HHS awards $341K task order for X-ray reads to Trinity Health, serving Belcourt Hospital

Contract Overview

Contract Amount: $341,333 ($341.3K)

Contractor: Trinity Health

Awarding Agency: Department of Health and Human Services

Start Date: 2024-08-30

End Date: 2025-09-30

Contract Duration: 396 days

Daily Burn Rate: $862/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: TASK ORDER FOR X-RAY READS FOR THE BELCOURT HOSPITAL

Place of Performance

Location: BELCOURT, ROLETTE County, NORTH DAKOTA, 58316

State: North Dakota Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $341,333 to TRINITY HEALTH for work described as: TASK ORDER FOR X-RAY READS FOR THE BELCOURT HOSPITAL Key points: 1. Value for money appears reasonable given the specialized nature of diagnostic imaging services. 2. Competition dynamics indicate a full and open competition, suggesting potential for competitive pricing. 3. Risk indicators are low, with a firm fixed-price contract and a defined performance period. 4. Performance context is specific to the needs of the Indian Health Service at Belcourt Hospital. 5. Sector positioning is within healthcare services, specifically diagnostic imaging. 6. The contract duration of approximately 13 months aligns with typical task order lengths for ongoing services.

Value Assessment

Rating: good

The contract value of $341,333 for approximately 13 months of X-ray reading services seems aligned with market rates for specialized medical services. Benchmarking against similar contracts for radiology interpretation within the Indian Health Service or other federal healthcare facilities would provide a more precise value assessment. However, the firm fixed-price structure suggests that the government has secured a defined scope of work at a set cost, which is generally favorable.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the nature of the competition suggests a healthy market for these services. A full and open competition typically leads to better price discovery and ensures that the government receives competitive offers.

Taxpayer Impact: A full and open competition is beneficial for taxpayers as it fosters a competitive environment, driving down costs and ensuring that the government obtains services at the best possible price.

Public Impact

Patients at the Belcourt Hospital, served by the Indian Health Service, will benefit from timely and accurate X-ray interpretations. The contract ensures the continued availability of essential diagnostic imaging services for the local community. Geographic impact is focused on the Belcourt, North Dakota area, supporting healthcare access for a specific population. Workforce implications are indirect, supporting the operational capacity of the hospital rather than directly employing new personnel for this specific task.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if follow-on work is needed and not re-competed.
Dependence on a single vendor for a critical diagnostic service could pose a risk if performance issues arise.

Positive Signals

Firm fixed-price contract provides cost certainty.
Defined period of performance limits long-term financial commitment.
Award to an established entity (Trinity Health) suggests a degree of reliability.

Sector Analysis

The healthcare services sector, particularly diagnostic imaging, is a critical component of the U.S. healthcare system. This contract falls under the sub-sector of medical diagnostic imaging centers. Spending in this area is substantial, driven by the increasing demand for accurate and timely diagnoses. Comparable spending benchmarks would typically be found within federal healthcare agencies like the VA and IHS, as well as through private sector healthcare providers.

Small Business Impact

This contract does not appear to have a small business set-aside. Analysis of subcontracting opportunities for small businesses is not possible without further details on the awardee's subcontracting plan. The absence of a set-aside suggests that the primary award was made to a larger entity, and the impact on the small business ecosystem would depend on whether Trinity Health engages small businesses for any part of the service delivery.

Oversight & Accountability

Oversight for this task order would typically fall under the Indian Health Service contracting and program management offices. Accountability measures are embedded in the firm fixed-price contract terms and the defined period of performance. Transparency is facilitated by the contract award data being publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

Indian Health Service Contracts
Diagnostic Imaging Services
Federal Healthcare Contracts
Radiology Services

Risk Flags

Potential for performance issues impacting patient care.
Dependence on a single vendor for critical diagnostic services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $341,333 to TRINITY HEALTH. TASK ORDER FOR X-RAY READS FOR THE BELCOURT HOSPITAL

Who is the contractor on this award?

The obligated recipient is TRINITY HEALTH.

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 $341,333.

What is the period of performance?

Start: 2024-08-30. End: 2025-09-30.

What is the track record of Trinity Health in providing similar diagnostic imaging services to federal agencies?

Trinity Health is a large, integrated healthcare delivery system operating across multiple states. While specific details on their federal contract history for radiology reads are not immediately available from this data, their extensive experience in healthcare provision suggests a capacity to manage such contracts. Further investigation into their past performance on government contracts, particularly with the Indian Health Service or Department of Veterans Affairs, would be necessary to fully assess their track record. This would involve reviewing past performance evaluations, any documented disputes or contract terminations, and the overall success rate of their previous federal engagements in similar service areas.

How does the awarded amount compare to the typical cost of X-ray reading services for a hospital of this size?

The awarded amount of $341,333 for approximately 13 months of X-ray reading services translates to roughly $26,256 per month. To assess value, this figure needs to be compared against the volume of X-rays read and the complexity of the cases. Benchmarking against similar contracts within the Indian Health Service or other federal healthcare providers would be ideal. For instance, if a comparable contract for a similar volume of reads at another IHS facility was awarded for $20,000 per month, this contract might be considered slightly higher. Conversely, if the volume or complexity is greater, or if this is a remote service, the price could be justified. Without specific volume data, a definitive value comparison is challenging.

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

The primary risks associated with this contract include potential performance issues from the vendor (Trinity Health), such as delays in reporting or inaccuracies in reads, and the risk of vendor lock-in if the contract is repeatedly extended without re-competition. Mitigation strategies are inherent in the contract structure: the firm fixed-price nature caps costs for the government, and the defined period of performance (approximately 13 months) limits the duration of the commitment. The Indian Health Service would also have oversight mechanisms to monitor performance and address any deficiencies. Furthermore, the initial full and open competition suggests that multiple qualified vendors exist, reducing the risk of being solely reliant on one provider long-term if performance is unsatisfactory.

How effective is the Indian Health Service in managing contracts for specialized medical services like X-ray reads?

The effectiveness of the Indian Health Service (IHS) in managing contracts for specialized medical services can vary. The IHS faces challenges common to many federal agencies, including resource constraints and the need for specialized expertise to oversee complex medical contracts. However, the IHS has established procurement and oversight processes. For a contract like this task order for X-ray reads, effectiveness would be measured by the timely delivery of quality services, adherence to contract terms, and patient satisfaction. The use of firm fixed-price contracts and defined performance periods are standard practices aimed at ensuring effectiveness. Regular performance reviews and communication channels between the IHS and Trinity Health are crucial for ongoing contract management and success.

What are the historical spending patterns for diagnostic imaging services within the Indian Health Service?

Historical spending patterns for diagnostic imaging services within the Indian Health Service (IHS) are generally characterized by a consistent need for these services across its network of facilities. The IHS often relies on a mix of in-house capabilities and contracted services to meet demand, particularly for specialized imaging. Spending levels can fluctuate based on facility needs, technological advancements, and the availability of qualified personnel. Contracts for radiology reads, like this task order, are common to supplement existing services or provide coverage in remote areas. Analyzing historical IHS budgets and contract awards for radiology and diagnostic imaging would reveal trends in expenditure, average contract values, and the prevalence of full and open versus other competition types.

Industry Classification

NAICS: Health Care and Social Assistance › Medical and Diagnostic Laboratories › Diagnostic Imaging Centers

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 BURDICK EXPRESSWAY W, MINOT, ND, 58701

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

Financial Breakdown

Contract Ceiling: $341,333

Exercised Options: $341,333

Current Obligation: $341,333

Actual Outlays: $341,333

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75H70622D00002

IDV Type: IDC

Timeline