HHS Awards $7M for Dmepos Dbids Software Support to Softrams LLC

Contract Overview

Contract Amount: $7,008,356 ($7.0M)

Contractor: Softrams LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2021-02-25

End Date: 2026-02-24

Contract Duration: 1,825 days

Daily Burn Rate: $3.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE PURPOSE OF THIS ORDER IS TO OBTAIN COMPUTER SOFTWARE SERVICES TO SUPPORT THE DURABLE MEDICAL EQUIPMENT, PROSTHETICS, ORTHOTICS & SUPPLIES (DMEPOS) COMPETITIVE BIDDING SYSTEM (DBIDS) INCLUDING MAINTENANCE, DEVELOPMENTAL ENHANCEMENTS, AND SPECI

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $7.0 million to SOFTRAMS LLC for work described as: THE PURPOSE OF THIS ORDER IS TO OBTAIN COMPUTER SOFTWARE SERVICES TO SUPPORT THE DURABLE MEDICAL EQUIPMENT, PROSTHETICS, ORTHOTICS & SUPPLIES (DMEPOS) COMPETITIVE BIDDING SYSTEM (DBIDS) INCLUDING MAINTENANCE, DEVELOPMENTAL ENHANCEMENTS, AND SPECI Key points: 1. Contract focuses on critical IT infrastructure for Durable Medical Equipment. 2. SOFTRAMS LLC is the awardee for custom computer programming services. 3. Risk of system disruption if enhancements are not managed effectively. 4. IT sector spending is significant, requiring careful cost management.

Value Assessment

Rating: good

The contract value of $7.01M over 5 years for custom computer programming services appears reasonable given the scope of supporting a complex system like DBIDS. Benchmarking against similar IT support contracts for government systems is recommended for a more precise assessment.

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 that should lead to fair pricing. The impact on price discovery is positive due to multiple potential bidders.

Taxpayer Impact: Taxpayer funds are used efficiently through a competitive process, aiming for value in IT services.

Public Impact

Ensures continued operation and improvement of the DMEPOS Competitive Bidding System. Impacts beneficiaries by supporting the infrastructure for durable medical equipment access. Supports federal IT modernization efforts within the Centers for Medicare and Medicaid Services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in developmental enhancements.
Reliance on a single vendor for critical system support.
Cybersecurity risks associated with software development and maintenance.

Positive Signals

Clear purpose for system support and enhancement.
Awarded through full and open competition.
Firm fixed price contract provides cost certainty.

Sector Analysis

This contract falls within the IT services sector, specifically custom computer programming. Spending in this area is substantial across government, with benchmarks varying widely based on complexity and service level agreements.

Small Business Impact

The contract was not set aside for small businesses, and the awardee is not identified as a small business. This indicates a lack of direct opportunity for small businesses on this specific award.

Oversight & Accountability

The contract is managed by the Centers for Medicare and Medicaid Services, a key agency within HHS. Oversight will focus on performance, delivery, and adherence to the firm fixed price terms.

Related Government Programs

Custom Computer Programming Services
Department of Health and Human Services Contracting
Centers for Medicare and Medicaid Services Programs

Risk Flags

Potential for vendor lock-in.
Dependency on contractor for critical system functionality.
Risk of cost overruns if enhancements are not managed.
Need for continuous monitoring of cybersecurity posture.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $7.0 million to SOFTRAMS LLC. THE PURPOSE OF THIS ORDER IS TO OBTAIN COMPUTER SOFTWARE SERVICES TO SUPPORT THE DURABLE MEDICAL EQUIPMENT, PROSTHETICS, ORTHOTICS & SUPPLIES (DMEPOS) COMPETITIVE BIDDING SYSTEM (DBIDS) INCLUDING MAINTENANCE, DEVELOPMENTAL ENHANCEMENTS, AND SPECI

Who is the contractor on this award?

The obligated recipient is SOFTRAMS 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 $7.0 million.

What is the period of performance?

Start: 2021-02-25. End: 2026-02-24.

How will the developmental enhancements be prioritized to ensure they align with evolving CMS needs and budget constraints?

Prioritization of developmental enhancements should follow a structured process involving CMS stakeholders to define requirements, assess impact, and align with strategic goals. Regular reviews and clear change management protocols are essential to manage scope and budget, ensuring taxpayer funds are allocated effectively towards critical system improvements.

What are the specific cybersecurity measures in place to protect the DBIDS system during software development and maintenance?

Robust cybersecurity measures are crucial. This includes adherence to federal cybersecurity standards (e.g., NIST), regular vulnerability assessments, secure coding practices, access controls, and incident response planning. The contract should mandate specific security protocols and regular audits to mitigate risks.

How does the performance of SOFTRAMS LLC compare to industry benchmarks for similar custom computer programming services?

Performance comparison requires access to specific metrics like on-time delivery, bug resolution rates, and user satisfaction. Benchmarking against industry standards for custom software development and maintenance, considering the unique requirements of a government healthcare system, will provide insight into the value and effectiveness of the services rendered.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3100 CLARENDON BLVD STE 1400, ARLINGTON, VA, 22201

Business Categories: Category Business, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $7,008,356

Exercised Options: $7,008,356

Current Obligation: $7,008,356

Actual Outlays: $6,168,813

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F372DA

IDV Type: FSS

Timeline