this contract, and how are they being mitigated?

Potential risks associated with this contract include challenges in ensuring consistent quality of care across diverse community settings, managing the complex health needs of individuals transitioning from incarceration, potential for unexpected medical costs if not adequately managed under a fixed-price contract, and ensuring seamless coordination between correctional healthcare providers and community resources. Mitigation strategies often involve robust performance monitoring by the contracting agency (BOP), clear performance standards and KPIs in the contract, requirements for detailed reporting from the contractor, and potentially contingency planning for unforeseen medical events or service gaps. The firm-fixed-price structure itself mitigates financial risk for the government regarding the base contract amount.

How does this contract align with the Bureau of Prisons' broader mission and strategic goals regarding inmate health and rehabilitation?

This contract directly aligns with the Bureau of Prisons' mission to provide comprehensive healthcare services to federal inmates and facilitate successful re-entry into society. By focusing on healthcare delivery for inmates in the community, the contract supports rehabilitation efforts by ensuring continuity of care and addressing health issues that could impede reintegration or lead to recidivism. It reflects a strategic goal to manage inmate health effectively, both during incarceration and during the critical transition period post-release, aiming to improve public safety and reduce the likelihood of re-offending through better health outcomes.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2090 COLUMBIANA RD, VESTAVIA HILLS, AL, 35216

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

Financial Breakdown

Contract Ceiling: $49,252,352

Exercised Options: $49,252,352

Current Obligation: $30,000,000

Actual Outlays: $4,566,334

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 15BRRC25D00000010

IDV Type: IDC

Timeline