DOJ awards $3.6M for residential and health care services in Pittsburgh, PA, to Renewal Inc

Contract Overview

Contract Amount: $3,558,636 ($3.6M)

Contractor: Renewal Inc

Awarding Agency: Department of Justice

Start Date: 2022-10-01

End Date: 2024-07-31

Contract Duration: 669 days

Daily Burn Rate: $5.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: TASK ORDER TO FUND FY23 OY1 FOR RRC AND HC SERVICES IN PITTSBURGH, PA. POP: 10/01/2022 - 7/31/2023.

Place of Performance

Location: PITTSBURGH, ALLEGHENY County, PENNSYLVANIA, 15219

State: Pennsylvania Government Spending

Plain-Language Summary

Department of Justice obligated $3.6 million to RENEWAL INC for work described as: TASK ORDER TO FUND FY23 OY1 FOR RRC AND HC SERVICES IN PITTSBURGH, PA. POP: 10/01/2022 - 7/31/2023. Key points: 1. Contract awarded to Renewal Inc. for residential and health care services. 2. Task order covers the period from October 1, 2022, to July 31, 2024. 3. The contract type is Firm Fixed Price, indicating predictable costs. 4. This is a delivery order under a larger contract, suggesting established terms. 5. The North American Industry Classification System (NAICS) code is 623990 for Other Residential Care Facilities. 6. The contract was awarded through full and open competition. 7. The base contract value is $3,558,636. 8. The contract duration is 669 days.

Value Assessment

Rating: fair

The contract value of $3.6 million for approximately 22 months of service appears to be within a reasonable range for residential and health care services in a major metropolitan area like Pittsburgh. However, without specific details on the scope of services, patient population size, and the specific level of care provided, a precise value-for-money assessment is challenging. Benchmarking against similar contracts for facilities of comparable size and service intensity would be necessary for a more definitive evaluation of pricing and value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This process is designed to foster a competitive environment, potentially leading to better pricing and service quality. The number of bidders is not specified, but the use of full and open competition suggests a robust selection process.

Taxpayer Impact: Full and open competition generally benefits taxpayers by promoting market-driven pricing and encouraging a wider pool of qualified contractors, which can lead to cost savings and improved service delivery.

Public Impact

The primary beneficiaries are individuals requiring residential and health care services within the Federal Prison System in Pittsburgh, PA. The services delivered include residential care and health care support. The geographic impact is focused on Pittsburgh, Pennsylvania. The contract supports the operational needs of the Bureau of Prisons, ensuring continuity of care for inmates.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of detailed service scope makes value assessment difficult.
No information on the number of bidders in the full and open competition.
Specific performance metrics and outcomes are not detailed in the provided data.
The contract is a task order, so the overall contract's performance history is unknown.

Positive Signals

Awarded through full and open competition, suggesting a competitive bidding process.
Firm Fixed Price contract type provides cost certainty.
The contract addresses essential residential and health care needs.
The task order is for a defined period, allowing for periodic re-evaluation of needs.

Sector Analysis

This contract falls within the Healthcare and Social Assistance sector, specifically Other Residential Care Facilities (NAICS 623990). This sub-sector includes establishments that provide residential care and/or supervision for individuals who, due to age, health, or other conditions, require assistance with daily living activities. The market for such services, particularly for government contracts, is often specialized, with providers needing to meet stringent regulatory and security requirements. Comparable spending benchmarks would typically be found within government solicitations for similar correctional healthcare or residential support services.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this particular task order. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this award as a set-aside. However, the prime contractor, Renewal Inc., may engage small businesses as subcontractors, the details of which are not available in this data.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Federal Prison System / Bureau of Prisons within the Department of Justice. Accountability measures would be defined in the master contract under which this delivery order was issued, likely including performance standards, reporting requirements, and potential remedies for non-performance. Transparency is generally facilitated through contract award databases like FPDS, though detailed operational oversight specifics are often internal.

Related Government Programs

Federal Bureau of Prisons Healthcare Services
Residential Re-entry Center Services
Inmate Health and Welfare Programs
Department of Justice Health Services Contracts

Risk Flags

Potential for service quality issues impacting inmate welfare.
Risk of cost increases if scope of work expands beyond initial estimates (though FFP mitigates this for government).
Dependence on contractor's ability to maintain adequate staffing levels and expertise.
Ensuring compliance with all relevant healthcare and correctional facility regulations.

Frequently Asked Questions

What is this federal contract paying for?

Department of Justice awarded $3.6 million to RENEWAL INC. TASK ORDER TO FUND FY23 OY1 FOR RRC AND HC SERVICES IN PITTSBURGH, PA. POP: 10/01/2022 - 7/31/2023.

Who is the contractor on this award?

The obligated recipient is RENEWAL 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 $3.6 million.

What is the period of performance?

Start: 2022-10-01. End: 2024-07-31.

What is the track record of Renewal Inc. with federal contracts, particularly within the Bureau of Prisons?

Information regarding Renewal Inc.'s specific track record with federal contracts, especially within the Bureau of Prisons, is not detailed in the provided data. A comprehensive assessment would require reviewing their past performance on similar contracts, including any awards, terminations, or significant disputes. Examining contract databases and performance evaluation reports (if publicly available) would offer insights into their reliability, quality of service, and adherence to contractual obligations. Without this historical data, it is difficult to gauge their established performance within this specific government sector.

How does the cost per day for these services compare to similar facilities or contracts?

Calculating a precise cost per day requires dividing the total contract value ($3,558,636) by the duration in days (669 days), yielding approximately $5,319 per day. To benchmark this, one would need to compare this daily rate against similar residential and health care facilities serving correctional populations in the Pittsburgh area or nationally. Factors such as the level of medical care provided (e.g., general health vs. specialized care), the number of individuals served, and the specific services included (e.g., therapy, medication management) significantly influence per-diem costs. Without comparative data on these specific service elements and patient profiles, it is challenging to definitively state whether this rate represents excellent, fair, or concerning value.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks for this contract could include service quality deficiencies, potential for inmate unrest or health crises if care is inadequate, and contractor performance issues. Mitigation strategies typically involve robust oversight by the Bureau of Prisons, clearly defined performance standards in the contract, regular site inspections, and established protocols for addressing grievances or emergencies. The Firm Fixed Price nature of the contract helps mitigate cost overrun risks for the government, but it places the financial risk of unexpected service demands on the contractor. Ensuring the contractor has adequate staffing, qualified medical personnel, and emergency preparedness plans is crucial.

What is the expected effectiveness of Renewal Inc. in delivering the contracted residential and health care services?

The expected effectiveness hinges on Renewal Inc.'s operational capacity, the qualifications of their staff, and the clarity and enforceability of the contract's performance standards. As the contract is a renewal or task order, it implies some level of prior performance or established capability. However, without specific performance metrics or historical data on Renewal Inc.'s success in similar roles, a definitive assessment of effectiveness is speculative. The Bureau of Prisons' oversight and quality assurance processes will be critical in ensuring that the services meet the required standards for inmate care and rehabilitation.

How has spending on residential and health care services by the Federal Prison System evolved over the past five years?

Analyzing the evolution of spending on residential and health care services by the Federal Prison System (FPS) over the past five years would require accessing historical budget and contract data. Generally, the FPS faces consistent demand for these services due to the inmate population. Spending trends can be influenced by factors such as changes in inmate population size, healthcare cost inflation, policy shifts regarding inmate care, and the utilization of public versus private facilities. A detailed analysis would involve examining aggregate FPS spending reports and identifying the proportion allocated to residential and healthcare contracts, looking for patterns of increase, decrease, or stability.

Industry Classification

NAICS: Health Care and Social Assistance › Other Residential Care Facilities › Other Residential Care Facilities

Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 15BRRC19R00000255

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 326 3RD AVE, PITTSBURGH, PA, 15222

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,558,636

Exercised Options: $3,558,636

Current Obligation: $3,558,636

Actual Outlays: $3,586,330

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NOT OBTAINED - WAIVED

Parent Contract

Parent Award PIID: 15BRRC21D00000255

IDV Type: IDC

Timeline