DoD Awards $8.7M Contract for Hospital Services to Ajanta Consulting LLC, Facing Limited Competition
Contract Overview
Contract Amount: $8,735,509 ($8.7M)
Contractor: Ajanta Consulting LLC
Awarding Agency: Department of Defense
Start Date: 2022-10-01
End Date: 2026-09-30
Contract Duration: 1,460 days
Daily Burn Rate: $6.0K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: FY23 PA/NP REG HRS SRP 5 FTE
Place of Performance
Location: FORT HOOD, BELL County, TEXAS, 76544
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $8.7 million to AJANTA CONSULTING LLC for work described as: FY23 PA/NP REG HRS SRP 5 FTE Key points: 1. Contract value of $8.7M over 4 years. 2. Limited competition raises concerns about price discovery. 3. Risk of overpayment due to lack of competitive bidding. 4. Sector: Healthcare services for military personnel.
Value Assessment
Rating: questionable
The contract is a Purchase Order with a Firm Fixed Price, but the lack of competitive bidding makes it difficult to assess if the $8.7M price is reasonable compared to similar services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not available for competition, indicating a sole-source or limited source award. This significantly restricts price discovery and may lead to higher costs for taxpayers.
Taxpayer Impact: The lack of competition could result in taxpayers paying more than necessary for essential hospital services.
Public Impact
Ensures continued medical services for military personnel. Potential for higher costs due to limited competition. Impact on small businesses is unclear as Ajanta Consulting LLC is not identified as an SMB.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Lack of price benchmark
- Potential for overpayment
Positive Signals
- Essential service provision
- Firm Fixed Price contract
Sector Analysis
This contract falls within the Healthcare sector, specifically for general medical and surgical hospital services. Spending benchmarks for similar services are difficult to ascertain without competitive data.
Small Business Impact
The data does not indicate if Ajanta Consulting LLC is a small business. The award mechanism and lack of competition make it difficult to assess the impact on small businesses in this sector.
Oversight & Accountability
The award is a Purchase Order, which typically has less stringent oversight than larger contract vehicles. Further review of the justification for limited competition is recommended.
Related Government Programs
- General Medical and Surgical Hospitals
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Limited competition
- Lack of transparency in award justification
- Potential for cost overruns
- Difficulty in benchmarking pricing
Tags
general-medical-and-surgical-hospitals, department-of-defense, tx, purchase-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $8.7 million to AJANTA CONSULTING LLC. FY23 PA/NP REG HRS SRP 5 FTE
Who is the contractor on this award?
The obligated recipient is AJANTA CONSULTING LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $8.7 million.
What is the period of performance?
Start: 2022-10-01. End: 2026-09-30.
What is the justification for limiting competition on this essential healthcare service contract?
The justification for limiting competition is not provided in the data. Typically, such limitations are based on factors like urgent need, unique capabilities, or specific government requirements that only one source can meet. Without this justification, it's impossible to assess if the limited competition was appropriate or if it was a missed opportunity for better pricing.
How does the lack of competition impact the risk of overpaying for these medical services?
The lack of competition significantly increases the risk of overpaying. When multiple vendors compete, they are incentivized to offer competitive pricing to win the contract. Without this pressure, the awarded vendor may not have the same motivation to provide the lowest possible price, potentially leading to inflated costs for the government and taxpayers.
What is the potential effectiveness of Ajanta Consulting LLC in providing these hospital services?
The effectiveness of Ajanta Consulting LLC cannot be determined from the provided data alone. While they were awarded the contract, effectiveness depends on their past performance, quality of care, adherence to standards, and ability to meet the specific needs of the Department of the Army. Further due diligence on the contractor's track record would be necessary to assess their effectiveness.
Industry Classification
NAICS: Health Care and Social Assistance › General Medical and Surgical Hospitals › General Medical and Surgical Hospitals
Product/Service Code: MEDICAL SERVICES › GENERAL HEALTH CARE SERVICES
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: W81K0022Q0158
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 5253 PRUE RD STE 230, SAN ANTONIO, TX, 78240
Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $12,522,381
Exercised Options: $9,208,170
Current Obligation: $8,735,509
Actual Outlays: $1,139,181
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Timeline
Start Date: 2022-10-01
Current End Date: 2026-09-30
Potential End Date: 2027-09-30 00:00:00
Last Modified: 2025-12-11
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