NEIE, INC. awarded $1.69M for hazardous medical waste services in New Mexico

Contract Overview

Contract Amount: $16,920 ($16.9K)

Contractor: Neie, Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2026-04-01

End Date: 2027-03-31

Contract Duration: 364 days

Daily Burn Rate: $46/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: BIOHAZARDOUS MEDICAL WASTE PICK-UP - ASU

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87106

State: New Mexico Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $16,920 to NEIE, INC for work described as: BIOHAZARDOUS MEDICAL WASTE PICK-UP - ASU Key points: 1. Contract awarded via purchase order, indicating a streamlined acquisition process. 2. The contract duration of 364 days suggests a need for ongoing, routine services. 3. Fixed-price contract type helps manage cost certainty for the government. 4. The service area is limited to New Mexico, indicating a localized operational scope. 5. The North American Industry Classification System (NAICS) code 561212 points to specialized hazardous waste collection services.

Value Assessment

Rating: fair

This contract was awarded as a purchase order, which typically involves smaller dollar amounts and less formal competition than other contract types. Without comparable contract data for hazardous medical waste collection services in New Mexico, it is difficult to benchmark the pricing effectively. The firm fixed-price structure provides cost certainty, but the overall value for money cannot be definitively assessed without more information on service scope and market rates.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is often used when a specific contractor is uniquely qualified or when the acquisition is for a relatively small amount. The lack of competition means that price discovery through market forces was not utilized, potentially leading to higher costs than if multiple bids were solicited.

Taxpayer Impact: Taxpayers may not have received the benefit of competitive pricing, as the government did not solicit bids from multiple providers. This could result in a higher overall expenditure for the services rendered.

Public Impact

The Indian Health Service benefits from essential hazardous medical waste disposal services, ensuring public health and safety. Residents of New Mexico, particularly those served by IHS facilities, will benefit from safe and compliant waste management. The contract supports the operational continuity of healthcare services within the IHS network in New Mexico. The contract ensures proper handling and disposal of biohazardous materials, mitigating environmental and health risks.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition raises concerns about potential overpricing and limited vendor options for future needs.
The sole-source award limits transparency in the procurement process.
Limited data available on the specific scope of services and performance metrics.

Positive Signals

Firm fixed-price contract provides cost predictability.
Contract duration ensures continuity of essential services.
Awarded to a single vendor for specialized hazardous waste collection.

Sector Analysis

The hazardous waste collection industry is a critical component of environmental services, focusing on the safe and compliant disposal of dangerous materials. This contract falls within the broader environmental services sector, which is characterized by stringent regulatory requirements and specialized operational needs. The market for hazardous medical waste collection is often localized due to transportation and disposal complexities. Comparable spending benchmarks are difficult to establish without detailed service requirements and geographic scope.

Small Business Impact

This contract does not appear to have a small business set-aside. There is no indication of subcontracting requirements for small businesses within the provided data. The award to NEIE, INC. does not directly impact the small business ecosystem based on the information given, as it was not specifically designated for small business participation.

Oversight & Accountability

As a purchase order, oversight mechanisms may be less formalized compared to larger, more complex contracts. Accountability is primarily managed through the terms of the firm fixed-price agreement and the performance expectations of the Indian Health Service. Transparency is limited due to the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Medical Waste Disposal Services
Hazardous Materials Management
Environmental Remediation Services
Healthcare Support Services

Risk Flags

Sole-source award may limit price competition.
Lack of detailed performance metrics in provided data.
Potential for higher costs due to non-competitive procurement.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $16,920 to NEIE, INC. BIOHAZARDOUS MEDICAL WASTE PICK-UP - ASU

Who is the contractor on this award?

The obligated recipient is NEIE, 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 $16,920.

What is the period of performance?

Start: 2026-04-01. End: 2027-03-31.

What is the typical pricing structure for biohazardous medical waste pick-up services in New Mexico?

Determining a typical pricing structure for biohazardous medical waste pick-up services in New Mexico without specific contract details is challenging. Pricing is heavily influenced by factors such as the volume and type of waste, frequency of pick-up, distance to disposal facilities, and regulatory compliance costs. For smaller, routine pick-ups, a per-pickup or per-pound fee is common. Larger contracts might involve a base service fee plus variable charges. Given this contract's value and duration, it likely covers a significant volume or frequency of pick-ups for an IHS facility. Without access to competitive bids or market surveys specific to New Mexico's hazardous medical waste sector, a precise benchmark is unavailable. However, the sole-source nature of this award suggests that the government did not leverage competitive bidding to secure the most advantageous price.

How does the firm fixed-price contract type benefit the Indian Health Service in this scenario?

The firm fixed-price (FFP) contract type offers significant benefits to the Indian Health Service (IHS) by providing cost certainty. Under an FFP agreement, the contractor, NEIE, INC., assumes the primary risk for cost overruns. This means the IHS knows the exact amount it will pay for the specified services, regardless of fluctuations in the contractor's actual costs. This predictability is crucial for budgeting and financial planning, especially for essential services like biohazardous medical waste disposal. It simplifies financial management and reduces the administrative burden associated with monitoring and verifying contractor costs, which would be more prevalent in cost-reimbursement contracts. The FFP structure incentivizes the contractor to manage its operations efficiently to maintain profitability.

What are the potential risks associated with a sole-source award for hazardous medical waste services?

A sole-source award for hazardous medical waste services carries several potential risks. Primarily, the lack of competition means the Indian Health Service (IHS) may not be obtaining the best possible price for these essential services. Without competing bids, there's a risk of paying a premium compared to what might have been achieved in a competitive bidding process. Furthermore, sole-source awards can limit the government's access to innovative solutions or specialized expertise that other vendors might offer. It can also create a dependency on a single contractor, potentially reducing leverage in future negotiations or service level adjustments. Over time, this can stifle market competition and lead to complacency from the awarded vendor regarding service quality or cost management.

What is the significance of the NAICS code 561212 for this contract?

The North American Industry Classification System (NAICS) code 561212, 'Hazardous Waste Collection,' is highly significant for this contract as it precisely defines the specialized nature of the services being procured. This code indicates that NEIE, INC. is contracted specifically for the collection and transportation of hazardous waste, which includes biohazardous medical waste. This classification distinguishes the service from general waste collection (e.g., NAICS 562111, Solid Waste Collection). Services under NAICS 561212 are subject to stringent federal, state, and local regulations governing the handling, storage, transportation, and disposal of hazardous materials. The use of this code confirms that the contract is intended for a highly regulated and specialized service, requiring specific licenses, permits, and expertise from the contractor to ensure compliance and safety.

What are the potential implications for public health and environmental safety given this contract?

This contract has direct positive implications for public health and environmental safety. By ensuring the proper pick-up and presumably disposal of biohazardous medical waste, it prevents the contamination of the environment and the spread of infectious diseases. Improperly handled medical waste can pose significant risks to healthcare workers, the general public, and wildlife. The Indian Health Service's commitment to contracting for these specialized services demonstrates adherence to regulatory requirements and a proactive approach to managing health risks associated with medical facilities. The contract's duration suggests a sustained effort to maintain these safety standards, contributing to the overall well-being of the communities served by IHS in New Mexico.

Industry Classification

NAICS: Administrative and Support and Waste Management and Remediation Services › Waste Collection › Hazardous Waste Collection

Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES

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

Address: 3100 NEW KENT HWY, QUINTON, VA, 23141

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,920

Exercised Options: $16,920

Current Obligation: $16,920

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline