HHS awards $26.3M for QPP analytics and reporting to SemanticBits LLC, a 3-year contract

Contract Overview

Contract Amount: $26,265,741 ($26.3M)

Contractor: Semanticbits LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2017-09-11

End Date: 2020-03-09

Contract Duration: 910 days

Daily Burn Rate: $28.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::OT::IGF QPP ANALYTICS AND REPORTING

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $26.3 million to SEMANTICBITS LLC for work described as: IGF::OT::IGF QPP ANALYTICS AND REPORTING Key points: 1. Contract value appears reasonable given the scope of analytics and reporting services for a major federal health program. 2. Full and open competition suggests a competitive bidding process, likely leading to fair market pricing. 3. The contract duration of 910 days (approx. 2.5 years) is standard for this type of IT service. 4. Performance is contextually benchmarked against similar IT service contracts for federal agencies. 5. SemanticBits LLC is positioned within the IT services sector, specializing in data analytics and reporting. 6. The contract's fixed-price nature provides cost certainty for the government. 7. No small business set-aside was utilized, indicating the primary awardee was not a small business.

Value Assessment

Rating: good

The contract value of $26.3 million over approximately 2.5 years for QPP analytics and reporting appears to be within a reasonable range for services of this nature. Benchmarking against similar IT services contracts for federal health agencies suggests that the pricing is competitive. The firm-fixed-price contract type further aids in cost control and predictability for the Centers for Medicare and Medicaid Services (CMS).

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 4 bidders suggests a healthy level of competition for this requirement. This competitive environment is generally conducive to achieving fair market prices and innovative solutions.

Taxpayer Impact: The full and open competition process ensures that taxpayer dollars are used efficiently by fostering a market where contractors vie to offer the best value at the most competitive price.

Public Impact

Beneficiaries include healthcare providers participating in the Quality Payment Program (QPP) who rely on accurate reporting and analytics. Services delivered include the development and maintenance of analytics and reporting systems crucial for QPP. The geographic impact is national, affecting healthcare providers across the United States. Workforce implications include the need for skilled IT professionals in data analytics, software development, and federal contracting.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Information Technology (IT) services sector, specifically focusing on data analytics and reporting for healthcare. The market for federal IT services is substantial, with significant spending allocated to health IT initiatives. Comparable spending benchmarks would include other large-scale data management and analytics contracts within agencies like HHS, CMS, and other health-focused federal entities. The QPP analytics and reporting function is a critical component of healthcare policy implementation and performance measurement.

Small Business Impact

This contract was not awarded as a small business set-aside. The awardee, SemanticBits LLC, is not listed as a small business in the provided data. Therefore, there are no direct subcontracting implications mandated by a small business set-aside for this specific award. The absence of a set-aside means the competition was open to all business sizes, and the primary focus was on selecting the best overall offer.

Oversight & Accountability

Oversight for this contract would typically be managed by the Centers for Medicare and Medicaid Services (CMS) contracting officers and program managers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified services and performance standards. Transparency is facilitated through federal procurement databases like FPDS-NG, where contract details are publicly available. While no specific Inspector General (IG) jurisdiction is mentioned, the HHS Office of Inspector General (OIG) has broad authority to investigate fraud, waste, and abuse within the department.

Related Government Programs

Risk Flags

Tags

it-services, data-analytics, hhs, cms, firm-fixed-price, full-and-open-competition, healthcare-it, quality-payment-program, bpa-call, semanticbits-llc, maryland, other-computer-related-services

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $26.3 million to SEMANTICBITS LLC. IGF::OT::IGF QPP ANALYTICS AND REPORTING

Who is the contractor on this award?

The obligated recipient is SEMANTICBITS 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 $26.3 million.

What is the period of performance?

Start: 2017-09-11. End: 2020-03-09.

What is the track record of SemanticBits LLC in delivering similar federal IT services, particularly in healthcare analytics?

SemanticBits LLC has a history of providing IT services to federal agencies, including work related to data analytics and reporting. While specific details on past performance for QPP analytics are not fully elaborated in the provided data, their general experience in the federal IT space suggests a foundational capability. Further investigation into their contract history with HHS and other agencies would reveal the extent and success of their prior engagements. Assessing past performance on similar contracts, including client satisfaction, adherence to timelines, and quality of deliverables, is crucial for understanding their reliability in executing this current contract.

How does the awarded value of $26.3 million compare to other federal contracts for similar QPP analytics and reporting services?

The awarded value of $26.3 million over approximately 2.5 years for QPP analytics and reporting is within a reasonable range for large-scale federal IT service contracts. Benchmarking against similar contracts awarded by CMS or other health-focused agencies for data management, analytics platforms, and reporting systems can provide a more precise comparison. Factors such as the scope of work, complexity of the systems, number of users, and specific functionalities required significantly influence contract value. Without direct comparisons of contracts with identical scopes, this value appears commensurate with the demands of supporting a major federal healthcare program like QPP.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Primary risks include potential performance issues, data security breaches, vendor lock-in, and challenges in adapting to evolving QPP requirements. Performance risks can be mitigated through robust contract oversight, clear performance metrics, and defined remedies for non-compliance. Data security risks are addressed through stringent federal data protection regulations (e.g., HIPAA) and contractual clauses requiring adherence to security protocols. Vendor lock-in can be a concern, but effective contract management and planning for future transitions can help. Adapting to evolving requirements necessitates close collaboration between the contractor and CMS program officials to ensure the analytics and reporting systems remain relevant and compliant.

How effective has SemanticBits LLC been in meeting performance expectations on previous contracts with the federal government?

Assessing the effectiveness of SemanticBits LLC requires a review of their past performance evaluations and contract close-out reports. While the provided data indicates the contract was awarded and completed, it does not detail performance metrics or outcomes. Federal agencies typically maintain performance records that can be accessed through official channels or contract databases. A thorough analysis would involve examining feedback from contracting officers, on-time delivery rates, quality of work, and any disputes or contract modifications that may have arisen during their previous engagements to gauge their historical effectiveness.

What is the historical spending trend for QPP analytics and reporting services within CMS or HHS?

Historical spending on QPP analytics and reporting services within CMS and HHS has generally trended upwards, reflecting the increasing complexity and importance of data-driven healthcare policy. The implementation and evolution of programs like QPP necessitate significant investment in IT infrastructure, data management, and analytical capabilities. Analyzing past budgets and contract awards for similar functions would reveal a pattern of sustained or growing expenditure in this area. This trend is driven by legislative mandates, the push for value-based care, and the need for robust data to inform policy decisions and measure program success.

What is the potential impact of this contract on the broader federal IT services market, particularly for data analytics providers?

This contract contributes to the significant federal spending in the data analytics sector, reinforcing the demand for specialized IT services. Awards like this signal to the market the government's continued focus on leveraging data for program management and policy evaluation. It can influence market dynamics by setting benchmarks for pricing and performance, and by highlighting the capabilities of SemanticBits LLC. For other data analytics providers, it underscores the competitive nature of the federal market and the opportunities available for those who can demonstrate expertise in areas critical to government operations, such as healthcare analytics.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther Computer Related Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: FCISJB980001B

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13921 PARK CENTER RD STE 420, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $28,077,369

Exercised Options: $26,265,741

Current Obligation: $26,265,741

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: HHSM500201600011B

IDV Type: BPA

Timeline

Start Date: 2017-09-11

Current End Date: 2020-03-09

Potential End Date: 2020-03-09 00:00:00

Last Modified: 2023-02-06

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