State Dept. Awards $12.5M for Medical Kits to Katmai Global Solutions LLC
Contract Overview
Contract Amount: $12,532,463 ($12.5M)
Contractor: Katmai Global Solutions LLC
Awarding Agency: Department of State
Start Date: 2023-09-30
End Date: 2026-09-29
Contract Duration: 1,095 days
Daily Burn Rate: $11.4K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: MEDICAL KITS
Place of Performance
Location: ANCHORAGE, ANCHORAGE County, ALASKA, 99515
State: Alaska Government Spending
Plain-Language Summary
Department of State obligated $12.5 million to KATMAI GLOBAL SOLUTIONS LLC for work described as: MEDICAL KITS Key points: 1. Significant award to a single vendor for essential medical kits. 2. Limited competition raises questions about price discovery and value. 3. Potential risk associated with reliance on one supplier for critical supplies. 4. Sector context: Government procurement of specialized packaging and labeling services.
Value Assessment
Rating: questionable
The contract's value is substantial, but without competitive bidding, it's difficult to assess if the price is optimal. Benchmarking against similar packaging and labeling services is needed.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, suggesting a limited source justification. This limits price discovery and potentially leads to higher costs for taxpayers.
Taxpayer Impact: Taxpayer funds may be at risk of being overspent due to the lack of competitive pressure on pricing.
Public Impact
Ensures supply of critical medical kits for Department of State operations. Potential for higher costs due to lack of competitive bidding. Impact on small businesses is unclear as a large contract is awarded to one entity.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for overpayment
- Sole-source award
Positive Signals
- Ensures critical supply chain
- Long-term contract provides stability
Sector Analysis
This contract falls under packaging and labeling services, a niche within government contracting. Benchmarks for similar services are often difficult to ascertain without competitive data.
Small Business Impact
The contract was awarded to Katmai Global Solutions LLC, and it is unclear if they are a small business. The lack of competition for this large award may limit opportunities for other small businesses in this sector.
Oversight & Accountability
Oversight is crucial to ensure the quality and necessity of the medical kits provided. The Department of State should monitor contract performance closely, especially given the limited competition.
Related Government Programs
- Packaging and Labeling Services
- Department of State Contracting
- Department of State Programs
Risk Flags
- Lack of competitive bidding
- Potential for inflated pricing
- Single point of failure in supply chain
- Limited transparency on price justification
Tags
packaging-and-labeling-services, department-of-state, ak, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of State awarded $12.5 million to KATMAI GLOBAL SOLUTIONS LLC. MEDICAL KITS
Who is the contractor on this award?
The obligated recipient is KATMAI GLOBAL SOLUTIONS LLC.
Which agency awarded this contract?
Awarding agency: Department of State (Department of State).
What is the total obligated amount?
The obligated amount is $12.5 million.
What is the period of performance?
Start: 2023-09-30. End: 2026-09-29.
What is the justification for awarding this contract without competition, and how was the price determined to be fair and reasonable?
The justification for awarding this contract without competition is not provided in the data. Typically, such awards require a formal justification, such as a sole-source procurement or a limited competition where only one capable vendor exists. Without this justification, it's impossible to assess the price determination process. A review of the contract file would be necessary to understand the rationale and the steps taken to ensure the price was fair and reasonable.
What are the risks associated with a sole-source award for critical medical supplies, and how are they being mitigated?
A sole-source award for critical medical supplies carries risks such as potential price inflation due to lack of competition, reduced innovation, and supply chain vulnerability if the single vendor faces issues. Mitigation strategies could include robust contract monitoring, performance incentives, and contingency planning for alternative suppliers. The Department of State should have clear performance metrics and communication channels with Katmai Global Solutions LLC to address any emerging risks proactively.
How does the value of this contract compare to similar packaging and labeling services procured by other government agencies or in the private sector?
Direct comparison is challenging without specific details on the exact nature of the medical kits and services. However, a $12.5 million contract over three years for packaging and labeling services is substantial. Benchmarking against publicly available data for similar government contracts or industry reports on packaging and logistics costs would be necessary. The absence of competitive bidding makes a definitive value assessment difficult.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › Packaging and Labeling Services
Product/Service Code: MEDICAL/DENTAL/VETERINARY EQPT/SUPP
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 19AQMM23R0240
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 11001 OMALLEY CENTRE DR, 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: $12,532,463
Exercised Options: $12,532,463
Current Obligation: $12,532,463
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 19AQMM23D0098
IDV Type: IDC
Timeline
Start Date: 2023-09-30
Current End Date: 2026-09-29
Potential End Date: 2026-09-29 00:00:00
Last Modified: 2025-09-30
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