HHS awarded $26.6M contract for administrative management consulting services to TMF Health Quality Institute

Contract Overview

Contract Amount: $26,630,108 ($26.6M)

Contractor: TMF Health Quality Institute

Awarding Agency: Department of Health and Human Services

Start Date: 2013-06-26

End Date: 2017-06-30

Contract Duration: 1,465 days

Daily Burn Rate: $18.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF FOR OTHER FUNCTIONS

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78730

State: Texas Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $26.6 million to TMF HEALTH QUALITY INSTITUTE for work described as: IGF::OT::IGF FOR OTHER FUNCTIONS Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1465 days indicates a significant, long-term need for these services. 3. The firm-fixed-price contract type helps manage cost certainty for the government. 4. Services fall under Administrative Management and General Management Consulting, a broad category. 5. Awarded by the Centers for Medicare and Medicaid Services (CMS), indicating a focus on healthcare administration. 6. The contract was an "Delivery Order" which is a type of task order under a larger contract.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific details on the services rendered and comparable contracts. The total award amount of $26.6 million over approximately four years suggests a moderate annual spend. However, without knowing the specific deliverables and performance metrics, it's difficult to definitively assess value for money. The firm-fixed-price structure provides some cost control, but the overall efficiency depends on the contractor's performance and the necessity of the services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition,' indicating that all responsible sources were permitted to submit a bid. This suggests a robust bidding environment, which typically leads to better price discovery and potentially more competitive pricing for the government. The fact that it was competed openly is a positive sign for taxpayer value.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down costs and encourage innovation from multiple vendors.

Public Impact

Beneficiaries include federal agencies within the Department of Health and Human Services, specifically CMS, seeking administrative management support. Services delivered likely involve improving the efficiency and effectiveness of healthcare program administration. The geographic impact is primarily federal, supporting national healthcare initiatives, though specific project locations are not detailed. Workforce implications are indirect, potentially affecting federal employees by streamlining administrative processes and supporting policy implementation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the true value and impact of the consulting services.
The broad nature of 'Administrative Management and General Management Consulting Services' could lead to scope creep if not tightly managed.
Reliance on a single contractor for a significant duration (1465 days) could reduce future competitive pressure if not managed proactively.

Positive Signals

Awarded through full and open competition, indicating a fair and transparent procurement process.
Firm-fixed-price contract type provides cost certainty and incentivizes the contractor to manage expenses.
The contract is managed by CMS, a key agency within HHS, suggesting alignment with critical healthcare policy objectives.

Sector Analysis

This contract falls within the professional services sector, specifically management consulting. The federal government is a significant consumer of these services to improve operational efficiency, implement new policies, and manage complex programs. Comparable spending benchmarks would involve looking at other large-scale administrative consulting contracts awarded by federal agencies, particularly within the healthcare domain, to assess if the $26.6 million award is within typical ranges for similar scope and duration.

Small Business Impact

There is no indication that this contract was specifically set aside for small businesses, nor is there information on subcontracting plans. Given the award amount and the nature of the services, it is likely that larger, established consulting firms were the primary bidders. Further analysis would be needed to determine if any small business participation was mandated or occurred voluntarily.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program officials within the Centers for Medicare and Medicaid Services. Accountability measures are inherent in the firm-fixed-price contract structure, which ties payment to deliverables. Transparency is generally facilitated through federal procurement databases like FPDS, where contract awards are recorded, though detailed performance reports may not always be publicly available.

Related Government Programs

HHS Administrative Support Contracts
CMS Management Consulting Services
Federal Healthcare Consulting
General Management Consulting Services

Risk Flags

Contract Duration
Scope Definition
Performance Measurement

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $26.6 million to TMF HEALTH QUALITY INSTITUTE. IGF::OT::IGF FOR OTHER FUNCTIONS

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 $26.6 million.

What is the period of performance?

Start: 2013-06-26. End: 2017-06-30.

What specific types of administrative management and general management consulting services were provided under this contract?

The provided data indicates the contract falls under NAICS code 541611 (Administrative Management and General Management Consulting Services). This broad category can encompass a wide range of activities, including strategic planning, organizational design, process improvement, performance management, and general management advice. Without access to the specific Statement of Work (SOW) or contract deliverables, it is impossible to detail the exact services rendered. However, given the awarding agency (CMS), the services likely supported the administration, oversight, or improvement of federal healthcare programs, potentially involving policy analysis, operational efficiency studies, or program management support.

How does the $26.6 million award compare to similar contracts for administrative consulting services within HHS or CMS?

Comparing the $26.6 million award requires access to a broader dataset of similar contracts. However, for a contract spanning approximately four years (1465 days), this award represents an average annual value of roughly $6.65 million. This figure is substantial and suggests a significant scope of work. To benchmark effectively, one would need to analyze other firm-fixed-price contracts awarded by CMS or HHS for administrative and management consulting services with similar durations and service descriptions. Factors like the specific deliverables, the level of expertise required, and the number of bidders would influence comparability. Without such comparative data, it's difficult to definitively state if this represents high or low value.

What were the key performance indicators (KPIs) or success metrics for this contract?

The provided summary data does not include specific Key Performance Indicators (KPIs) or success metrics for this contract. Typically, these would be detailed within the contract's Statement of Work (SOW) and would outline measurable objectives the contractor was expected to achieve. For administrative consulting services, KPIs might include improvements in process efficiency (e.g., reduced processing times), cost savings identified and realized, successful implementation of new management strategies, or enhanced organizational performance metrics. The absence of this information in the summary makes it challenging to objectively assess the contractor's performance and the overall success of the engagement from a public perspective.

What is the track record of TMF Health Quality Institute as a federal contractor, particularly with HHS/CMS?

TMF Health Quality Institute has a history of working with the federal government, particularly within the healthcare sector. As a Quality Improvement Organization (QIO) under contract with CMS, they have been involved in efforts to improve healthcare quality, safety, and efficiency. Their role often involves data analysis, provider support, and implementing evidence-based practices. While this specific contract is for administrative management consulting, their established relationship and expertise within the healthcare domain likely informed their bid and the agency's decision. A deeper dive into their past performance on similar contracts, including any past performance evaluations or awards/debarments, would provide a more comprehensive view of their track record.

Were there any identified risks or challenges associated with this contract, and how were they mitigated?

The summary data does not explicitly list risks or mitigation strategies for this contract. However, common risks in large consulting contracts include scope creep, contractor underperformance, cost overruns (though mitigated by FFP), and challenges in integrating recommendations. Given the 'full and open competition,' the agency likely assessed risks during the procurement phase. Mitigation strategies could have included detailed SOWs, regular progress reviews, clear communication protocols, and performance-based payment schedules. The long duration also presents a risk of evolving needs, which would require adaptive management from both the contractor and the agency.

What is the historical spending pattern for administrative management and general management consulting services by CMS?

Analyzing historical spending patterns for administrative management and general management consulting services by CMS requires access to comprehensive federal procurement data over multiple fiscal years. This specific contract award of $26.6 million from 2013-2017 represents a portion of CMS's overall spending in this category. To understand the pattern, one would need to aggregate data for similar NAICS codes (like 541611) awarded by CMS over several years. This would reveal trends in spending levels, common contract types (FFP, T&M), typical contract durations, and the prevalence of full and open competition versus other methods. Such analysis could indicate whether this award was typical, an outlier, or part of a growing/shrinking trend in consulting expenditures.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3107 OAK CREEK DRIVE SUITE 200, AUSTIN, TX, 78727

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $26,630,108

Exercised Options: $26,630,108

Current Obligation: $26,630,108

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $35,885

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS10F0214T

IDV Type: FSS

Timeline