DOJ's $15M Naphcare Contract for Medical Care in Federal Prisons Faces Scrutiny for Lack of Competition

Contract Overview

Contract Amount: $15,000 ($15.0K)

Contractor: Naphcare LLC

Awarding Agency: Department of Justice

Start Date: 2026-04-01

End Date: 2026-04-30

Contract Duration: 29 days

Daily Burn Rate: $517/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: FY26 B1 NAPHCARE INSIDE MEDICAL CARE APR 26 MISSION ESSENTIAL

Place of Performance

Location: THOMSON, CARROLL County, ILLINOIS, 61285

State: Illinois Government Spending

Plain-Language Summary

Department of Justice obligated $15,000 to NAPHCARE LLC for work described as: FY26 B1 NAPHCARE INSIDE MEDICAL CARE APR 26 MISSION ESSENTIAL Key points: 1. The contract's value of $15 million for a single month of service is substantial. 2. NAPHCARE LLC is the sole provider, raising concerns about market competition. 3. The 'NOT COMPETED' status presents a significant risk of inflated pricing and reduced value. 4. The healthcare sector, particularly for correctional facilities, often faces unique procurement challenges.

Value Assessment

Rating: questionable

Without competitive bidding, it's difficult to assess if the $15 million price is reasonable. Pricing for correctional healthcare can vary widely, and this single-month cost needs comparison against similar facilities or historical data to determine value.

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: The lack of competition may result in taxpayers paying more than necessary for essential medical services within federal prisons.

Public Impact

Inmates rely on this contract for essential medical services, impacting their health and well-being. The high cost raises questions about resource allocation within the Federal Prison System. Lack of transparency in sole-source contracts can erode public trust in government spending.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source award
Lack of competition
High single-month cost

Positive Signals

Mission essential service
Potential for improved inmate care

Sector Analysis

This contract falls within the healthcare sector, specifically for general medical and surgical hospitals serving the federal prison system. Benchmarks for correctional healthcare can be difficult to establish due to unique operational demands and patient populations.

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 capability to bid on this service.

Oversight & Accountability

The 'NOT COMPETED' status warrants close oversight to ensure the justification for a sole-source award is valid and that the pricing is fair. Accountability for taxpayer funds is crucial in such procurements.

Related Government Programs

General Medical and Surgical Hospitals
Department of Justice Contracting
Federal Prison System / Bureau of Prisons Programs

Risk Flags

Lack of competitive bidding
Potential for overpricing
Limited transparency
Sole-source award justification
High cost for a short duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $15,000 to NAPHCARE LLC. FY26 B1 NAPHCARE INSIDE MEDICAL CARE APR 26 MISSION ESSENTIAL

Who is the contractor on this award?

The obligated recipient is NAPHCARE 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 $15,000.

What is the period of performance?

Start: 2026-04-01. End: 2026-04-30.

What is the justification for awarding this contract sole-source without competition, and has it been adequately documented?

The justification for a sole-source award must be clearly documented and approved, typically citing reasons such as urgency, unique capabilities, or lack of available sources. Without this documentation, the award process raises significant concerns about adherence to procurement regulations and the potential for favoritism or inefficiency.

How does the per-patient cost compare to similar correctional healthcare contracts or industry benchmarks?

Comparing the per-patient cost is crucial for assessing value. If this contract's per-patient cost significantly exceeds benchmarks for similar federal or state correctional facilities, or general hospital services, it indicates potential overspending. This comparison is vital for ensuring taxpayer funds are used efficiently.

What mechanisms are in place to ensure the quality and effectiveness of medical care provided under this sole-source contract?

Even with a sole-source award, robust quality assurance and performance monitoring are essential. The Bureau of Prisons must have clear metrics and oversight processes to ensure NAPHCARE LLC delivers effective and timely medical care, holding them accountable for service quality despite the lack of competitive pressure.

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: 2090 COLUMBIANA RD, VESTAVIA HILLS, AL, 35216

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $15,000

Exercised Options: $15,000

Current Obligation: $15,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline