HHS awards $37.4M ServiceNow contract to ICF for CMS, highlighting custom programming services

Contract Overview

Contract Amount: $37,388,955 ($37.4M)

Contractor: ICF Incorporated, L.L.C.

Awarding Agency: Department of Health and Human Services

Start Date: 2022-08-01

End Date: 2026-07-31

Contract Duration: 1,460 days

Daily Burn Rate: $25.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SERVICENOW APPLICATION DEVELOPMENT & WORKFLOW (SNOW) DESIGN CONTRACT

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $37.4 million to ICF INCORPORATED, L.L.C. for work described as: SERVICENOW APPLICATION DEVELOPMENT & WORKFLOW (SNOW) DESIGN CONTRACT Key points: 1. Contract focuses on custom computer programming services for ServiceNow. 2. ICF Incorporated, L.L.C. is the sole awardee. 3. The contract is a Firm Fixed Price delivery order. 4. Spending is concentrated within Maryland. 5. No small business participation noted.

Value Assessment

Rating: good

The contract value of $37.4M over 4 years for custom programming services appears reasonable. Benchmarking against similar custom software development contracts is needed for a definitive assessment.

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. This method generally promotes price discovery and potentially better pricing for the government.

Taxpayer Impact: The $37.4M expenditure represents taxpayer funds allocated to enhance federal IT infrastructure and workflow management at CMS.

Public Impact

Enhances critical healthcare IT systems at CMS. Supports workflow automation and application development. Potential for improved efficiency in healthcare services delivery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically custom computer programming services. Benchmarks for similar federal IT development contracts vary widely based on scope and complexity, but $37.4M for a 4-year ServiceNow engagement is within a typical range for significant federal projects.

Small Business Impact

The data indicates no small business participation in this contract. Further investigation may be warranted to understand if opportunities were missed or if the nature of the work precluded small business involvement.

Oversight & Accountability

The contract is a delivery order under a larger framework, suggesting it has undergone some level of initial review. Ongoing oversight by CMS will be crucial to ensure performance and cost-effectiveness.

Related Government Programs

Risk Flags

Tags

custom-computer-programming-services, department-of-health-and-human-services, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $37.4 million to ICF INCORPORATED, L.L.C.. SERVICENOW APPLICATION DEVELOPMENT & WORKFLOW (SNOW) DESIGN CONTRACT

Who is the contractor on this award?

The obligated recipient is ICF INCORPORATED, L.L.C..

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 $37.4 million.

What is the period of performance?

Start: 2022-08-01. End: 2026-07-31.

What is the specific scope of work for ServiceNow application development and workflow?

The provided data does not detail the specific applications or workflows being developed. Understanding the precise functionalities, integrations, and user base impacted by this ServiceNow contract is essential for a comprehensive value assessment. This information would clarify the criticality and potential benefits of the development efforts.

What are the key performance indicators (KPIs) for this contract?

Key performance indicators are not specified in the provided data. Establishing clear KPIs related to application performance, user adoption, workflow efficiency gains, and system uptime is crucial for measuring the success of this ServiceNow development contract and ensuring accountability.

How does the cost compare to similar ServiceNow implementations in other federal agencies?

A direct cost comparison is difficult without detailed scope information. However, the $37.4M value over four years for custom development suggests a significant investment. Benchmarking against contracts with similar complexity, user numbers, and module implementations in other agencies would provide valuable context for cost-effectiveness.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - DELIVERY

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 75FCMC22R0014

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: ICF International, Inc.

Address: 1902 RESTON METRO PLAZA, RESTON, VA, 20190

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $38,441,470

Exercised Options: $37,388,955

Current Obligation: $37,388,955

Actual Outlays: $32,261,288

Subaward Activity

Number of Subawards: 8

Total Subaward Amount: $2,515,172

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F328DA

IDV Type: FSS

Timeline

Start Date: 2022-08-01

Current End Date: 2026-07-31

Potential End Date: 2026-07-31 00:00:00

Last Modified: 2025-07-29

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