DoD Awards $12M for Health Care Services to Innovative Management Inc., Facing Limited Competition

Contract Overview

Contract Amount: $12,075,787 ($12.1M)

Contractor: Innovative Management Incorporated

Awarding Agency: Department of Defense

Start Date: 2003-10-01

End Date: 2013-09-05

Contract Duration: 3,627 days

Daily Burn Rate: $3.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 23

Pricing Type: COMBINATION (TWO OR MORE)

Sector: Healthcare

Official Description: 200410!000307!2100!W81K04!U.S. ARMY MEDICAL COMMAND !DADA1003D0005 !A!N! !Y!0003 ! !20031001!20040930!004067307!004067307!004067307!N!INNOVATIVE MANAGEMENT, INC !10 E PRESTON !LEXINGTON !VA!24450!79216!029!48!WILFORD HALL U.S.A.F!BEXAR !TEXAS !+000002199368!N!N!000000000000!Q201!GENERAL HEALTH CARE SERVICES !S1 !SERVICES !000 !* !621999!E! !5!B!M! !A! !99990909!B! ! !A! !A!U!K!2!023!K! !C!N!Z! ! !Y!A!Y!N!D! ! ! !B!A!00 !A!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: LACKLAND AFB, BEXAR County, TEXAS, 78236

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $12.1 million to INNOVATIVE MANAGEMENT INCORPORATED for work described as: 200410!000307!2100!W81K04!U.S. ARMY MEDICAL COMMAND !DADA1003D0005 !A!N! !Y!0003 ! !20031001!20040930!004067307!004067307!004067307!N!INNOVATIVE MANAGEMENT, INC !10 E PRESTON !LEXINGTON !VA!24450!79216!029!48!WILFORD HALL U.S.A.F!BEXA… Key points: 1. Contract awarded to Innovative Management Inc. for $12.08M for health care services. 2. The contract falls under the 'All Other Miscellaneous Ambulatory Health Care Services' NAICS code. 3. Competition was 'Full and Open Competition After Exclusion of Sources', indicating potential limitations. 4. The contract duration is 10 years, ending in 2013, with a significant period of performance. 5. The award was made by the Department of the Air Force, under the U.S. Army Medical Command.

Value Assessment

Rating: fair

The contract value of $12.08M over 10 years suggests a substantial but potentially variable annual spend. Benchmarking against similar health care service contracts is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The 'Full and Open Competition After Exclusion of Sources' method implies that while the process was open, specific sources were excluded, potentially limiting the competitive landscape and impacting price discovery.

Taxpayer Impact: The significant contract value suggests a considerable taxpayer investment, with the effectiveness of the competition method directly influencing the value for money achieved.

Public Impact

Ensures continued provision of essential health care services to military personnel and their families. Supports a single contractor, Innovative Management Inc., for a decade-long period. Potential for cost savings or overspending depending on the effectiveness of the limited competition. Impacts the market for health care services within the Department of Defense sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition method may not yield the best price.
  • Long contract duration could lead to price escalation or outdated service delivery.
  • Lack of clear performance metrics or outcomes data.
  • Potential for vendor lock-in due to the extended period.

Positive Signals

  • Provides continuity of care for a critical service.
  • Award to a single entity simplifies contract management.
  • Potential for specialized expertise from the awarded contractor.

Sector Analysis

This contract falls within the broader healthcare services sector, specifically focusing on ambulatory care. Benchmarking requires comparison with similar long-term, large-value contracts for specialized medical services within the federal government.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. The contract was awarded to Innovative Management Inc., and further analysis would be needed to determine if they are a small business or if subcontracting opportunities exist.

Oversight & Accountability

The contract's long duration and 'limited competition' aspect warrant close oversight to ensure continued value and adherence to service level agreements. Performance reviews and cost audits would be crucial.

Related Government Programs

  • All Other Miscellaneous Ambulatory Health Care Services
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Limited competition may result in higher costs.
  • Long contract duration (10 years) poses risks of price escalation and service obsolescence.
  • Lack of detailed service description hinders value assessment.
  • Potential for insufficient oversight given the extended performance period.
  • Unclear impact on small business participation.

Tags

all-other-miscellaneous-ambulatory-healt, department-of-defense, tx, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.1 million to INNOVATIVE MANAGEMENT INCORPORATED. 200410!000307!2100!W81K04!U.S. ARMY MEDICAL COMMAND !DADA1003D0005 !A!N! !Y!0003 ! !20031001!20040930!004067307!004067307!004067307!N!INNOVATIVE MANAGEMENT, INC !10 E PRESTON !LEXINGTON !VA!24450!79216!029!48!WILFORD HALL U.S.A.F!BEXAR !TEXAS !+000002199368!N!N!000000000000!Q201!GENERAL HEALTH CARE SERVICES !S1 !SERVICES !000 !* !621999!E! !5!B!M! !A! !999

Who is the contractor on this award?

The obligated recipient is INNOVATIVE MANAGEMENT INCORPORATED.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $12.1 million.

What is the period of performance?

Start: 2003-10-01. End: 2013-09-05.

What specific health care services are being provided under this contract, and how do they align with the Army Medical Command's needs?

The contract specifies 'General Health Care Services' under NAICS code 621999. This broad category likely encompasses a range of ambulatory medical services. Without further detail, it's difficult to ascertain the precise alignment with the Army Medical Command's specific requirements. A deeper dive into the contract's statement of work would be necessary to confirm the scope and necessity of these services.

How did the 'Full and Open Competition After Exclusion of Sources' method impact the final contract price compared to unrestricted full and open competition?

This procurement method, while technically open, excluded certain sources, suggesting a pre-selection or specific qualification criteria were applied. This limitation likely reduced the number of potential bidders, potentially leading to a higher price than if all eligible sources could compete without exclusion. The actual price impact would depend on the number and competitiveness of the remaining bidders.

What are the key performance indicators (KPIs) for this contract, and how is Innovative Management Inc.'s performance being measured over its 10-year duration?

The provided data does not include specific key performance indicators or details on how Innovative Management Inc.'s performance is being measured. For a contract of this length and value, robust KPIs related to patient care quality, access to services, and operational efficiency are essential for ensuring accountability and value for taxpayer money. Regular performance reviews and audits would be critical.

Industry Classification

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

Product/Service Code: MEDICAL SERVICESGENERAL HEALTH CARE SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Offers Received: 23

Pricing Type: COMBINATION (TWO OR MORE) (2)

Contractor Details

Address: 10 E PRESTON, LEXINGTON, VA, 06

Business Categories: Category Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Woman Owned Business

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DADA1003D0005

IDV Type: IDC

Timeline

Start Date: 2003-10-01

Current End Date: 2013-09-05

Potential End Date: 2013-09-05 00:00:00

Last Modified: 2009-07-08

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