HHS awards $21.8M for Mid-Atlantic Tribal Health Clinic Renovation & Expansion to Within Interior Design, Inc

Contract Overview

Contract Amount: $21,815,935 ($21.8M)

Contractor: Within Interior Design, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2022-09-07

End Date: 2025-03-14

Contract Duration: 919 days

Daily Burn Rate: $23.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: MID ATLANTIC TRIBAL HEALTH CLINIC RENOVATION & EXPANSION

Place of Performance

Location: CHARLES CITY, CHARLES CITY County, VIRGINIA, 23030

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $21.8 million to WITHIN INTERIOR DESIGN, INC. for work described as: MID ATLANTIC TRIBAL HEALTH CLINIC RENOVATION & EXPANSION Key points: 1. The contract's value of $21.8 million represents a significant investment in tribal healthcare infrastructure. 2. The procurement method, 'Full and Open Competition After Exclusion of Sources,' suggests a potentially complex bidding process. 3. The contract duration of 919 days indicates a substantial, multi-year project. 4. The fixed-price contract type aims to control costs, but potential for change orders exists. 5. The project's focus on renovation and expansion highlights the need for improved healthcare facilities in the region. 6. The award to a single contractor, Within Interior Design, Inc., warrants scrutiny of their capacity and past performance.

Value Assessment

Rating: fair

The contract value of $21.8 million for a clinic renovation and expansion needs to be benchmarked against similar projects in the Mid-Atlantic region. Without specific details on the scope of work, it is difficult to assess value for money. The fixed-price nature of the contract provides some cost certainty, but the total cost will depend on the execution and any potential change orders. The base award amount of $23,739 appears to be an initial task order or a very small portion of the total contract value, which requires further clarification.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, certain sources were excluded, potentially limiting the pool of bidders. The number of bidders is not specified, but the exclusion of sources suggests a reason for this limitation, which could be related to specific qualifications or prior relationships. This procurement approach may have implications for price discovery and overall competition.

Taxpayer Impact: The exclusion of certain sources, even in a full and open competition, could potentially lead to less competitive pricing than a truly unrestricted competition, which might result in higher costs for taxpayers.

Public Impact

Tribal communities in the Mid-Atlantic region will benefit from improved healthcare facilities and expanded services. The project will deliver essential renovations and expansions to a key tribal health clinic. The geographic impact is focused on the Mid-Atlantic region, specifically serving tribal populations. The construction and renovation activities will likely create temporary employment opportunities in the local workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The exclusion of sources in the competition process raises questions about the breadth of competition and potential impact on pricing.
The specific reasons for excluding certain sources need to be clearly understood to ensure fairness and optimal value.
The total contract value and the breakdown of task orders are not fully detailed, making a comprehensive value assessment challenging.
The contractor's track record on similar large-scale healthcare facility projects requires thorough review.

Positive Signals

The contract aims to improve critical healthcare infrastructure for tribal communities.
The firm-fixed-price contract type provides a degree of cost control for the government.
The project addresses a clear need for enhanced healthcare services in the specified region.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically focusing on healthcare facilities. The Indian Health Service (IHS) within HHS regularly awards contracts for the construction, renovation, and expansion of healthcare infrastructure to serve Native American populations. The market for such specialized construction is competitive, with firms needing specific expertise in healthcare environments and often working with government agencies. Benchmarking this $21.8 million award would involve comparing it to other large-scale healthcare construction projects, considering regional labor costs and material prices.

Small Business Impact

Information regarding small business set-asides or subcontracting plans is not explicitly provided in the data. As this is a large contract, there may be opportunities for small businesses to participate through subcontracting, but the extent of this is unclear. Further analysis would be needed to determine if small business participation goals were set and how they are being met.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Health and Human Services (HHS) and the Indian Health Service (IHS). Standard contract management processes, including performance monitoring, financial oversight, and compliance checks, would be in place. Transparency would be facilitated through contract databases like FPDS. The Inspector General's office for HHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

Indian Health Service Construction Projects
Tribal Healthcare Infrastructure Grants
Federal Healthcare Facility Modernization
Department of Health and Human Services Capital Investments

Risk Flags

Limited Competition Details
Contractor Performance History Unknown
Potential for Cost Overruns via Change Orders
Scope of Work Ambiguity

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $21.8 million to WITHIN INTERIOR DESIGN, INC.. MID ATLANTIC TRIBAL HEALTH CLINIC RENOVATION & EXPANSION

Who is the contractor on this award?

The obligated recipient is WITHIN INTERIOR DESIGN, INC..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Indian Health Service).

What is the total obligated amount?

The obligated amount is $21.8 million.

What is the period of performance?

Start: 2022-09-07. End: 2025-03-14.

What specific renovations and expansions are included in the $21.8 million contract, and how do these align with the identified healthcare needs of the Mid-Atlantic tribal communities?

The provided data does not detail the specific scope of work for the Mid-Atlantic Tribal Health Clinic Renovation & Expansion. However, based on the contract title and the mission of the Indian Health Service (IHS), it is reasonable to infer that the project likely includes upgrades to existing facilities, such as modernization of patient rooms, expansion of clinical service areas (e.g., primary care, dental, behavioral health), improvements to diagnostic and treatment capabilities, and potentially infrastructure enhancements like HVAC, plumbing, and electrical systems. The alignment with specific healthcare needs would depend on IHS's assessment of service gaps, patient volume projections, and public health priorities within the targeted tribal communities. A detailed review of the Statement of Work (SOW) and any associated needs assessments would be required to confirm this alignment.

What were the specific reasons for excluding certain sources in the 'Full and Open Competition After Exclusion of Sources' procurement method?

The data indicates the contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This procurement method is typically used when specific requirements or circumstances necessitate limiting the pool of potential offerors, even within a generally open competition. Common reasons for excluding sources can include unique technical capabilities, specialized experience, security requirements, or prior performance on related projects that make certain contractors uniquely qualified. Alternatively, exclusions might stem from the need to leverage existing infrastructure or technology, or to ensure compatibility with ongoing government programs. Without further details from the contracting agency (HHS/IHS), the precise rationale for excluding specific sources remains unknown but is crucial for understanding the competitive landscape and potential impact on pricing.

How does the awarded amount of $21.8 million compare to the average cost of similar tribal health clinic renovation and expansion projects in the Mid-Atlantic region?

Benchmarking the $21.8 million contract against similar projects in the Mid-Atlantic region requires access to comparable data, which is not provided. Factors influencing cost include the size and complexity of the renovation, the specific services being expanded, local labor rates, material costs, and the age and condition of the existing facility. Generally, healthcare facility construction and renovation are expensive due to stringent regulatory requirements, specialized equipment needs, and infection control protocols. To perform a robust comparison, one would need to analyze the square footage involved, the scope of medical services being enhanced, and the duration of the project, alongside regional cost indices for construction. The Indian Health Service may have internal benchmarks or historical data for similar projects that could provide a more accurate comparison.

What is the track record of Within Interior Design, Inc. in managing and executing large-scale federal healthcare construction projects of this magnitude?

The provided data identifies 'WITHIN INTERIOR DESIGN, INC.' as the contractor but does not offer details on their past performance or track record, particularly concerning large-scale federal healthcare construction projects. A thorough assessment would require reviewing their contract history, including past performance evaluations, any reported issues or disputes, and the successful completion of similar projects. Federal procurement databases and contractor performance systems (like the Contractor Performance Assessment Reporting System - CPARS) would be essential resources for evaluating their experience, reliability, and ability to manage projects of this $21.8 million value and complexity within the healthcare sector. Without this information, it is difficult to gauge their suitability and the associated risks.

What are the potential risks associated with a firm-fixed-price contract for a project of this duration (919 days) and scope?

Firm-fixed-price (FFP) contracts are designed to provide cost certainty for the government. However, for a project of this duration (919 days) and scope (clinic renovation and expansion), several risks can emerge. The primary risk is that the contractor may underestimate costs, leading to potential quality compromises or requests for change orders to recoup losses. Conversely, if the contractor significantly overestimates costs, taxpayers may pay a premium. Unforeseen site conditions, changes in regulatory requirements, material price escalations, or design modifications during the long project lifecycle can lead to costly change orders that erode the FFP benefit. Effective project management, clear initial scope definition, and robust change control processes are critical to mitigating these risks.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 75H70122R00051

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Within Interior Design Inc.

Address: 1008 GRANBY ST, NORFOLK, VA, 23510

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $21,815,935

Exercised Options: $21,815,935

Current Obligation: $21,815,935

Actual Outlays: $21,815,935

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline