DoD Awards $6.8M for Ambulatory Procedure Visits to Decypher Health Services, LLC
Contract Overview
Contract Amount: $6,805,707 ($6.8M)
Contractor: Decypher Health Services, LLC
Awarding Agency: Department of Defense
Start Date: 2025-06-01
End Date: 2026-12-31
Contract Duration: 578 days
Daily Burn Rate: $11.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 9
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: AMBULATORY PROCEDURE VISIT (APV)
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78216
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $6.8 million to DECYPHER HEALTH SERVICES, LLC for work described as: AMBULATORY PROCEDURE VISIT (APV) Key points: 1. Contract awarded to Decypher Health Services, LLC for Ambulatory Procedure Visits. 2. The contract falls under the Defense Health Agency within the Department of Defense. 3. The North American Industry Classification System (NAICS) code is 621111 (Offices of Physicians). 4. The contract type is Firm Fixed Price with a Delivery Order. 5. The period of performance is from June 1, 2025, to December 31, 2026.
Value Assessment
Rating: fair
The award amount of $6.8M for Ambulatory Procedure Visits over 18 months appears reasonable given the scope. Benchmarking against similar physician office contracts is difficult without more specific service details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary healthcare services.
Public Impact
Ensures continued access to ambulatory medical services for military personnel and their families. Supports the operational readiness of the Defense Health Agency by providing essential physician services. The contract's fixed-price nature provides cost certainty for the government. The duration of the contract allows for stable service provision over 18 months.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in the provided data.
- Potential for cost creep if scope expands beyond initial expectations.
- Dependence on a single vendor for critical healthcare services.
Positive Signals
- Awarded through full and open competition.
- Firm Fixed Price contract type offers cost predictability.
- Long-term contract duration ensures service continuity.
Sector Analysis
The healthcare sector, particularly physician services (NAICS 621111), is a significant area of government spending. Contracts like this support the vast network of healthcare providers serving federal beneficiaries.
Small Business Impact
The data does not indicate if small businesses were involved in this specific award, either as prime contractors or subcontractors. Further analysis would be needed to assess small business participation.
Oversight & Accountability
The Defense Health Agency is responsible for overseeing this contract. Standard government oversight mechanisms, including performance monitoring and contract closeout procedures, should be applied to ensure accountability.
Related Government Programs
- Offices of Physicians (except Mental Health Specialists)
- Department of Defense Contracting
- Defense Health Agency Programs
Risk Flags
- Potential for undefined scope creep.
- Reliance on a single vendor.
- Limited visibility into specific service details.
- Need for robust quality assurance monitoring.
Tags
offices-of-physicians-except-mental-heal, department-of-defense, tx, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $6.8 million to DECYPHER HEALTH SERVICES, LLC. AMBULATORY PROCEDURE VISIT (APV)
Who is the contractor on this award?
The obligated recipient is DECYPHER HEALTH SERVICES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Health Agency).
What is the total obligated amount?
The obligated amount is $6.8 million.
What is the period of performance?
Start: 2025-06-01. End: 2026-12-31.
What specific ambulatory procedures are covered under this contract, and how do they align with the typical services offered by physician offices?
The provided data identifies the contract as 'AMBULATORY PROCEDURE VISIT (APV)' under NAICS code 621111 (Offices of Physicians). While the specific procedures are not detailed, this code generally encompasses a wide range of non-inpatient medical services provided by physicians, such as consultations, diagnostic tests, minor surgeries, and treatments that do not require hospitalization.
How does the per-unit cost or overall contract value compare to similar ambulatory care contracts awarded by other federal agencies or within the private sector?
Without specific details on the types and volume of procedures, a direct per-unit cost comparison is challenging. The total contract value of $6.8 million over 18 months suggests a significant volume of services. Benchmarking would require access to detailed service line items and pricing structures from comparable contracts.
What mechanisms are in place to ensure the quality of care and patient satisfaction for these ambulatory procedure visits?
Quality assurance for healthcare contracts typically involves performance work statements (PWS) with defined metrics, regular performance reviews, patient feedback mechanisms, and adherence to clinical practice guidelines. The Defense Health Agency likely has established protocols for monitoring provider performance and ensuring patient safety and satisfaction.
Industry Classification
NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians (except Mental Health Specialists)
Product/Service Code: MEDICAL SERVICES › CERTIFIED MEDICAL SUPPORT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: HT001523R0004
Offers Received: 9
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 200 CONCORD PLAZA DRIVE, SAN ANTONIO, TX, 78216
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $23,566,012
Exercised Options: $7,199,999
Current Obligation: $6,805,707
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HT001524D9001
IDV Type: IDC
Timeline
Start Date: 2025-06-01
Current End Date: 2026-12-31
Potential End Date: 2029-12-31 00:00:00
Last Modified: 2026-01-05
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