NY State Task Order for Management Consulting Services Awarded to Island Peer Review Organization Inc. for $28.8M
Contract Overview
Contract Amount: $28,839,168 ($28.8M)
Contractor: Island Peer Review Organization Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2014-07-18
End Date: 2019-07-17
Contract Duration: 1,825 days
Daily Burn Rate: $15.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: Healthcare
Official Description: NY STATE TASK ORDER IGF::CT::IGF
Place of Performance
Location: NEW HYDE PARK, NASSAU County, NEW YORK, 11042
State: New York Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $28.8 million to ISLAND PEER REVIEW ORGANIZATION INC for work described as: NY STATE TASK ORDER IGF::CT::IGF Key points: 1. The contract awarded to Island Peer Review Organization Inc. for "Other Management Consulting Services" totals $28.8 million. 2. This award was made under full and open competition, suggesting a competitive bidding process. 3. The contract duration is 5 years, ending July 17, 2019. 4. The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully.
Value Assessment
Rating: fair
The Cost Plus Fixed Fee contract type can be less predictable in terms of final cost compared to fixed-price contracts. Benchmarking against similar management consulting services contracts is necessary to fully assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: The competitive nature of the award suggests efforts to secure reasonable pricing, but the Cost Plus Fixed Fee structure warrants scrutiny for potential cost inefficiencies.
Public Impact
This contract supports management consulting services for the Centers for Medicare and Medicaid Services in New York. The significant value of $28.8 million over five years indicates a substantial investment in consulting expertise. The specific nature of the consulting services provided is not detailed, limiting public understanding of its direct impact.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee contract type
- Long contract duration (5 years)
Positive Signals
- Full and open competition
Sector Analysis
This contract falls under 'Other Management Consulting Services,' a broad category. Benchmarking requires identifying comparable consulting engagements within the healthcare sector, particularly those supporting federal agencies like CMS.
Small Business Impact
The data does not indicate whether small businesses were involved as prime contractors or subcontractors in this award.
Oversight & Accountability
Oversight would focus on ensuring the fixed fee is appropriate and that costs incurred under the 'cost plus' portion are reasonable and directly related to the contract's objectives.
Related Government Programs
- Other Management Consulting Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Potential for cost overruns due to CPFF structure
- Lack of specific service details limits value assessment
- Long contract duration may reduce flexibility
- Benchmarking data for 'Other Management Consulting Services' can be challenging
Tags
other-management-consulting-services, department-of-health-and-human-services, ny, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $28.8 million to ISLAND PEER REVIEW ORGANIZATION INC. NY STATE TASK ORDER IGF::CT::IGF
Who is the contractor on this award?
The obligated recipient is ISLAND PEER REVIEW ORGANIZATION 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 $28.8 million.
What is the period of performance?
Start: 2014-07-18. End: 2019-07-17.
What specific management consulting services were provided under this task order, and how did they contribute to CMS's mission?
The provided data classifies the service as 'Other Management Consulting Services' (NAICS 541618). Without further details, it's impossible to ascertain the specific deliverables or their direct contribution to CMS's mission. Further investigation into the task order's statement of work would be required to understand the precise nature and impact of the consulting services.
How was the 'fixed fee' component determined, and is it competitive relative to the scope of work?
The determination of the fixed fee is not detailed in the provided data. Typically, it's negotiated based on the estimated effort, complexity, and risk associated with the contract. Benchmarking this fee against similar consulting contracts with comparable scopes and durations would be necessary to assess its competitiveness and ensure fair pricing for taxpayers.
What mechanisms were in place to ensure cost control and prevent overruns under the Cost Plus Fixed Fee structure?
The Cost Plus Fixed Fee (CPFF) structure inherently carries a risk of cost overruns as the government reimburses allowable costs plus a negotiated fixed fee. Effective oversight would involve rigorous monitoring of incurred costs, audits of expenses, and clear performance metrics to ensure the contractor operates efficiently and within the spirit of the contract's objectives.
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: HHSM5002014RFPQINQIO
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 1979 MARCUS AVE STE 105, NEW HYDE PARK, NY, 11042
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: $28,839,168
Exercised Options: $28,839,168
Current Obligation: $28,839,168
Actual Outlays: $141,279
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: HHSM5002014QIN013I
IDV Type: IDC
Timeline
Start Date: 2014-07-18
Current End Date: 2019-07-17
Potential End Date: 2019-07-17 00:00:00
Last Modified: 2023-08-14
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