CMS awards $65.6M contract to Ventera LLC for QualityNet enterprise shared services

Contract Overview

Contract Amount: $65,604,091 ($65.6M)

Contractor: Ventera LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2023-04-18

End Date: 2026-04-30

Contract Duration: 1,108 days

Daily Burn Rate: $59.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE QUALITYNET ENTERPRISE SHARED SERVICES PROVIDES PLATFORM, INFRASTRUCTURE, AND SOFTWARE CAPABILITIES TO ENABLE THE CMS CENTER FOR CLINICAL STANDARDS AND QUALITY LINES OF BUSINESS IN THE SECURE ACCESS, MANAGEMENT AND OPTIMIZATION OF DATA AND INFORMA

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $65.6 million to VENTERA LLC for work described as: THE QUALITYNET ENTERPRISE SHARED SERVICES PROVIDES PLATFORM, INFRASTRUCTURE, AND SOFTWARE CAPABILITIES TO ENABLE THE CMS CENTER FOR CLINICAL STANDARDS AND QUALITY LINES OF BUSINESS IN THE SECURE ACCESS, MANAGEMENT AND OPTIMIZATION OF DATA AND INFORMA Key points: 1. Contract supports data management and optimization for CMS Center for Clinical Standards and Quality. 2. Ventera LLC, a single awardee, will provide platform, infrastructure, and software capabilities. 3. The contract runs from April 2023 to April 2026, with a total duration of 1108 days. 4. Spending is categorized under Computing Infrastructure Providers, Data Processing, and Related Services.

Value Assessment

Rating: good

The contract value of $65.6M over approximately three years appears reasonable for enterprise-level IT services. Benchmarking against similar large-scale cloud and data management 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, suggesting a competitive bidding process. This method is expected to yield fair market pricing and a robust selection of qualified vendors.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential IT services.

Public Impact

Ensures secure access, management, and optimization of critical healthcare data. Supports the operational needs of the CMS Center for Clinical Standards and Quality. Provides essential IT infrastructure and software for government healthcare initiatives. Enhances the efficiency and effectiveness of data-driven healthcare policy.

Waste & Efficiency Indicators

Waste Risk Score: 59 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically focusing on computing infrastructure and data processing. The $65.6M value is substantial for a single enterprise shared services contract, reflecting the complexity and scale of CMS's data needs.

Small Business Impact

The data indicates this contract was not set aside for small businesses and does not explicitly mention small business participation. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The contract is managed by the Centers for Medicare and Medicaid Services (CMS), a major agency within HHS. Oversight would involve regular performance reviews and adherence to federal IT security and data management regulations.

Related Government Programs

Risk Flags

Tags

computing-infrastructure-providers-data-, 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 $65.6 million to VENTERA LLC. THE QUALITYNET ENTERPRISE SHARED SERVICES PROVIDES PLATFORM, INFRASTRUCTURE, AND SOFTWARE CAPABILITIES TO ENABLE THE CMS CENTER FOR CLINICAL STANDARDS AND QUALITY LINES OF BUSINESS IN THE SECURE ACCESS, MANAGEMENT AND OPTIMIZATION OF DATA AND INFORMA

Who is the contractor on this award?

The obligated recipient is VENTERA LLC.

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 $65.6 million.

What is the period of performance?

Start: 2023-04-18. End: 2026-04-30.

What is the specific breakdown of costs for platform, infrastructure, and software components?

The provided data does not detail the cost breakdown for platform, infrastructure, and software. A comprehensive analysis would require access to the contract's detailed financial exhibits or performance work statement to understand how the $65.6M is allocated across these service categories and to assess value for money.

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

Key performance indicators are not detailed in the provided summary. Effective oversight would necessitate clearly defined KPIs related to service availability, data security, system performance, and user satisfaction to ensure Ventera LLC meets its contractual obligations and delivers value.

How does this contract align with CMS's broader IT modernization strategy?

This contract appears to align with modernization by providing essential shared services for data management. However, its specific role within a larger IT modernization roadmap, including integration with newer technologies or cloud migration strategies, requires further examination of CMS's strategic IT plans.

Industry Classification

NAICS: InformationComputing Infrastructure Providers, Data Processing, Web Hosting, and Related ServicesComputing Infrastructure Providers, Data Processing, Web Hosting, and Related Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 800 N GLEBE RD STE 500, ARLINGTON, VA, 22203

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

Financial Breakdown

Contract Ceiling: $101,708,645

Exercised Options: $65,604,091

Current Obligation: $65,604,091

Actual Outlays: $56,789,796

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA21D006H

IDV Type: FSS

Timeline

Start Date: 2023-04-18

Current End Date: 2026-04-30

Potential End Date: 2028-04-30 00:00:00

Last Modified: 2025-12-22

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