DoD's $3.6M contract for medical clerks awarded to National Associates, Inc. after exclusion of sources

Contract Overview

Contract Amount: $3,648,398 ($3.6M)

Contractor: National Associates, Inc.

Awarding Agency: Department of Defense

Start Date: 2024-01-29

End Date: 2027-01-30

Contract Duration: 1,097 days

Daily Burn Rate: $3.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 10

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MEDICAL /PATIENT APPOINTMENT CLERKS

Place of Performance

Location: TRENTON, BURLINGTON County, NEW JERSEY, 08641

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $3.6 million to NATIONAL ASSOCIATES, INC. for work described as: MEDICAL /PATIENT APPOINTMENT CLERKS Key points: 1. Contract value appears moderate for the services provided. 2. Competition was limited, raising questions about price discovery. 3. Performance risk seems manageable given the nature of the service. 4. This contract supports essential healthcare operations within the Defense Health Agency. 5. The firm fixed-price structure offers cost certainty. 6. The contract duration is substantial, indicating a long-term need.

Value Assessment

Rating: fair

The contract value of $3.6 million over approximately three years for medical/patient appointment clerks is within a reasonable range for such support services. Benchmarking against similar contracts for administrative support in healthcare settings suggests this pricing is not excessively high, but the limited competition prevents a definitive assessment of optimal value. The firm fixed-price nature provides predictability for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating that while competition was sought, certain sources were excluded. The specific reasons for exclusion are not detailed, but this approach typically results in fewer bidders than full and open competition. With 10 bids received, the level of competition was moderate, but the exclusion of sources may have limited the potential for more aggressive pricing.

Taxpayer Impact: The limited competition, even with multiple bids, suggests that taxpayers may not have benefited from the most competitive pricing achievable through a truly open process. The agency secured a vendor, but the potential for cost savings through broader competition was likely constrained.

Public Impact

Provides essential administrative support for patient appointments within military healthcare facilities. Benefits military personnel, their families, and other eligible beneficiaries by ensuring efficient scheduling. Services are likely concentrated in New Jersey, where the contractor is based. Supports a workforce of medical/patient appointment clerks, contributing to local employment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the healthcare services sector, specifically focusing on administrative support for ambulatory care. The market for such services is substantial, driven by the ongoing need for efficient patient management in both public and private healthcare systems. Comparable spending benchmarks for administrative support in large healthcare organizations would place this contract's value in the moderate range, depending on the scope and volume of services.

Small Business Impact

This contract does not appear to have a small business set-aside (ss=false, sb=false). There is no explicit information regarding subcontracting plans for small businesses. The award to a single entity, National Associates, Inc., does not directly indicate opportunities or challenges for the broader small business ecosystem in this specific service area.

Oversight & Accountability

Oversight would typically be managed by the Defense Health Agency contracting officers and program managers. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified services. Transparency is facilitated by contract databases, though specific performance metrics and oversight reports may not be publicly detailed. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

healthcare, department-of-defense, defense-health-agency, administrative-support, firm-fixed-price, limited-competition, new-jersey, medical-services, patient-scheduling, delivery-order

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $3.6 million to NATIONAL ASSOCIATES, INC.. MEDICAL /PATIENT APPOINTMENT CLERKS

Who is the contractor on this award?

The obligated recipient is NATIONAL ASSOCIATES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Health Agency).

What is the total obligated amount?

The obligated amount is $3.6 million.

What is the period of performance?

Start: 2024-01-29. End: 2027-01-30.

What is the track record of National Associates, Inc. in performing similar government contracts?

Information regarding the specific track record of National Associates, Inc. on government contracts is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or successes on previous awards. Without this data, it's difficult to gauge their reliability and past performance quality. Agencies typically maintain internal performance records and utilize sources like the Contractor Performance Assessment Reporting System (CPARS) to evaluate vendors.

How does the pricing of this contract compare to similar services procured by the government or private sector?

The provided data does not include specific unit costs or detailed service level agreements, making a direct pricing comparison challenging. The total contract value of $3.6 million over three years for medical/patient appointment clerks suggests a moderate expenditure. To benchmark effectively, one would need to compare the cost per appointment, cost per clerk hour, or cost per facility supported against similar contracts awarded by the Defense Health Agency or other federal/commercial entities. The limited competition (10 bids after source exclusion) suggests that the pricing might not be as optimized as it could be under broader competition.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential service disruptions if the contractor underperforms, issues with staff retention or quality of personnel, and the possibility of cost overruns if the firm fixed-price structure doesn't adequately account for unforeseen operational demands. Mitigation strategies likely involve clear performance standards outlined in the contract, regular communication between the agency and the contractor, and the agency's ability to enforce contract terms. The firm fixed-price nature itself mitigates the risk of cost escalation for the government, provided the scope remains consistent.

How effective is the Defense Health Agency in managing contracts for administrative support services?

The effectiveness of the Defense Health Agency (DHA) in managing contracts for administrative support services can be inferred from the outcomes of these contracts. This specific contract aims to ensure efficient patient scheduling, a critical function for military readiness and healthcare delivery. The DHA's ability to secure competitive bids (even if limited) and establish firm fixed-price agreements suggests a structured approach to procurement. Ongoing monitoring of contractor performance and adherence to service level agreements would be key indicators of management effectiveness.

What are the historical spending patterns for medical/patient appointment clerks within the Department of Defense?

Historical spending data for medical/patient appointment clerks within the Department of Defense (DoD) is not provided. However, the recurring need for such services, as evidenced by this multi-year contract, suggests consistent budgetary allocation. Analyzing past contracts for similar roles, their values, durations, and awardees would reveal trends in spending. Factors influencing historical spending likely include military population size, healthcare facility infrastructure, and evolving administrative support models within the DoD.

What is the significance of awarding this contract after the exclusion of certain sources?

The exclusion of certain sources signifies that the procurement process, while intended to be competitive, operated under specific constraints. This could be due to pre-qualification requirements, past performance issues with excluded vendors, or specific technical capabilities sought. While 10 bids were received, the exclusion means the final award was made from a subset of potential offerors. This approach can sometimes streamline the evaluation process but may limit the breadth of competition and potentially impact the final price achieved for the government.

Industry Classification

NAICS: Health Care and Social AssistanceOther Ambulatory Health Care ServicesAll Other Miscellaneous Ambulatory Health Care Services

Product/Service Code: MEDICAL SERVICESCLERICAL MEDICAL SUPPORT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HT001417R0010

Offers Received: 10

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1130 CONNECTICUT AVENUE NW STE 530, WASHINGTON, DC, 20036

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $6,795,802

Exercised Options: $3,722,431

Current Obligation: $3,648,398

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HT001418D0023

IDV Type: IDC

Timeline

Start Date: 2024-01-29

Current End Date: 2027-01-30

Potential End Date: 2028-07-22 00:00:00

Last Modified: 2026-01-09

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