HHS Awards $29.8M for Site Verification in Eastern US to Palmetto GBA, LLC
Contract Overview
Contract Amount: $29,777,479 ($29.8M)
Contractor: Palmetto GBA, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2020-08-19
End Date: 2026-03-07
Contract Duration: 2,026 days
Daily Burn Rate: $14.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: Healthcare
Official Description: THE CONTRACTOR WILL BE RESPONSIBLE FOR PERFORMING SITE VERIFICATION IN THE EASTERN UNITED STATES OF AMERICA.
Place of Performance
Location: COLUMBIA, RICHLAND County, SOUTH CAROLINA, 29202
Plain-Language Summary
Department of Health and Human Services obligated $29.8 million to PALMETTO GBA, LLC for work described as: THE CONTRACTOR WILL BE RESPONSIBLE FOR PERFORMING SITE VERIFICATION IN THE EASTERN UNITED STATES OF AMERICA. Key points: 1. Contract awarded via full and open competition, suggesting market availability of services. 2. The contract value of $29.8M over approximately 5.7 years indicates a significant investment. 3. Primary risk lies in the contractor's ability to execute site verification effectively across a large geographic area. 4. The 'All Other Professional, Scientific, and Technical Services' sector is broad, making direct benchmarking challenging.
Value Assessment
Rating: good
The contract value of $29.8M for site verification services appears reasonable given the 5.7-year duration and broad geographic scope. Benchmarking is difficult without specific service details, but the firm fixed-price structure provides cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors were likely considered. This method generally promotes competitive pricing and ensures the government receives fair market value.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary services.
Public Impact
Ensures accuracy of healthcare provider locations and operational status. Supports CMS oversight of healthcare programs and beneficiary protection. Potential impact on healthcare provider onboarding and compliance processes.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Geographic dispersion of verification sites.
- Potential for scope creep in verification tasks.
- Contractor performance monitoring challenges.
Positive Signals
- Firm fixed-price contract limits cost overruns.
- Full and open competition suggests potential for competitive pricing.
- Clear contract end date provides predictability.
Sector Analysis
This contract falls under 'All Other Professional, Scientific, and Technical Services,' a broad category. Spending in this area can vary widely based on specific needs, but site verification is a critical function for regulatory bodies like CMS.
Small Business Impact
The data does not indicate specific set-asides for small businesses. Given the nature of the contract and the prime contractor, it's possible that subcontracting opportunities may exist, but this is not explicitly stated.
Oversight & Accountability
Oversight will be crucial to ensure Palmetto GBA, LLC meets the rigorous requirements of site verification across the Eastern United States. CMS will need robust performance metrics and regular reviews.
Related Government Programs
- All Other Professional, Scientific, and Technical Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Contract duration is substantial (5.7 years).
- Broad geographic scope presents logistical challenges.
- Potential for performance issues impacting program integrity.
- Lack of specific small business participation details.
- Definition of 'site verification' scope needs clarity.
Tags
all-other-professional-scientific-and-te, department-of-health-and-human-services, sc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $29.8 million to PALMETTO GBA, LLC. THE CONTRACTOR WILL BE RESPONSIBLE FOR PERFORMING SITE VERIFICATION IN THE EASTERN UNITED STATES OF AMERICA.
Who is the contractor on this award?
The obligated recipient is PALMETTO GBA, LLC.
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 $29.8 million.
What is the period of performance?
Start: 2020-08-19. End: 2026-03-07.
What specific criteria are used to define successful site verification, and how are these measured?
Successful site verification likely involves confirming the physical location, operational status, and adherence to regulatory standards of healthcare facilities. Metrics may include the percentage of sites verified accurately, timeliness of reports, and compliance with established protocols. CMS would define these criteria in the contract's Statement of Work.
What are the potential risks if site verification is not performed accurately or comprehensively?
Inaccurate or incomplete site verification could lead to fraudulent healthcare providers operating within Medicare and Medicaid, potentially resulting in improper payments and risks to beneficiary safety. It could also hinder CMS's ability to maintain an accurate provider directory and enforce program integrity.
How does this contract contribute to the overall effectiveness of CMS's program integrity efforts?
This contract is vital for CMS's program integrity by ensuring that only legitimate and properly operating healthcare entities are enrolled in and reimbursed by Medicare and Medicaid. Accurate site verification acts as a foundational control against fraud, waste, and abuse.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 17 TECHNOLOGY CIR, COLUMBIA, SC, 29203
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $29,782,479
Exercised Options: $29,777,479
Current Obligation: $29,777,479
Actual Outlays: $25,303,501
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: 75FCMC20D0021
IDV Type: IDC
Timeline
Start Date: 2020-08-19
Current End Date: 2026-03-07
Potential End Date: 2026-03-07 00:00:00
Last Modified: 2026-02-27
More Contracts from Palmetto GBA, LLC
- JM AB MAC Award — $1.1B (Department of Health and Human Services)
- Part A/Part B Medicare Administrative Contractor (MAC) Jurisdiction M (JM) — $635.6M (Department of Health and Human Services)
- A/B MAC Jurisdiction J — $496.5M (Department of Health and Human Services)
- Other Government Insurance Programs — $455.0M (Department of Health and Human Services)
- TAS::75 0511::TAS Jurisdiction 11 A/B Medicare Administrative Contractor Services — $429.1M (Department of Health and Human Services)
Other Department of Health and Human Services Contracts
- Contact Center Operations (CCO) — $5.5B (Maximus Federal Services, Inc.)
- TAS::75 0849::TAS Oper of Govt R&D Goco Facilities — $4.8B (Leidos Biomedical Research Inc)
- THE Purpose of This Contract IS to Provide the Full Complement of Services Necessary to Care for UC in ORR Custody Including Facilities Set-Up, Maintenance, and Support Internal and Perimeter (IF Applicable) Security, Direct Care and Supervision Inc — $3.5B (Rapid Deployment Inc)
- Contact Center Operations — $2.6B (Maximus Federal Services, Inc.)
- Federal Contract — $2.4B (Leidos Biomedical Research Inc)
View all Department of Health and Human Services contracts →