HHS Awards $62.8M T-MSIS Contract to ESIMPLICITY INC for Medicaid Data System Development
Contract Overview
Contract Amount: $62,796,114 ($62.8M)
Contractor: Esimplicity Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2022-09-18
End Date: 2026-07-17
Contract Duration: 1,398 days
Daily Burn Rate: $44.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 16
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: THE PURPOSE OF THIS REQUEST FOR CONTRACT IS TO RECOMPETE THE TRANSFORMED MEDICAID STATISTICAL INFORMATION SYSTEM (T-MSIS) CONTRACT. THE PURPOSE OF THIS CONTRACT IS TO SECURE COMPREHENSIVE SERVICES TO LEAD THE PRODUCT DEVELOPMENT, SECURITY, OPERATIONS
Place of Performance
Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $62.8 million to ESIMPLICITY INC for work described as: THE PURPOSE OF THIS REQUEST FOR CONTRACT IS TO RECOMPETE THE TRANSFORMED MEDICAID STATISTICAL INFORMATION SYSTEM (T-MSIS) CONTRACT. THE PURPOSE OF THIS CONTRACT IS TO SECURE COMPREHENSIVE SERVICES TO LEAD THE PRODUCT DEVELOPMENT, SECURITY, OPERATIONS Key points: 1. Contract aims to re-compete and enhance the T-MSIS system for comprehensive Medicaid data services. 2. ESIMPLICITY INC secures a significant contract for product development, security, and operations. 3. The award is part of the Centers for Medicare and Medicaid Services' ongoing efforts to improve data management. 4. This contract focuses on critical IT infrastructure for healthcare data analysis and reporting.
Value Assessment
Rating: good
The contract value of $62.8 million over approximately 4 years appears reasonable for a complex IT system development and operations contract. Benchmarking against similar large-scale government IT projects suggests this pricing is within expected ranges.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method allows multiple vendors to bid, fostering competitive pricing and ensuring the government receives best value.
Taxpayer Impact: The competitive nature of this award is expected to yield fair pricing, maximizing taxpayer value for essential Medicaid data system services.
Public Impact
Improved access to and analysis of Medicaid data for policy decisions. Enhanced security and operational efficiency of the T-MSIS system. Potential for better healthcare outcomes through data-driven insights. Ensures continuity of critical government IT services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in product development.
- Reliance on a single vendor for critical system operations.
- Ensuring data privacy and security compliance.
Positive Signals
- Clear re-compete strategy for a vital system.
- Focus on modernization and enhanced capabilities.
- Awarded through full and open competition.
Sector Analysis
This contract falls within the Computer Systems Design Services sector, a critical area for government IT modernization. Spending in this sector is substantial, with significant investment in data management and system development for agencies like CMS.
Small Business Impact
The data indicates this contract was awarded to ESIMPLICITY INC and does not specify any small business set-asides or subcontracting requirements. 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 government oversight mechanisms, including performance reviews and financial audits, should be in place to ensure accountability.
Related Government Programs
- Computer Systems Design Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Potential for vendor lock-in.
- Complexity of managing large-scale IT development.
- Ensuring data integrity and security.
- Dependency on a single contractor for critical operations.
Tags
computer-systems-design-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 $62.8 million to ESIMPLICITY INC. THE PURPOSE OF THIS REQUEST FOR CONTRACT IS TO RECOMPETE THE TRANSFORMED MEDICAID STATISTICAL INFORMATION SYSTEM (T-MSIS) CONTRACT. THE PURPOSE OF THIS CONTRACT IS TO SECURE COMPREHENSIVE SERVICES TO LEAD THE PRODUCT DEVELOPMENT, SECURITY, OPERATIONS
Who is the contractor on this award?
The obligated recipient is ESIMPLICITY 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 $62.8 million.
What is the period of performance?
Start: 2022-09-18. End: 2026-07-17.
What are the key performance indicators (KPIs) for the T-MSIS contract, and how will their achievement be measured to ensure value for money?
Key performance indicators likely focus on system uptime, data accuracy, security compliance, and timely delivery of new features. CMS will measure these through regular performance reports, audits, and user feedback. Success in meeting these KPIs will demonstrate value by ensuring the T-MSIS system effectively supports Medicaid program integrity and policy analysis.
What are the primary risks associated with the T-MSIS contract's product development and security components, and what mitigation strategies are in place?
Primary risks include potential delays in product development, cybersecurity threats, and integration challenges with existing systems. Mitigation strategies likely involve phased development, robust security protocols, regular vulnerability assessments, and contingency planning. Strong contract management and clear communication channels with ESIMPLICITY INC are crucial for addressing these risks proactively.
How will the effectiveness of the T-MSIS contract be evaluated in terms of its impact on Medicaid program administration and policy-making?
Effectiveness will be evaluated by assessing the system's ability to provide timely, accurate, and comprehensive data for state Medicaid programs and federal oversight. Metrics may include improved reporting capabilities, enhanced data analytics for identifying trends and inefficiencies, and support for evidence-based policy development. User satisfaction surveys and analysis of policy decisions informed by T-MSIS data will also gauge effectiveness.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 16
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Esimplicity, Inc.
Address: 1751 ELTON RD, SILVER SPRING, MD, 20903
Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Economically Disadvantaged Women Owned Small Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $81,901,907
Exercised Options: $62,796,114
Current Obligation: $62,796,114
Actual Outlays: $47,720,514
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 47QTCA19D00KH
IDV Type: FSS
Timeline
Start Date: 2022-09-18
Current End Date: 2026-07-17
Potential End Date: 2027-05-17 00:00:00
Last Modified: 2026-01-28
More Contracts from Esimplicity Inc
- THE Qdas Will Meet the Following Data and Analytic Goals and Initiatives by Establishing a Streamlined and Common Service That: A) Provides Data Management, Analytics, Reporting and Agile Development Services B) Uses Agile Development Rapid-Cycle T — $96.2M (Department of Health and Human Services)
- CQP Which Will Provide Expertise in Salesforce Application and API Development to Support ALL Existing and Future System Development on the CQP Platform — $63.5M (Department of Health and Human Services)
- Online Passport Enhancement, Renewal and Application Services (operas) — $4.7M (Department of State)
- Data Analytics Support Services to SBA OIG — $4.3M (Department of the Interior)
- BDC Wireless Network Engineering and Consulting Services — $3.3M (Federal Communications Commission)
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 →