HHS Awards $50.9M Contract for Urban Indian Health Services in Oklahoma City

Contract Overview

Contract Amount: $50,894,599 ($50.9M)

Contractor: Central Oklahoma American Indian Health Council, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2019-11-01

End Date: 2024-10-31

Contract Duration: 1,826 days

Daily Burn Rate: $27.9K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: URBAN INDIAN ORGANIZATION - MEDICAL CLINIC SERVICES FOR THE OKLAHOMA CITY, OKLAHOMA METROPOLITAN AREA, AMERICAN INDIAN & ALASKA NATIVE POPULATION.

Place of Performance

Location: OKLAHOMA CITY, OKLAHOMA County, OKLAHOMA, 73127

State: Oklahoma Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $50.9 million to CENTRAL OKLAHOMA AMERICAN INDIAN HEALTH COUNCIL, INC. for work described as: URBAN INDIAN ORGANIZATION - MEDICAL CLINIC SERVICES FOR THE OKLAHOMA CITY, OKLAHOMA METROPOLITAN AREA, AMERICAN INDIAN & ALASKA NATIVE POPULATION. Key points: 1. Contract awarded to Central Oklahoma American Indian Health Council, Inc. 2. Services focus on medical care for American Indian & Alaska Native populations. 3. The contract is a definitive contract with a firm fixed price. 4. This award represents a significant investment in a specific demographic's healthcare needs.

Value Assessment

Rating: good

The contract value of $50.9 million over five years suggests a substantial investment. Benchmarking against similar healthcare service contracts for specific populations would be necessary for a precise value assessment, but the scale indicates a significant need.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. While this can ensure continuity of care with an established provider, it limits price discovery and potential for competitive savings.

Taxpayer Impact: Taxpayer funds are directed to a specific organization to provide essential health services, potentially increasing costs due to lack of competition.

Public Impact

Ensures continued access to medical services for a vulnerable population. Supports the operational capacity of the Central Oklahoma American Indian Health Council. Addresses healthcare disparities within the American Indian and Alaska Native community. Provides stability for healthcare providers and patients within the Oklahoma City area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition may lead to higher costs.
Sole-source award limits market-based pricing.
Contract duration is lengthy, potentially locking in terms.

Positive Signals

Addresses critical healthcare needs for a specific population.
Provides continuity of care.
Supports a vital community organization.

Sector Analysis

This contract falls within the healthcare sector, specifically focusing on services for American Indian and Alaska Native populations. Spending benchmarks for similar targeted health programs would be relevant for comparison.

Small Business Impact

There is no indication that small businesses were involved in this contract, as it was awarded directly to a specific organization. Further analysis would be needed to determine if subcontracting opportunities exist.

Oversight & Accountability

The Department of Health and Human Services, through the Indian Health Service, is responsible for oversight. The firm fixed price structure provides some cost control, but the lack of competition warrants close monitoring of service delivery and value.

Related Government Programs

Offices of Physicians, Mental Health Specialists
Department of Health and Human Services Contracting
Indian Health Service Programs

Risk Flags

Lack of competition
Potential for inflated pricing
Limited transparency in award process
Long contract duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $50.9 million to CENTRAL OKLAHOMA AMERICAN INDIAN HEALTH COUNCIL, INC.. URBAN INDIAN ORGANIZATION - MEDICAL CLINIC SERVICES FOR THE OKLAHOMA CITY, OKLAHOMA METROPOLITAN AREA, AMERICAN INDIAN & ALASKA NATIVE POPULATION.

Who is the contractor on this award?

The obligated recipient is CENTRAL OKLAHOMA AMERICAN INDIAN HEALTH COUNCIL, 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 $50.9 million.

What is the period of performance?

Start: 2019-11-01. End: 2024-10-31.

What is the justification for the sole-source award, and were alternative competitive strategies considered?

The justification for a sole-source award typically stems from unique capabilities, urgent needs, or specific statutory requirements. For this contract, the focus on serving the Urban Indian population through a specific organization likely drove the decision. A thorough review of the justification documentation is needed to understand the rationale and confirm that competitive options were appropriately evaluated or deemed unsuitable.

How does the per-unit cost of services compare to similar contracts or benchmarks for providing healthcare to this demographic?

Without specific service line data and comparable contract information, a precise per-unit cost analysis is challenging. However, the total contract value of $50.9 million over five years for medical clinic services suggests a significant investment. Benchmarking against other Indian Health Service contracts or similar tribal health programs would be essential to assess cost-effectiveness and identify potential areas for savings.

What mechanisms are in place to ensure the effectiveness and quality of medical services provided under this contract?

Effectiveness and quality are typically ensured through performance metrics, service level agreements, and regular reporting requirements outlined in the contract. The Department of Health and Human Services, via the Indian Health Service, should have established protocols for monitoring patient outcomes, satisfaction, and adherence to clinical standards. Periodic reviews and site visits would also contribute to oversight.

Industry Classification

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

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 24619R0087

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4913 W RENO AVE, OKLAHOMA CITY, OK, 73127

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

Financial Breakdown

Contract Ceiling: $50,986,951

Exercised Options: $50,986,951

Current Obligation: $50,894,599

Actual Outlays: $39,741,939

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline