California's Department of Public Health awarded $2.5M contract for food inspections, raising competition concerns
Contract Overview
Contract Amount: $2,517,238 ($2.5M)
Contractor: Public Health, California Department of
Awarding Agency: Department of Health and Human Services
Start Date: 2023-09-22
End Date: 2026-09-29
Contract Duration: 1,103 days
Daily Burn Rate: $2.3K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: HUMAN FOOD INSPECTIONS - CALIFORNIA (H)
Place of Performance
Location: SACRAMENTO, SACRAMENTO County, CALIFORNIA, 95814
Plain-Language Summary
Department of Health and Human Services obligated $2.5 million to PUBLIC HEALTH, CALIFORNIA DEPARTMENT OF for work described as: HUMAN FOOD INSPECTIONS - CALIFORNIA (H) Key points: 1. Contract awarded to California Department of Public Health for $2.5M. 2. Limited competition due to contract type. 3. Potential risk associated with sole-source nature of the award. 4. Sector: Healthcare/Public Health.
Value Assessment
Rating: questionable
The contract value of $2.5M for food inspections is difficult to benchmark without specific service details. The lack of competitive bidding suggests potential overpricing or inefficient allocation of funds.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a limited procurement approach. This lack of competition may have hindered price discovery and potentially led to a higher cost for taxpayers.
Taxpayer Impact: Taxpayer funds may not have been used most efficiently due to the absence of competitive bidding.
Public Impact
Ensures continued food safety and public health in California. Potential for increased costs due to lack of competition. Limited transparency in the award process.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for higher costs
- Limited transparency
Positive Signals
- Ensures essential public health service
Sector Analysis
This contract falls within the Healthcare and Public Health sector, specifically focusing on regulatory and inspection services. Benchmarks for similar public health program administration contracts vary widely based on scope and duration.
Small Business Impact
There is no indication that small businesses were involved in this contract award, as it was awarded directly to a state department.
Oversight & Accountability
Oversight of this contract's effectiveness and cost-efficiency is crucial, especially given the limited competition. The Food and Drug Administration's role in awarding this contract warrants scrutiny to ensure proper use of federal funds.
Related Government Programs
- Administration of Public Health Programs
- Department of Health and Human Services Contracting
- Food and Drug Administration Programs
Risk Flags
- Limited competition
- Potential for cost overruns
- Lack of transparency in award
Tags
administration-of-public-health-programs, department-of-health-and-human-services, ca, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $2.5 million to PUBLIC HEALTH, CALIFORNIA DEPARTMENT OF. HUMAN FOOD INSPECTIONS - CALIFORNIA (H)
Who is the contractor on this award?
The obligated recipient is PUBLIC HEALTH, CALIFORNIA DEPARTMENT OF.
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Food and Drug Administration).
What is the total obligated amount?
The obligated amount is $2.5 million.
What is the period of performance?
Start: 2023-09-22. End: 2026-09-29.
What specific services are included in these food inspections to justify the $2.5M cost?
The provided data does not detail the specific services encompassed by the 'HUMAN FOOD INSPECTIONS - CALIFORNIA' contract. A comprehensive understanding of the scope, frequency, and specialized nature of these inspections is necessary to accurately assess the $2.5M expenditure and determine if it aligns with industry standards and public health objectives.
How does the lack of competition impact the risk of inflated pricing for these essential public health services?
The absence of competitive bidding significantly increases the risk of inflated pricing. Without competing offers, the awarded entity may not be incentivized to offer the most cost-effective solution. This can lead to taxpayers bearing a higher cost than necessary for the same or similar services, potentially diverting funds from other critical public health initiatives.
What measures are in place to ensure the effectiveness and accountability of the California Department of Public Health in performing these inspections under this contract?
Accountability for this contract likely relies on the oversight mechanisms of the Food and Drug Administration (FDA) and the internal quality assurance processes of the California Department of Public Health. Performance metrics, reporting requirements, and periodic reviews should be established to ensure the inspections are conducted effectively and meet federal standards for public health protection.
Industry Classification
NAICS: Public Administration › Administration of Human Resource Programs › Administration of Public Health Programs
Product/Service Code: QUALITY CONTROL, TEST, INSPECTION › QUALITY CONTROL SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 75F40123C
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1615 CAPITOL AVE, SACRAMENTO, CA, 95814
Business Categories: Category Business, Government, U.S. Local Government, U.S. National Government, Not Designated a Small Business, U.S. Regional/State Government
Financial Breakdown
Contract Ceiling: $2,811,741
Exercised Options: $2,517,238
Current Obligation: $2,517,238
Actual Outlays: $1,877,972
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2023-09-22
Current End Date: 2026-09-29
Potential End Date: 2027-03-29 00:00:00
Last Modified: 2026-03-24
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