DoD Awards $12.9M for Referral Management Services to REEF SYSTEMS-FSR LLC

Contract Overview

Contract Amount: $12,912,085 ($12.9M)

Contractor: Reef Systems-Fsr LLC

Awarding Agency: Department of Defense

Start Date: 2023-04-09

End Date: 2026-09-30

Contract Duration: 1,270 days

Daily Burn Rate: $10.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: REFERRAL MANAGEMENT SERVICES, SOUTHEAST NODE (LEGACY AIR FORCE MEDICAL TREATMENT FACILITIES)

Place of Performance

Location: SAN ANTONIO, BEXAR County, TEXAS, 78234

State: Texas Government Spending

Plain-Language Summary

Department of Defense obligated $12.9 million to REEF SYSTEMS-FSR LLC for work described as: REFERRAL MANAGEMENT SERVICES, SOUTHEAST NODE (LEGACY AIR FORCE MEDICAL TREATMENT FACILITIES) Key points: 1. Contract awarded to REEF SYSTEMS-FSR LLC for $12.9M. 2. Full and open competition after exclusion of sources was used. 3. The contract is for referral management services for legacy Air Force medical treatment facilities. 4. This falls under the Healthcare sector, specifically Miscellaneous Health Practitioners. 5. The contract duration is 1270 days.

Value Assessment

Rating: fair

The contract value of $12.9M over approximately 3.5 years appears reasonable for specialized healthcare support services. Benchmarking against similar contracts for referral management in large healthcare systems would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating a specific reason for limiting the initial pool. This method can sometimes lead to less competitive pricing if not managed carefully.

Taxpayer Impact: Taxpayer funds are being used for essential healthcare support services, aiming for efficiency in patient referral processes within military medical facilities.

Public Impact

Ensures continuity of care for military personnel and their families by streamlining referral processes. Supports the operational efficiency of legacy Air Force medical treatment facilities. Provides specialized administrative and management services crucial for healthcare delivery. Potential impact on patient wait times and access to specialized medical care.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition method could impact price optimization.
  • Reliance on a single vendor for critical referral management.
  • Potential for scope creep or unaddressed needs over contract duration.

Positive Signals

  • Addresses a specific need for referral management in a critical sector.
  • Contract duration provides stability for service delivery.
  • Firm Fixed Price contract type helps control costs.

Sector Analysis

This contract falls within the Healthcare sector, specifically supporting medical administrative services. Spending benchmarks for IT and professional services within the DoD's healthcare arm are relevant, though specific referral management service costs can vary widely.

Small Business Impact

The data indicates that small business participation was not a factor in this specific award (ss: false, sb: false). Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within this contract.

Oversight & Accountability

The Department of Defense, through the Defense Health Agency, is responsible for overseeing this contract. Standard oversight mechanisms for contract performance, quality, and financial management are expected to be in place.

Related Government Programs

  • Offices of All Other Miscellaneous Health Practitioners
  • Department of Defense Contracting
  • Defense Health Agency Programs

Risk Flags

  • Potential for higher costs due to limited competition.
  • Dependence on a single vendor for a critical function.
  • Need for robust oversight to ensure service quality and prevent scope creep.
  • Ensuring seamless transition if services are recompeted in the future.

Tags

offices-of-all-other-miscellaneous-healt, department-of-defense, tx, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.9 million to REEF SYSTEMS-FSR LLC. REFERRAL MANAGEMENT SERVICES, SOUTHEAST NODE (LEGACY AIR FORCE MEDICAL TREATMENT FACILITIES)

Who is the contractor on this award?

The obligated recipient is REEF SYSTEMS-FSR LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $12.9 million.

What is the period of performance?

Start: 2023-04-09. End: 2026-09-30.

What is the specific definition of 'Referral Management Services' in this context and how does it contribute to overall healthcare efficiency?

Referral Management Services typically involve coordinating patient appointments with specialists, ensuring necessary documentation is transferred, and tracking patient progress. In this context, it likely aims to improve patient access to care, reduce administrative burden on medical staff, and potentially lower costs by optimizing specialist utilization within legacy Air Force medical facilities.

How does the 'Full and Open Competition After Exclusion of Sources' procurement method impact the potential for cost savings compared to unrestricted full and open competition?

This method allows for full and open competition among a pre-defined group of sources, often those who previously held contracts or demonstrated specific capabilities. While it ensures competition within that group, it may limit the pool of potential bidders compared to unrestricted competition, potentially resulting in less aggressive pricing. The justification for excluding other sources is critical.

What are the key performance indicators (KPIs) used to measure the effectiveness of REEF SYSTEMS-FSR LLC's referral management services?

Key performance indicators likely include metrics such as referral completion rates, average time to schedule specialist appointments, patient satisfaction scores related to the referral process, accuracy of patient data transfer, and adherence to established clinical pathways. These KPIs would be crucial for the Defense Health Agency to assess contractor performance and ensure service quality.

Industry Classification

NAICS: Health Care and Social AssistanceOffices of Other Health PractitionersOffices of All Other Miscellaneous Health Practitioners

Product/Service Code: MEDICAL SERVICESSPECIALIZED TECHNICAL/ MEDICAL SUPPORT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Reef Systems Corp

Address: 1230 SE MAYNARD RD SUITE 202, CARY, NC, 27511

Business Categories: Category Business, Limited Liability Corporation, Minority Owned Business, Other Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $18,639,348

Exercised Options: $12,912,085

Current Obligation: $12,912,085

Actual Outlays: $660,383

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HT001521D5001

IDV Type: IDC

Timeline

Start Date: 2023-04-09

Current End Date: 2026-09-30

Potential End Date: 2028-03-31 00:00:00

Last Modified: 2025-12-17

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