VA awards $105M for community care referrals, with Cognosante MVH LLC as prime

Contract Overview

Contract Amount: $105,447,484 ($105.4M)

Contractor: Cognosante MVH LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2019-08-30

End Date: 2022-08-29

Contract Duration: 1,095 days

Daily Burn Rate: $96.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: PROVIDE CONTINUED SUPPORT FOR COMMUNITY CARE REFERRALS AND AUTHORIZATIONS.

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $105.4 million to COGNOSANTE MVH LLC for work described as: PROVIDE CONTINUED SUPPORT FOR COMMUNITY CARE REFERRALS AND AUTHORIZATIONS. Key points: 1. The contract focuses on IT services for healthcare referrals and authorizations. 2. Cognosante MVH LLC is the prime contractor for this significant award. 3. The award falls under the Computer Systems Design Services NAICS code. 4. This represents a substantial investment in supporting veterans' healthcare access.

Value Assessment

Rating: good

The contract value of $105.4M over three years suggests a competitive pricing structure for the services provided. Benchmarking against similar IT support contracts for healthcare administration would offer further insight.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential veteran healthcare support services.

Public Impact

Ensures continued access to care for veterans through efficient referral and authorization processes. Supports the Department of Veterans Affairs' mission to provide comprehensive healthcare. Leverages IT solutions to streamline administrative tasks within the VA healthcare system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition utilized.
Firm Fixed Price contract type.
Supports critical veteran healthcare services.

Sector Analysis

This contract falls within the IT services sector, specifically supporting healthcare administration. Spending benchmarks for similar IT support contracts within the federal government can vary widely based on scope and complexity.

Small Business Impact

The data indicates that small businesses were not directly involved as prime contractors on this specific award. Further analysis would be needed to determine if small businesses participated as subcontractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract to ensure timely and effective delivery of services. Accountability is maintained through contract performance monitoring and reporting.

Related Government Programs

Computer Systems Design Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for vendor lock-in if system is highly proprietary.
Dependence on contractor for critical healthcare support functions.
Risk of scope creep if requirements are not clearly defined.
Cybersecurity vulnerabilities associated with healthcare data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $105.4 million to COGNOSANTE MVH LLC. PROVIDE CONTINUED SUPPORT FOR COMMUNITY CARE REFERRALS AND AUTHORIZATIONS.

Who is the contractor on this award?

The obligated recipient is COGNOSANTE MVH LLC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $105.4 million.

What is the period of performance?

Start: 2019-08-30. End: 2022-08-29.

What is the projected cost savings or efficiency gain from implementing these IT services for community care referrals?

Quantifying direct cost savings is challenging without specific performance metrics. However, the IT system likely aims to reduce administrative overhead, minimize referral delays, and improve accuracy, leading to more efficient resource allocation and potentially better patient outcomes. The firm fixed price structure incentivizes the contractor to deliver efficiently.

What are the key performance indicators (KPIs) used to measure the success of this contract?

Key performance indicators would likely include metrics such as referral processing time, authorization approval rates, reduction in errors, system uptime, and user satisfaction from both VA staff and healthcare providers. Adherence to these KPIs ensures the contractor meets the critical needs of the VA's community care program.

How does this contract align with the VA's broader digital transformation strategy?

This contract aligns with the VA's strategy by leveraging modern IT solutions to improve the efficiency and effectiveness of healthcare delivery. By digitizing and streamlining referral and authorization processes, it contributes to a more integrated and responsive healthcare system, enhancing the veteran experience.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cognosante Holdings, LLC

Address: 3110 FAIRVIEW PARK DR STE 800, FALLS CHURCH, VA, 22042

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $105,447,484

Exercised Options: $105,447,484

Current Obligation: $105,447,484

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11816D1001

IDV Type: IDC

Timeline