GSA Awards $467.8M for EAP Services to Carelon Health, Supporting Military Families Worldwide

Contract Overview

Contract Amount: $467,837,763 ($467.8M)

Contractor: Carelon Health Federal Services, Inc

Awarding Agency: General Services Administration

Start Date: 2019-05-01

End Date: 2024-04-30

Contract Duration: 1,826 days

Daily Burn Rate: $256.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF EMPLOYEE ASSISTANCE PROGRAM (EAP) SERVICES IN SUPPORT OF MILITARY MEMBERS AND THEIR FAMILIES AT LOCATIONS WORLDWIDE, WITH A BROAD ARRAY OF INFORMATION AND REFERRALS TO BOTH MILITARY AND CIVILIAN RESOURCES AS WELL AS COUNSELING SERVICES.

Place of Performance

Location: CHESAPEAKE, CHESAPEAKE CITY County, VIRGINIA, 23320

State: Virginia Government Spending

Plain-Language Summary

General Services Administration obligated $467.8 million to CARELON HEALTH FEDERAL SERVICES, INC for work described as: IGF::OT::IGF EMPLOYEE ASSISTANCE PROGRAM (EAP) SERVICES IN SUPPORT OF MILITARY MEMBERS AND THEIR FAMILIES AT LOCATIONS WORLDWIDE, WITH A BROAD ARRAY OF INFORMATION AND REFERRALS TO BOTH MILITARY AND CIVILIAN RESOURCES AS WELL AS COUNSELING SERVICES. Key points: 1. The contract provides comprehensive Employee Assistance Program (EAP) services, including information, referrals, and counseling. 2. Carelon Health Federal Services, Inc. is the sole awardee for this significant contract. 3. The contract spans five years, indicating a long-term need for these support services. 4. Services are intended for military members and their families globally, highlighting a broad reach.

Value Assessment

Rating: good

The contract value of $467.8M over five years appears substantial for EAP services. Benchmarking against similar large-scale federal EAP contracts would be necessary for a precise assessment, but the scope suggests a competitive pricing strategy was likely employed.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives best value.

Taxpayer Impact: Taxpayer funds are utilized for this contract, supporting the well-being of military personnel and their families through essential EAP services.

Public Impact

Enhances mental health and well-being support for military families globally. Provides critical access to counseling and referral services during challenging times. Supports military readiness by addressing family support needs. Leverages a broad network of civilian and military resources for comprehensive care.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for vendor lock-in due to long-term contract.
  • Ensuring consistent quality of services across worldwide locations.
  • Measuring the effectiveness and impact of EAP services.

Positive Signals

  • Comprehensive support for a critical demographic.
  • Awarded through full and open competition.
  • Addresses a significant need for military family well-being.

Sector Analysis

This contract falls under 'Other Individual and Family Services' (NAICS 624190), a sector focused on providing social assistance. Federal spending in this area supports vital human services, with EAP programs being a key component for employee and family well-being.

Small Business Impact

The data indicates this contract was not set aside for small businesses and the awardee is likely a large corporation. There is no explicit mention of small business subcontracting goals, which could be an area for further review.

Oversight & Accountability

The General Services Administration (GSA) managed this award. Oversight would typically involve contract performance monitoring, financial reviews, and ensuring adherence to service level agreements to maintain accountability.

Related Government Programs

  • Other Individual and Family Services
  • General Services Administration Contracting
  • Federal Acquisition Service Programs

Risk Flags

  • Potential for service gaps in remote or overseas locations.
  • Ensuring cultural competency across diverse military family demographics.
  • Measuring the true impact and ROI of EAP services.
  • Dependence on a single contractor for critical support services.

Tags

other-individual-and-family-services, general-services-administration, va, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $467.8 million to CARELON HEALTH FEDERAL SERVICES, INC. IGF::OT::IGF EMPLOYEE ASSISTANCE PROGRAM (EAP) SERVICES IN SUPPORT OF MILITARY MEMBERS AND THEIR FAMILIES AT LOCATIONS WORLDWIDE, WITH A BROAD ARRAY OF INFORMATION AND REFERRALS TO BOTH MILITARY AND CIVILIAN RESOURCES AS WELL AS COUNSELING SERVICES.

Who is the contractor on this award?

The obligated recipient is CARELON HEALTH FEDERAL SERVICES, INC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $467.8 million.

What is the period of performance?

Start: 2019-05-01. End: 2024-04-30.

What is the specific breakdown of services provided under the EAP contract and how are they tailored to the unique needs of military families?

The EAP services encompass a broad array of support, including crisis intervention, counseling for personal and family issues, financial and legal consultations, and referrals to specialized resources. For military families, this often includes support for deployment-related stress, reintegration challenges, and access to military-specific benefits and programs, ensuring culturally competent and accessible care.

How does the government ensure the quality and effectiveness of EAP services delivered to geographically dispersed military families worldwide?

Quality assurance likely involves rigorous performance metrics, regular reporting requirements from the contractor, and periodic site visits or audits where feasible. Feedback mechanisms for service recipients, such as satisfaction surveys and complaint resolution processes, are crucial. The contract may also stipulate specific qualifications for counselors and adherence to professional standards.

What is the long-term strategy for evaluating the return on investment (ROI) for these EAP services in terms of improved military readiness and reduced healthcare costs?

Evaluating ROI involves tracking key performance indicators such as utilization rates, participant satisfaction, and reported improvements in mental health and well-being. Correlations can be drawn between EAP usage and metrics like reduced absenteeism, fewer disciplinary actions, and potentially lower healthcare utilization for stress-related conditions. Long-term studies can help quantify the impact on family stability and overall military readiness.

Industry Classification

NAICS: Health Care and Social AssistanceIndividual and Family ServicesOther Individual and Family Services

Product/Service Code: SOCIAL SERVICESSOCIAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 47QFCA19R0003

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Elevance Health, Inc.

Address: 1434 CROSSWAYS BLVD STE 150, CHESAPEAKE, VA, 23320

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $488,205,876

Exercised Options: $469,858,185

Current Obligation: $467,837,763

Actual Outlays: $191,681,624

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $34,000,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2019-05-01

Current End Date: 2024-04-30

Potential End Date: 2024-10-30 00:00:00

Last Modified: 2024-09-09

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