HHS Awards $22.6M Design-Build Contract for Oregon School Based Health Center to TSS-JCC LLC

Contract Overview

Contract Amount: $22,600,386 ($22.6M)

Contractor: Tss-Jcc LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2024-09-27

End Date: 2026-09-24

Contract Duration: 727 days

Daily Burn Rate: $31.1K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: WESTERN OREGON SERVICE UNIT (WOSU) SCHOOL BASED HEALTH CENTER (SBHC) DESIGN-BUILD

Place of Performance

Location: SALEM, MARION County, OREGON, 97305

State: Oregon Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $22.6 million to TSS-JCC LLC for work described as: WESTERN OREGON SERVICE UNIT (WOSU) SCHOOL BASED HEALTH CENTER (SBHC) DESIGN-BUILD Key points: 1. The contract is a definitive contract with a firm fixed price. 2. The project is for the design and construction of a school-based health center. 3. The awardee is TSS-JCC LLC. 4. The contract duration is 727 days. 5. The contract is awarded by the Indian Health Service, a division of HHS.

Value Assessment

Rating: questionable

The contract value of $22.6 million for a design-build project of this nature is difficult to assess without more detailed cost breakdowns. The provided benchmark of $31,087 seems unusually low for a project of this scale, suggesting it might be for a different scope or phase.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited source selection process. This lack of full and open competition may impact the government's ability to secure the most competitive pricing.

Taxpayer Impact: The absence of competitive bidding could lead to taxpayers potentially overpaying for the design-build services.

Public Impact

Improved healthcare access for students in Western Oregon. Potential for enhanced community health services through the SBHC. Job creation in construction and related fields in Oregon. Investment in educational infrastructure supporting student well-being.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition raises concerns about price reasonableness.
Lack of detailed cost breakdown hinders value assessment.
Potential for cost overruns in design-build projects without robust oversight.

Positive Signals

Addresses critical need for school-based health services.
Supports student health and educational outcomes.
Long-term infrastructure investment for the community.

Sector Analysis

The contract falls under Commercial and Institutional Building Construction. The benchmark of $31,087 appears significantly lower than the contract award of $22.6 million, suggesting it may not be directly comparable or represents a different metric.

Small Business Impact

Information regarding small business participation is not available in the provided data. Further analysis would be needed to determine if small businesses were involved in subcontracting opportunities.

Oversight & Accountability

The contract is a definitive contract, suggesting a higher level of commitment. Oversight will be crucial to ensure the design-build process stays on schedule and within budget, especially given the limited competition.

Related Government Programs

Commercial and Institutional Building Construction
Department of Health and Human Services Contracting
Indian Health Service Programs

Risk Flags

Lack of full and open competition.
Unclear justification for limited competition.
Potential for cost overruns due to fixed-price nature without competitive pressure.
Ambiguity in provided cost benchmark data.
Need for robust oversight to ensure quality and timely completion.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $22.6 million to TSS-JCC LLC. WESTERN OREGON SERVICE UNIT (WOSU) SCHOOL BASED HEALTH CENTER (SBHC) DESIGN-BUILD

Who is the contractor on this award?

The obligated recipient is TSS-JCC LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Indian Health Service).

What is the total obligated amount?

The obligated amount is $22.6 million.

What is the period of performance?

Start: 2024-09-27. End: 2026-09-24.

What specific factors justified the limited competition for this design-build contract, and how was the price determined to be fair and reasonable?

The justification for limited competition is not detailed in the provided data. Typically, such justifications might include urgent needs, unique capabilities of the awardee, or specific program requirements. The method for determining price reasonableness in a sole-source or limited competition scenario often involves historical pricing data, independent government cost estimates, or comparison to similar, competitively awarded contracts, though the latter is challenging without more data.

What are the key performance indicators (KPIs) for this design-build project, and how will their achievement be measured to ensure project success and taxpayer value?

Key performance indicators for a design-build project typically include adherence to schedule, budget compliance, quality of construction meeting specified standards, and successful completion of all design elements. Measurement methods would involve regular site inspections, progress reports, milestone reviews, and final acceptance testing. The effectiveness in delivering taxpayer value will be assessed by comparing the final cost and quality against the initial project objectives and any established benchmarks.

How will the Indian Health Service ensure that the completed School Based Health Center meets the specific healthcare needs of the student population it serves?

The Indian Health Service will likely ensure the SBHC meets student needs through a rigorous design review process involving input from school administrators, healthcare providers, and potentially student representatives. Requirements will be specified in the contract to include necessary medical equipment, functional spaces for various health services (e.g., primary care, mental health, dental), and accessibility features. Post-construction, ongoing operational feedback and utilization data will inform any necessary adjustments to services or facility use.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75H0124R00047

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1737 LEE RD 10, AUBURN, AL, 36832

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,600,386

Exercised Options: $22,600,386

Current Obligation: $22,600,386

Actual Outlays: $7,276,954

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline