HHS awards $32.6M contract to Mathematica Inc. for CAHPS research, raising questions on value
Contract Overview
Contract Amount: $32,654,953 ($32.7M)
Contractor: Mathematica Inc.
Awarding Agency: Department of Health and Human Services
Start Date: 2012-07-20
End Date: 2017-07-19
Contract Duration: 1,825 days
Daily Burn Rate: $17.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: R&D
Official Description: EVALUATION/CAHPS
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20002
Plain-Language Summary
Department of Health and Human Services obligated $32.7 million to MATHEMATICA INC. for work described as: EVALUATION/CAHPS Key points: 1. Contract awarded to a single vendor, raising potential competition concerns. 2. The contract spans five years, indicating a significant investment in research. 3. The use of Time and Materials pricing could lead to cost overruns. 4. The sector is R&D in Social Sciences, a niche area for federal spending.
Value Assessment
Rating: questionable
The contract value of $32.6 million over five years for CAHPS research appears high without clear benchmarks. The Time and Materials pricing structure introduces risk for cost escalation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which is positive for price discovery. However, the specific award type (Delivery Order) and the vendor's role need further scrutiny to ensure competitive pricing was achieved.
Taxpayer Impact: Taxpayer funds are being used for research, the value of which depends on the quality and impact of the findings.
Public Impact
Impacts patient experience surveys (CAHPS) used nationwide. Potential for improved healthcare quality measurement and reporting. Research findings could influence healthcare policy and provider performance evaluations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing
- Long contract duration
- Lack of specific performance metrics in provided data
Positive Signals
- Full and open competition
- Focus on patient experience research
Sector Analysis
This contract falls within the Research and Development in Social Sciences and Humanities sector. Federal spending in this area often focuses on policy analysis, program evaluation, and understanding societal trends. Benchmarks are difficult to establish due to the specialized nature of the research.
Small Business Impact
The provided data does not indicate any specific provisions or set-asides for small businesses. This contract appears to be awarded to a large business, with no direct benefit to small businesses evident.
Oversight & Accountability
Oversight would typically be managed by the Centers for Medicare and Medicaid Services (CMS). The effectiveness of oversight depends on clear performance metrics, regular reporting, and independent evaluation of deliverables.
Related Government Programs
- Research and Development in the Social Sciences and Humanities
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Long contract duration may reduce flexibility.
- Limited visibility into specific research outcomes and their impact.
- Lack of small business participation.
Tags
research-and-development-in-the-social-s, department-of-health-and-human-services, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $32.7 million to MATHEMATICA INC.. EVALUATION/CAHPS
Who is the contractor on this award?
The obligated recipient is MATHEMATICA INC..
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 $32.7 million.
What is the period of performance?
Start: 2012-07-20. End: 2017-07-19.
What specific deliverables are expected from this $32.6 million contract, and how will their value be measured?
The contract focuses on CAHPS research, likely involving survey design, data analysis, and reporting. Value measurement would depend on the quality of insights generated, their impact on healthcare policy, and the potential for cost savings or quality improvements in healthcare delivery. Specific deliverables and their success metrics should be detailed in the contract's statement of work.
Given the Time and Materials pricing, what mechanisms are in place to control costs and prevent scope creep?
Time and Materials contracts inherently carry a risk of cost escalation. Effective cost control relies on robust oversight, clearly defined task orders, strict adherence to the ceiling price, and regular performance reviews. The government contracting officer must actively manage the scope and ensure that all work performed is necessary and within the contract's objectives.
How will the research conducted under this contract be validated to ensure its scientific rigor and applicability?
Validation typically involves peer review of research methodologies and findings, independent replication of results where feasible, and assessment by subject matter experts. The contract should outline requirements for data integrity, statistical analysis, and the presentation of findings to ensure scientific soundness and practical relevance for healthcare policy and practice.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Social Sciences and Humanities
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Mathematica Inc
Address: 600 ALEXANDER PARK, PRINCETON, NJ, 08540
Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $32,654,953
Exercised Options: $32,654,953
Current Obligation: $32,654,953
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: HHSM500201000026I
IDV Type: IDC
Timeline
Start Date: 2012-07-20
Current End Date: 2017-07-19
Potential End Date: 2017-07-19 00:00:00
Last Modified: 2023-04-21
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