DOJ's Bureau of Prisons awards $2.36M for mental health services in Las Cruces, NM
Contract Overview
Contract Amount: $236,400 ($236.4K)
Contractor: Western Alternative Corrections, Inc.
Awarding Agency: Department of Justice
Start Date: 2025-03-01
End Date: 2026-02-28
Contract Duration: 364 days
Daily Burn Rate: $649/day
Competition Type: COMPETED UNDER SAP
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: CTS SERVICES IN LAS CRUCES, NM. OPTION YEAR #2: 3/01/25-2/28/2026
Place of Performance
Location: HASTINGS, ADAMS County, NEBRASKA, 68901
State: Nebraska Government Spending
Plain-Language Summary
Department of Justice obligated $236,400 to WESTERN ALTERNATIVE CORRECTIONS, INC. for work described as: CTS SERVICES IN LAS CRUCES, NM. OPTION YEAR #2: 3/01/25-2/28/2026 Key points: 1. Contract for outpatient mental health and substance abuse centers. 2. Competed under Simplified Acquisition Procedures (SAP). 3. Option year 2 extends services for another year. 4. Western Alternative Corrections, Inc. is the awardee. 5. NAICS code 621420 indicates a focus on specialized healthcare.
Value Assessment
Rating: good
The award amount of $2.36M for a 364-day period appears reasonable for specialized mental health services. Benchmarking against similar contracts for outpatient substance abuse treatment centers would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP, suggesting a limited competition approach. While this can expedite the process, it may not always yield the lowest possible price compared to full and open competition.
Taxpayer Impact: Taxpayer funds are being used for essential correctional healthcare services, aiming to improve inmate well-being and rehabilitation outcomes.
Public Impact
Ensures continued access to critical mental health and substance abuse treatment for inmates. Supports rehabilitation efforts within the Federal Prison System. Provides specialized outpatient care, potentially reducing recidivism rates. Contributes to the operational capacity of correctional facilities in New Mexico.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition under SAP may not guarantee best value.
- Lack of detailed cost breakdown makes precise value assessment difficult.
Positive Signals
- Addresses a critical need for inmate healthcare.
- Awardee has experience in corrections-related services.
- Firm fixed price contract provides cost certainty.
Sector Analysis
The healthcare sector, particularly specialized services like mental health and substance abuse treatment, is a significant area of government spending. Benchmarks for similar outpatient facilities vary widely based on location, scope of services, and patient population.
Small Business Impact
The data does not indicate if small businesses were involved in this procurement. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Department of Justice's Bureau of Prisons is responsible for overseeing this contract. Standard oversight mechanisms for delivery orders under existing contracts would apply.
Related Government Programs
- Outpatient Mental Health and Substance Abuse Centers
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Potential for higher costs due to limited competition.
- Need for clear performance metrics to ensure service quality.
- Dependence on a single contractor for a critical service.
- Limited transparency on cost breakdown and justification.
Tags
outpatient-mental-health-and-substance-a, department-of-justice, ne, delivery-order, 100k-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $236,400 to WESTERN ALTERNATIVE CORRECTIONS, INC.. CTS SERVICES IN LAS CRUCES, NM. OPTION YEAR #2: 3/01/25-2/28/2026
Who is the contractor on this award?
The obligated recipient is WESTERN ALTERNATIVE CORRECTIONS, 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 $236,400.
What is the period of performance?
Start: 2025-03-01. End: 2026-02-28.
What is the specific scope of services included in this contract, and how does it align with the needs of the inmate population?
The contract is for outpatient mental health and substance abuse centers, indicated by NAICS code 621420. This suggests services like counseling, therapy, medication management, and addiction treatment. The alignment with inmate needs would depend on the specific mental health profiles and substance abuse issues prevalent within the Federal Prison System facilities served by this contract.
How does the pricing compare to industry benchmarks for similar outpatient mental health services, considering the correctional environment?
Without specific service details and volume metrics, a precise per-unit cost benchmark is difficult. However, the total award of $2.36M for approximately 364 days suggests a significant operational cost. Benchmarking would require comparing rates for specific services (e.g., therapy sessions, medication) against other correctional healthcare providers or specialized outpatient clinics, factoring in any security or logistical premiums.
What measures are in place to ensure the effectiveness and quality of the mental health and substance abuse services provided?
Effectiveness is typically measured through performance metrics outlined in the contract, such as patient outcomes, adherence to treatment plans, and provider qualifications. The Bureau of Prisons would likely have quality assurance protocols, site visits, and regular performance reviews to ensure the contractor meets service level agreements and provides appropriate care.
Industry Classification
NAICS: Health Care and Social Assistance › Outpatient Care Centers › Outpatient Mental Health and Substance Abuse Centers
Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 15BCTS23Q00000026
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 101 S HASTINGS AVE, HASTINGS, NE, 68901
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $985,165
Exercised Options: $985,165
Current Obligation: $236,400
Actual Outlays: $139,850
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 15BCTS23D00000005
IDV Type: IDC
Timeline
Start Date: 2025-03-01
Current End Date: 2026-02-28
Potential End Date: 2026-02-28 00:00:00
Last Modified: 2026-04-09
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