HHS awards $4.9M for Cheyenne River Health Center ED staffing, serving 365 days

Contract Overview

Contract Amount: $4,892,270 ($4.9M)

Contractor: Tribal Health, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2025-06-30

End Date: 2026-06-30

Contract Duration: 365 days

Daily Burn Rate: $13.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: EMERGENCY DEPARTMENT MANAGEMENT & STAFFING SERVICES FOR THE CHEYENNE RIVER HEALTH CENTER, EAGLE BUTTE, SD. POP: 07/01/2025-06/30/2026

Place of Performance

Location: EAGLE BUTTE, DEWEY County, SOUTH DAKOTA, 57625

State: South Dakota Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $4.9 million to TRIBAL HEALTH, LLC for work described as: EMERGENCY DEPARTMENT MANAGEMENT & STAFFING SERVICES FOR THE CHEYENNE RIVER HEALTH CENTER, EAGLE BUTTE, SD. POP: 07/01/2025-06/30/2026 Key points: 1. Contract provides essential emergency department management and staffing. 2. Service area includes Eagle Butte, South Dakota, a region with specific healthcare needs. 3. The contract duration is one year, indicating a need for ongoing support. 4. Full and open competition was utilized, suggesting a broad search for qualified vendors. 5. The firm-fixed-price structure aims to control costs for the government. 6. This award supports the Indian Health Service's mission to improve health outcomes for Native Americans.

Value Assessment

Rating: good

The contract value of $4.9 million for one year of emergency department management and staffing appears reasonable given the critical nature of the services. Benchmarking against similar contracts for rural or tribal health facilities would provide a more precise value assessment. The firm-fixed-price type helps in cost predictability. Without specific details on the scope of services and staffing levels, a definitive value-for-money judgment is challenging, but the amount aligns with the operational demands of an emergency department.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This process is designed to foster a competitive environment, potentially leading to better pricing and service quality. The number of bidders is not specified, but the use of full and open competition suggests a robust market search was conducted. This approach is generally favorable for ensuring fair market value.

Taxpayer Impact: Full and open competition maximizes the chances of obtaining the best value for taxpayer dollars by encouraging a wide range of qualified providers to submit proposals, driving down costs through market forces.

Public Impact

Residents of Eagle Butte, South Dakota, and surrounding areas will benefit from continuous emergency medical care. The contract ensures the operational readiness of the Cheyenne River Health Center's emergency department. This service directly supports the health and well-being of the local community, particularly the Native American population served by IHS. The contract sustains jobs related to healthcare management and staffing within the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for service disruptions if staffing levels are not consistently met.
Reliance on a single contractor for critical emergency services could pose a risk if performance issues arise.

Positive Signals

Full and open competition suggests a competitive marketplace for these services.
Firm-fixed-price contract provides cost certainty.
Award supports a critical healthcare facility in an underserved area.

Sector Analysis

This contract falls within the Healthcare Services sector, specifically focusing on emergency department management and staffing. The market for such specialized services is driven by the need for continuous, high-quality medical care. Comparable spending benchmarks would involve analyzing contracts for similar ED staffing and management services at other federal or tribal health facilities, considering geographic location and patient volume. The Indian Health Service (IHS) frequently contracts for these types of services to ensure adequate healthcare delivery to Native American communities.

Small Business Impact

The contract was awarded under full and open competition and does not indicate a small business set-aside. There is no explicit information provided regarding subcontracting plans for small businesses. Further analysis would be needed to determine if opportunities exist for small businesses to participate in subcontracting roles under this award, which could impact the broader small business ecosystem in the region.

Oversight & Accountability

Oversight for this contract would primarily fall under the Indian Health Service (IHS), a division of the Department of Health and Human Services (HHS). Accountability measures are typically embedded within the contract terms, including performance standards and reporting requirements. Transparency is facilitated through contract databases like SAM.gov. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

Indian Health Service Contracts
Rural Healthcare Services
Emergency Medical Services
Healthcare Staffing Contracts

Risk Flags

Potential for staffing shortages
Reliance on contractor performance
Geographic isolation impacting service delivery

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $4.9 million to TRIBAL HEALTH, LLC. EMERGENCY DEPARTMENT MANAGEMENT & STAFFING SERVICES FOR THE CHEYENNE RIVER HEALTH CENTER, EAGLE BUTTE, SD. POP: 07/01/2025-06/30/2026

Who is the contractor on this award?

The obligated recipient is TRIBAL HEALTH, 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 $4.9 million.

What is the period of performance?

Start: 2025-06-30. End: 2026-06-30.

What is the contractor's track record in providing emergency department management and staffing services, particularly for tribal health facilities?

Tribal Health, LLC is the contractor for this award. Information regarding their specific track record in providing emergency department management and staffing, especially within the context of tribal health facilities, is not detailed in the provided data. A thorough assessment would require reviewing past performance evaluations, contract history, and client testimonials. Understanding their experience with similar patient populations and regulatory environments is crucial for evaluating their capability to fulfill this contract effectively. Their ability to maintain consistent staffing levels and manage the complexities of an emergency department in a rural setting like Eagle Butte would be key performance indicators.

How does the awarded amount of $4.9 million compare to similar contracts for ED staffing and management in comparable rural or tribal health centers?

The awarded amount of $4.9 million for one year of emergency department management and staffing services for the Cheyenne River Health Center is a significant investment. To benchmark this value, one would need to compare it against contracts for similar services at other IHS facilities or rural health centers of comparable size and patient volume. Factors such as the number of physicians, nurses, and support staff required, the complexity of cases handled, and the geographic isolation of the facility all influence costs. Without access to a database of comparable contracts, it is difficult to definitively state whether this amount represents excellent, good, or fair value. However, the firm-fixed-price nature of the contract suggests an effort to control costs.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Key risks include potential staffing shortages or high turnover, which could compromise the quality and availability of emergency care. Another risk is the contractor's ability to manage the unique healthcare needs of the Native American population served by the Indian Health Service. Performance issues or failure to meet contractual obligations could lead to disruptions in essential services. Mitigation strategies likely involve robust performance monitoring by the IHS, clear contractual requirements for staffing levels and qualifications, and contingency plans for service continuity. The firm-fixed-price structure also incentivizes the contractor to manage resources efficiently to avoid cost overruns.

How effective is the Indian Health Service in overseeing contracts of this nature to ensure optimal program effectiveness?

The effectiveness of IHS oversight for contracts like this is variable and depends on several factors, including the availability of skilled contracting officers, the clarity of performance metrics, and the resources dedicated to contract administration. IHS aims to ensure program effectiveness by setting clear performance standards and conducting regular reviews. However, challenges in remote locations, staffing constraints within IHS itself, and the complexity of healthcare delivery can impact oversight. The presence of an Inspector General's office provides an additional layer of accountability for identifying and addressing inefficiencies or misconduct, contributing to overall program effectiveness.

What has been the historical spending pattern for emergency department services at the Cheyenne River Health Center or similar facilities?

Historical spending patterns for emergency department services at the Cheyenne River Health Center are not provided in the current data. To assess this, one would need to examine past contract awards and expenditures for this specific facility or comparable IHS-operated or contracted facilities. Analyzing trends in spending over several years would reveal whether costs have been increasing, decreasing, or remaining stable, and whether the current award represents a significant deviation from historical norms. This historical context is vital for understanding the long-term financial commitment and identifying potential cost drivers.

Industry Classification

NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians (except Mental Health Specialists)

Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL 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: 14614 N KIERLAND BLVD STE 120, SCOTTSDALE, AZ, 85254

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

Financial Breakdown

Contract Ceiling: $4,892,270

Exercised Options: $4,892,270

Current Obligation: $4,892,270

Actual Outlays: $1,225,294

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75H70624D00005

IDV Type: IDC

Timeline