HHS awards $49.7M for Healthshare product licenses and support, with 38766 units delivered

Contract Overview

Contract Amount: $49,737,187 ($49.7M)

Contractor: Four Points Technology, L.L.C.

Awarding Agency: Department of Health and Human Services

Start Date: 2021-09-23

End Date: 2025-03-29

Contract Duration: 1,283 days

Daily Burn Rate: $38.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: CACHE, ENSEMBLE, HEALTHSHARE PRODUCT LICENSES AND PRODUCT SUPPORT SERVICES

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02142

State: Massachusetts Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $49.7 million to FOUR POINTS TECHNOLOGY, L.L.C. for work described as: CACHE, ENSEMBLE, HEALTHSHARE PRODUCT LICENSES AND PRODUCT SUPPORT SERVICES Key points: 1. Value for money appears reasonable given the scope of product licenses and ongoing support. 2. Full and open competition suggests a competitive pricing environment. 3. The contract duration and delivery order structure indicate potential for phased delivery and evolving needs. 4. Performance context is tied to NIH's need for specific health information technology solutions. 5. Sector positioning is within the broader health IT services market, supporting critical research infrastructure.

Value Assessment

Rating: good

The contract's total value of $49.7 million for licenses and support over approximately 2.5 years appears to be within a reasonable range for enterprise-level health IT solutions. Benchmarking against similar contracts for product licenses and maintenance in the federal health sector would provide a more precise value assessment. The firm fixed-price structure helps manage cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the competitive nature of the award process generally leads to more favorable pricing and a wider selection of qualified vendors. This approach helps ensure the government receives the best value.

Taxpayer Impact: Taxpayers benefit from a competitive process that drives down costs and ensures that the selected vendor offers the most advantageous terms and pricing for these essential health IT products and services.

Public Impact

The National Institutes of Health (NIH) benefits from access to critical Healthshare product licenses and support services. These services are essential for managing and disseminating health information, likely supporting research and public health initiatives. The geographic impact is primarily within the federal government's operational footprint, with potential downstream benefits for public health nationwide. Workforce implications include enabling federal employees and potentially contractors to utilize advanced health IT tools.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if alternative solutions are not considered in future procurements.
Reliance on a single vendor for critical product support could pose risks if the vendor's financial stability or service quality declines.

Positive Signals

Awarded through full and open competition, suggesting a robust vetting of potential providers.
Firm fixed-price contract type provides cost predictability for the government.
Long-term contract (over two years) indicates a sustained need and potential for stable service delivery.

Sector Analysis

The federal health IT sector is a significant and growing market, driven by the increasing digitization of healthcare and the need for robust data management and interoperability. This contract for Healthshare product licenses and support fits within this landscape, serving the specific needs of a major research institution like NIH. Comparable spending benchmarks in this area are difficult to pinpoint without more specific product details, but enterprise software licensing and support for large government agencies typically represent substantial investments.

Small Business Impact

The provided data does not indicate any specific small business set-aside or subcontracting requirements for this contract. As it was awarded under full and open competition, it's possible that small businesses could have participated as prime contractors or subcontractors, but there's no explicit information to confirm this. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Department of Health and Human Services (HHS) and specifically the National Institutes of Health (NIH). Accountability measures are inherent in the firm fixed-price contract type, requiring the vendor to deliver specified products and services. Transparency is generally maintained through federal procurement databases, though specific performance metrics and detailed spending breakdowns may not always be publicly available.

Related Government Programs

NIH Information Technology Acquisitions
Federal Health Information Exchange Programs
Enterprise Software Licensing
Health Data Management Systems

Risk Flags

Potential for vendor lock-in
Reliance on single vendor for critical support

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $49.7 million to FOUR POINTS TECHNOLOGY, L.L.C.. CACHE, ENSEMBLE, HEALTHSHARE PRODUCT LICENSES AND PRODUCT SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $49.7 million.

What is the period of performance?

Start: 2021-09-23. End: 2025-03-29.

What is the specific functionality and purpose of the 'Healthshare' products being licensed and supported under this contract?

The provided data identifies the contract as being for 'CACHE, ENSEMBLE, HEALTHSHARE PRODUCT LICENSES AND PRODUCT SUPPORT SERVICES.' While 'Healthshare' is mentioned, the specific functionalities of CACHE and Ensemble are not detailed. Generally, these types of platforms are associated with health information exchange (HIE), data integration, interoperability solutions, and potentially clinical data repositories or analytics platforms within healthcare organizations. They enable the seamless flow of health information between different systems and stakeholders, which is crucial for coordinated care, research, and public health reporting. The support services would cover maintenance, updates, troubleshooting, and potentially technical assistance for these complex software systems.

How does the per-unit cost of these licenses and support services compare to commercial market rates or similar federal contracts?

The provided data includes a 'br' (benchmark rate) of 38766, which might represent a per-unit cost or a related metric. However, without knowing the exact definition of this benchmark and the specific units being procured (e.g., per user, per server, per module), a direct comparison to commercial market rates or similar federal contracts is challenging. Typically, federal agencies negotiate volume discounts, and the pricing structure for enterprise software can be complex, involving initial license fees, annual maintenance/support costs, and potential add-on modules. A thorough analysis would require comparing the negotiated price per unit against publicly available pricing for comparable software or against historical data from similar government procurements.

What is the track record of FOUR POINTS TECHNOLOGY, L.L.C. in delivering similar health IT products and support services to federal agencies?

Information regarding the specific track record of FOUR POINTS TECHNOLOGY, L.L.C. in delivering 'Healthshare,' CACHE, or Ensemble product licenses and support services to federal agencies is not detailed in the provided data. A comprehensive assessment would involve reviewing past performance evaluations, contract history, and any reported issues or successes on similar government contracts. Federal procurement databases and contractor performance systems (like the Contractor Performance Assessment Reporting System - CPARS) would be the primary sources for evaluating their past performance, reliability, and customer satisfaction in delivering complex IT solutions.

What are the key performance indicators (KPIs) used to measure the success and effectiveness of the services provided under this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) for this contract. However, for product licenses and support services, typical KPIs would likely include metrics related to system uptime and availability, response times for technical support requests, resolution times for reported issues, successful deployment of software updates and patches, and adherence to service level agreements (SLAs). The effectiveness of the services would also be indirectly measured by the NIH's ability to leverage these tools for their intended research and operational purposes, such as improved data sharing, enhanced system performance, and successful implementation of new features.

How does the total spending on this contract compare to historical spending by NIH on similar health IT solutions?

The total award amount for this contract is $49.7 million over approximately 2.5 years. To compare this to historical spending, one would need to access NIH's procurement history for similar health information technology solutions, including software licenses, maintenance, and support services. This would involve searching federal spending databases (like USASpending.gov or agency-specific procurement portals) for contracts with similar Product Service Codes (PSCs) or keywords related to health information exchange, data management, and enterprise software within the NIH. Analyzing trends in spending over several fiscal years would reveal whether this award represents an increase, decrease, or stable level of investment in such technologies.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 75N98121Q00004

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 14900 CONFERENCE CENTER DR STE 100, CHANTILLY, VA, 20151

Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $72,209,546

Exercised Options: $49,737,187

Current Obligation: $49,737,187

Actual Outlays: $49,737,187

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HHSN316201500034W

IDV Type: GWAC

Timeline