HHS Awards $23.3M for System Enhancements to Flexion Inc. under Full and Open Competition
Contract Overview
Contract Amount: $23,309,828 ($23.3M)
Contractor: Flexion Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2021-02-03
End Date: 2024-09-14
Contract Duration: 1,319 days
Daily Burn Rate: $17.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: THE SCORING AND FEEDBACK TEAM SHALL PERFORM ENHANCEMENTS TO SYSTEM MECHANISMS USED TO RETRIEVE RECEIVE AND OR UPDATE OUTSIDE DATA SOURCES LISTED ABOVE RELEVANT TO SCORE CALCULATIONS AND FEEDBACK. FURTHER THE TEAM SHALL MAKE AN ONGOING EFFORT TO ENHAN
Place of Performance
Location: SUN PRAIRIE, DANE County, WISCONSIN, 53590
Plain-Language Summary
Department of Health and Human Services obligated $23.3 million to FLEXION INC for work described as: THE SCORING AND FEEDBACK TEAM SHALL PERFORM ENHANCEMENTS TO SYSTEM MECHANISMS USED TO RETRIEVE RECEIVE AND OR UPDATE OUTSIDE DATA SOURCES LISTED ABOVE RELEVANT TO SCORE CALCULATIONS AND FEEDBACK. FURTHER THE TEAM SHALL MAKE AN ONGOING EFFORT TO ENHAN Key points: 1. Contract awarded to Flexion Inc. for system enhancements related to score calculations and feedback. 2. The contract falls under the 'Custom Computer Programming Services' category. 3. Competition was full and open, suggesting a competitive bidding process. 4. The contract duration is 1319 days, ending in September 2024.
Value Assessment
Rating: fair
The contract value of $23.3M over approximately 3.5 years for custom programming services appears within a reasonable range for complex system enhancements. Benchmarking against similar large-scale IT development contracts would provide a more precise assessment.
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 had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value.
Taxpayer Impact: The competitive nature of the award suggests that taxpayers are likely receiving a fair price for the services rendered, as multiple vendors vied for the contract.
Public Impact
Enhancements to scoring and feedback systems could improve the efficiency and accuracy of CMS operations. The project involves updating data retrieval and processing mechanisms, potentially impacting how Medicare and Medicaid data is managed. Flexion Inc. will be responsible for ongoing efforts to enhance these critical system mechanisms. The contract's duration suggests a significant, long-term development effort.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in the provided data.
- Potential for scope creep in long-term system enhancement projects.
- Dependence on a single vendor (Flexion Inc.) for critical system updates.
Positive Signals
- Awarded under full and open competition.
- Clear objective for system enhancements.
- Long contract duration allows for thorough development and testing.
Sector Analysis
This contract falls within the Information Technology sector, specifically custom computer programming. Spending in this area is substantial across federal agencies for maintaining and upgrading complex systems like those managed by CMS.
Small Business Impact
The data indicates this contract was not set aside for small businesses, and there is no information provided on small business subcontracting goals or achievements. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The Centers for Medicare and Medicaid Services (CMS) is responsible for overseeing this contract. Standard federal procurement regulations and oversight mechanisms would apply to ensure performance and accountability.
Related Government Programs
- Custom Computer Programming Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Potential for vendor lock-in despite initial full and open competition.
- Risk of cost overruns if project scope expands beyond initial requirements.
- Dependence on Flexion Inc.'s technical expertise for critical system functions.
- Data security and privacy concerns related to handling sensitive health data.
Tags
custom-computer-programming-services, department-of-health-and-human-services, wi, bpa-call, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $23.3 million to FLEXION INC. THE SCORING AND FEEDBACK TEAM SHALL PERFORM ENHANCEMENTS TO SYSTEM MECHANISMS USED TO RETRIEVE RECEIVE AND OR UPDATE OUTSIDE DATA SOURCES LISTED ABOVE RELEVANT TO SCORE CALCULATIONS AND FEEDBACK. FURTHER THE TEAM SHALL MAKE AN ONGOING EFFORT TO ENHAN
Who is the contractor on this award?
The obligated recipient is FLEXION 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 $23.3 million.
What is the period of performance?
Start: 2021-02-03. End: 2024-09-14.
What specific system mechanisms are being enhanced, and what are the expected improvements in score calculations and feedback?
The provided data does not detail the specific system mechanisms undergoing enhancement. However, the objective is to improve the retrieval, reception, and updating of outside data sources relevant to score calculations and feedback. Expected improvements likely include increased accuracy, efficiency, and potentially new functionalities in reporting and analysis for CMS programs.
What are the key performance indicators (KPIs) for this contract, and how will Flexion Inc.'s performance be measured?
Key performance indicators and specific measurement criteria for Flexion Inc.'s performance are not detailed in the provided data. Typically, such contracts would include metrics related to system uptime, data accuracy, processing speed, successful integration of new features, and adherence to project timelines. The contracting officer's representative (COR) would monitor these aspects.
How does the $23.3M contract value compare to similar custom computer programming services contracts awarded by CMS or other federal health agencies?
Without specific benchmarks for comparable custom computer programming services contracts within the federal health sector, it is difficult to definitively assess the value. However, $23.3M over 1319 days for significant system enhancements suggests a substantial undertaking. A detailed market research report or analysis of similar contracts would be necessary for a precise comparison.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - IT MANAGEMENT
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Flexion Inc.
Address: 1500 W MAIN ST STE 500, SUN PRAIRIE, WI, 53590
Business Categories: Category Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $23,309,828
Exercised Options: $23,309,828
Current Obligation: $23,309,828
Actual Outlays: $19,581,617
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: HHSM500201600010B
IDV Type: BPA
Timeline
Start Date: 2021-02-03
Current End Date: 2024-09-14
Potential End Date: 2024-09-14 00:00:00
Last Modified: 2025-02-27
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