HHS awards $36.1M contract for state performance oversight to Healthcare Management Solutions, LLC
Contract Overview
Contract Amount: $36,112,341 ($36.1M)
Contractor: Healthcare Management Solutions, LLC
Awarding Agency: Department of Health and Human Services
Start Date: 2019-09-29
End Date: 2024-09-28
Contract Duration: 1,826 days
Daily Burn Rate: $19.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: TIME AND MATERIALS
Sector: Healthcare
Official Description: OVERSIGHT OF STATE PERFORMANCE - FEDERAL AND STATE SURVEY/CERTIFICATION AND TECHNICAL ASSISTANCE TO STATE AGENCIES,
Place of Performance
Location: FAIRMONT, MARION County, WEST VIRGINIA, 26554
Plain-Language Summary
Department of Health and Human Services obligated $36.1 million to HEALTHCARE MANAGEMENT SOLUTIONS, LLC for work described as: OVERSIGHT OF STATE PERFORMANCE - FEDERAL AND STATE SURVEY/CERTIFICATION AND TECHNICAL ASSISTANCE TO STATE AGENCIES, Key points: 1. Contract focuses on survey, certification, and technical assistance for state agencies. 2. The awardee, Healthcare Management Solutions, LLC, has a significant role in managing state healthcare programs. 3. Potential risks include ensuring effective technical assistance and consistent survey processes across states. 4. The sector is healthcare administration and consulting services.
Value Assessment
Rating: good
The contract value of $36.1M over five years appears reasonable for comprehensive state performance oversight services. Benchmarking against similar large-scale state agency support contracts would provide further context.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and ensures fair market value.
Taxpayer Impact: Taxpayer funds are utilized for essential oversight of state healthcare programs, aiming to improve efficiency and compliance.
Public Impact
Ensures quality and compliance in state-administered healthcare programs. Supports federal oversight of state agency performance. Facilitates technical assistance to improve state healthcare operations.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in technical assistance.
- Ensuring consistent application of standards across states.
Positive Signals
- Full and open competition utilized.
- Clear objective of improving state healthcare performance.
Sector Analysis
This contract falls within the administrative management and general management consulting services sector, specifically focused on healthcare. Spending in this area is critical for regulatory compliance and program effectiveness.
Small Business Impact
The data does not indicate specific provisions or set-asides for small businesses in this contract. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract is managed by the Centers for Medicare and Medicaid Services (CMS), a key agency within HHS. Oversight mechanisms should ensure effective delivery of services and accountability for performance.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Time and Materials contract type.
- Potential for inconsistent application of standards.
- Reliance on contractor for critical oversight functions.
Tags
administrative-management-and-general-ma, department-of-health-and-human-services, wv, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $36.1 million to HEALTHCARE MANAGEMENT SOLUTIONS, LLC. OVERSIGHT OF STATE PERFORMANCE - FEDERAL AND STATE SURVEY/CERTIFICATION AND TECHNICAL ASSISTANCE TO STATE AGENCIES,
Who is the contractor on this award?
The obligated recipient is HEALTHCARE MANAGEMENT SOLUTIONS, LLC.
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 $36.1 million.
What is the period of performance?
Start: 2019-09-29. End: 2024-09-28.
How effectively does Healthcare Management Solutions, LLC's technical assistance improve state agency performance and compliance with federal regulations?
Assessing the effectiveness requires analyzing key performance indicators (KPIs) related to state agency improvements, such as reduced compliance issues, enhanced operational efficiency, and successful implementation of new healthcare policies. Regular performance reviews and feedback from state agencies are crucial to gauge the impact of the technical assistance provided.
What are the primary risks associated with a Time and Materials contract for this type of service, and how are they mitigated?
Time and Materials (T&M) contracts carry inherent risks of cost overruns if not closely managed. Mitigation strategies include establishing clear ceilings, detailed monitoring of labor hours and rates, and robust oversight to ensure work is necessary and efficient. Regular reporting and performance reviews are essential to control costs and maintain focus on objectives.
Does the $36.1M award represent a cost-effective solution for the federal government compared to alternative approaches for state performance oversight?
Determining cost-effectiveness requires benchmarking against similar contracts and evaluating the scope and quality of services delivered. Factors like the complexity of state healthcare systems, the need for specialized expertise, and the potential for improved program outcomes contribute to the overall value. A comparative analysis of in-house vs. outsourced services could also provide insight.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative 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
Solicitation ID: LRFQ 190749
Offers Received: 1
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 1000 TECHNOLOGY DRIVE, SUITE 1310, FAIRMONT, WV, 26554
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business
Financial Breakdown
Contract Ceiling: $36,112,341
Exercised Options: $36,112,341
Current Obligation: $36,112,341
Actual Outlays: $27,356,246
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS00F295CA
IDV Type: FSS
Timeline
Start Date: 2019-09-29
Current End Date: 2024-09-28
Potential End Date: 2024-09-28 00:00:00
Last Modified: 2025-04-21
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