DOJ's $300K Medical Services Contract for Federal Prisons Awarded to Seven Corners Inc
Contract Overview
Contract Amount: $300,000 ($300.0K)
Contractor: Seven Corners Inc
Awarding Agency: Department of Justice
Start Date: 2026-04-01
End Date: 2026-04-30
Contract Duration: 29 days
Daily Burn Rate: $10.3K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: B2-FY26 APRIL SEVEN CORNERS COMPREHENSIVE MEDICAL
Place of Performance
Location: SOMERSET, PULASKI County, KENTUCKY, 42503
State: Kentucky Government Spending
Plain-Language Summary
Department of Justice obligated $300,000 to SEVEN CORNERS INC for work described as: B2-FY26 APRIL SEVEN CORNERS COMPREHENSIVE MEDICAL Key points: 1. Contract value is $300,000 for a one-month period. 2. Seven Corners Inc. is the sole awardee. 3. The contract is for general medical and surgical hospital services. 4. The award is a Purchase Order under a Firm Fixed Price contract.
Value Assessment
Rating: fair
The $300,000 value for a one-month medical service contract appears reasonable given the specialized nature of federal prison healthcare. Benchmarking against similar, short-term, high-acuity medical services in correctional settings is difficult without more data.
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 reduces opportunities for competitive pricing, raising concerns about whether the government secured the best possible value.
Taxpayer Impact: The lack of competition may result in higher costs for taxpayers compared to a fully competed contract.
Public Impact
Ensures essential medical services for inmates in the Federal Prison System. Potential for higher costs due to sole-source award. Limited transparency on the selection process and justification for sole-sourcing.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competition.
- Short contract duration may not reflect long-term needs.
- Lack of detailed justification for sole-sourcing.
Positive Signals
- Provides critical medical services to a vulnerable population.
- Firm Fixed Price contract provides cost certainty.
Sector Analysis
This contract falls under the Healthcare sector, specifically general medical and surgical hospital services. Spending in this area within federal agencies is often driven by specific needs, such as inmate care, and can be subject to unique regulatory and operational requirements.
Small Business Impact
There is no indication that small businesses were involved in this contract award, as it was awarded directly to Seven Corners Inc. without competition.
Oversight & Accountability
The sole-source nature of this award warrants further oversight to ensure the justification for not competing the contract is sound and that the pricing is fair and reasonable.
Related Government Programs
- General Medical and Surgical Hospitals
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Sole-source award
- Limited competition
- Potential for inflated pricing
- Lack of transparency in award justification
Tags
general-medical-and-surgical-hospitals, department-of-justice, ky, purchase-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $300,000 to SEVEN CORNERS INC. B2-FY26 APRIL SEVEN CORNERS COMPREHENSIVE MEDICAL
Who is the contractor on this award?
The obligated recipient is SEVEN CORNERS INC.
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).
What is the total obligated amount?
The obligated amount is $300,000.
What is the period of performance?
Start: 2026-04-01. End: 2026-04-30.
What is the justification for awarding this medical services contract on a sole-source basis instead of competing it?
The justification for a sole-source award typically involves circumstances where only one responsible source can provide the required supplies or services. This could be due to unique capabilities, urgent needs, or specific requirements of the Federal Prison System that only Seven Corners Inc. can meet. A detailed justification document should exist within the agency's procurement records.
How does the $300,000 price compare to similar sole-source medical contracts for correctional facilities?
Without access to a broader database of sole-source correctional healthcare contracts, a direct comparison is challenging. However, the price for a one-month service period should be scrutinized against industry standards for similar acuity services. The lack of competition makes it difficult to definitively assess if this price represents optimal value for the taxpayer.
What mechanisms are in place to ensure the effectiveness and quality of medical services provided under this contract?
The Department of Justice, through the Bureau of Prisons, should have established performance standards and oversight mechanisms to monitor the quality of care. This includes regular reviews, patient feedback channels, and adherence to medical protocols. Contract managers are responsible for ensuring Seven Corners Inc. meets all contractual obligations regarding service delivery and quality.
Industry Classification
NAICS: Health Care and Social Assistance › General Medical and Surgical Hospitals › General Medical and Surgical Hospitals
Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 303 CONGRESSIONAL BLVD, CARMEL, IN, 46032
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $300,000
Exercised Options: $300,000
Current Obligation: $300,000
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2026-04-01
Current End Date: 2026-04-30
Potential End Date: 2026-04-30 00:00:00
Last Modified: 2026-04-07
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