HHS Awards $3.6M for Supplemental Payment Reporting Guidance to American Institutes for Research

Contract Overview

Contract Amount: $3,603,388 ($3.6M)

Contractor: American Institutes for Research in the Behavioral Sciences

Awarding Agency: Department of Health and Human Services

Start Date: 2022-09-12

End Date: 2026-09-11

Contract Duration: 1,460 days

Daily Burn Rate: $2.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SUPPLEMENTAL PAYMENT REPORTING REQUIREMENTS AND GUIDANCE DEVELOPMENT AWARD OF WORK SOLICITED THROUGH RMADA2-TORP-2022-0008

Place of Performance

Location: GWYNN OAK, BALTIMORE County, MARYLAND, 21207

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $3.6 million to AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES for work described as: SUPPLEMENTAL PAYMENT REPORTING REQUIREMENTS AND GUIDANCE DEVELOPMENT AWARD OF WORK SOLICITED THROUGH RMADA2-TORP-2022-0008 Key points: 1. This contract focuses on developing guidance for supplemental payment reporting, a critical area for healthcare cost transparency. 2. The award was made under the RMADA2-TORP-2022-0008 solicitation, indicating a structured procurement process. 3. Research and Development in Social Sciences and Humanities is the sector, with a specific NAICS code of 541720. 4. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully.

Value Assessment

Rating: fair

The contract is a Delivery Order under a larger IDIQ, making direct pricing comparisons difficult. The Cost Plus Fixed Fee structure requires close monitoring to ensure value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. However, the specific details of the bidding and selection are not provided.

Taxpayer Impact: The $3.6 million award represents taxpayer investment in improving healthcare payment transparency and reporting standards.

Public Impact

Enhances transparency in healthcare payment systems. Aims to standardize reporting for supplemental payments. Supports the Centers for Medicare and Medicaid Services (CMS) in its regulatory functions. Could impact how healthcare providers report and receive payments. Invests in research to improve healthcare administration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher costs.
Long duration (4 years) increases risk of scope creep or changing requirements.
Specific details on performance metrics and deliverables are not fully clear from the provided data.

Positive Signals

Awarded under full and open competition.
Focuses on a critical area of healthcare policy (payment reporting).
Supports a key agency (CMS) in its mission.

Sector Analysis

This contract falls under Research and Development in the Social Sciences and Humanities (NAICS 541720). Spending in this sector is often project-based and focused on policy development or analysis, as is the case here with payment reporting guidance.

Small Business Impact

The data indicates that small business participation was not a specific requirement or outcome for this particular award (ss: false, sb: false). Further analysis would be needed to determine if small businesses were involved in the subcontracting opportunities.

Oversight & Accountability

The award is a Delivery Order under an IDIQ, suggesting a framework for oversight is already in place. However, the effectiveness of oversight for this specific task order, particularly regarding the Cost Plus Fixed Fee structure, will depend on CMS's monitoring capabilities.

Related Government Programs

Research and Development in the Social Sciences and Humanities
Department of Health and Human Services Contracting
Centers for Medicare and Medicaid Services Programs

Risk Flags

Cost Plus Fixed Fee structure carries inherent cost risk.
Long contract duration increases exposure to changing requirements or market conditions.
Potential for scope creep in R&D projects.
Reliance on contractor's internal controls for financial management.
Effectiveness of guidance depends on adoption and enforcement by CMS.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $3.6 million to AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES. SUPPLEMENTAL PAYMENT REPORTING REQUIREMENTS AND GUIDANCE DEVELOPMENT AWARD OF WORK SOLICITED THROUGH RMADA2-TORP-2022-0008

Who is the contractor on this award?

The obligated recipient is AMERICAN INSTITUTES FOR RESEARCH IN THE BEHAVIORAL SCIENCES.

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 $3.6 million.

What is the period of performance?

Start: 2022-09-12. End: 2026-09-11.

What specific metrics will be used to evaluate the success of the developed guidance in improving supplemental payment reporting?

The success of the guidance will likely be evaluated based on its clarity, comprehensiveness, and adoption rate by healthcare providers. CMS will probably assess whether the guidance effectively addresses ambiguities in current reporting, leads to more consistent data collection, and ultimately supports better oversight of healthcare spending and patient costs. Feedback from stakeholders and analysis of reporting data post-implementation will be crucial.

How will CMS mitigate the potential for cost overruns inherent in a Cost Plus Fixed Fee contract for this R&D effort?

CMS can mitigate cost overruns by establishing clear and detailed statements of work, setting realistic fixed fee targets based on thorough cost analysis, and implementing robust monitoring and reporting mechanisms. Regular reviews of contractor expenditures against the budget, strict change control processes, and performance-based incentives or penalties can also help manage costs effectively throughout the contract's duration.

What is the anticipated impact of this guidance on the accuracy and completeness of data used for healthcare policy decisions?

The guidance is expected to significantly improve the accuracy and completeness of data related to supplemental payments. By clarifying reporting requirements, it should reduce inconsistencies and errors, providing policymakers with more reliable information. This enhanced data quality can lead to better-informed decisions regarding healthcare reimbursement, program integrity, and the overall financial health of the healthcare system.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Social Sciences and Humanities

Product/Service Code: RESEARCH AND DEVELOPMENT › N – Health R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 1400 CRYSTAL DR 10TH FLR, ARLINGTON, VA, 22202

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

Financial Breakdown

Contract Ceiling: $4,523,826

Exercised Options: $3,603,388

Current Obligation: $3,603,388

Actual Outlays: $2,521,142

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $1,338,076

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75FCMC19D0082

IDV Type: IDC

Timeline