DoD Awards $32.5M Fee Basis Provider Contract to Chenega Tri-Services for Physician Offices
Contract Overview
Contract Amount: $32,552,518 ($32.6M)
Contractor: Chenega Tri-Services, LLC
Awarding Agency: Department of Defense
Start Date: 2024-04-18
End Date: 2025-04-17
Contract Duration: 364 days
Daily Burn Rate: $89.4K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: FEE BASIS PROVIDERS
Place of Performance
Location: SAN ANTONIO, BEXAR County, TEXAS, 78249
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $32.6 million to CHENEGA TRI-SERVICES, LLC for work described as: FEE BASIS PROVIDERS Key points: 1. Contract value of $32.5M for physician services. 2. Chenega Tri-Services, LLC is the awardee. 3. Competition was Full and Open after Exclusion of Sources. 4. The contract is for Offices of Physicians (except Mental Health Specialists).
Value Assessment
Rating: good
The contract value of $32.5M appears reasonable for a 364-day duration, covering physician services. Benchmarking against similar contracts for medical staffing would provide a more precise assessment of value.
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, indicating a competitive process. This method aims to ensure fair pricing and access to a broad range of qualified contractors.
Taxpayer Impact: The competitive award process is expected to yield fair pricing, maximizing the value of taxpayer funds for essential physician services.
Public Impact
Ensures continued access to essential physician services for military personnel and their families. Supports healthcare readiness within the Department of Defense. Provides economic activity for the awarded contractor and potentially its subcontractors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price creep if scope changes significantly.
- Reliance on a single awardee for critical services.
Positive Signals
- Competitive award process.
- Clear contract duration and fixed-price structure.
Sector Analysis
This contract falls within the Healthcare sector, specifically physician services. Spending benchmarks for physician staffing contracts within the DoD can vary widely based on location, specialty, and duration.
Small Business Impact
The data indicates that small business participation was not a stated factor in this award (sb: false). Further analysis would be needed to determine if any subcontracting opportunities exist for small businesses.
Oversight & Accountability
The contract was awarded through a competitive process, suggesting oversight in the selection. Ongoing performance monitoring by the Department of the Army will be crucial for accountability and service quality.
Related Government Programs
- Offices of Physicians (except Mental Health Specialists)
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Lack of specific performance metrics.
- Geographic delivery location not specified.
- Potential for limited small business subcontracting.
- Reliance on fee-basis structure which can be complex to manage.
Tags
offices-of-physicians-except-mental-heal, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $32.6 million to CHENEGA TRI-SERVICES, LLC. FEE BASIS PROVIDERS
Who is the contractor on this award?
The obligated recipient is CHENEGA TRI-SERVICES, 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 $32.6 million.
What is the period of performance?
Start: 2024-04-18. End: 2025-04-17.
What is the specific geographic location or base where these physician services will be provided, and how does that impact the cost?
The provided data indicates the contractor is located in Texas (ST: TX, SN: TEXAS), but it does not specify the exact delivery location for the physician services. Costs for medical professionals can vary significantly based on geographic location due to cost of living, demand, and local market rates. Understanding the specific base or region is crucial for a precise cost-effectiveness analysis.
What are the key performance indicators (KPIs) for this contract, and how will Chenega Tri-Services' performance be measured?
The contract details do not explicitly list Key Performance Indicators (KPIs) or specific performance metrics. However, as a fee-basis provider contract for physician services, performance is typically measured by factors such as patient wait times, patient satisfaction, adherence to medical standards, availability of physicians, and timely reporting. The Department of the Army's quality assurance personnel would monitor these aspects.
How does the 'Full and Open Competition after Exclusion of Sources' method impact the potential for innovation or specialized service offerings?
This competition method allows for a broad range of bidders but permits the exclusion of specific sources if justified (e.g., based on unique capabilities or past performance). While it aims for broad competition, the exclusion clause could potentially limit the pool of highly specialized or innovative providers if not carefully managed. The impact on innovation depends on the specific criteria used for exclusion and the overall market landscape.
Industry Classification
NAICS: Health Care and Social Assistance › Offices of Physicians › Offices of Physicians (except Mental Health Specialists)
Product/Service Code: MEDICAL SERVICES › NURSING, NURSING HOME, EVAL/SCREEN
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W81K0418R0003
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 5726 W HAUSMAN RD STE 100, SAN ANTONIO, TX, 78249
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: $32,552,518
Exercised Options: $32,552,518
Current Obligation: $32,552,518
Actual Outlays: $7,198,570
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W81K0419D0001
IDV Type: IDC
Timeline
Start Date: 2024-04-18
Current End Date: 2025-04-17
Potential End Date: 2025-04-17 00:00:00
Last Modified: 2025-06-18
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