State Dept. awards $40.2M for medical kits and supplies to Katmai Health Services under full and open competition

Contract Overview

Contract Amount: $40,174,216 ($40.2M)

Contractor: Katmai Health Services LLC

Awarding Agency: Department of State

Start Date: 2018-12-21

End Date: 2023-12-18

Contract Duration: 1,823 days

Daily Burn Rate: $22.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: THIS CONTRACT PROVIDES EMERGENCY MEDICAL KIT AND LIFE CYCLE SUSTAINMENT SUPPLIES AND SERVICES TO THE US DEPARTMENT OF STATE, BUREAU OF MEDICAL SERVICES.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20522

State: District of Columbia Government Spending

Plain-Language Summary

Department of State obligated $40.2 million to KATMAI HEALTH SERVICES LLC for work described as: THIS CONTRACT PROVIDES EMERGENCY MEDICAL KIT AND LIFE CYCLE SUSTAINMENT SUPPLIES AND SERVICES TO THE US DEPARTMENT OF STATE, BUREAU OF MEDICAL SERVICES. Key points: 1. Contract awarded to Katmai Health Services LLC for $40.2 million. 2. Procurement covers emergency medical kits and life cycle sustainment supplies. 3. Competition method was 'Full and Open Competition After Exclusion of Sources'. 4. The contract spans nearly 5 years, from December 2018 to December 2023. 5. This falls under the 'Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers' NAICS code.

Value Assessment

Rating: good

The contract value of $40.2 million for a 5-year period appears reasonable for sustainment supplies and emergency kits. Benchmarking against similar contracts for medical supplies to government agencies 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 After Exclusion of Sources', indicating a competitive process was intended. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential medical supplies.

Public Impact

Ensures critical medical supplies are available for Department of State personnel. Supports operational readiness by providing necessary life cycle sustainment. The contract's duration suggests a consistent need for these medical provisions. Award to a single vendor implies specialized capabilities or a consolidated requirement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases over the 5-year contract term.
Dependence on a single vendor for critical medical supplies.
Ensuring adequate inventory management and delivery timelines.

Positive Signals

Competitive award process.
Long-term contract provides supply chain stability.
Supports essential government functions.

Sector Analysis

This contract falls within the broader healthcare and medical supplies sector. Spending in this area is critical for government operations, particularly for agencies with personnel operating in diverse global environments. Benchmarks for similar medical supply contracts can vary significantly based on the specific items and quantities required.

Small Business Impact

The data indicates the awardee is Katmai Health Services LLC. Further analysis would be needed to determine if this is a small business and if subcontracting opportunities were utilized or mandated.

Oversight & Accountability

The Department of State is responsible for overseeing this contract. Standard procurement regulations and contract management practices should ensure accountability for delivery and quality of medical supplies.

Related Government Programs

Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers
Department of State Contracting
Department of State Programs

Risk Flags

Potential for price escalation over the contract term.
Reliance on a single vendor for critical supplies.
Need for robust inventory and delivery monitoring.
Ensuring compliance with medical supply regulations and standards.

Frequently Asked Questions

What is this federal contract paying for?

Department of State awarded $40.2 million to KATMAI HEALTH SERVICES LLC. THIS CONTRACT PROVIDES EMERGENCY MEDICAL KIT AND LIFE CYCLE SUSTAINMENT SUPPLIES AND SERVICES TO THE US DEPARTMENT OF STATE, BUREAU OF MEDICAL SERVICES.

Who is the contractor on this award?

The obligated recipient is KATMAI HEALTH SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Department of State (Department of State).

What is the total obligated amount?

The obligated amount is $40.2 million.

What is the period of performance?

Start: 2018-12-21. End: 2023-12-18.

What is the specific breakdown of emergency kits versus sustainment supplies within the $40.2 million award?

The provided data does not specify the exact allocation between emergency medical kits and ongoing sustainment supplies. A detailed contract review or request to the agency would be necessary to ascertain this breakdown. Understanding the proportion is key to assessing if the value aligns with the criticality and volume of each component.

How does the per-unit cost of these medical supplies compare to commercial market prices or other government contracts?

Without specific line-item data and unit costs, a direct comparison is not possible. The 'Full and Open Competition After Exclusion of Sources' suggests a competitive pricing environment, but actual price discovery requires detailed cost analysis against benchmarks. The contract's firm-fixed-price structure offers cost certainty, but vigilance is needed to ensure prices remain fair over the contract's duration.

What are the key performance indicators (KPIs) and service level agreements (SLAs) for the life cycle sustainment services?

The provided data does not detail the specific KPIs or SLAs associated with the life cycle sustainment services. These are crucial for ensuring the effectiveness of the contract, particularly regarding delivery timeliness, inventory management, and product quality. Oversight by the Department of State would focus on adherence to these performance metrics.

Industry Classification

NAICS: Wholesale Trade › Professional and Commercial Equipment and Supplies Merchant Wholesalers › Medical, Dental, and Hospital Equipment and Supplies Merchant Wholesalers

Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 11001 OMALLEY CENTRE DRIVE, STE 204, ANCHORAGE, AK, 99515

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Tribally Owned Firm, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $40,174,216

Exercised Options: $40,174,216

Current Obligation: $40,174,216

Actual Outlays: $24,373,731

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $6,000,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 19AQMM19D0004

IDV Type: IDC

Timeline