DOJ's $500K Medication Contract for FCC Pollock Awarded to McKesson Corporation
Contract Overview
Contract Amount: $500,000 ($500.0K)
Contractor: Mckesson Corporation
Awarding Agency: Department of Justice
Start Date: 2026-09-30
End Date: 2026-09-30
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: JUNE MONTHLY MEDICATIONS FOR INMATES HOUSED AT FCC POLLOCK
Place of Performance
Location: IRVING, DALLAS County, TEXAS, 75039
State: Texas Government Spending
Plain-Language Summary
Department of Justice obligated $500,000 to MCKESSON CORPORATION for work described as: JUNE MONTHLY MEDICATIONS FOR INMATES HOUSED AT FCC POLLOCK Key points: 1. The contract is for essential inmate medications, highlighting a critical service need. 2. McKesson Corporation, a major player, likely offers competitive pricing due to scale. 3. Potential risks include supply chain disruptions and the need for strict quality control. 4. The pharmaceutical sector is highly regulated, impacting cost and availability.
Value Assessment
Rating: good
The $500,000 value for monthly inmate medications appears reasonable given the scale of inmate populations in federal facilities. Benchmarking against similar contracts for pharmaceutical supplies to correctional institutions would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple vendors have the opportunity to bid.
Taxpayer Impact: Full and open competition generally ensures taxpayer funds are used efficiently by fostering a competitive environment that drives down costs.
Public Impact
Ensures continuity of essential healthcare services for inmates at FCC Pollock. Supports the operational needs of the Federal Prison System by providing necessary pharmaceuticals. Impacts the pharmaceutical supply chain, potentially influencing availability for other government or commercial customers.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price increases in future contract periods.
- Dependence on a single supplier for critical medications.
- Risk of medication shortages due to unforeseen supply chain issues.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract provides cost certainty.
- Long-term contract ensures stable supply.
Sector Analysis
This contract falls within the pharmaceutical preparation manufacturing sector, which is crucial for government healthcare services. Spending in this area is generally stable, driven by consistent demand for essential medicines.
Small Business Impact
While McKesson Corporation is a large business, the contract's nature might allow for subcontracting opportunities for smaller, specialized pharmaceutical distributors or logistics providers.
Oversight & Accountability
The Bureau of Prisons, under the Department of Justice, is responsible for overseeing this contract. Standard procurement regulations and performance monitoring should ensure accountability and adherence to terms.
Related Government Programs
- Pharmaceutical Preparation Manufacturing
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Potential for price escalation in subsequent years.
- Reliance on a single large corporation for essential supplies.
- Vulnerability to pharmaceutical supply chain disruptions.
- Need for ongoing quality assurance and monitoring of medication efficacy.
Tags
pharmaceutical-preparation-manufacturing, department-of-justice, tx, delivery-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $500,000 to MCKESSON CORPORATION. JUNE MONTHLY MEDICATIONS FOR INMATES HOUSED AT FCC POLLOCK
Who is the contractor on this award?
The obligated recipient is MCKESSON CORPORATION.
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 $500,000.
What is the period of performance?
Start: 2026-09-30. End: 2026-09-30.
What is the historical pricing trend for similar inmate medication contracts awarded by the Bureau of Prisons?
Analyzing historical pricing data for comparable inmate medication contracts is crucial for validating the current award's value. Trends in pharmaceutical costs, inflation, and competitive bidding outcomes can reveal if this $500,000 award represents a fair market price or if there's potential for cost savings in future solicitations.
What are the specific risks associated with McKesson Corporation's ability to meet the demand for these medications?
Risks include potential drug shortages, supply chain disruptions, or quality control issues. McKesson's established infrastructure is a positive, but the Bureau of Prisons should have contingency plans and monitor inventory levels closely to mitigate any potential impact on inmate health.
How effectively does this contract ensure the timely and appropriate dispensing of medications to inmates?
The effectiveness hinges on McKesson's delivery reliability and adherence to the firm fixed price. The Bureau of Prisons must have robust tracking mechanisms to ensure medications are delivered on schedule and meet all quality standards, directly impacting inmate health outcomes.
Industry Classification
NAICS: Manufacturing › Pharmaceutical and Medicine Manufacturing › Pharmaceutical Preparation Manufacturing
Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP
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: 6555 STATE HIGHWAY 161, IRVING, TX, 75039
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $500,000
Exercised Options: $500,000
Current Obligation: $500,000
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 36W79720D0001
IDV Type: IDC
Timeline
Start Date: 2026-09-30
Current End Date: 2026-09-30
Potential End Date: 2026-09-30 00:00:00
Last Modified: 2026-04-09
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