DoD awards $4.19M contract for Certified Nurse Assistant services to Saratoga Medical Center

Contract Overview

Contract Amount: $4,191,603 ($4.2M)

Contractor: Saratoga Medical Center, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-08-01

End Date: 2027-01-31

Contract Duration: 1,279 days

Daily Burn Rate: $3.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 15

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CERTIFIED NURSE ASSISTANT

Place of Performance

Location: CAMP LEJEUNE, ONSLOW County, NORTH CAROLINA, 28547

State: North Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $4.2 million to SARATOGA MEDICAL CENTER, INC. for work described as: CERTIFIED NURSE ASSISTANT Key points: 1. Contract value appears reasonable given the duration and scope of services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. No specific risk indicators are immediately apparent from the provided data. 4. Services are critical for supporting military medical facilities. 5. This contract falls within the healthcare services sector for the Defense Health Agency.

Value Assessment

Rating: good

The contract value of $4.19 million over approximately 3.5 years (1279 days) suggests a moderate annual spend. Without specific per-unit cost data or benchmarks for CNA services in military settings, a direct value-for-money assessment is challenging. However, the duration and the number of delivery orders (15) indicate a sustained need for these services. Compared to similar contracts for healthcare staffing, the pricing is likely competitive due to the full and open competition.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which typically means that all responsible sources were permitted to submit a bid. The presence of 15 delivery orders suggests multiple taskings under this contract. The level of competition is indicated as robust by the 'full and open' designation, which generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The use of full and open competition is beneficial for taxpayers as it encourages multiple vendors to bid, driving down prices and ensuring the government receives the best value for its investment in essential healthcare services.

Public Impact

Military personnel and beneficiaries at DoD facilities will benefit from the provision of certified nurse assistant services. The contract ensures the availability of essential healthcare support staff, contributing to the operational readiness of medical units. Services are likely delivered across various DoD medical facilities within the specified region. The contract supports employment for certified nurse assistants, contributing to the healthcare workforce.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for increased demand on existing medical staff if contractor performance is inconsistent.
Reliance on a single contractor for a critical service could pose a risk if the contractor faces operational challenges.

Positive Signals

The contract is awarded to an established entity, Saratoga Medical Center, Inc., suggesting a degree of reliability.
The firm fixed-price contract type provides cost certainty for the government.
The duration of the contract allows for stable service provision.

Sector Analysis

This contract falls within the broader healthcare services industry, specifically focusing on staffing for medical support roles. The North American Industry Classification System (NAICS) code 622110 (General Medical and Surgical Hospitals) indicates the type of facility where these services are utilized. The federal government is a significant purchaser of healthcare services, both for active-duty personnel and veterans, making this a key sector for federal spending.

Small Business Impact

The data indicates that small business participation (sb) is false and the contract was not set aside for small businesses (ss is false). This suggests that the primary award was not specifically targeted towards small businesses. However, the contractor, Saratoga Medical Center, Inc., may engage small businesses as subcontractors to fulfill aspects of this contract, though this is not explicitly detailed in the provided information. Further analysis would be needed to determine subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Health Agency (DHA), which is responsible for providing a globally integrated health services system. Accountability measures are inherent in the firm fixed-price contract type, which obligates the contractor to deliver services at a set price. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse related to the contract.

Related Government Programs

Military Medical Personnel Staffing
Healthcare Support Services
Defense Health Agency Contracts
Certified Nurse Assistant Services
General Medical and Surgical Hospitals

Risk Flags

Potential for service disruption if contractor faces staffing issues.
Dependence on contractor performance for critical patient care support.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $4.2 million to SARATOGA MEDICAL CENTER, INC.. CERTIFIED NURSE ASSISTANT

Who is the contractor on this award?

The obligated recipient is SARATOGA MEDICAL CENTER, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Health Agency).

What is the total obligated amount?

The obligated amount is $4.2 million.

What is the period of performance?

Start: 2023-08-01. End: 2027-01-31.

What is the track record of Saratoga Medical Center, Inc. in performing similar federal contracts?

Saratoga Medical Center, Inc. has a history of securing federal contracts, particularly within the healthcare and medical staffing domains. Their portfolio often includes services related to medical personnel, equipment, and facility support for various government agencies, including the Department of Defense. Analyzing their past performance on similar contracts, such as those involving nurse staffing or other clinical support roles, would provide insight into their reliability, quality of service, and ability to meet government requirements. A review of past performance evaluations and any reported issues or commendations would be crucial for a comprehensive assessment of their track record.

How does the per-diem or hourly rate for a Certified Nurse Assistant under this contract compare to market rates for similar services in North Carolina?

The provided data does not include specific per-unit costs (e.g., hourly or daily rates) for the Certified Nurse Assistants. The total contract value is $4,191,602.87 over an estimated period of 1279 days. To benchmark the per-unit cost, we would need to know the number of CNA hours or days required under the contract. Assuming a standard 8-hour workday and a consistent number of CNAs, we could derive an approximate hourly rate. However, without this granular data, a direct comparison to market rates in North Carolina is not feasible. Generally, federal contracts aim for competitive pricing, and the 'full and open competition' suggests an effort to achieve this, but specific benchmarking requires more detailed cost information.

What are the primary risks associated with relying on a single contractor for Certified Nurse Assistant services in a military medical facility?

The primary risks associated with relying on a single contractor for CNA services include service disruption if the contractor experiences financial difficulties, staffing shortages, or operational failures. There's also a potential for reduced negotiation leverage for the government in future contract renewals. If the contractor's performance is subpar, it could impact patient care quality and strain existing military medical staff. Furthermore, a sole-source or limited-competition scenario (though this contract was full and open) could lead to higher costs over time. Mitigation strategies often involve robust performance monitoring, clear contract terms, and contingency planning.

How effective has the Defense Health Agency been in managing contracts for medical staffing to ensure optimal patient care and cost-efficiency?

The Defense Health Agency (DHA) manages a vast portfolio of healthcare contracts, including those for medical staffing, to support military health system readiness. Historically, the DHA has faced challenges and successes in managing these complex contracts. Effectiveness can be measured by patient outcomes, staff retention rates, and cost-efficiency compared to civilian healthcare benchmarks. While the DHA strives for optimal patient care and cost-efficiency, factors like fluctuating healthcare costs, the need for specialized personnel, and the complexities of military healthcare delivery can present ongoing management challenges. Inspector General reports and GAO reviews often provide insights into specific contract management effectiveness and areas for improvement.

What has been the historical spending trend for Certified Nurse Assistant services by the Department of Defense over the past five years?

Analyzing the historical spending trend for Certified Nurse Assistant (CNA) services by the Department of Defense (DoD) requires access to comprehensive federal procurement data. This specific contract award of $4.19 million represents a single instance of spending. To understand the trend, one would need to aggregate spending data for similar contracts (identified by NAICS codes related to healthcare support services and keywords like 'nurse assistant') awarded by the DoD over the last five fiscal years. This would reveal whether spending in this category is increasing, decreasing, or remaining stable, potentially influenced by military readiness needs, healthcare policy changes, or shifts in healthcare delivery models within military facilities.

Industry Classification

NAICS: Health Care and Social Assistance › General Medical and Surgical Hospitals › General Medical and Surgical Hospitals

Product/Service Code: MEDICAL SERVICES › NURSING, NURSING HOME, EVAL/SCREEN

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HT005016R0001

Offers Received: 15

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10560 MAIN ST STE 312, FAIRFAX, VA, 22030

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $5,651,136

Exercised Options: $5,651,136

Current Obligation: $4,191,603

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HT005018D0012

IDV Type: IDC

Timeline