NASA awards $2.16M occupational medical services contract to HSG, LLC under full and open competition

Contract Overview

Contract Amount: $2,159,940 ($2.2M)

Contractor: HSG, LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2024-04-01

End Date: 2026-03-31

Contract Duration: 729 days

Daily Burn Rate: $3.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: NEMCON TASK ORDER FOR OCCUPATIONAL MEDICAL SERVICES FOR NASA GODDARD SPACE FLIGHT CENTER IN GREENBELT, MD, AND WALLOPS FLIGHT FACILITY IN WALLOPS ISLAND, VA

Place of Performance

Location: GREENBELT, PRINCE GEORGES County, MARYLAND, 20771

State: Maryland Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $2.2 million to HSG, LLC for work described as: NEMCON TASK ORDER FOR OCCUPATIONAL MEDICAL SERVICES FOR NASA GODDARD SPACE FLIGHT CENTER IN GREENBELT, MD, AND WALLOPS FLIGHT FACILITY IN WALLOPS ISLAND, VA Key points: 1. The contract value of $2.16 million over two years appears reasonable for specialized occupational medical services. 2. Full and open competition was utilized, suggesting a competitive bidding process that should drive fair pricing. 3. The contract type (Cost Plus Fixed Fee) carries inherent risk of cost overruns, requiring diligent oversight. 4. Services are critical for maintaining astronaut and personnel health at two key NASA facilities. 5. The contractor, HSG, LLC, is positioned to provide essential health support within the aerospace sector. 6. Performance duration of 729 days indicates a medium-term commitment for ongoing services.

Value Assessment

Rating: good

The contract value of $2.16 million for two years of occupational medical services seems aligned with industry standards for specialized healthcare support at federal facilities. Benchmarking against similar contracts for medical services at NASA or other federal agencies would provide a more precise value assessment. The Cost Plus Fixed Fee structure, while allowing for flexibility, necessitates careful monitoring to ensure costs remain within reasonable bounds and that the fixed fee adequately compensates the contractor for their efforts without excessive profit.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'full and open competition after exclusion of sources,' indicating that the solicitation was broadly advertised, and all responsible sources were permitted to submit offers. The specific exclusion of sources clause suggests a potential prior relationship or specialized capability that was considered, but the primary mechanism was open competition. The number of bidders is not specified, but the open nature of the competition generally promotes price discovery and encourages multiple firms to vie for the contract, leading to potentially better pricing for the government.

Taxpayer Impact: The use of full and open competition is beneficial for taxpayers as it maximizes the pool of potential offerors, fostering a competitive environment that typically drives down prices and improves the quality of services received.

Public Impact

NASA personnel at Goddard Space Flight Center and Wallops Flight Facility will benefit from essential occupational medical services. Services include health assessments, medical surveillance, and potentially emergency medical support for astronauts and staff. The geographic impact is focused on Maryland and Virginia, supporting critical space exploration and research operations. This contract supports a specialized healthcare workforce, ensuring the well-being of individuals engaged in high-risk activities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type can lead to cost overruns if not managed tightly.
  • Lack of specific details on the number of bidders in the 'full and open' competition makes it difficult to fully assess competitive intensity.
  • The exclusion of sources clause, though potentially justified, warrants scrutiny to ensure it did not unduly limit competition.

Positive Signals

  • Awarded through full and open competition, indicating a robust bidding process.
  • Contract addresses critical occupational health needs for NASA personnel.
  • Clear performance period (729 days) provides a defined scope for service delivery.

Sector Analysis

The occupational health services sector is a vital component of the broader healthcare industry, particularly for organizations with unique operational risks like NASA. This contract falls within the Environmental Consulting Services NAICS code (541620), which often encompasses health and safety consulting. The market for federal healthcare and support services is substantial, with significant spending allocated annually to ensure the well-being of government employees and contractors, especially those in demanding or hazardous roles.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this specific contract award. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this particular task order. The focus appears to be on securing the necessary specialized services through the most competitive means available.

Oversight & Accountability

Oversight for this Cost Plus Fixed Fee contract will likely be managed by the contracting officer and the relevant program officials within NASA's Goddard Space Flight Center and Wallops Flight Facility. Accountability measures would involve regular performance reviews, cost tracking, and adherence to the contract's statement of work. Transparency is generally maintained through contract databases and reporting, though specific internal oversight procedures are not detailed here. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

  • NASA Occupational Health Programs
  • Federal Employee Health Services
  • Aerospace Medical Support Contracts
  • Environmental Health and Safety Consulting

Risk Flags

  • Cost Plus Fixed Fee contract type requires diligent cost monitoring.
  • Potential for limited competition due to 'exclusion of sources' clause.

Tags

nasa, occupational-health, medical-services, cost-plus-fixed-fee, full-and-open-competition, maryland, virginia, aerospace, environmental-consulting-services, hsgs-llc, delivery-order

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $2.2 million to HSG, LLC. NEMCON TASK ORDER FOR OCCUPATIONAL MEDICAL SERVICES FOR NASA GODDARD SPACE FLIGHT CENTER IN GREENBELT, MD, AND WALLOPS FLIGHT FACILITY IN WALLOPS ISLAND, VA

Who is the contractor on this award?

The obligated recipient is HSG, LLC.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $2.2 million.

What is the period of performance?

Start: 2024-04-01. End: 2026-03-31.

What is the track record of HSG, LLC in providing similar occupational medical services to federal agencies?

Information regarding HSG, LLC's specific track record in providing occupational medical services to federal agencies is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and any reported issues or commendations from previous government engagements. Understanding their experience with similar environments, such as those involving aerospace operations or high-risk personnel, would be crucial for evaluating their capability to fulfill this NASA contract effectively. Further research into their portfolio and client testimonials would offer deeper insights into their reliability and expertise in this specialized field.

How does the awarded price compare to market rates for similar occupational medical services?

The provided data does not include specific unit costs or detailed service breakdowns, making a direct comparison to market rates challenging. The total contract value of $2.16 million over approximately two years suggests an average annual value of $1.08 million. To benchmark this effectively, one would need to compare it against the average cost of similar occupational health contracts awarded by NASA or other federal agencies for facilities of comparable size and complexity. Factors such as the scope of services (e.g., routine check-ups, specialized screenings, emergency response), geographic location, and the specific qualifications required of the medical personnel would influence market rates. Without these granular details, the value proposition remains an estimate.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this service?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract for occupational medical services is the potential for cost overruns. While the fixed fee provides the contractor with a defined profit margin, the 'cost plus' component means the government reimburses the contractor for allowable costs incurred. If these costs exceed initial estimates due to unforeseen circumstances, scope creep, or inefficient management by the contractor, the total expenditure for the government could be higher than anticipated. This necessitates robust government oversight to monitor expenditures, ensure costs are reasonable and allocable, and prevent unnecessary spending. The fixed fee itself is intended to incentivize the contractor to control costs, but the government still bears the risk of escalating direct and indirect costs.

How effective is the 'full and open competition after exclusion of sources' method in ensuring competitive pricing for specialized services?

The 'full and open competition after exclusion of sources' method aims to balance broad competition with the recognition of specific capabilities. While 'full and open' implies maximum participation, the 'exclusion of sources' clause suggests that certain potential bidders might have been excluded based on predefined criteria, possibly related to unique qualifications, prior performance, or specific technological requirements. This can potentially limit the number of bidders compared to a purely open solicitation. If the exclusion criteria are narrowly defined and justified, it can still lead to robust competition among qualified firms. However, if the criteria are overly restrictive or not well-justified, it could inadvertently reduce competition, potentially impacting price discovery and leading to less favorable pricing for the government compared to a truly unrestricted open competition.

What are the potential implications of this contract on NASA's ability to maintain operational readiness at its facilities?

This contract is directly linked to maintaining operational readiness at NASA's Goddard Space Flight Center and Wallops Flight Facility by ensuring the health and safety of personnel. Occupational medical services are crucial for monitoring employee well-being, preventing workplace injuries, managing existing health conditions, and providing timely medical support. By securing these services through HSG, LLC, NASA aims to mitigate health-related risks that could disrupt operations, delay projects, or impact the safety of astronauts and ground crews. The effectiveness of the contractor in delivering these services will directly influence the continuity and efficiency of NASA's research, development, and operational activities at these key locations.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesEnvironmental Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 80GSFC23Q0003

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2831 SAINT ROSE PKWY STE 213, HENDERSON, NV, 89052

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Limited Liability Corporation, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $5,518,247

Exercised Options: $2,169,896

Current Obligation: $2,159,940

Actual Outlays: $1,870,707

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 80KSC020D0023

IDV Type: IDC

Timeline

Start Date: 2024-04-01

Current End Date: 2026-03-31

Potential End Date: 2029-03-31 00:00:00

Last Modified: 2026-03-11

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