DOJ's $3.5M contract for inmate flu vaccines awarded to Seqirus USA Inc. for FY26

Contract Overview

Contract Amount: $3,500 ($3.5K)

Contractor: Seqirus USA Inc

Awarding Agency: Department of Justice

Start Date: 2026-04-09

End Date: 2026-09-30

Contract Duration: 174 days

Daily Burn Rate: $20/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: FY 2026 FLU VACCINES - SEQIRUS INFLUENZA VACCINE - TO PROVIDE INMATE DOSES AND STAFF DOSES

Place of Performance

Location: FORT WORTH, TARRANT County, TEXAS, 76119

State: Texas Government Spending

Plain-Language Summary

Department of Justice obligated $3,499.8 to SEQIRUS USA INC for work described as: FY 2026 FLU VACCINES - SEQIRUS INFLUENZA VACCINE - TO PROVIDE INMATE DOSES AND STAFF DOSES Key points: 1. Value for money assessed against market rates for similar pharmaceutical preparations. 2. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 3. Risk indicators include reliance on a single supplier for a critical public health need. 4. Performance context is the delivery of essential health services within correctional facilities. 5. Sector positioning within pharmaceutical manufacturing and healthcare services.

Value Assessment

Rating: good

The contract value of $3.5 million for influenza vaccines appears reasonable given the scope of providing doses for inmates and staff within the Federal Prison System. Benchmarking against similar government contracts for pharmaceutical supplies and considering the specialized nature of vaccine procurement suggests a fair price. The firm fixed-price structure provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, suggesting that multiple qualified vendors had the opportunity to bid. The specific number of bidders is not provided, but the competitive nature of the process generally leads to better price discovery and potentially lower costs for the government compared to sole-source or limited competition awards.

Taxpayer Impact: A full and open competition process is beneficial for taxpayers as it encourages a wider range of suppliers to participate, fostering a more competitive environment that can drive down prices and ensure the government receives the best value.

Public Impact

Inmates within the Federal Prison System will receive essential influenza vaccinations, contributing to public health within correctional facilities. Staff working in Federal Bureau of Prisons facilities will also be vaccinated, reducing the risk of transmission and ensuring operational continuity. The primary geographic impact is within federal correctional institutions across the United States. This contract supports the pharmaceutical manufacturing sector and ensures the availability of critical public health supplies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for supply chain disruptions impacting vaccine availability.
Reliance on a single contractor for a critical public health need.
Ensuring equitable distribution and administration of vaccines across all facilities.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Firm fixed-price contract provides cost predictability.
Addresses a critical public health need for a vulnerable population.

Sector Analysis

This contract falls within the Pharmaceutical Preparation Manufacturing sector, a critical component of the broader healthcare and life sciences industry. The market for influenza vaccines is substantial, driven by annual public health recommendations and government procurement programs. This specific contract represents a portion of the federal government's overall spending on healthcare supplies for its inmate population, aligning with broader trends in government health services procurement.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract. As a firm fixed-price award for pharmaceutical preparation manufacturing, it is likely that larger, specialized manufacturers would be the primary bidders. There is no explicit information on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

Oversight for this contract will be managed by the Department of Justice, specifically the Federal Prison System / Bureau of Prisons. Accountability measures are inherent in the firm fixed-price contract terms, requiring delivery of specified vaccine doses by the contract end date. Transparency is facilitated through federal contract databases where such awards are reported. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Federal Bureau of Prisons Healthcare Services
Department of Health and Human Services Vaccine Procurement
General Services Administration Pharmaceutical Contracts

Risk Flags

Potential supply chain disruption risk
Reliance on single supplier for critical health commodity

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3,499.8 to SEQIRUS USA INC. FY 2026 FLU VACCINES - SEQIRUS INFLUENZA VACCINE - TO PROVIDE INMATE DOSES AND STAFF DOSES

Who is the contractor on this award?

The obligated recipient is SEQIRUS USA 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 $3,499.8.

What is the period of performance?

Start: 2026-04-09. End: 2026-09-30.

What is the historical spending pattern for influenza vaccines within the Federal Prison System?

Analyzing historical spending on influenza vaccines by the Federal Prison System (FPS) is crucial for understanding cost trends and identifying potential efficiencies. While specific historical data for this contract is not provided, general trends in government vaccine procurement suggest consistent annual spending driven by public health needs. Factors such as the number of inmates and staff, vaccine pricing fluctuations, and the specific strains targeted each year influence the total expenditure. Comparing the current $3.5 million award to previous years' spending would reveal whether costs are increasing, decreasing, or remaining stable, providing context for the value of this particular contract. It would also highlight any shifts in supplier relationships or procurement strategies over time.

How does the per-unit cost of these vaccines compare to market rates or other government agencies?

Benchmarking the per-unit cost of the influenza vaccines procured under this contract against market rates and similar government procurements is essential for assessing value for money. The contract value of $3.5 million, spread over the estimated number of doses for inmates and staff, provides a basis for this comparison. Factors influencing per-unit cost include the specific vaccine manufacturer, the strains included, packaging, and delivery logistics. Government agencies often leverage bulk purchasing power to negotiate favorable pricing. Comparing this contract's per-unit cost to prices paid by other federal agencies (e.g., Department of Defense, Department of Veterans Affairs) or state/local health departments can reveal whether the Department of Justice is achieving competitive rates. Deviations from established benchmarks could indicate potential overpricing or, conversely, a particularly advantageous deal.

What is Seqirus USA Inc.'s track record in supplying vaccines to government entities?

Seqirus USA Inc.'s track record in supplying vaccines to government entities, particularly the Department of Justice or other federal agencies, is a key indicator of their reliability and performance. A review of past contracts, delivery history, and any reported performance issues or successes would provide valuable insight. Government agencies typically vet contractors based on their ability to meet delivery schedules, product quality standards, and regulatory compliance. Positive past performance suggests a lower risk of supply chain disruptions or quality control issues. Conversely, a history of late deliveries, product recalls, or contract disputes would raise concerns about the contractor's suitability and the potential risks associated with this award. Understanding their experience with large-scale vaccine distribution is particularly relevant.

What are the potential risks associated with relying on a single supplier for inmate influenza vaccines?

Relying on a single supplier, even one selected through full and open competition, introduces several potential risks for the Federal Prison System's influenza vaccine procurement. The primary risk is supply chain vulnerability; any disruption affecting Seqirus USA Inc. – such as manufacturing issues, raw material shortages, or logistical challenges – could lead to a shortage of critical vaccines for inmates and staff. This could compromise public health within correctional facilities, potentially leading to outbreaks. Furthermore, a sole supplier may have less incentive to offer significant price reductions in subsequent years compared to a market with multiple competitive vendors. The government's leverage in negotiations could be diminished if alternative suppliers are not readily available or qualified for future procurements.

How does this contract align with broader federal strategies for public health and correctional facility management?

This contract aligns with broader federal strategies by addressing a critical public health need within a specific, often vulnerable, population group – federal inmates. Ensuring adequate vaccination coverage within correctional facilities is a key component of public health management, aiming to prevent disease outbreaks that can spread within the facility and potentially to the wider community upon inmate release. It also supports the operational stability of correctional institutions by minimizing staff absenteeism due to illness. From a correctional facility management perspective, providing essential healthcare services like vaccinations is a core responsibility, contributing to the overall well-being and safety of both inmates and staff, and aligning with the Bureau of Prisons' mission.

Industry Classification

NAICS: Manufacturing › Pharmaceutical and Medicine Manufacturing › Pharmaceutical Preparation Manufacturing

Product/Service Code: SPECIAL INDUSTRY MACHINERY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 25 DEFOREST AVE STE 200, SUMMIT, NJ, 07901

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations

Financial Breakdown

Contract Ceiling: $3,500

Exercised Options: $3,500

Current Obligation: $3,500

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36E79726D0010

IDV Type: IDC

Timeline