HHS Awards $2.1M for Medical Services to Bay Area Anesthesia LLC
Contract Overview
Contract Amount: $2,108,040 ($2.1M)
Contractor: BAY Area Anesthesia LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2025-02-12
End Date: 2025-12-31
Contract Duration: 322 days
Daily Burn Rate: $6.5K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: MID-LEVEL PROVIDERS TO PROVIDE MEDICAL SERVICES TO OUTPATIENT CLINIC
Place of Performance
Location: PINE RIDGE, SHANNON County, SOUTH DAKOTA, 57770
Plain-Language Summary
Department of Health and Human Services obligated $2.1 million to BAY AREA ANESTHESIA LLC for work described as: MID-LEVEL PROVIDERS TO PROVIDE MEDICAL SERVICES TO OUTPATIENT CLINIC Key points: 1. Contract awarded for temporary medical staffing services. 2. Bay Area Anesthesia LLC is the sole awardee. 3. Potential for increased costs due to lack of competition. 4. Services are critical for outpatient clinic operations.
Value Assessment
Rating: fair
The contract value of $2.1M for 322 days of service appears reasonable for specialized medical staffing. However, without competitive bidding, it's difficult to ascertain if this represents the best value or if a lower price could have been achieved.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and may result in higher costs for taxpayers as there was no opportunity for multiple vendors to bid on the service.
Taxpayer Impact: The lack of competition could lead to a higher overall cost for taxpayers compared to a fully competed contract.
Public Impact
Ensures continued medical services for outpatient clinics. Potential impact on patient access if staffing is insufficient. Taxpayer funds are allocated for essential healthcare support.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Sole-source award
- Potential for cost overruns
Positive Signals
- Essential service provision
- Defined contract period
Sector Analysis
This contract falls under temporary staffing services, often used to fill critical gaps in healthcare facilities. Benchmarks for this sector can vary widely based on specialization and location.
Small Business Impact
The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business set-aside opportunities were missed.
Oversight & Accountability
Oversight will be crucial to ensure the quality of services provided by Bay Area Anesthesia LLC and to monitor spending against the contract value, especially given the sole-source nature.
Related Government Programs
- Temporary Help Services
- Department of Health and Human Services Contracting
- Indian Health Service Programs
Risk Flags
- Sole-source award limits competition.
- Potential for inflated pricing.
- No small business participation noted.
- Reliance on a single provider.
- Contract duration may not align with long-term needs.
Tags
temporary-help-services, department-of-health-and-human-services, sd, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $2.1 million to BAY AREA ANESTHESIA LLC. MID-LEVEL PROVIDERS TO PROVIDE MEDICAL SERVICES TO OUTPATIENT CLINIC
Who is the contractor on this award?
The obligated recipient is BAY AREA ANESTHESIA 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 $2.1 million.
What is the period of performance?
Start: 2025-02-12. End: 2025-12-31.
What is the justification for the sole-source award, and what steps were taken to ensure fair pricing?
The justification for a sole-source award typically involves unique capabilities or urgent needs. The Department of Health and Human Services should have documented the rationale and explored limited competition options. Without this documentation, it's difficult to assess if fair pricing was achieved through negotiation or if the price reflects a premium due to the lack of competitive pressure.
What are the risks associated with relying on a single provider for essential medical staffing?
The primary risk is service disruption if the sole provider fails to meet contractual obligations or experiences internal issues. There's also a risk of price escalation in future contract renewals, as the government may become dependent on this specific provider. Contingency planning and regular performance reviews are essential to mitigate these risks.
How will the effectiveness of the medical services provided be measured and ensured?
Effectiveness will be measured through key performance indicators (KPIs) outlined in the contract, such as patient wait times, patient satisfaction scores, and adherence to medical protocols. Regular performance reviews by the Indian Health Service contracting officer's representative will be critical to ensure the provider meets quality standards and patient care needs.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Employment Services › Temporary Help Services
Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL 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: 1839 S ALMA SCHOOL RD STE 335, MESA, AZ, 85210
Business Categories: American Indian Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Service Disabled Veteran Owned Business, Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $2,108,040
Exercised Options: $2,108,040
Current Obligation: $2,108,040
Actual Outlays: $2,108,040
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2025-02-12
Current End Date: 2025-12-31
Potential End Date: 2025-12-31 00:00:00
Last Modified: 2026-01-10
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