DoD awards $7.67M for ER physician services at Fort Wainwright, Alaska, to Eagle Health Analytics, LLC

Contract Overview

Contract Amount: $7,673,221 ($7.7M)

Contractor: Eagle Health Analytics, LLC

Awarding Agency: Department of Defense

Start Date: 2023-10-01

End Date: 2026-09-30

Contract Duration: 1,095 days

Daily Burn Rate: $7.0K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: ER PHYSICIANS SERVICES AT BACH, FORT WAINWRIGHT, ALASKA

Place of Performance

Location: FORT WAINWRIGHT, FAIRBANKS NORTH STAR County, ALASKA, 99703

State: Alaska Government Spending

Plain-Language Summary

Department of Defense obligated $7.7 million to EAGLE HEALTH ANALYTICS, LLC for work described as: ER PHYSICIANS SERVICES AT BACH, FORT WAINWRIGHT, ALASKA Key points: 1. Contract awarded on a firm-fixed-price basis, indicating predictable costs for the government. 2. The contract duration of 1095 days (3 years) suggests a need for sustained medical services. 3. Awarded to a single entity, raising questions about the extent of competition. 4. The service location in Alaska may present unique logistical and recruitment challenges for providers. 5. The contract's value is relatively modest in the context of overall federal healthcare spending. 6. The specific nature of ER physician services implies critical support for military personnel and their families.

Value Assessment

Rating: fair

The contract value of $7.67 million over three years for ER physician services at a single military installation appears to be within a reasonable range for specialized medical support in a remote location. Benchmarking against similar contracts for physician services at other military bases or in comparable geographic areas would provide a clearer picture of value for money. The firm-fixed-price structure helps control costs, but the absence of competitive bidding limits the ability to assess if the price is truly optimal.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This approach is typically used when only one responsible source can provide the required services. Without a competitive process, it is difficult to ascertain the level of price discovery and whether alternative providers could have offered better terms or pricing. The justification for a sole-source award would need to be examined to understand why full and open competition was not feasible.

Taxpayer Impact: Sole-source awards can potentially lead to higher costs for taxpayers compared to competitively bid contracts, as the government does not benefit from the price pressures inherent in a bidding process.

Public Impact

Military personnel and their families stationed at Fort Wainwright, Alaska, will receive essential emergency room physician services. Ensures the availability of critical medical care, maintaining the health and readiness of the force. The services are geographically focused on Fort Wainwright, Alaska, impacting the local military community. Supports the healthcare workforce by providing employment opportunities for physicians and potentially other medical staff.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition limits price benchmarking and potential cost savings.
Sole-source awards can sometimes indicate a lack of market research or a reliance on incumbent providers without exploring alternatives.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Award ensures continuity of essential medical services for military readiness.
Contract duration suggests a stable, long-term need for these services.

Sector Analysis

The healthcare sector, particularly the provision of specialized medical services, is a significant area of federal spending. This contract falls within the broader category of healthcare services, specifically focusing on emergency medicine within a military context. The market for physician services is diverse, with various providers ranging from large healthcare systems to smaller, specialized groups. The unique demands of serving a military installation, especially in a remote location like Alaska, can influence market dynamics and pricing.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. Furthermore, the prime contractor, Eagle Health Analytics, LLC, is not explicitly identified as a small business in the provided data. There is no information regarding subcontracting plans for small businesses. Therefore, this award does not seem to directly benefit the small business ecosystem through set-asides or mandated subcontracting.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of the Army, a component of the Department of Defense. Accountability measures would be embedded in the contract's performance work statement and terms. Transparency regarding the sole-source justification and performance metrics would be key to assessing oversight effectiveness. The Inspector General for the Department of Defense would have jurisdiction to investigate any potential fraud, waste, or abuse related to this contract.

Related Government Programs

TRICARE
Military Medical Treatment Facilities
Department of Defense Healthcare Services
Emergency Physician Services Contracts

Risk Flags

Sole-source award without clear justification.
Potential for uncompetitive pricing.
Lack of performance metrics or quality incentives.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.7 million to EAGLE HEALTH ANALYTICS, LLC. ER PHYSICIANS SERVICES AT BACH, FORT WAINWRIGHT, ALASKA

Who is the contractor on this award?

The obligated recipient is EAGLE HEALTH ANALYTICS, 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 $7.7 million.

What is the period of performance?

Start: 2023-10-01. End: 2026-09-30.

What is the track record of Eagle Health Analytics, LLC in providing similar medical services to the federal government?

Information regarding the specific track record of Eagle Health Analytics, LLC in providing ER physician services to the federal government is not detailed in the provided data. A comprehensive review would require examining past performance evaluations, contract history with federal agencies, and any reported issues or successes. Understanding their experience with military healthcare systems, remote locations, and emergency medicine specifically would be crucial for assessing their capability and reliability for this contract. Without this historical data, it is difficult to definitively gauge their past performance.

How does the awarded price compare to market rates for ER physician services in similar remote locations?

The provided data does not include specific market rate benchmarks for ER physician services in remote locations comparable to Fort Wainwright, Alaska. The contract's value of $7.67 million over three years ($2.56 million annually) needs to be compared against industry data for physician staffing in similar geographic and operational contexts. Factors such as the cost of living, physician recruitment challenges in Alaska, and the specific scope of services (e.g., 24/7 coverage, required specialties) would influence market rates. A detailed analysis would involve consulting healthcare consulting firms or industry reports that track physician compensation and contract costs for similar facilities.

What are the primary risks associated with a sole-source award for critical medical services?

The primary risks associated with a sole-source award for critical medical services include potential overpricing due to a lack of competition, reduced incentive for the contractor to innovate or improve efficiency, and a lack of transparency in the procurement process. Taxpayers may bear a higher cost than if the contract had been competed. Furthermore, if the sole-source provider experiences performance issues or financial instability, the government may face significant challenges in finding a replacement quickly, potentially disrupting essential services. The justification for the sole-source award must be robust to mitigate these risks.

What is the historical spending pattern for ER physician services at Fort Wainwright, Alaska?

The provided data does not contain historical spending patterns for ER physician services specifically at Fort Wainwright, Alaska. To assess this, one would need to access historical contract databases (e.g., FPDS-NG) to identify previous awards for these services at this installation. Analyzing past contract values, durations, and awardees would reveal trends in spending, identify potential incumbent contractors, and highlight any significant changes in cost or service provision over time. This historical context is vital for understanding if the current award represents an increase, decrease, or stable level of investment.

What are the potential implications of the firm-fixed-price contract type on service quality and cost control?

A firm-fixed-price (FFP) contract type generally offers the government cost certainty, as the contractor assumes the risk of cost overruns. For ER physician services, this means the government knows the exact amount it will pay for the services rendered, regardless of the contractor's actual costs. This can be beneficial for budget predictability. However, it might also create less incentive for the contractor to control costs beyond what is necessary to meet the contract requirements. Regarding service quality, while FFP contracts aim for defined outcomes, the contractor might focus on meeting minimum requirements rather than exceeding them if there are no performance incentives tied to quality improvements. Robust performance monitoring is crucial to ensure quality is maintained under an FFP structure.

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: W81K0223Q0102

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 111 W 16TH AVE, ANCHORAGE, AK, 99501

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, 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: $16,599,538

Exercised Options: $9,382,244

Current Obligation: $7,673,221

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline