HHS Awards $8.6M Contract for Administrative Support to Chenega Enterprise Systems & Solutions

Contract Overview

Contract Amount: $8,635,046 ($8.6M)

Contractor: Chenega Enterprise Systems & Solutions, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2023-09-06

End Date: 2026-09-17

Contract Duration: 1,107 days

Daily Burn Rate: $7.8K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: ADMINISTRATIVE, TECHNICAL AND PROFESSIONAL SUPPORT FOR DLS

Place of Performance

Location: ATLANTA, DEKALB County, GEORGIA, 30345

State: Georgia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $8.6 million to CHENEGA ENTERPRISE SYSTEMS & SOLUTIONS, LLC for work described as: ADMINISTRATIVE, TECHNICAL AND PROFESSIONAL SUPPORT FOR DLS Key points: 1. Contract awarded to a single entity, raising questions about competition. 2. The contract is for administrative, technical, and professional support services. 3. Potential for cost overruns exists due to the lack of competitive bidding. 4. The sector is administrative management and general management consulting.

Value Assessment

Rating: fair

The contract value is $8.6 million over approximately three years. Without comparable contract data or a competitive bidding process, it is difficult to assess if this pricing is optimal or represents fair market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, indicating a limited source selection. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition may result in the government paying more than necessary for these administrative support services.

Public Impact

Taxpayers may be overpaying for administrative support services due to a lack of competitive bidding. The CDC relies on this contract for essential administrative, technical, and professional support. The duration of the contract (nearly three years) means any inefficiencies could persist.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under administrative management and general management consulting services. Benchmarks for this sector can vary widely based on the specific services provided and the agency's needs.

Small Business Impact

The contract was not awarded to a small business. Further analysis would be needed to determine if small businesses were considered or had opportunities to participate.

Oversight & Accountability

Oversight is crucial to ensure the contractor delivers services effectively and within budget, especially given the limited competition. Regular performance reviews and cost audits are recommended.

Related Government Programs

Risk Flags

Tags

administrative-management-and-general-ma, department-of-health-and-human-services, ga, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $8.6 million to CHENEGA ENTERPRISE SYSTEMS & SOLUTIONS, LLC. ADMINISTRATIVE, TECHNICAL AND PROFESSIONAL SUPPORT FOR DLS

Who is the contractor on this award?

The obligated recipient is CHENEGA ENTERPRISE SYSTEMS & SOLUTIONS, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Centers for Disease Control and Prevention).

What is the total obligated amount?

The obligated amount is $8.6 million.

What is the period of performance?

Start: 2023-09-06. End: 2026-09-17.

What specific administrative, technical, and professional support services are included in this contract, and how are they essential to the CDC's mission?

The contract details are vague, listing 'ADMINISTRATIVE, TECHNICAL AND PROFESSIONAL SUPPORT FOR DLS'. To assess value, a breakdown of specific tasks, deliverables, and the criticality of each to the Division of Laboratory Sciences (DLS) is needed. Understanding the scope is key to determining if the $8.6 million is justified and if the services are truly indispensable.

What is the justification for awarding this contract on a limited competition basis, and what steps were taken to ensure fair pricing?

The data states the contract was 'NOT AVAILABLE FOR COMPETITION'. A thorough review of the justification for this limited competition is essential. Agencies must provide a strong rationale, such as a sole-source provider or urgent need. Without this, it's difficult to ascertain if taxpayer funds are being used efficiently or if alternative, more competitive options were overlooked.

How will the CDC measure the effectiveness and efficiency of the services provided under this contract to ensure optimal value for taxpayer money?

Effectiveness will be measured by the contractor's ability to meet defined performance standards and deliverables outlined in the contract. The CDC should implement robust performance monitoring, including regular reporting and feedback mechanisms. Evaluating the contractor's impact on DLS operations and achieving specific programmatic goals will be key to ensuring value and accountability.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: 75D301-23-Q-76210

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 609 INDEPENDENCE PKWY, CHESAPEAKE, VA, 23320

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: $17,573,321

Exercised Options: $8,635,046

Current Obligation: $8,635,046

Actual Outlays: $5,848,147

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-09-06

Current End Date: 2026-09-17

Potential End Date: 2027-09-17 00:00:00

Last Modified: 2026-02-26

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