HHS Awards $77.1M Contract to TMF Health Quality Institute for Management Consulting Services
Contract Overview
Contract Amount: $77,139,823 ($77.1M)
Contractor: TMF Health Quality Institute
Awarding Agency: Department of Health and Human Services
Start Date: 2025-05-28
End Date: 2030-05-27
Contract Duration: 1,825 days
Daily Burn Rate: $42.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: THE CONTRACTOR SHALL FURNISH THE NECESSARY PERSONNEL, MATERIALS, SERVICES, EQUIPMENT, AND FACILITIES (EXCEPT AS OTHERWISE SPECIFIED HEREIN), AND OTHERWISE DO ALL THE THINGS NECESSARY FOR OR INCIDENT TO THE PERFORMANCE OF THE WORK AS SET FORTH IN THE
Place of Performance
Location: AUSTIN, TRAVIS County, TEXAS, 78727
State: Texas Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $77.1 million to TMF HEALTH QUALITY INSTITUTE for work described as: THE CONTRACTOR SHALL FURNISH THE NECESSARY PERSONNEL, MATERIALS, SERVICES, EQUIPMENT, AND FACILITIES (EXCEPT AS OTHERWISE SPECIFIED HEREIN), AND OTHERWISE DO ALL THE THINGS NECESSARY FOR OR INCIDENT TO THE PERFORMANCE OF THE WORK AS SET FORTH IN THE Key points: 1. Contract awarded to TMF Health Quality Institute, a known entity in health quality. 2. The contract is for 'Other Management Consulting Services', indicating a broad scope. 3. With a duration of 5 years, this represents significant long-term investment. 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 value of $77.1M over 5 years averages $15.4M annually. Benchmarking is difficult without specific service details, but this appears to be a substantial investment for management consulting.
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 specific award mechanism is a 'Delivery Order', which might imply it's part of a larger indefinite-delivery indefinite-quantity (IDIQ) contract, potentially limiting the scope of the initial competition.
Taxpayer Impact: The use of full and open competition is generally positive for taxpayer value. However, the Cost Plus Fixed Fee structure requires diligent oversight to ensure costs remain reasonable and do not exceed the fixed fee.
Public Impact
Impacts healthcare policy and operational efficiency through consulting services. Potential for improved quality and cost-effectiveness in Medicare and Medicaid programs. Long-term commitment suggests critical and ongoing need for these services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type can incentivize higher costs.
- Lack of specific service details makes comprehensive value assessment challenging.
Positive Signals
- Awarded under full and open competition.
- Long-term contract (5 years) provides stability for critical services.
- Contractor is a specialized health quality institute.
Sector Analysis
This contract falls under 'Other Management Consulting Services' within the broader professional services sector. Annual spending in this category can vary widely, but $15.4M annually for specialized health quality consulting suggests a significant, focused investment.
Small Business Impact
The data indicates the contract was awarded under full and open competition, and the 'sb' (small business) flag is false. This suggests that small businesses were not specifically targeted or did not win this particular award, which is common for large, specialized contracts.
Oversight & Accountability
The Cost Plus Fixed Fee (CPFF) contract type necessitates robust oversight from CMS to ensure that costs are reasonable and that the contractor is delivering value. Monitoring performance against the fixed fee and adherence to the Statement of Work will be crucial for accountability.
Related Government Programs
- Other Management Consulting Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Cost Plus Fixed Fee contract type.
- Potential for cost overruns.
- Lack of specific service details in provided data.
- No explicit small business participation noted.
Tags
other-management-consulting-services, department-of-health-and-human-services, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $77.1 million to TMF HEALTH QUALITY INSTITUTE. THE CONTRACTOR SHALL FURNISH THE NECESSARY PERSONNEL, MATERIALS, SERVICES, EQUIPMENT, AND FACILITIES (EXCEPT AS OTHERWISE SPECIFIED HEREIN), AND OTHERWISE DO ALL THE THINGS NECESSARY FOR OR INCIDENT TO THE PERFORMANCE OF THE WORK AS SET FORTH IN THE
Who is the contractor on this award?
The obligated recipient is TMF HEALTH QUALITY INSTITUTE.
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 $77.1 million.
What is the period of performance?
Start: 2025-05-28. End: 2030-05-27.
How will the Cost Plus Fixed Fee structure be managed to ensure cost efficiency and prevent contractor overspending?
The Centers for Medicare and Medicaid Services (CMS) will need to implement stringent cost monitoring and auditing procedures. This includes regular reviews of incurred costs, verification of expenses against the contract's scope, and clear communication channels with TMF Health Quality Institute regarding budget adherence. Performance metrics tied to the fixed fee will also be essential to ensure value for money is achieved.
What specific management consulting services will be provided, and how do they align with current healthcare priorities?
While the contract specifies 'Other Management Consulting Services,' further details on the Statement of Work are needed to understand the precise services. However, given the contractor (TMF Health Quality Institute) and the awarding agency (CMS), it's likely these services relate to improving healthcare quality, efficiency, and patient outcomes within Medicare and Medicaid programs, potentially addressing areas like value-based care, data analytics, or program integrity.
What is the anticipated impact of this contract on the overall effectiveness of Medicare and Medicaid programs?
This contract is expected to enhance the effectiveness of Medicare and Medicaid programs by providing expert guidance on operational improvements, policy implementation, and quality initiatives. The long-term nature and significant value suggest a strategic investment aimed at optimizing program performance, potentially leading to better patient care, reduced administrative burdens, and more efficient resource allocation within these critical federal health programs.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Other Management Consulting Services
Product/Service Code: MEDICAL SERVICES › DEPENDENT MEDICARE SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: 75FCMC25RJ019
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 3107 OAK CREEK DRIVE SUITE 200, AUSTIN, TX, 78727
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: $77,139,823
Exercised Options: $77,139,823
Current Obligation: $77,139,823
Actual Outlays: $6,919,039
Subaward Activity
Number of Subawards: 4
Total Subaward Amount: $8,817,539
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 75FCMC19D0059
IDV Type: IDC
Timeline
Start Date: 2025-05-28
Current End Date: 2030-05-27
Potential End Date: 2030-05-27 00:00:00
Last Modified: 2025-11-26
More Contracts from TMF Health Quality Institute
- Quality Innovation Network/Quality Improvement Organizations (qin-Qio) Task Order — $85.4M (Department of Health and Human Services)
- TAS::75 0511::TAS Quality Improvement Organization — $34.8M (Department of Health and Human Services)
- Federal Contract — $32.4M (Department of Health and Human Services)
- TAS::75 0511::TAS Dependent Medicare Services — $30.9M (Department of Health and Human Services)
- FOR Other Functions — $26.6M (Department of Health and Human Services)
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 →