SSA awards $17.4M for InterSystems HealthShare software and support, with 2 bidders
Contract Overview
Contract Amount: $17,436,459 ($17.4M)
Contractor: Four Points Technology, L.L.C.
Awarding Agency: Social Security Administration
Start Date: 2022-07-18
End Date: 2026-07-17
Contract Duration: 1,460 days
Daily Burn Rate: $11.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: INTERSYSTEMS HEALTHSHARE SOFTWARE AND SUPPORT SERVICES
Place of Performance
Location: HERNDON, FAIRFAX County, VIRGINIA, 20171
State: Virginia Government Spending
Plain-Language Summary
Social Security Administration obligated $17.4 million to FOUR POINTS TECHNOLOGY, L.L.C. for work described as: INTERSYSTEMS HEALTHSHARE SOFTWARE AND SUPPORT SERVICES Key points: 1. Value appears reasonable given the scope of software and support services. 2. Full and open competition suggests potential for competitive pricing. 3. Contract duration and firm fixed price structure mitigate cost overrun risks. 4. This contract supports critical health data interoperability for the SSA. 5. The IT services sector sees significant investment in health data management. 6. Performance is tied to software functionality and ongoing support.
Value Assessment
Rating: good
The contract value of $17.4M over approximately four years for specialized health information exchange software and support appears to be within a reasonable range for this type of IT service. Benchmarking against similar contracts for enterprise health software solutions and ongoing maintenance would provide a more precise value assessment. However, the firm fixed-price nature of the contract offers cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. With two bidders participating, the competition level suggests a degree of market interest, though a higher number of bidders could potentially drive prices lower. The agency's decision to use full and open competition is generally favorable for price discovery.
Taxpayer Impact: Taxpayers benefit from the potential for competitive pricing due to the open competition. The presence of multiple bidders helps ensure that the government is not overpaying for the required software and support services.
Public Impact
Beneficiaries of improved health data management and interoperability within the Social Security Administration. SSA employees who will utilize the HealthShare software for data integration and analysis. The contract supports the modernization of IT infrastructure within a key federal agency. Potential for improved efficiency in processing and managing health-related information.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Dependence on a single software platform could pose integration challenges if not managed effectively.
- Long-term vendor lock-in is a potential risk if future needs are not met by the current vendor.
- Cybersecurity risks associated with handling sensitive health data require robust mitigation strategies.
Positive Signals
- Firm fixed-price contract provides cost predictability.
- Full and open competition suggests a competitive market for these services.
- The contract duration allows for stable service delivery and support.
Sector Analysis
This contract falls within the Information Technology (IT) sector, specifically focusing on health information exchange and data management software. The market for such enterprise solutions is substantial, driven by the increasing need for interoperability and data analytics in healthcare and government. Comparable spending benchmarks would involve analyzing other large-scale IT procurements for specialized software and support services within federal agencies.
Small Business Impact
The data indicates this contract was not specifically set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. Therefore, the direct impact on the small business ecosystem is likely minimal unless the prime contractor voluntarily engages small businesses for support.
Oversight & Accountability
Oversight for this contract will likely be managed by the Social Security Administration's contracting officers and program managers. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified software and support. Transparency is generally maintained through federal procurement databases, though specific performance metrics and oversight reports may not be publicly available.
Related Government Programs
- Health Information Technology Services
- Enterprise Software Licensing and Support
- Federal Health Data Management Systems
- IT Infrastructure Modernization
Risk Flags
- Potential for vendor lock-in
- Data security and privacy risks
- Dependence on specialized software functionality
Tags
it-services, health-it, software-support, social-security-administration, firm-fixed-price, delivery-order, full-and-open-competition, virginia, large-contract, interoperability, data-management
Frequently Asked Questions
What is this federal contract paying for?
Social Security Administration awarded $17.4 million to FOUR POINTS TECHNOLOGY, L.L.C.. INTERSYSTEMS HEALTHSHARE SOFTWARE AND SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..
Which agency awarded this contract?
Awarding agency: Social Security Administration (Social Security Administration).
What is the total obligated amount?
The obligated amount is $17.4 million.
What is the period of performance?
Start: 2022-07-18. End: 2026-07-17.
What is the track record of FOUR POINTS TECHNOLOGY, L.L.C. in delivering similar health IT software and support services to federal agencies?
Assessing the track record of FOUR POINTS TECHNOLOGY, L.L.C. requires a review of their past performance on federal contracts, particularly those involving enterprise health software, data integration platforms like InterSystems HealthShare, and long-term support services. Information on contract performance ratings, any past disputes or contract terminations, and client satisfaction feedback would be crucial. While the provided data indicates this is a delivery order under a larger contract, understanding the company's history with the SSA or other agencies in similar capacities would shed light on their capability to meet the requirements of this specific award. A deeper dive into contract databases and agency performance evaluations would be necessary for a comprehensive assessment.
How does the awarded price compare to market rates for InterSystems HealthShare software and support services?
To benchmark the awarded price of approximately $17.4 million for InterSystems HealthShare software and support against market rates, one would need to consult industry pricing guides, analyze recent procurements for similar solutions, and potentially engage with market research firms. Factors such as the specific modules licensed, the level of support required (e.g., 24/7, tiered), the duration of the contract, and the volume of users or data processed all influence pricing. Given that this is a firm fixed-price contract awarded under full and open competition with two bidders, it suggests the price was deemed competitive at the time of award. However, without access to detailed pricing structures or comparable contract data, a precise market comparison is challenging.
What are the primary risks associated with this contract, and how are they being mitigated?
Primary risks associated with this contract include potential vendor lock-in, ensuring the security and privacy of sensitive health data, and the risk of the software not meeting evolving operational needs. Vendor lock-in is a common concern with specialized enterprise software; mitigation involves careful contract negotiation, ensuring clear exit strategies, and fostering an environment where the vendor remains responsive to the client's needs. Data security and privacy risks are mitigated through adherence to federal regulations (e.g., HIPAA, FISMA) and robust cybersecurity measures implemented by both the contractor and the SSA. The risk of the software becoming obsolete or insufficient is addressed through ongoing support, potential for future enhancements, and periodic reviews of the system's performance against SSA requirements.
What is the expected program effectiveness and impact of the InterSystems HealthShare software for the Social Security Administration?
The expected program effectiveness of the InterSystems HealthShare software for the Social Security Administration (SSA) centers on improving health data interoperability and management. This platform is designed to facilitate the seamless exchange, integration, and analysis of health information across different systems and stakeholders. For the SSA, this could translate into more efficient processing of health-related claims, better data-driven decision-making, enhanced reporting capabilities, and potentially improved service delivery to beneficiaries. The 'support services' component ensures the software remains operational, updated, and aligned with SSA's evolving IT landscape, thereby maximizing its long-term effectiveness and impact on agency operations.
How has the SSA's spending on IT services, particularly health-related software and support, trended over the past five years?
Analyzing the SSA's spending trends on IT services, especially health-related software and support, requires accessing historical federal procurement data. This would involve looking at the agency's obligations across relevant contract vehicles and categories over the last five fiscal years. Trends might indicate an increasing or decreasing reliance on external IT support, a shift towards cloud-based solutions, or specific investments in health data management technologies. Understanding these historical patterns provides context for the current $17.4 million award, helping to determine if it represents a significant increase, a continuation of existing investment levels, or a strategic shift in the SSA's IT procurement strategy for health-related systems.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 28321322Q00000143
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 13221 WOODLAND PARK RD, HERNDON, VA, 20171
Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $24,819,367
Exercised Options: $17,436,459
Current Obligation: $17,436,459
Actual Outlays: $16,683,171
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 47QTCA19D00MP
IDV Type: FSS
Timeline
Start Date: 2022-07-18
Current End Date: 2026-07-17
Potential End Date: 2026-07-17 00:00:00
Last Modified: 2025-08-12
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