Group homes, halfway houses, and specialized residential care for government program participants. Find active federal and state other residential care facilities contracts — AI-scored against your profile across SAM.gov and 200+ portals.
Annual federal spend under NAICS 623990 is estimated at $1.5–2 billion, driven primarily by HHS (grants to states for group homes), DOJ (halfway houses for reentry programs), and VA (residential care for homeless veterans). Contracts are mostly state-administered via federal grants (e.g., SAMHSA block grants) or competitive IDIQ vehicles at the agency level. Demand is stable and tied to federal program enrollment. Competition is moderate, with many small, local providers and a few national firms. Contracts are typically fixed-price per diem or cost-reimbursement, awarded via LPTA. Set-asides are common: 8(a), SDVOSB, and HUBZone are frequent, especially for DOJ and VA.
These agencies are the largest buyers of other residential care facilities services and products in the federal government. Each awards contracts under NAICS 623990 regularly — build relationships with their small business offices first.
Focus on state-level pass-through grants: win state RFPs that are funded by HHS, then become the prime for federal IDIQs. The highest-leverage move is to obtain CARF or Joint Commission accreditation—many solicitations require it. Use 8(a) or SDVOSB set-asides aggressively; DOJ's Bureau of Prisons and VA's homeless programs often limit competition to small businesses. Bid on GSA Schedule 621I (Residential Care) to get on agency BPAs. Avoid bidding on large nationwide IDIQs unless you have multi-state capacity.
Work is bought via GSA Schedule 621I (Residential Care), VA's Community Residential Care IDIQ, DOJ's BOP halfway house BPAs, and state-level RFPs funded by HHS grants. LPTA is common; best-value used for complex care. Evaluation focuses on licensure, accreditation, past performance, and staffing ratios. Small business set-asides are frequent.
Most contracts require state-level residential care licensure (e.g., group home license, adult foster care license) and often CARF or Joint Commission accreditation. For DOJ halfway houses, you need Bureau of Prisons pre-qualification. Check each solicitation for specific state and federal requirements.
Typically no, because these are service contracts, not construction. However, if the contract includes renovation or construction of facilities, a performance and payment bond may be required. Most per-diem care contracts do not require bonds.
Awards vary widely: small state-level contracts can be $100K–$1M annually, while nationwide IDIQs (e.g., VA's Community Residential Care) can be $50M+ over 5 years. The median award is around $500K–$2M per year for a single facility.
Yes, many large primes (e.g., for VA or DOJ) need local providers. Subcontracting is common for specialized care (e.g., mental health, substance abuse). Register as a subcontractor in SBA's SubNet and team with primes holding IDIQs.
Most are LPTA (lowest price technically acceptable) because care standards are well-defined. However, VA and HHS sometimes use best-value tradeoff for complex populations. Past performance and accreditation are key discriminators in best-value awards.