DHHS Awards $206K for Partial Rebuild of HHSI241201900058G to CareFusion Solutions, LLC
Contract Overview
Contract Amount: $20,621 ($20.6K)
Contractor: Carefusion Solutions, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2024-06-13
End Date: 2024-07-31
Contract Duration: 48 days
Daily Burn Rate: $430/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PURCHASE ORDER PARTIAL REBUILD FOR HHSI241201900058G DUE TO INADVERTENTLY CLOSURE FOR RAPID CITY; VERBAL GIVEN BY CRAIG WELLS & MIKE SHILHANEK
Place of Performance
Location: ABERDEEN, BROWN County, SOUTH DAKOTA, 57401
Plain-Language Summary
Department of Health and Human Services obligated $20,621 to CAREFUSION SOLUTIONS, LLC for work described as: PURCHASE ORDER PARTIAL REBUILD FOR HHSI241201900058G DUE TO INADVERTENTLY CLOSURE FOR RAPID CITY; VERBAL GIVEN BY CRAIG WELLS & MIKE SHILHANEK Key points: 1. The award is for a partial rebuild of equipment, with a specific order number provided. 2. The contract was not competed, raising questions about price discovery and potential value. 3. The small business status of the contractor is not specified, impacting potential set-asides. 4. The sector is 'Other Commercial and Industrial Machinery and Equipment Rental and Leasing', a niche area.
Value Assessment
Rating: questionable
The contract value of $206,210 is for a partial rebuild. Without details on the scope of work or comparison to similar rebuilds, it's difficult to assess if this price is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
This contract was not competed, indicating a limited competition approach. This method may not yield the best price for the government as it bypasses a broader market search.
Taxpayer Impact: The lack of competition could lead to taxpayers paying more than necessary for the partial rebuild service.
Public Impact
Patients relying on the equipment serviced by this contract may experience service disruptions if the rebuild is not completed efficiently. The Indian Health Service's ability to provide critical healthcare services could be indirectly impacted by equipment maintenance. The use of taxpayer funds for a non-competed contract warrants scrutiny to ensure fiscal responsibility.
Waste & Efficiency Indicators
Waste Risk Score: 100 / 10
Warning Flags
- Lack of competition
- Limited transparency on scope of work
- Potential for overpayment due to non-competitive award
Positive Signals
- Awarded to a specific vendor for a defined task
- Clear contract vehicle (Purchase Order)
Sector Analysis
The 'Other Commercial and Industrial Machinery and Equipment Rental and Leasing' sector is broad. Spending benchmarks are difficult to establish without knowing the specific type of machinery being rebuilt.
Small Business Impact
The data does not indicate whether CareFusion Solutions, LLC is a small business. This information is crucial for assessing opportunities for small business participation and potential set-aside awards.
Oversight & Accountability
The 'NOT COMPETED' status suggests a potential lack of robust oversight in the procurement process. Further review is needed to understand the justification for this approach.
Related Government Programs
- Other Commercial and Industrial Machinery and Equipment Rental and Leasing
- Department of Health and Human Services Contracting
- Indian Health Service Programs
Risk Flags
- Lack of competition
- No justification for non-competitive award provided
- Unclear scope of work for 'partial rebuild'
- Potential for price gouging
- Unknown small business impact
Tags
other-commercial-and-industrial-machiner, department-of-health-and-human-services, sd, purchase-order, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $20,621 to CAREFUSION SOLUTIONS, LLC. PURCHASE ORDER PARTIAL REBUILD FOR HHSI241201900058G DUE TO INADVERTENTLY CLOSURE FOR RAPID CITY; VERBAL GIVEN BY CRAIG WELLS & MIKE SHILHANEK
Who is the contractor on this award?
The obligated recipient is CAREFUSION SOLUTIONS, LLC.
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 $20,621.
What is the period of performance?
Start: 2024-06-13. End: 2024-07-31.
What was the specific justification for not competing this contract, and what steps were taken to ensure fair pricing?
The justification for not competing this contract is not provided in the data. Typically, non-competitive awards require a documented justification, such as a sole-source justification or urgent need. Without this information, it's impossible to assess the fairness of the pricing or the effectiveness of the procurement process in securing value for the government.
What is the risk associated with a non-competed award for essential equipment rebuilds?
The primary risk of a non-competed award is the potential for inflated pricing and reduced quality, as there is no market pressure to drive efficiency or cost-effectiveness. It also limits opportunities for other qualified vendors and can create a perception of favoritism. For essential equipment, delays or subpar rebuilds could significantly impact service delivery.
How does this award contribute to the overall effectiveness of the Indian Health Service's operations?
The effectiveness of this award hinges on the successful and timely completion of the equipment rebuild. If the rebuild is critical for maintaining healthcare services, then a prompt and quality repair contributes positively. However, the lack of competition raises concerns about whether the best value was achieved, potentially impacting the long-term effectiveness and resource allocation for the IHS.
Industry Classification
NAICS: Real Estate and Rental and Leasing › Commercial and Industrial Machinery and Equipment Rental and Leasing › Other Commercial and Industrial Machinery and Equipment Rental and Leasing
Product/Service Code: LEASE/RENT EQUIPMENT › LEASE OR RENTAL OF EQUIPMENT
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Becton, Dickinson and CO
Address: 3750 TORREY VIEW CT, SAN DIEGO, CA, 92130
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $20,621
Exercised Options: $20,621
Current Obligation: $20,621
Actual Outlays: $20,621
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Timeline
Start Date: 2024-06-13
Current End Date: 2024-07-31
Potential End Date: 2024-07-31 00:00:00
Last Modified: 2026-04-02
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