HHS awards $17,000 for maintenance supplies to J M T INC, with 3 bids received

Contract Overview

Contract Amount: $17,000 ($17.0K)

Contractor: J M T Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2025-05-08

End Date: 2027-05-07

Contract Duration: 729 days

Daily Burn Rate: $23/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: TSAILE HEALTH CENTER FY2025 PURCHASE ORDER TO BE ORDERED ON AS NEEDED BASIS FOR VARIOUS MAINTENANCE SUPPLIES.

Place of Performance

Location: ALBUQUERQUE, BERNALILLO County, NEW MEXICO, 87110

State: New Mexico Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $17,000 to J M T INC for work described as: TSAILE HEALTH CENTER FY2025 PURCHASE ORDER TO BE ORDERED ON AS NEEDED BASIS FOR VARIOUS MAINTENANCE SUPPLIES. Key points: 1. The contract value of $17,000 is relatively small, suggesting a focus on routine operational needs rather than large-scale projects. 2. Competition dynamics indicate a potentially healthy market for these supplies, with three bids received. 3. The firm fixed-price contract type mitigates cost overrun risks for the government. 4. The duration of the contract (up to 729 days) allows for flexibility in ordering as needs arise. 5. The award to J M T INC, a single entity, warrants a review of their capacity and past performance. 6. The contract's focus on maintenance supplies positions it as a supporting element to the primary healthcare services of TSAILE HEALTH CENTER.

Value Assessment

Rating: good

The contract value of $17,000 for maintenance supplies is modest. Benchmarking against similar contracts for routine supplies is difficult without more specific itemization. However, the number of bids suggests that the pricing is likely competitive within the market for these types of goods. The firm fixed-price structure provides cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under SAP (Small Acquisition Procedures), indicating it was likely advertised broadly to eligible vendors. With three bids received, there was a reasonable level of competition for this acquisition. This suggests that multiple suppliers were aware of and interested in providing the required maintenance supplies, which generally leads to better price discovery.

Taxpayer Impact: The competition level indicates that taxpayers likely benefited from a competitive price for these essential maintenance supplies, avoiding potential overpayment associated with sole-source or limited competition awards.

Public Impact

The TSAILE HEALTH CENTER in New Mexico will benefit from the availability of necessary maintenance supplies to ensure operational continuity. Essential maintenance and repair services at the health center can be supported, indirectly benefiting patient care. The contract supports the Indian Health Service's mission to provide healthcare to American Indians and Alaska Natives. Local or regional suppliers of hardware and maintenance goods may have had an opportunity to bid on this contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases if demand significantly exceeds initial estimates within the 'as needed' ordering structure.
Reliance on a single awardee, J M T INC, necessitates monitoring their performance and delivery reliability.
The specific types of maintenance supplies are not detailed, making it hard to assess if the most cost-effective options were secured.

Positive Signals

The contract was competed, indicating a proactive approach to seeking competitive pricing.
The firm fixed-price contract type locks in costs, protecting against budget fluctuations.
The 'as needed' basis allows for efficient procurement, avoiding overstocking of supplies.

Sector Analysis

This contract falls within the broader category of general hardware manufacturing and supply, which supports various government operations. The market for maintenance supplies is typically fragmented, with numerous small to medium-sized businesses capable of fulfilling such requirements. The value of this specific contract is small relative to the overall federal spending on supplies, but it represents a necessary component of operational readiness for healthcare facilities.

Small Business Impact

While this contract was competed under SAP, it is not explicitly noted as a small business set-aside. The awardee, J M T INC, is not identified by size. Further investigation would be needed to determine if subcontracting opportunities were mandated or if small businesses were primary bidders or awardees. The nature of maintenance supplies often allows for small business participation.

Oversight & Accountability

Oversight for this purchase order would primarily reside with the Department of Health and Human Services, specifically the Indian Health Service. Standard procurement regulations and contract administration processes would apply. Transparency is facilitated by the contract award being publicly available, allowing for general scrutiny. Specific performance monitoring would be handled by the contracting officer's representative.

Related Government Programs

Indian Health Service Operational Support Contracts
Federal Healthcare Facility Maintenance Procurement
General Services Administration (GSA) Schedule Purchases (if applicable)
Department of Health and Human Services Supply Chain Management

Risk Flags

Potential for price volatility on individual orders within the 'as needed' structure.
Contractor performance monitoring is crucial due to reliance on a single awardee.
Lack of detailed itemization makes comprehensive value assessment difficult.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $17,000 to J M T INC. TSAILE HEALTH CENTER FY2025 PURCHASE ORDER TO BE ORDERED ON AS NEEDED BASIS FOR VARIOUS MAINTENANCE SUPPLIES.

Who is the contractor on this award?

The obligated recipient is J M T 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 $17,000.

What is the period of performance?

Start: 2025-05-08. End: 2027-05-07.

What is the track record of J M T INC with federal contracts, particularly for maintenance supplies?

Information regarding J M T INC's specific track record with federal contracts, especially for maintenance supplies, is not detailed in the provided data. A comprehensive analysis would require searching federal procurement databases like SAM.gov or FPDS-NG for past awards, performance reviews, and any documented issues. Understanding their history with similar items, delivery times, and adherence to contract terms would be crucial for assessing reliability and value. Without this historical data, it's difficult to definitively gauge their performance capabilities for this specific purchase order.

How does the $17,000 value compare to typical federal spending on similar maintenance supplies?

The $17,000 value for this purchase order is considered a small acquisition. Federal spending on maintenance supplies can range from small, routine orders like this one to multi-million dollar contracts for large facilities or extensive supply chains. For a single health center's 'as needed' maintenance supplies, $17,000 over two years might be typical, especially if it covers a limited range of items. However, without knowing the specific items included and the scale of the TSAILE HEALTH CENTER, a precise comparison is challenging. Larger agencies or facilities would likely have significantly higher aggregate spending on similar categories.

What are the primary risks associated with this 'as needed' purchase order structure?

The primary risks associated with an 'as needed' purchase order, even with a ceiling value, include potential price creep if the frequency or quantity of orders increases unexpectedly, and the possibility of receiving less favorable pricing on individual orders if not managed carefully. There's also a risk of the contractor not maintaining adequate stock or responsiveness if demand fluctuates significantly. For the government, ensuring that the total spending does not exceed the $17,000 ceiling requires diligent tracking. Furthermore, the lack of specific itemization makes it harder to ensure the best value is consistently obtained across all orders.

What is the expected effectiveness of this contract in ensuring the TSAILE HEALTH CENTER has necessary supplies?

The effectiveness of this contract hinges on the reliability of J M T INC and the clarity of the ordering process. As a firm fixed-price 'as needed' purchase order, it provides a framework for the health center to procure essential maintenance supplies within a defined budget ceiling. Its effectiveness will be measured by the timely availability of required items, the quality of the supplies received, and whether the $17,000 limit is sufficient for the two-year period. If J M T INC performs well and the health center manages its orders prudently, the contract should be effective in maintaining operational readiness.

How does this contract fit into the broader spending patterns of the Indian Health Service for maintenance supplies?

This contract represents a small, localized expenditure within the Indian Health Service's (IHS) overall budget for operational support. The IHS manages numerous healthcare facilities across the country, each requiring various supplies, including maintenance items. While this $17,000 order is specific to the TSAILE HEALTH CENTER, the IHS likely procures similar supplies through various mechanisms, potentially including larger, consolidated contracts or other smaller, decentralized purchase orders. This contract is one of many contributing to the IHS's ability to maintain its infrastructure and provide services.

Industry Classification

NAICS: Manufacturing › Hardware Manufacturing › Hardware Manufacturing

Product/Service Code: HARDWARE AND ABRASIVES

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 6000 UPTOWN BLVD NE STE 220, ALBUQUERQUE, NM, 87110

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

Financial Breakdown

Contract Ceiling: $34,000

Exercised Options: $17,000

Current Obligation: $17,000

Actual Outlays: $1,210

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline