DoD medical exam services contract awarded to CONCORDE, INC. for over $24.7M by GSA

Contract Overview

Contract Amount: $24,784,869 ($24.8M)

Contractor: Concorde, Inc.

Awarding Agency: General Services Administration

Start Date: 2012-07-01

End Date: 2016-09-30

Contract Duration: 1,552 days

Daily Burn Rate: $16.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CE DEPARTMENT OF DEFENSE MEDICAL EXAMIINATION REVIEW BOARD

Place of Performance

Location: USAF ACADEMY, EL PASO County, COLORADO, 80840

State: Colorado Government Spending

Plain-Language Summary

General Services Administration obligated $24.8 million to CONCORDE, INC. for work described as: CE DEPARTMENT OF DEFENSE MEDICAL EXAMIINATION REVIEW BOARD Key points: 1. Contract value appears reasonable given the duration and scope of medical examination services. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. The contract's duration of over four years indicates a need for sustained service delivery. 4. Fixed-price contract type shifts performance risk to the contractor. 5. Services fall under miscellaneous ambulatory health care, a broad category. 6. The contract was awarded by GSA, leveraging their procurement expertise.

Value Assessment

Rating: good

The contract value of approximately $24.7 million over 1552 days (over 4 years) for medical examination services appears to be within a reasonable range for a federal contract of this nature. Without specific benchmarks for per-exam costs or comparable contracts for similar services, a precise value-for-money assessment is challenging. However, the fixed-price contract type generally encourages cost efficiency from the contractor. The awarding agency, GSA, is known for its procurement expertise, which may contribute to achieving fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. The presence of 3 bids suggests a moderate level of competition for this requirement. While more bidders could potentially drive prices lower, three offers generally provide a basis for price comparison and selection. This level of competition is a positive sign for price discovery and ensuring the government receives competitive offers.

Taxpayer Impact: The full and open competition process, with multiple bidders, is beneficial for taxpayers as it increases the likelihood of obtaining services at a competitive market rate, preventing potential overpayment.

Public Impact

Beneficiaries include military personnel requiring medical examinations for various purposes (e.g., enlistment, deployment, retention). Services delivered are ambulatory health care, specifically medical examinations. The geographic impact is likely nationwide, supporting military health readiness across different bases or locations. Workforce implications include employment for medical professionals and administrative staff at CONCORDE, INC. and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if examination requirements are not clearly defined.
Dependence on contractor's ability to maintain a qualified medical workforce.
Risk of service disruptions if contractor faces financial or operational challenges.

Positive Signals

Fixed-price contract structure incentivizes contractor efficiency.
Award by GSA suggests adherence to established procurement best practices.
Full and open competition indicates a robust selection process.

Sector Analysis

This contract falls within the Healthcare sector, specifically focusing on ambulatory health care services. The market for federal healthcare services is substantial, with significant spending on medical examinations, diagnostics, and treatment for military personnel and veterans. Comparable spending benchmarks would typically involve analyzing other contracts for similar medical examination services awarded to private entities by agencies like the Department of Defense or the Department of Veterans Affairs.

Small Business Impact

The contract details indicate that small business participation was not a specific set-aside (ss: false, sb: false). Therefore, there are no direct subcontracting implications mandated by a small business set-aside for this particular award. The primary contractor, CONCORDE, INC., is responsible for its own business operations. Analysis of subcontracting would require further investigation into CONCORDE's practices.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and the relevant program managers within the Department of Defense, facilitated by the General Services Administration's procurement process. Accountability measures are embedded in the contract terms, including performance standards and payment schedules tied to service delivery. Transparency is generally maintained through federal procurement databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

TRICARE
Department of Veterans Affairs Medical Services
Military Health System
Federal Occupational Health

Risk Flags

Contract duration exceeds typical short-term service needs.
NAICS code is broad, potentially masking specific service risks.
Limited public information on specific performance metrics.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $24.8 million to CONCORDE, INC.. CE DEPARTMENT OF DEFENSE MEDICAL EXAMIINATION REVIEW BOARD

Who is the contractor on this award?

The obligated recipient is CONCORDE, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $24.8 million.

What is the period of performance?

Start: 2012-07-01. End: 2016-09-30.

What is the historical spending pattern for CONCORDE, INC. with the federal government?

Analyzing CONCORDE, INC.'s historical federal spending requires accessing procurement data over multiple fiscal years. This would involve identifying all contracts awarded to the company, their values, agencies involved, and the services rendered. A trend analysis could reveal if this $24.7M contract represents a significant increase or is consistent with their typical contract portfolio. Understanding their past performance on similar contracts, including any issues or successes, would provide crucial context for assessing their reliability and capability in fulfilling the current DoD medical examination requirement. Without specific historical data, it's difficult to ascertain if this contract is an outlier or part of a sustained federal engagement.

How does the per-unit cost of these medical exams compare to industry benchmarks?

Determining the per-unit cost benchmark for these medical exams requires knowing the exact number of exams performed under the contract and the total contract value, or at least the value allocated to specific types of exams. Federal procurement data often lacks granular detail on the number of units delivered for service contracts. If this information were available, it could be compared against average costs for similar medical examinations provided by private healthcare providers or other federal contracts. Factors like the complexity of the exams, geographic location of service delivery, and required turnaround times would influence these benchmarks. A significant deviation from established benchmarks could indicate either exceptional value or potential overpricing.

What specific types of medical examinations are covered under this contract?

The contract falls under the North American Industry Classification System (NAICS) code 621999, 'All Other Miscellaneous Ambulatory Health Care Services.' This broad classification suggests the contract covers a range of medical examination services that do not fit into more specific categories. These could include pre-employment physicals, periodic health assessments, fitness-for-duty evaluations, or specialized medical screenings required by the Department of Defense for personnel readiness, deployment, or retention. The exact scope and types of examinations would be detailed in the contract's statement of work (SOW), which is typically not publicly available in full detail but outlines the specific deliverables and performance standards.

What is the track record of CONCORDE, INC. in delivering federal healthcare services?

Assessing CONCORDE, INC.'s track record involves reviewing their past performance on federal contracts, particularly those involving healthcare services. This includes examining contract completion records, any documented performance issues, awards, or penalties. Information from sources like the Contractor Performance Assessment Reporting System (CPARS) can provide insights into their reliability, quality of service, and adherence to contract terms. A history of successful contract performance, especially in similar medical service domains, would increase confidence in their ability to meet the requirements of this DoD contract. Conversely, a pattern of deficiencies or unresolved issues would raise concerns about their capacity and reliability.

What are the potential risks associated with a sole-source or limited competition award for similar services?

While this contract was awarded under full and open competition, understanding risks associated with limited competition is relevant for broader analysis. Sole-source or limited competition awards can increase the risk of higher prices due to reduced market pressure. They may also limit the government's access to innovative solutions or specialized expertise that a broader competition might uncover. Furthermore, such awards can raise concerns about fairness and equal opportunity for potential bidders. Robust justification and documentation are required for non-full and open competition awards to ensure they are necessary and in the government's best interest, mitigating risks of inefficiency and potential contractor overreach.

How does the duration of this contract (over 4 years) impact its overall value and risk?

A contract duration exceeding four years, as seen with this $24.7M award, offers potential benefits like service continuity and reduced administrative burden associated with frequent re-procurement. For the contractor, it provides a stable revenue stream. However, longer durations also increase the risk of price escalation due to market fluctuations in labor, materials, or healthcare costs, especially if not adequately addressed in the contract's pricing structure. There's also a risk that the government's needs may evolve over time, potentially making the contracted services less relevant or requiring costly modifications. Fixed-price contracts can mitigate some of these risks by locking in prices, but they may also lead to contractor disincentives for efficiency improvements over extended periods if not structured carefully.

Industry Classification

NAICS: Health Care and Social Assistance › Other Ambulatory Health Care Services › All Other Miscellaneous Ambulatory Health Care Services

Product/Service Code: MEDICAL SERVICES › OTHER MEDICAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: ID07120009

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1835 MARKET ST 12TH FLR, PHILADELPHIA, PA, 19103

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

Financial Breakdown

Contract Ceiling: $41,742,613

Exercised Options: $24,784,869

Current Obligation: $24,784,869

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Timeline