HHS awards $30.5M contract for AI/AN healthcare in Seattle, with limited competition

Contract Overview

Contract Amount: $30,496,071 ($30.5M)

Contractor: Seattle Indian Health Board

Awarding Agency: Department of Health and Human Services

Start Date: 2020-04-19

End Date: 2024-09-30

Contract Duration: 1,625 days

Daily Burn Rate: $18.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: PROVIDE HEALTH CARE SERVICES TO AMERICAN INDIANS/ALASKA NATIVES (AI/AN) WITHIN THE SEATTLE, WASHINGTON METROPOLITAN AREA.

Place of Performance

Location: SEATTLE, KING County, WASHINGTON, 98144

State: Washington Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $30.5 million to SEATTLE INDIAN HEALTH BOARD for work described as: PROVIDE HEALTH CARE SERVICES TO AMERICAN INDIANS/ALASKA NATIVES (AI/AN) WITHIN THE SEATTLE, WASHINGTON METROPOLITAN AREA. Key points: 1. The contract focuses on providing essential healthcare services to American Indians/Alaska Natives in the Seattle area. 2. Limited competition was noted, suggesting potential for higher costs or reduced innovation. 3. The firm fixed-price structure aims to control costs, but the lack of competition is a risk. 4. This falls under the 'Healthcare' sector, specifically focusing on ambulatory health services.

Value Assessment

Rating: fair

The contract value of $30.5 million over approximately 4 years is substantial for specialized healthcare services. Benchmarking against similar contracts for AI/AN healthcare provision in other metropolitan areas would be necessary to fully assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a sole-source or limited competition award. This limits price discovery and potentially reduces the government's ability to secure the best possible price.

Taxpayer Impact: The lack of robust competition may result in taxpayers paying more than necessary for these essential healthcare services.

Public Impact

Ensures continued access to vital healthcare for the AI/AN community in Seattle. Potential for improved health outcomes through dedicated services. Highlights the government's commitment to fulfilling treaty obligations and supporting indigenous populations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition
Potential for overpayment due to lack of competition

Positive Signals

Addresses critical healthcare needs
Long-term service provision

Sector Analysis

This contract falls within the Healthcare sector, specifically focusing on miscellaneous ambulatory health care services. Spending in this area is critical for public health initiatives, particularly for underserved populations like American Indians/Alaska Natives.

Small Business Impact

There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. Further analysis would be needed to determine if opportunities were missed for small business participation.

Oversight & Accountability

The Indian Health Service within HHS is responsible for this contract. Oversight should focus on service delivery quality, patient outcomes, and ensuring the contractor meets all contractual obligations effectively.

Related Government Programs

All Other Miscellaneous Ambulatory Health Care Services
Department of Health and Human Services Contracting
Indian Health Service Programs

Risk Flags

Lack of competitive bidding may lead to inflated costs.
Potential for service gaps if contractor performance is inadequate.
Dependence on a single provider could create risks if they face operational issues.
Limited transparency in pricing due to non-competitive award.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $30.5 million to SEATTLE INDIAN HEALTH BOARD. PROVIDE HEALTH CARE SERVICES TO AMERICAN INDIANS/ALASKA NATIVES (AI/AN) WITHIN THE SEATTLE, WASHINGTON METROPOLITAN AREA.

Who is the contractor on this award?

The obligated recipient is SEATTLE INDIAN HEALTH BOARD.

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 $30.5 million.

What is the period of performance?

Start: 2020-04-19. End: 2024-09-30.

What is the specific justification for the limited competition for these healthcare services?

The justification for limited competition is not provided in the data. Typically, such justifications might include unique capabilities of the contractor, urgent need, or specific geographic requirements that only one entity can meet. Further investigation into the contract file would be required to understand the rationale.

How does the per-unit cost of services compare to similar contracts or market rates?

Without specific service line item costs and a benchmark of similar contracts for AI/AN healthcare in comparable regions, a per-unit cost comparison is not possible. The 'N/A' for CPU reflects this data gap. A detailed cost analysis would be needed to assess value for money.

What mechanisms are in place to ensure the quality and effectiveness of the healthcare services provided under this contract?

Contractual terms and performance metrics should outline quality standards and effectiveness measures. The government likely has a contract officer's representative (COR) responsible for monitoring performance and ensuring adherence to the statement of work. Regular reporting and site visits would be standard oversight practices.

Industry Classification

NAICS: Health Care and Social Assistance › Other Ambulatory Health Care Services › All Other Miscellaneous Ambulatory Health Care Services

Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75H71320R00003

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 611 12TH AVE S, SEATTLE, WA, 98144

Business Categories: American Indian Owned Business, Category Business, Corporate Entity Tax Exempt, Minority Owned Business, Native American Owned Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $30,496,071

Exercised Options: $30,496,071

Current Obligation: $30,496,071

Actual Outlays: $26,288,510

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline