DoD Spends $72.6M on Forensic Pathology Services via Sole-Source Contract

Contract Overview

Contract Amount: $72,640,175 ($72.6M)

Contractor: American Registry of Pathology

Awarding Agency: Department of Defense

Start Date: 2011-04-01

End Date: 2015-09-29

Contract Duration: 1,642 days

Daily Burn Rate: $44.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: Healthcare

Official Description: FORENSIC PATHOLOGY AND SUPPORT SERVICES

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $72.6 million to AMERICAN REGISTRY OF PATHOLOGY for work described as: FORENSIC PATHOLOGY AND SUPPORT SERVICES Key points: 1. Significant spending on specialized forensic pathology services. 2. Lack of competition raises concerns about price discovery. 3. Long contract duration (2011-2015) may indicate potential for cost overruns. 4. Services fall under physician offices, a broad category.

Value Assessment

Rating: questionable

The contract value of $72.6 million over four years for forensic pathology services is substantial. Without competitive bidding, it's difficult to assess if this pricing is optimal compared to similar services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no market pressure to offer the best price.

Taxpayer Impact: Taxpayers may be overpaying due to the absence of competitive bidding on this significant contract.

Public Impact

Essential forensic services for military and potentially civilian cases are covered. The lack of competition could impact the availability or cost of these critical services. Transparency in sole-source procurements is crucial for public trust.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

Forensic pathology services are highly specialized, often falling under healthcare or professional services. Benchmarks are difficult without specific service details, but the value suggests a significant need within the Department of Defense.

Small Business Impact

The data indicates no specific set-aside for small businesses, and the nature of specialized forensic pathology services may make it challenging for smaller entities to compete.

Oversight & Accountability

The sole-source nature of this contract warrants close oversight to ensure the services are necessary, performed effectively, and priced reasonably, despite the lack of competition.

Related Government Programs

Risk Flags

Tags

offices-of-physicians-except-mental-heal, department-of-defense, md, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $72.6 million to AMERICAN REGISTRY OF PATHOLOGY. FORENSIC PATHOLOGY AND SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is AMERICAN REGISTRY OF PATHOLOGY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $72.6 million.

What is the period of performance?

Start: 2011-04-01. End: 2015-09-29.

What is the justification for awarding this contract on a sole-source basis?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or a lack of available alternatives. For forensic pathology, it might relate to specific expertise or established relationships. Further investigation into the specific reasons cited by the Department of Defense is needed to validate this.

How was the 'COST NO FEE' pricing structure determined to be fair and reasonable?

A 'COST NO FEE' contract means the government reimburses the contractor for allowable costs but pays no fee. Determining fairness and reasonableness without competition is challenging. It implies the contractor's primary motivation is cost recovery, but oversight is critical to ensure costs are controlled and necessary.

What mechanisms were in place to ensure the quality and effectiveness of services provided under this sole-source contract?

Even without competition, quality assurance is vital. Mechanisms likely included performance standards, regular reporting, site visits, and potentially independent reviews of forensic findings. The contract's definitive nature suggests a focus on specific deliverables, but the absence of competitive pressure necessitates robust government monitoring.

Industry Classification

NAICS: Health Care and Social AssistanceOffices of PhysiciansOffices of Physicians (except Mental Health Specialists)

Product/Service Code: MEDICAL SERVICESOTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W81K0411R0008

Offers Received: 1

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 14TH ALASKA AVE NW, WASHINGTON, DC, 20306

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

Financial Breakdown

Contract Ceiling: $89,253,836

Exercised Options: $89,253,836

Current Obligation: $72,640,175

Actual Outlays: $-98,616

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2011-04-01

Current End Date: 2015-09-29

Potential End Date: 2015-09-29 00:00:00

Last Modified: 2022-06-08

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