DoD Awards $11.8M for Ancillary Dental Services to CNI Medical Services, LLC

Contract Overview

Contract Amount: $11,768,521 ($11.8M)

Contractor: CNI Medical Services, LLC

Awarding Agency: Department of Defense

Start Date: 2007-10-01

End Date: 2008-09-30

Contract Duration: 365 days

Daily Burn Rate: $32.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: ANCILLARY DENTAL SERVICES (CONUS)

Place of Performance

Location: NORMAN, CLEVELAND County, OKLAHOMA, 73071

State: Oklahoma Government Spending

Plain-Language Summary

Department of Defense obligated $11.8 million to CNI MEDICAL SERVICES, LLC for work described as: ANCILLARY DENTAL SERVICES (CONUS) Key points: 1. Contract awarded to CNI Medical Services, LLC for ancillary dental services. 2. The contract value is $11.8 million. 3. Services are for the Department of the Army within CONUS. 4. The contract was not competed, raising potential concerns about price discovery.

Value Assessment

Rating: fair

The award amount of $11.8 million for ancillary dental services appears to be a significant investment. Without specific per-unit cost data or benchmarks for similar CONUS dental service contracts, a precise value assessment is difficult. The lack of competition may have impacted the final pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source or limited competition award. This method can lead to higher prices as there is no market pressure from competing vendors to drive down costs. The government may not have achieved the best possible price.

Taxpayer Impact: The lack of competition for this $11.8 million contract may result in taxpayers paying more than necessary for ancillary dental services.

Public Impact

Military personnel and their families may receive essential dental care. The contract supports healthcare services within the continental United States. Potential for increased costs due to non-competitive award.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for overpricing

Positive Signals

  • Supports essential healthcare services
  • Awarded to a specific company

Sector Analysis

The healthcare sector, particularly dental services, is crucial for maintaining the health and readiness of military personnel. Spending benchmarks for ancillary dental services can vary widely based on location, scope of services, and patient volume. This $11.8 million award represents a substantial investment in this area.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were considered or had the opportunity to compete.

Oversight & Accountability

The non-competitive nature of this award warrants further oversight to ensure the pricing is fair and reasonable and that the government received adequate value for the funds expended.

Related Government Programs

  • Offices of Dentists
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • Lack of competition
  • Potential for inflated pricing
  • Limited transparency in award process
  • No small business participation indicated

Tags

offices-of-dentists, department-of-defense, ok, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $11.8 million to CNI MEDICAL SERVICES, LLC. ANCILLARY DENTAL SERVICES (CONUS)

Who is the contractor on this award?

The obligated recipient is CNI MEDICAL SERVICES, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $11.8 million.

What is the period of performance?

Start: 2007-10-01. End: 2008-09-30.

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

The justification for a sole-source award typically involves specific circumstances, such as the unique capability of a single contractor, an urgent need where competition is not feasible, or a follow-on contract where only one source can provide the required services. Without the specific justification documentation, it is impossible to determine the exact reason for this non-competitive award.

What is the estimated cost savings if this contract had been competed?

Estimating cost savings from a competed contract without comparative data is speculative. However, competitive bidding generally drives down prices. If CNI Medical Services, LLC was the only viable option or had a significant cost advantage, savings might be minimal. Conversely, if other qualified providers could offer similar services at a lower rate, potential savings could be substantial, possibly in the range of 10-30% of the contract value.

How does the quality of ancillary dental services provided by CNI Medical Services, LLC compare to industry standards?

Assessing the quality of services requires reviewing performance metrics, patient satisfaction surveys, and any quality assurance reports associated with the contract. Without access to this specific performance data, it's difficult to definitively compare CNI Medical Services, LLC's quality against industry standards. The 'OK' status in the provided data suggests acceptable performance, but does not indicate exceptional quality.

Industry Classification

NAICS: Health Care and Social AssistanceOffices of DentistsOffices of Dentists

Product/Service Code: MEDICAL SERVICESMEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W81K0406R0033

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2020 ARLINGTON ST STE 3, ADA, OK, 04

Business Categories: 8(a) Program Participant, Category Business, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $11,768,521

Exercised Options: $11,768,521

Current Obligation: $11,768,521

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W81K0407D0009

IDV Type: IDC

Timeline

Start Date: 2007-10-01

Current End Date: 2008-09-30

Potential End Date: 2008-09-30 00:00:00

Last Modified: 2009-06-25

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