HHS Awards $72.8M for Common Working File System Development and Maintenance to ODDBALL, INC

Contract Overview

Contract Amount: $72,801,586 ($72.8M)

Contractor: Oddball, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2021-11-22

End Date: 2026-11-30

Contract Duration: 1,834 days

Daily Burn Rate: $39.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: COMMON WORKING FILE SYSTEM DEVELOPMENT AND MAINTENANCE

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $72.8 million to ODDBALL, INC. for work described as: COMMON WORKING FILE SYSTEM DEVELOPMENT AND MAINTENANCE Key points: 1. Contract awarded for custom computer programming services. 2. Significant funding allocated for system development and maintenance. 3. Potential for long-term engagement with ODDBALL, INC. 4. Focus on Centers for Medicare and Medicaid Services (CMS) operations.

Value Assessment

Rating: fair

The contract's Time and Materials (T&M) pricing structure can lead to cost overruns if not closely managed. Benchmarking against similar custom programming contracts is difficult without more detailed scope information.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the Time and Materials pricing model may not always yield the most cost-effective outcome compared to fixed-price contracts.

Taxpayer Impact: Taxpayer funds are being used for essential IT system development and maintenance within a critical health agency. Effective management is key to ensuring value for money.

Public Impact

Ensures continued operation and enhancement of the Common Working File System, crucial for CMS. Supports the technological infrastructure of a major federal health agency. Potential impact on healthcare data management and accessibility. Creates jobs in the custom computer programming sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

T&M pricing risk
Potential for scope creep
Long-term contract duration

Positive Signals

Full and open competition
Essential IT system support
Experienced contractor

Sector Analysis

This contract falls within the IT services sector, specifically custom computer programming. The benchmark for similar contracts can vary widely based on complexity and duration, but $72.8M over nearly 5 years for a critical system is substantial.

Small Business Impact

The contract was awarded to ODDBALL, INC., which is not explicitly identified as a small business in the provided data. Further analysis would be needed to determine if small business participation was incorporated or if opportunities were missed.

Oversight & Accountability

The Centers for Medicare and Medicaid Services (CMS) is responsible for overseeing this contract. Robust oversight will be necessary to manage the T&M pricing and ensure the project stays within budget and scope.

Related Government Programs

Custom Computer Programming Services
Department of Health and Human Services Contracting
Centers for Medicare and Medicaid Services Programs

Risk Flags

Time and Materials pricing
Long contract duration
Potential for scope creep
Lack of explicit small business participation noted

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $72.8 million to ODDBALL, INC.. COMMON WORKING FILE SYSTEM DEVELOPMENT AND MAINTENANCE

Who is the contractor on this award?

The obligated recipient is ODDBALL, 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 $72.8 million.

What is the period of performance?

Start: 2021-11-22. End: 2026-11-30.

What specific metrics will CMS use to evaluate the value and effectiveness of the Common Working File System development and maintenance?

CMS will likely employ a combination of performance metrics, including system uptime, bug resolution times, user satisfaction surveys, and the successful implementation of new features. Key performance indicators (KPIs) tied to the system's ability to support core CMS functions, such as claims processing and data integrity, will be crucial for assessing overall value and effectiveness.

What are the primary risks associated with the Time and Materials pricing model for this contract, and how can they be mitigated?

The primary risk of T&M is uncontrolled cost escalation due to undefined scope or inefficient labor. Mitigation strategies include establishing clear labor rate ceilings, requiring detailed timesheets and justifications, implementing strict change control processes, and setting a not-to-exceed (NTE) amount for the contract. Regular performance reviews and milestone tracking are also essential.

How does this contract contribute to the overall modernization efforts within CMS, and what is the long-term impact on healthcare IT infrastructure?

This contract directly supports the modernization of CMS's IT infrastructure by ensuring the continued development and maintenance of a critical system. Its long-term impact includes enhancing the reliability and functionality of systems that underpin healthcare services, potentially leading to improved data management, more efficient processing, and better support for beneficiaries and providers.

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 - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1775 TYSONS BLVD, MCLEAN, VA, 22102

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

Financial Breakdown

Contract Ceiling: $73,526,455

Exercised Options: $72,801,586

Current Obligation: $72,801,586

Actual Outlays: $59,163,470

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F666GA

IDV Type: FSS

Timeline