DOJ awards $240K contract for inmate dialysis services at FMC Devens, highlighting correctional healthcare needs

Contract Overview

Contract Amount: $240,800 ($240.8K)

Contractor: Correctional Dialysis Services LLC

Awarding Agency: Department of Justice

Start Date: 2026-07-01

End Date: 2026-07-31

Contract Duration: 30 days

Daily Burn Rate: $8.0K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: DIALYSIS SERVICES FOR FEDERAL MEDICAL CENTER DEVENS INMATE POPULATION, IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT. PERIOD OF PERFORMANCE: JULY FY26

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78703

State: Texas Government Spending

Plain-Language Summary

Department of Justice obligated $240,800.4 to CORRECTIONAL DIALYSIS SERVICES LLC for work described as: DIALYSIS SERVICES FOR FEDERAL MEDICAL CENTER DEVENS INMATE POPULATION, IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT. PERIOD OF PERFORMANCE: JULY FY26 Key points: 1. Contract addresses essential healthcare for a specific inmate population, indicating a critical service requirement. 2. The award to Correctional Dialysis Services LLC suggests a focused approach to specialized medical provision. 3. A 30-day period of performance points to a short-term need or a bridge to a longer-term solution. 4. The 'Not Competed' status warrants scrutiny regarding the justification for bypassing a broader solicitation process. 5. Fixed-price contract type offers cost certainty for the government, assuming the scope is well-defined. 6. The absence of small business set-aside flags potential missed opportunities for smaller providers.

Value Assessment

Rating: fair

The contract value of approximately $240,800 for a 30-day period for dialysis services appears high on a monthly basis. Benchmarking against similar correctional healthcare contracts or standard Medicare rates for dialysis would be necessary to determine true value for money. Without more context on the number of inmates served and the specific services required, it is difficult to definitively assess if this represents a fair price. The 'Not Competed' nature also raises questions about whether a more competitive process could have yielded better pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not openly competed. The justification for this approach is not provided in the data. Typically, sole-source awards occur when only one vendor can meet the requirement, or in urgent situations. The lack of competition means the government did not benefit from a bidding process that could drive down prices or encourage innovation from multiple providers.

Taxpayer Impact: Taxpayers may be paying a premium due to the absence of competitive bidding, as there was no market pressure to ensure the lowest possible price for these essential inmate healthcare services.

Public Impact

Inmates at Federal Medical Center Devens will receive essential kidney dialysis services, maintaining their health and well-being. The contract ensures continuity of care for a vulnerable patient population within the federal correctional system. Services are delivered within the Federal Medical Center Devens, impacting the local operational capacity of the facility. The provision of specialized medical services supports the broader mission of the Bureau of Prisons to manage federal inmates.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and limited vendor options.
The short performance period could indicate a stop-gap measure, potentially leading to future contract instability or higher costs.
The sole-source justification needs thorough review to ensure it was appropriate and not a missed opportunity for competition.

Positive Signals

Ensures critical healthcare services are provided to a specific inmate population.
The firm-fixed-price contract type provides budget certainty for the government.
The award is to a specialized provider, suggesting expertise in correctional dialysis.

Sector Analysis

The healthcare sector within federal contracting is substantial, encompassing a wide range of services from direct patient care to medical equipment. Correctional healthcare, specifically, is a niche but critical area, often requiring specialized providers equipped to handle the unique environment and security considerations of prisons. This contract for dialysis services fits within the broader 'Kidney Dialysis Centers' NAICS code (621492) and addresses a fundamental health need for inmates, ensuring compliance with medical standards and inmate welfare requirements. Comparable spending benchmarks would typically involve analyzing other federal or state correctional facility contracts for similar medical services.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Given the sole-source nature of the award, it's unlikely that small businesses were considered or had an opportunity to bid. This means that the potential economic benefits for small businesses in providing specialized healthcare services to federal facilities were not realized in this instance. There is no information on subcontracting plans, so the impact on the small business ecosystem is likely minimal for this specific award.

Oversight & Accountability

Oversight for this contract would primarily fall under the Bureau of Prisons (BOP), a division of the Department of Justice. The Contracting Officer's Representative (COR) would be responsible for monitoring performance and ensuring compliance with the Performance Work Statement. Transparency is limited due to the sole-source nature and the short performance period. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected, but specific oversight mechanisms beyond standard contract management are not detailed.

Related Government Programs

Federal Prison System Healthcare Services
Bureau of Prisons Medical Contracts
Inmate Health Services
Correctional Facility Medical Support
Dialysis Treatment Services

Risk Flags

Sole-source award requires justification review.
High monthly cost warrants value analysis.
Short performance period may indicate instability.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $240,800.4 to CORRECTIONAL DIALYSIS SERVICES LLC. DIALYSIS SERVICES FOR FEDERAL MEDICAL CENTER DEVENS INMATE POPULATION, IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT. PERIOD OF PERFORMANCE: JULY FY26

Who is the contractor on this award?

The obligated recipient is CORRECTIONAL DIALYSIS SERVICES LLC.

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 $240,800.4.

What is the period of performance?

Start: 2026-07-01. End: 2026-07-31.

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

The provided data indicates the contract was 'NOT COMPETED' and awarded to 'CORRECTIONAL DIALYSIS SERVICES LLC'. Typically, sole-source contracts are justified under specific circumstances outlined in federal acquisition regulations (FAR), such as when only one responsible source is available, or in cases of urgent and compelling need. Without further documentation from the Department of Justice or the Bureau of Prisons, the precise reason for bypassing a competitive bidding process remains unknown. This could be due to specialized equipment, unique facility requirements, or a critical, time-sensitive need that only this contractor could fulfill. A thorough review of the Justification for Other Than Full and Open Competition (JOFOC) would be required to understand the rationale.

How does the cost of these dialysis services compare to national averages or other federal correctional facilities?

The contract value is $240,800.40 for a 30-day period, suggesting a significant monthly expenditure for dialysis services at Federal Medical Center Devens. To benchmark this cost, one would need to compare it against several factors: 1) Average Medicare reimbursement rates for End-Stage Renal Disease (ESRD) treatments, which vary by locality and service type. 2) Contracts for similar dialysis services in other federal or state correctional institutions, which often have different pricing structures due to volume, security requirements, and geographic location. 3) The specific scope of services included (e.g., number of treatments per patient, staffing levels, equipment maintenance). Without these comparative data points, it is difficult to ascertain if $240,800 for one month represents a competitive or excessive cost. The lack of competition further complicates a value assessment.

What is the expected patient load or number of inmates requiring dialysis at FMC Devens?

The provided contract data does not explicitly state the number of inmates requiring dialysis services at Federal Medical Center Devens. The contract value of approximately $240,800 for a 30-day period is a total amount, not a per-patient cost. To understand the patient load, one would need to consult the Performance Work Statement (PWS) or related contract documentation. This information is crucial for assessing the efficiency and cost-effectiveness of the award. Knowing the patient volume would allow for a calculation of the cost per inmate per month or per treatment, which could then be compared to industry standards or other correctional facility contracts. The absence of this detail limits the ability to fully analyze the value proposition.

What are the specific services included in this dialysis contract?

The contract is for 'DIALYSIS SERVICES FOR FEDERAL MEDICAL CENTER DEVENS INMATE POPULATION, IN ACCORDANCE WITH THE PERFORMANCE WORK STATEMENT.' While the PWS is not provided, typical dialysis services in a correctional setting would include hemodialysis and potentially peritoneal dialysis, provision of necessary equipment (dialysis machines, water treatment systems), supplies, trained nursing and technical staff, laboratory monitoring, and emergency protocols. It may also encompass patient education and management of related health conditions. The exact scope, frequency of treatments, and specific staffing requirements would be detailed in the PWS, which is essential for a comprehensive understanding of the service delivery and cost.

What is the track record of Correctional Dialysis Services LLC in providing services to federal agencies or correctional facilities?

The provided data identifies 'CORRECTIONAL DIALYSIS SERVICES LLC' as the awardee. However, it does not offer details on the company's past performance, experience, or track record, particularly with federal agencies or other correctional institutions. To assess the contractor's reliability and capability, one would typically review past performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), references, and any history of contract awards or disputes. Given this is a sole-source award, the agency (Department of Justice/Bureau of Prisons) presumably vetted the contractor's ability to meet the requirements. However, without public access to this vetting information or past performance data, it's difficult to independently evaluate the contractor's suitability beyond the agency's internal assessment.

Industry Classification

NAICS: Health Care and Social Assistance › Outpatient Care Centers › Kidney Dialysis Centers

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: 807 W FAIRCHILD ST, DANVILLE, IL, 61832

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $240,800

Exercised Options: $240,800

Current Obligation: $240,800

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline