HHS awards $84M for HPMS website maintenance and enhancement to CGI Federal Inc
Contract Overview
Contract Amount: $84,231,846 ($84.2M)
Contractor: CGI Federal Inc.
Awarding Agency: Department of Health and Human Services
Start Date: 2019-02-01
End Date: 2023-11-30
Contract Duration: 1,763 days
Daily Burn Rate: $47.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: HPMS WEBSITE MAINTENANCE AND ENHANCEMENT SERVICES
Place of Performance
Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033
State: Virginia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $84.2 million to CGI FEDERAL INC. for work described as: HPMS WEBSITE MAINTENANCE AND ENHANCEMENT SERVICES Key points: 1. Contract value of $84.2M over nearly 5 years. 2. CGI Federal Inc. is the sole awardee. 3. Risk of limited competition and potential price escalation. 4. Services fall under Computer Systems Design.
Value Assessment
Rating: fair
The contract value of $84.2M over 1763 days suggests a significant investment. Benchmarking against similar IT services contracts is difficult without more granular data on specific enhancements and maintenance tasks.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating an initial attempt to solicit multiple bids. However, the award type is a Delivery Order, which may not fully reflect the competitive landscape for the underlying contract.
Taxpayer Impact: Taxpayer funds are being used for essential IT infrastructure maintenance and upgrades for critical health programs.
Public Impact
Ensures continued operation of the HPMS website, crucial for Medicare and Medicaid. Supports ongoing enhancements to improve user experience and system functionality. Potential for cost savings through competitive bidding, though specific savings are not detailed.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of detailed performance metrics.
- Potential for scope creep in enhancement services.
- Dependence on a single vendor for critical IT functions.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type helps control costs.
- Long-term contract provides stability for service delivery.
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending benchmarks for similar large-scale IT maintenance and enhancement contracts can vary widely based on complexity and scope.
Small Business Impact
The data does not indicate any specific set-asides for small businesses. The primary awardee, CGI Federal Inc., is a large corporation, suggesting limited direct opportunities for small businesses through this specific contract vehicle.
Oversight & Accountability
Oversight is likely managed by the Centers for Medicare and Medicaid Services (CMS). The firm fixed price structure provides some cost control, but ongoing monitoring of performance and scope is essential.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Limited visibility into specific enhancement details.
- Potential for vendor lock-in.
- Reliance on a single vendor for critical IT infrastructure.
- Lack of small business participation noted.
Tags
computer-systems-design-services, department-of-health-and-human-services, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $84.2 million to CGI FEDERAL INC.. HPMS WEBSITE MAINTENANCE AND ENHANCEMENT SERVICES
Who is the contractor on this award?
The obligated recipient is CGI FEDERAL INC..
Which agency awarded this contract?
Awarding agency: Department of Health and Human Services (Centers for Medicare and Medicaid Services).
What is the total obligated amount?
The obligated amount is $84.2 million.
What is the period of performance?
Start: 2019-02-01. End: 2023-11-30.
What specific enhancements were prioritized and how do they align with CMS strategic goals?
The provided data does not detail the specific enhancements included in the HPMS website maintenance and enhancement services contract. To assess alignment with CMS strategic goals, a review of the contract's statement of work and any associated project documentation would be necessary. This would clarify whether the enhancements focus on improving data accuracy, user accessibility, system security, or integration with other health IT systems.
What was the competitive landscape during the initial full and open competition phase?
While the contract was awarded under 'full and open competition,' the data does not provide details on the number of bids received or the specific evaluation criteria used. Understanding the competitive landscape would require accessing pre-award documentation. This information is crucial for assessing whether the competition effectively drove down prices and ensured the best value for the government.
How does the per-unit cost of maintenance and enhancement compare to industry benchmarks?
A precise per-unit cost benchmark is not available without a detailed breakdown of services rendered and their associated costs. The total contract value of $84.2M spread over nearly five years for website maintenance and enhancement is substantial. A thorough analysis would require comparing specific task order costs against industry standards for similar IT services, considering factors like complexity, required expertise, and service level agreements.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: TORPCMS190256
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 12601 FAIR LAKES CIR, FAIRFAX, VA, 22033
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $86,312,852
Exercised Options: $84,231,846
Current Obligation: $84,231,846
Actual Outlays: $41,788,481
Subaward Activity
Number of Subawards: 13
Total Subaward Amount: $4,030,087
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HHSM500201600021I
IDV Type: IDC
Timeline
Start Date: 2019-02-01
Current End Date: 2023-11-30
Potential End Date: 2024-01-31 00:00:00
Last Modified: 2024-06-07
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