Leidos Federal Healthcare contract for compliance services valued at $17.26M over 3 years

Contract Overview

Contract Amount: $17,256,829 ($17.3M)

Contractor: Leidos Federal Healthcare, Inc.

Awarding Agency: Department of Defense

Start Date: 2006-04-17

End Date: 2009-03-31

Contract Duration: 1,079 days

Daily Burn Rate: $16.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Healthcare

Official Description: TASK 2.3 - COMPLIANCE WITH JCAHO/ORYX TAS::21 2020::TAS

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22041, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $17.3 million to LEIDOS FEDERAL HEALTHCARE, INC. for work described as: TASK 2.3 - COMPLIANCE WITH JCAHO/ORYX TAS::21 2020::TAS Key points: 1. Contract awarded for administrative management and general management consulting services. 2. The contract was awarded under full and open competition. 3. The contract duration was 1079 days. 4. The contract was awarded to Leidos Federal Healthcare, Inc. 5. The contract was a Firm Fixed Price type. 6. The contract was awarded by the Department of the Army.

Value Assessment

Rating: fair

The contract's value of $17.26 million over approximately three years suggests a moderate annual spend. Benchmarking this against similar JCAHO/ORYX compliance contracts is difficult without more specific service details and market data. However, the fixed-price nature of the award implies that the contractor assumed the risk for cost overruns, which can be a positive indicator for value if the scope was well-defined. Further analysis would require comparing the deliverables and outcomes against industry standards and the pricing of comparable contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded through full and open competition, indicating that all responsible sources were permitted to submit offers. The presence of 3 bidders suggests a reasonable level of competition for these specialized compliance services. A competitive bidding process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The full and open competition likely resulted in a more competitive price for taxpayers compared to a sole-source or limited competition award.

Public Impact

The Department of the Army benefits from enhanced compliance with Joint Commission on Accreditation of Healthcare Organizations (JCAHO) and ORYX standards. Services delivered likely include consulting, auditing, and process improvement related to healthcare quality and safety. The geographic impact is primarily within the Department of the Army's healthcare facilities. Workforce implications may involve training and adherence to new compliance protocols for military healthcare personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the professional services sector, specifically administrative management and general management consulting, with a focus on healthcare compliance. The market for healthcare compliance services is substantial, driven by regulatory requirements from bodies like JCAHO. Comparable spending benchmarks would typically be found within government contracts for healthcare consulting and regulatory support services, often awarded to specialized firms.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a set-aside provision. The prime contractor, Leidos Federal Healthcare, Inc., is likely a large business, and their subcontracting practices would be governed by their own policies and federal regulations, but not specifically driven by a small business set-aside for this particular award.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contract administration office within the Department of the Army. Accountability measures are inherent in the firm-fixed-price structure, requiring the contractor to meet defined deliverables. Transparency is facilitated through contract award databases, though specific performance metrics and detailed oversight activities are often internal to the agency.

Related Government Programs

Risk Flags

Tags

healthcare, compliance, consulting, department-of-defense, department-of-the-army, firm-fixed-price, full-and-open-competition, administrative-management, management-consulting, virginia

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.3 million to LEIDOS FEDERAL HEALTHCARE, INC.. TASK 2.3 - COMPLIANCE WITH JCAHO/ORYX TAS::21 2020::TAS

Who is the contractor on this award?

The obligated recipient is LEIDOS FEDERAL HEALTHCARE, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $17.3 million.

What is the period of performance?

Start: 2006-04-17. End: 2009-03-31.

What specific compliance areas did this contract cover under JCAHO/ORYX standards?

The provided data specifies 'TASK 2.3 - COMPLIANCE WITH JCAHO/ORYX TAS'. While the exact scope is not detailed, it implies services related to meeting the standards set forth by the Joint Commission on Accreditation of Healthcare Organizations (JCAHO) and the ORYX initiative. The ORYX initiative, for example, focuses on performance measurement and improvement in healthcare. Therefore, this contract likely involved activities such as assessing current compliance levels, developing strategies to meet or exceed standards, implementing new processes or technologies, providing training to staff, and potentially conducting internal audits to ensure ongoing adherence to JCAHO and ORYX requirements within the Department of the Army's healthcare system.

How does the $17.26 million contract value compare to similar healthcare compliance contracts awarded by the DoD?

Without access to a comprehensive database of all DoD healthcare compliance contracts with detailed scopes of work and durations, a direct comparison is challenging. However, $17.26 million over approximately three years translates to an average annual spend of roughly $5.75 million. This figure is substantial and suggests a significant scope of work or a high level of specialized expertise required. Larger healthcare systems or broader compliance initiatives within the DoD could command higher values, while smaller, more targeted projects would be less. This contract appears to be of moderate to significant size within the realm of specialized federal healthcare consulting.

What is the track record of Leidos Federal Healthcare, Inc. in delivering similar compliance services?

Leidos Federal Healthcare, Inc. is a known entity within the federal healthcare contracting space. As a subsidiary or division of Leidos, a large government contractor, they possess significant resources and experience. Their track record would typically involve a portfolio of contracts related to healthcare IT, health services, and management consulting for various federal agencies, including the Department of Defense and the Department of Veterans Affairs. Specific performance details for this particular contract (Task 2.3) would require deeper investigation into past performance reviews and contract close-out documentation, but their general presence suggests a capacity to handle complex federal healthcare requirements.

What were the key performance indicators (KPIs) or deliverables expected under this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) or specific deliverables for this contract. However, given the nature of compliance work related to JCAHO and ORYX standards, typical deliverables would likely include compliance assessment reports, gap analyses, strategic implementation plans, training materials and sessions, updated policies and procedures, and potentially audit reports. KPIs would focus on the successful achievement of compliance milestones, adherence to project timelines, and the effectiveness of implemented solutions in improving healthcare quality and safety metrics as defined by JCAHO and ORYX.

What is the historical spending trend for JCAHO/ORYX compliance services within the Department of the Army?

The provided data only pertains to a single contract awarded in 2006. To establish a historical spending trend for JCAHO/ORYX compliance services within the Department of the Army, a broader analysis of contract awards over multiple fiscal years would be necessary. This would involve searching contract databases for similar service codes (like NAICS 541611) and keywords related to healthcare compliance, accreditation, JCAHO, and ORYX, specifically within the Army's contracting history. Without this broader dataset, it's impossible to determine trends, such as increasing or decreasing investment in these services.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

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: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Lockheed Martin Corp (UEI: 834951691)

Address: 700 N FREDERICK AVE, GAITHERSBURG, MD, 20879

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $17,913,700

Exercised Options: $17,256,829

Current Obligation: $17,256,829

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS10F0049J

IDV Type: FSS

Timeline

Start Date: 2006-04-17

Current End Date: 2009-03-31

Potential End Date: 2009-03-31 00:00:00

Last Modified: 2017-04-13

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