HHS awards $10.2M contract to Truveta Inc. for data gathering and reporting services

Contract Overview

Contract Amount: $10,209,984 ($10.2M)

Contractor: Truveta Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2024-01-18

End Date: 2026-07-17

Contract Duration: 911 days

Daily Burn Rate: $11.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: DATA GATHERING AND REPORTING

Place of Performance

Location: BELLEVUE, KING County, WASHINGTON, 98004

State: Washington Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $10.2 million to TRUVETA INC for work described as: DATA GATHERING AND REPORTING Key points: 1. Contract value of $10.2 million over approximately 2.5 years suggests a significant investment in data infrastructure. 2. The contract was awarded under full and open competition, indicating a broad market search. 3. The use of a definitive contract type may imply a need for flexibility in service delivery. 4. Fixed-price contract terms aim to control costs and provide budget certainty. 5. The award to Truveta Inc. positions them as a key data provider for the CDC. 6. The North American Industry Classification System (NAICS) code 513210 points to a focus on software publishing and related services.

Value Assessment

Rating: good

The contract value of $10.2 million for data gathering and reporting over 911 days (approximately 2.5 years) appears reasonable given the scope. Benchmarking against similar large-scale data management contracts within federal health agencies would provide further context. The firm fixed-price structure suggests an effort to manage costs effectively, but detailed cost breakdowns are not available to assess profit margins.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which is a complex category. While it implies an initial broad competition, the exclusion of specific sources suggests a rationale for limiting the pool. The presence of 5 bids indicates a competitive process, but the exclusion clause warrants further investigation to understand its impact on overall price discovery and market fairness.

Taxpayer Impact: The full and open competition, even with exclusions, suggests an effort to secure competitive pricing for taxpayers. However, the exclusion of certain sources could potentially limit the most competitive offers from reaching the government.

Public Impact

The Centers for Disease Control and Prevention (CDC) will benefit from enhanced data gathering and reporting capabilities. This contract supports the delivery of critical public health data analysis and insights. The services provided are likely to have a national impact, informing public health strategies across the United States. The contract may indirectly impact the health tech and data analytics workforce through its execution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'EXCLUSION OF SOURCES' clause in the competition type requires further scrutiny to ensure it did not unduly restrict competition and potentially increase costs.
Lack of detailed performance metrics in the provided data makes it difficult to assess the contractor's historical performance or potential future effectiveness.
The definitive contract type, while offering flexibility, can sometimes lead to scope creep if not managed tightly.

Positive Signals

The award was made under full and open competition, indicating a broad market solicitation.
The firm fixed-price contract type provides cost certainty for the government.
The contract duration of over two years allows for sustained data gathering and reporting efforts.
The award to a single entity, Truveta Inc., suggests they possess specialized capabilities required for this data-intensive task.

Sector Analysis

This contract falls within the Software Publishers sector, specifically related to data gathering and reporting. The federal government's spending in this area is substantial, driven by the need for robust data analytics to inform policy and operations across various agencies. Comparable spending benchmarks would involve analyzing other large data management and analytics contracts awarded by agencies like HHS, CMS, or NIH, often falling under NAICS codes related to software, data processing, and IT services.

Small Business Impact

The data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this contract. There is no explicit mention of subcontracting requirements for small businesses. This suggests that the primary focus was on securing specialized capabilities, and the impact on the small business ecosystem may be limited unless Truveta Inc. proactively engages small businesses in its supply chain.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Health and Human Services (HHS) and the Centers for Disease Control and Prevention (CDC). As a definitive contract, it likely involves regular performance reviews and reporting requirements. Transparency is facilitated by the contract award notice, but detailed operational oversight mechanisms and specific inspector general jurisdiction over this particular data contract would require further examination of the contract's terms and conditions.

Related Government Programs

Federal Health Data Analytics Programs
CDC Data Modernization Initiative
Health Information Technology Services
Public Health Surveillance Systems
Government Data Management Contracts

Risk Flags

Competition Restriction
Data Security Risk
Performance Uncertainty
Contract Type Flexibility Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $10.2 million to TRUVETA INC. DATA GATHERING AND REPORTING

Who is the contractor on this award?

The obligated recipient is TRUVETA INC.

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 $10.2 million.

What is the period of performance?

Start: 2024-01-18. End: 2026-07-17.

What is Truveta Inc.'s track record with federal contracts, particularly within HHS or CDC?

Information regarding Truveta Inc.'s specific track record with federal contracts, especially within HHS or CDC, is not detailed in the provided data. A comprehensive review would require accessing federal procurement databases like SAM.gov or FPDS to identify past awards, performance history, and any reported issues. Truveta Inc. is known as a health data company formed by health systems, suggesting a strong background in healthcare data, but its direct federal contracting history needs independent verification to assess its suitability and past performance reliability for this specific $10.2 million award.

How does the $10.2 million contract value compare to similar data gathering and reporting contracts within the federal government?

The $10.2 million contract value for data gathering and reporting over approximately 2.5 years is a significant award, but its comparability depends heavily on the scope, complexity, and specific services required. Federal contracts for data analytics, software, and IT services can range from hundreds of thousands to billions of dollars. To benchmark this contract, one would need to compare it against other definitive contracts awarded by agencies like HHS, CMS, or NIH for similar data management, analysis, and reporting functions. Factors such as the volume of data, required analytical sophistication, security protocols, and user base size would influence the 'fairness' of the price. Without access to detailed service level agreements and specific deliverables, a precise comparison is challenging.

What are the primary risks associated with this contract, and how are they being mitigated?

Primary risks for this contract include data security and privacy breaches, potential for scope creep given the definitive contract type, contractor performance issues (e.g., failure to meet reporting deadlines or data quality standards), and potential vendor lock-in. Mitigation strategies likely involve robust data security protocols mandated by HHS, clear performance metrics and deliverables outlined in the contract, regular progress reviews, and potentially phased payments tied to milestones. The 'EXCLUSION OF SOURCES' aspect of the competition also presents a risk if it inadvertently limited the pool of highly capable and cost-effective vendors. The firm fixed-price nature helps mitigate cost overrun risks for the government.

What is the expected effectiveness of this contract in improving CDC's data gathering and reporting capabilities?

The expected effectiveness hinges on Truveta Inc.'s ability to deliver on the contract's specific requirements, which are not detailed here. If Truveta Inc. provides advanced data aggregation, cleaning, and analysis tools or services that streamline existing processes, the contract could significantly enhance the CDC's capabilities. This could lead to more timely and accurate public health insights, better-informed decision-making, and improved response to health crises. The success will be measured by the quality, timeliness, and utility of the data and reports generated, as well as the efficiency gains achieved by the CDC.

What are the historical spending patterns for data gathering and reporting services within the CDC or HHS?

Historical spending patterns for data gathering and reporting services within the CDC and HHS are substantial and growing, reflecting the increasing reliance on data-driven public health strategies. While specific figures for 'data gathering and reporting' as a distinct category are not provided, HHS and its agencies, including the CDC, consistently award billions of dollars annually for IT services, software, data analytics, and health information management. Spending in these areas has seen a steady increase over the past decade, driven by initiatives like the Meaningful Use program, the push for interoperability, and the need for advanced analytics to track disease outbreaks and population health trends. This $10.2 million contract is likely part of a larger, ongoing investment in the agency's data infrastructure.

What does the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' designation imply for this contract?

This designation implies that the contract was initially intended for full and open competition, meaning all responsible sources were permitted to submit offers. However, specific sources were subsequently excluded from consideration. The reasons for exclusion are critical and could range from national security concerns, past performance issues, inability to meet specific technical requirements, or proprietary technology limitations. While it suggests an attempt at broad competition, the exclusion raises questions about whether the most competitive landscape was achieved. The government must justify such exclusions, and understanding the rationale is key to assessing the fairness and potential cost-effectiveness of the procurement process.

Industry Classification

NAICS: Information › Software Publishers › Software Publishers

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&D › SPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 75D301-24-Q-77464

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1745 114TH AVE SE, BELLEVUE, WA, 98004

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $10,329,984

Exercised Options: $10,209,984

Current Obligation: $10,209,984

Actual Outlays: $7,958,322

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline