HHS awards $540,800 contract for radiologist services to Sasse Imaging, Inc. in South Dakota

Contract Overview

Contract Amount: $540,800 ($540.8K)

Contractor: Sasse Imaging, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2025-09-26

End Date: 2026-10-31

Contract Duration: 400 days

Daily Burn Rate: $1.4K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: FFP NON-PERSONAL SERVICE PURCHASE ORDER FOR RADIOLOGIC TECHNOLOGIST SERVICES TO BE PROVIDED FOR THE WWKHHC

Place of Performance

Location: SISSETON, ROBERTS County, SOUTH DAKOTA, 57262

State: South Dakota Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $540,800 to SASSE IMAGING, INC. for work described as: FFP NON-PERSONAL SERVICE PURCHASE ORDER FOR RADIOLOGIC TECHNOLOGIST SERVICES TO BE PROVIDED FOR THE WWKHHC Key points: 1. The contract is a firm-fixed-price purchase order, indicating a clear scope of work and predictable costs. 2. Competition for this contract was conducted under Simplified Acquisition Procedures (SAP), suggesting a focus on efficiency for smaller procurements. 3. The contract duration of approximately 13 months (October 2025 - October 2026) aligns with typical service delivery timelines. 4. The award to Sasse Imaging, Inc. represents a specific solution for diagnostic imaging center needs within the Indian Health Service. 5. The contract's value of $540,800 is modest, suggesting it addresses a localized or specific service requirement rather than a large-scale program. 6. The geographic focus on South Dakota highlights the contract's role in supporting healthcare access in that region.

Value Assessment

Rating: good

The contract value of $540,800 for radiologist services over approximately 13 months appears reasonable for a firm-fixed-price purchase order. Benchmarking against similar contracts for diagnostic imaging services within the Indian Health Service or comparable federal healthcare facilities would provide a more precise value assessment. However, given the limited information on specific service levels and the competitive nature (though under SAP), the pricing is likely within an acceptable range for the defined scope.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

This contract was competed under Simplified Acquisition Procedures (SAP), which are designed for procurements valued below the threshold for full and open competition. While the exact number of bidders is not specified, SAP typically allows for a broader range of solicitations than sole-source awards, often involving multiple quotes or proposals. This method aims to balance competition with administrative efficiency for smaller dollar value contracts.

Taxpayer Impact: Competing under SAP generally leads to better price discovery than a sole-source award, offering taxpayers a more competitive price. However, the level of competition within SAP can vary, and a more robust competition might yield even greater savings.

Public Impact

Patients within the Cheyenne River Indian Health Service facility in South Dakota will benefit from access to diagnostic imaging services. The contract ensures the provision of radiologic technologist services, crucial for medical diagnosis and treatment planning. The geographic impact is concentrated in South Dakota, addressing healthcare needs in a specific region. The contract supports the operational capacity of the Indian Health Service to deliver essential medical services to its beneficiaries.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to SAP procedures, which might not attract the widest range of potential offerors.
Dependence on a single contractor for critical radiologic services could pose a risk if performance issues arise.
Geographic concentration of services might limit options for backup or surge capacity if unforeseen events occur.

Positive Signals

Firm-fixed-price structure provides cost certainty for the government, minimizing the risk of cost overruns.
Awarding under SAP suggests an effort to streamline the procurement process for efficiency.
The contract duration is defined, allowing for planned service delivery and future re-competition.

Sector Analysis

The healthcare sector, specifically diagnostic imaging services, is a critical component of federal healthcare delivery. This contract falls under the broader category of medical equipment and services, which is a significant area of federal spending. The market for radiologic technologists and related services is competitive, with numerous providers capable of meeting federal requirements. This contract's value is relatively small within the overall federal healthcare spending landscape, suggesting it addresses a specific, localized need rather than a large-scale program.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on the small business ecosystem would be through potential subcontracting opportunities, which are not detailed in this award notice. Without specific subcontracting plans or goals, it's difficult to assess the direct benefit to small businesses from this particular contract.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Health and Human Services, specifically the Indian Health Service. As a purchase order, it is subject to standard federal procurement regulations and agency-specific oversight mechanisms. Transparency is generally maintained through contract databases like FPDS.gov. The Inspector General for HHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this award.

Related Government Programs

Indian Health Service Medical Services Contracts
Federal Healthcare Services Procurement
Diagnostic Imaging Services Contracts
Purchase Orders for Medical Personnel

Risk Flags

Potential for limited competition under SAP
Contractor performance risk
Geographic concentration of services

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $540,800 to SASSE IMAGING, INC.. FFP NON-PERSONAL SERVICE PURCHASE ORDER FOR RADIOLOGIC TECHNOLOGIST SERVICES TO BE PROVIDED FOR THE WWKHHC

Who is the contractor on this award?

The obligated recipient is SASSE IMAGING, INC..

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 $540,800.

What is the period of performance?

Start: 2025-09-26. End: 2026-10-31.

What is the track record of Sasse Imaging, Inc. with federal contracts?

A review of federal contract databases would be necessary to fully assess Sasse Imaging, Inc.'s track record. This would involve examining past performance on similar contracts, including any awards, terminations, or disputes. Understanding their history with the Indian Health Service or other federal agencies would provide insight into their reliability and capability in delivering radiologic technologist services. Without specific historical data, it is difficult to definitively assess their performance record. However, the award of this contract suggests they met the minimum requirements and were deemed capable by the procuring agency.

How does the awarded price compare to market rates for similar radiologist services?

To benchmark the awarded price of $540,800 against market rates, one would need to compare it with similar firm-fixed-price contracts for radiologic technologist services provided to federal healthcare facilities, particularly within the Indian Health Service or in similar geographic regions like South Dakota. Factors such as the volume of services, specific imaging modalities required, and the qualifications of the technologists would influence pricing. A detailed market analysis or review of publicly available contract data for comparable services would be required to determine if this price is competitive. Given the SAP competition, it is likely within a reasonable range for the scope.

What are the primary risks associated with this contract?

The primary risks associated with this contract include potential performance issues from the contractor, Sasse Imaging, Inc., which could lead to disruptions in essential radiologic services for patients. Another risk is the potential for limited competition, as the contract was awarded under Simplified Acquisition Procedures (SAP), which may not attract the broadest pool of qualified bidders, potentially impacting price competitiveness. Furthermore, the geographic concentration of the service delivery in South Dakota could pose a risk if unforeseen circumstances (e.g., natural disasters, contractor personnel issues) impact service continuity, and there are no immediate alternative providers readily available.

How effective is this contract in meeting the diagnostic imaging needs of the targeted IHS facility?

The effectiveness of this contract in meeting the diagnostic imaging needs of the targeted Indian Health Service facility hinges on several factors not fully detailed in the award notice. These include the specific volume and types of imaging procedures required, the quality of the services provided by Sasse Imaging, Inc., and the timeliness of report turnaround. Assuming Sasse Imaging, Inc. fulfills the contract terms diligently, it should effectively supplement the facility's capacity to provide essential diagnostic imaging. The contract's success will ultimately be measured by patient outcomes and the facility's ability to meet its diagnostic service obligations.

What are the historical spending patterns for radiologic technologist services by the Indian Health Service?

Analyzing historical spending patterns for radiologic technologist services by the Indian Health Service would require examining procurement data over several fiscal years. This would involve identifying trends in contract values, the number of contracts awarded, the types of services procured (e.g., fixed-price, cost-reimbursement), and the primary contractors. Such an analysis could reveal whether spending has been consistent, increasing, or decreasing, and whether there's a trend towards specific types of service delivery models or geographic concentrations. This contract represents a single data point within that broader spending history.

What is the potential impact of this contract on patient wait times for diagnostic imaging?

This contract is intended to improve or maintain patient access to diagnostic imaging services, potentially reducing wait times at the targeted Indian Health Service facility. By outsourcing these services to Sasse Imaging, Inc., the facility can ensure that necessary imaging procedures are performed promptly, contributing to timely diagnoses and treatment initiation. The effectiveness in reducing wait times will depend on the contractor's ability to meet service level agreements, including turnaround times for procedures and reporting, and the overall demand for imaging services at the facility.

Industry Classification

NAICS: Health Care and Social Assistance › Medical and Diagnostic Laboratories › Diagnostic Imaging Centers

Product/Service Code: MEDICAL SERVICES › MEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1942 US HIGHWAY 20, GORDON, NE, 69343

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $2,828,800

Exercised Options: $540,800

Current Obligation: $540,800

Actual Outlays: $63,964

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline