HHS Awards $94.7M for Direct Care Services to Deployed Services, LLC
Contract Overview
Contract Amount: $94,656,694 ($94.7M)
Contractor: Deployed Services, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2023-05-19
End Date: 2024-05-18
Contract Duration: 365 days
Daily Burn Rate: $259.3K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: GREENSBORO PIEDMONT ACADEMY- DIRECT CARE SERVICES
Place of Performance
Location: GREENSBORO, GUILFORD County, NORTH CAROLINA, 27410
Plain-Language Summary
Department of Health and Human Services obligated $94.7 million to DEPLOYED SERVICES, LLC for work described as: GREENSBORO PIEDMONT ACADEMY- DIRECT CARE SERVICES Key points: 1. Significant award value of $94.7 million for emergency relief services. 2. Sole-source award to Deployed Services, LLC raises questions about competition. 3. Contract duration of 365 days with a firm fixed price. 4. North Carolina based contractor, indicating potential regional focus.
Value Assessment
Rating: questionable
The contract's value of $94.7 million for a one-year period is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value compared to similar emergency relief services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning competition was not sought. This significantly limits price discovery and may result in a higher cost to taxpayers than if multiple vendors had competed.
Taxpayer Impact: The lack of competition for a nearly $95 million contract suggests potential overpayment and reduced value for taxpayer funds.
Public Impact
Direct care services are critical for vulnerable populations, ensuring essential support. Emergency relief funding allocation highlights immediate needs addressed by this contract. The sole-source nature of the award may limit awareness of alternative service providers.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award
- Lack of competition
- High contract value
Positive Signals
- Addresses critical direct care needs
- Firm fixed price contract
Sector Analysis
The Administration for Children and Families often procures services related to child welfare and emergency support. A $94.7 million award for direct care services is significant within this sector, particularly for emergency relief.
Small Business Impact
There is no indication that small businesses were involved in this sole-source procurement, either as prime contractors or subcontractors.
Oversight & Accountability
The sole-source justification for this large contract warrants scrutiny to ensure proper procedures were followed and that it was indeed the only viable option.
Related Government Programs
- Emergency and Other Relief Services
- Department of Health and Human Services Contracting
- Administration for Children and Families Programs
Risk Flags
- Sole-source award lacks competition
- Potential for overpayment due to lack of price discovery
- Limited transparency on justification for sole-source
- No apparent small business participation
Tags
emergency-and-other-relief-services, department-of-health-and-human-services, nc, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $94.7 million to DEPLOYED SERVICES, LLC. GREENSBORO PIEDMONT ACADEMY- DIRECT CARE SERVICES
Who is the contractor on this award?
The obligated recipient is DEPLOYED SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Administration for Children and Families).
What is the total obligated amount?
The obligated amount is $94.7 million.
What is the period of performance?
Start: 2023-05-19. End: 2024-05-18.
What was the specific justification for awarding this contract on a sole-source basis, and were alternative competitive options thoroughly explored?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of other qualified sources. Without access to the specific justification documentation, it's impossible to confirm if alternatives were explored. However, for a contract of this magnitude, a robust justification and thorough exploration of competitive options are expected to ensure fair pricing and maximize value for taxpayer funds.
How does the firm fixed price of this contract compare to benchmarks for similar direct care services, especially considering the sole-source nature?
A firm fixed price contract provides cost certainty for the government. However, without competitive bids, it is challenging to establish a precise benchmark against similar contracts. The absence of competition for a nearly $95 million award raises concerns that the price may not be optimized, potentially leading to higher costs than if multiple vendors had vied for the contract.
What mechanisms are in place to ensure the effectiveness and quality of direct care services provided under this sole-source contract?
Effectiveness and quality are typically ensured through performance metrics, service level agreements, and regular oversight by the contracting agency. For sole-source contracts, robust monitoring and evaluation are even more critical to ensure the government receives the intended value and that services meet the required standards, despite the lack of initial competitive pressure.
Industry Classification
NAICS: Health Care and Social Assistance › Community Food and Housing, and Emergency and Other Relief Services › Emergency and Other Relief Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 6820 W LINEBAUGH AVE, TAMPA, FL, 33625
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $94,656,694
Exercised Options: $94,656,694
Current Obligation: $94,656,694
Actual Outlays: $94,656,694
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-05-19
Current End Date: 2024-05-18
Potential End Date: 2024-05-18 00:00:00
Last Modified: 2024-08-08
More Contracts from Deployed Services, LLC
- Influx Care Facility — $156.8M (Department of the Interior)
- Greensboro Direct Care and Supervision Services — $140.9M (Department of the Interior)
- Emergency Influx Site and Wrap Around Services - Dimmit Site 2 — $73.8M (Department of Health and Human Services)
- Child Well-Being Program (cwbp) Services in Support of the Department of Homeland Security (DHS), Office of Health Security (OHS), OHS Healthcare Systems and Oversight Directorate (hcsod), Child Well-Being Program Office Within the Hcsod Border Heal — $28.8M (Department of Homeland Security)
- Direct Care Services (DCS) Including ALL Personnel, Services, and Resources Necessary to Provide for ICF Based Care and Supervision of UC Aged 13 to 17-Years-Old, UC Records Management — $11.1M (Department of Health and Human Services)
Other Department of Health and Human Services Contracts
- Contact Center Operations (CCO) — $5.5B (Maximus Federal Services, Inc.)
- TAS::75 0849::TAS Oper of Govt R&D Goco Facilities — $4.8B (Leidos Biomedical Research Inc)
- THE Purpose of This Contract IS to Provide the Full Complement of Services Necessary to Care for UC in ORR Custody Including Facilities Set-Up, Maintenance, and Support Internal and Perimeter (IF Applicable) Security, Direct Care and Supervision Inc — $3.5B (Rapid Deployment Inc)
- Contact Center Operations — $2.6B (Maximus Federal Services, Inc.)
- Federal Contract — $2.4B (Leidos Biomedical Research Inc)
View all Department of Health and Human Services contracts →