HHS awards $19.6M for medical and behavioral services to San Diego American Indian Health Center

Contract Overview

Contract Amount: $19,621,990 ($19.6M)

Contractor: SAN Diego American Indian Health Center

Awarding Agency: Department of Health and Human Services

Start Date: 2020-07-01

End Date: 2025-06-30

Contract Duration: 1,825 days

Daily Burn Rate: $10.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: MEDICAL AND BEHAVIORAL SERVICES FOR ELIGIBLE AMERICAN & ALASKA NATIVE INDIANS

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92103

State: California Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $19.6 million to SAN DIEGO AMERICAN INDIAN HEALTH CENTER for work described as: MEDICAL AND BEHAVIORAL SERVICES FOR ELIGIBLE AMERICAN & ALASKA NATIVE INDIANS Key points: 1. Contract awarded on a firm fixed-price basis, indicating predictable costs. 2. The contract duration is 5 years, suggesting a long-term need for these services. 3. The contractor, San Diego American Indian Health Center, is likely a specialized provider for the target population. 4. The contract is not competitively procured, raising questions about potential cost savings. 5. The North American Industry Classification System (NAICS) code 621112 points to physician offices, but the description includes broader health services. 6. The contract value is substantial, reflecting significant service delivery requirements.

Value Assessment

Rating: fair

The contract value of $19.6 million over five years averages to approximately $3.92 million annually. Without comparable contract data for similar services provided to American Indian and Alaska Native populations, a precise value-for-money assessment is challenging. The firm fixed-price structure provides cost certainty for the government. However, the lack of competition means there's no direct benchmark to assess if this price is optimal compared to market alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not open to competition from other potential providers. This approach is often used when a specific contractor possesses unique capabilities or is the only responsible source for the required services. The lack of competition limits the government's ability to leverage market forces to achieve the lowest possible price.

Taxpayer Impact: Taxpayers may not be receiving the best possible value due to the absence of competitive bidding, which typically drives down costs.

Public Impact

Eligible American and Alaska Native individuals in the San Diego area will benefit from integrated medical and behavioral health services. The services delivered are crucial for addressing the unique healthcare needs of indigenous populations. The geographic impact is focused on California, specifically the service area of the San Diego American Indian Health Center. The contract supports the operational capacity of a key healthcare provider serving a specific community.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs than a competitively bid contract.
Sole-source awards can sometimes indicate a lack of market research or a failure to identify alternative capable providers.
The specific nature of services for indigenous populations might necessitate specialized providers, but the extent of this specialization should be periodically reviewed.

Positive Signals

The contract is with a known entity, San Diego American Indian Health Center, suggesting established relationships and understanding of the target population.
The firm fixed-price contract provides budget predictability.
The long-term nature of the contract (5 years) indicates a sustained commitment to serving the healthcare needs of the beneficiary population.

Sector Analysis

This contract falls within the Healthcare sector, specifically focusing on the provision of medical and behavioral health services. The Indian Health Service (IHS) within HHS is responsible for a comprehensive health service system for American Indians and Alaska Natives. Contracts like this are essential for fulfilling the federal government's trust responsibility to these populations. Benchmarking would ideally involve comparing the per-patient cost or service package cost against other IHS-funded facilities or similar community health centers serving underserved populations.

Small Business Impact

Information regarding small business set-asides or subcontracting plans is not available for this contract. As a sole-source award, it is unlikely to have been specifically set aside for small businesses. Further investigation would be needed to determine if any subcontracting opportunities exist for small businesses within the scope of this contract.

Oversight & Accountability

Oversight for this contract would primarily fall under the Indian Health Service (IHS), a division of the Department of Health and Human Services (HHS). The contract's performance is likely monitored through regular reporting requirements and site visits. Transparency is facilitated by the Federal Procurement Data System (FPDS), which records contract actions. The extent of Inspector General jurisdiction would depend on the specific terms and conditions of the contract and any potential allegations of fraud or mismanagement.

Related Government Programs

Indian Health Service Programs
Tribal Health Services
Community Health Centers
Behavioral Health Services Contracts
Medical Services Contracts

Risk Flags

Sole-source award lacks competitive pricing.
Potential for higher costs without competition.
Performance metrics not explicitly detailed in summary data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $19.6 million to SAN DIEGO AMERICAN INDIAN HEALTH CENTER. MEDICAL AND BEHAVIORAL SERVICES FOR ELIGIBLE AMERICAN & ALASKA NATIVE INDIANS

Who is the contractor on this award?

The obligated recipient is SAN DIEGO AMERICAN INDIAN HEALTH CENTER.

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 $19.6 million.

What is the period of performance?

Start: 2020-07-01. End: 2025-06-30.

What is the historical spending pattern for medical and behavioral services for eligible American and Alaska Native Indians by the Department of Health and Human Services?

Analyzing historical spending requires access to comprehensive federal procurement databases. However, the Indian Health Service (IHS), part of HHS, has a consistent mandate to provide healthcare to American Indians and Alaska Natives. Spending in this area typically involves a mix of direct service provision, grants, and contracts with tribal organizations and other healthcare providers. Factors influencing spending include population demographics, health status indicators, and the availability of federal appropriations. Without specific historical data for this exact service category and contractor, it's difficult to provide precise figures, but the overall trend reflects a sustained federal commitment to this population's health.

How does the annual cost of this contract compare to the average cost of similar services provided by other healthcare organizations to indigenous populations?

A direct comparison of the annual cost ($3.92 million) to similar contracts is challenging without access to a benchmark database of contracts specifically for indigenous populations. Factors such as geographic location, specific health needs addressed (e.g., prevalence of certain chronic diseases or mental health conditions), and the scope of services (medical, behavioral, dental, etc.) significantly influence costs. Typically, sole-source contracts may not reflect the most competitive pricing. A thorough analysis would require identifying comparable sole-source or competitively awarded contracts for similar populations and service scopes to establish a reasonable range for cost evaluation.

What are the specific performance metrics and quality indicators used to evaluate the San Diego American Indian Health Center's service delivery under this contract?

The provided data does not detail the specific performance metrics or quality indicators for this contract. However, standard government contracts, especially in healthcare, usually include clauses requiring adherence to certain standards of care, patient satisfaction levels, and clinical outcome measures. For IHS contracts, performance is often evaluated against established healthcare quality standards relevant to the needs of American Indian and Alaska Native communities. The contract likely stipulates reporting requirements on key performance indicators (KPIs) related to service accessibility, patient wait times, treatment effectiveness for behavioral health issues, and overall health outcomes. The agency (IHS) would be responsible for monitoring these metrics.

What is the track record of the San Diego American Indian Health Center in delivering medical and behavioral services to the target population?

The San Diego American Indian Health Center (SAIHC) has been serving the American Indian and Alaska Native community in San Diego County for decades. As a long-standing organization, it has a history of providing comprehensive health services, including primary medical care, dental, mental health, and substance abuse treatment. Its status as a recipient of federal funding, including IHS contracts and grants, suggests a level of established operational capacity and experience. While specific performance data under this particular contract isn't detailed, SAIHC's longevity and continued funding indicate a generally positive track record in meeting the healthcare needs of its community.

Are there any identified risks associated with the sole-source nature of this contract, such as potential for cost overruns or reduced service quality?

The primary risk associated with a sole-source contract is the potential for higher costs due to the lack of competitive pressure. Without competing bids, the government may not achieve the most favorable pricing. Additionally, there's a risk that service quality could stagnate if the contractor faces no external pressure to innovate or improve. However, if the sole-source justification is robust (e.g., unique capabilities, long-standing relationship with proven performance), these risks might be mitigated. Continuous monitoring of performance metrics and regular contract reviews by the agency are crucial to manage these risks effectively.

Industry Classification

NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians, Mental Health Specialists

Product/Service Code: MEDICAL SERVICES › MEDICAL, DENTAL, AND SURGICAL SVCS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2630 1ST AVE STE 300, SAN DIEGO, CA, 92103

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: $19,621,990

Exercised Options: $19,621,990

Current Obligation: $19,621,990

Actual Outlays: $17,480,821

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline