HHS Awards $16M to RAND Corp for CAHPS Survey Implementation, Boosting Value-Based Care Data

Contract Overview

Contract Amount: $15,958,526 ($16.0M)

Contractor: THE Rand Corporation

Awarding Agency: Department of Health and Human Services

Start Date: 2021-06-04

End Date: 2026-06-30

Contract Duration: 1,852 days

Daily Burn Rate: $8.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Healthcare

Official Description: IMPLEMENTATION OF THE CAHPS SURVEYS FOR MERIT-BASED INCENTIVE PAYMENT SYSTEM, MEDICARE SHARED SAVINGS PROGRAM, AND NEXT GENERATION ACO

Place of Performance

Location: SANTA MONICA, LOS ANGELES County, CALIFORNIA, 90407

State: California Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $16.0 million to THE RAND CORPORATION for work described as: IMPLEMENTATION OF THE CAHPS SURVEYS FOR MERIT-BASED INCENTIVE PAYMENT SYSTEM, MEDICARE SHARED SAVINGS PROGRAM, AND NEXT GENERATION ACO Key points: 1. Value: $16M contract for critical survey implementation, supporting value-based care initiatives. 2. Competition: Full and open competition ensures market-driven pricing and vendor selection. 3. Risk: Potential for scope creep or data integrity issues in survey administration. 4. Sector: Healthcare administration and consulting services, vital for CMS program evaluation.

Value Assessment

Rating: good

The contract value of $15.96M over 5 years for survey implementation appears reasonable given the scope. Benchmarking against similar large-scale data collection and analysis contracts is needed for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, allowing multiple vendors to bid. This method generally promotes competitive pricing and encourages efficient service delivery by selecting the most qualified offeror.

Taxpayer Impact: The investment supports data collection for programs aimed at improving healthcare quality and reducing costs, potentially leading to long-term taxpayer savings through better program design and outcomes.

Public Impact

Enhances data collection for Medicare Shared Savings Program and Next Generation ACOs. Supports the CAHPS survey program, crucial for patient experience measurement. Provides insights into healthcare provider performance and patient satisfaction. Facilitates evidence-based policy decisions for CMS.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for delays in data collection impacting program evaluation timelines.
  • Ensuring data accuracy and security for sensitive patient information.

Positive Signals

  • Supports critical government healthcare initiatives.
  • Utilizes a competitive procurement process.
  • Long-term contract provides stability for program implementation.

Sector Analysis

This contract falls within the healthcare consulting and administrative services sector. Spending in this area is significant as agencies like CMS rely on external expertise for program management and data analysis to improve healthcare delivery and patient outcomes.

Small Business Impact

The contract was awarded to The RAND Corporation, a large research organization. There is no explicit indication of small business participation in this specific award, suggesting opportunities may lie in subcontracting roles.

Oversight & Accountability

The Centers for Medicare and Medicaid Services (CMS) is overseeing this contract. Standard oversight mechanisms for delivery orders under a larger contract should be in place to monitor performance, cost, and adherence to scope.

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

  • Data security and privacy concerns.
  • Potential for vendor lock-in if not managed carefully.
  • Ensuring consistent data quality across diverse healthcare settings.
  • Timeliness of data analysis and reporting for actionable insights.

Tags

administrative-management-and-general-ma, department-of-health-and-human-services, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $16.0 million to THE RAND CORPORATION. IMPLEMENTATION OF THE CAHPS SURVEYS FOR MERIT-BASED INCENTIVE PAYMENT SYSTEM, MEDICARE SHARED SAVINGS PROGRAM, AND NEXT GENERATION ACO

Who is the contractor on this award?

The obligated recipient is THE RAND CORPORATION.

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 $16.0 million.

What is the period of performance?

Start: 2021-06-04. End: 2026-06-30.

What is the specific methodology for ensuring the validity and reliability of the CAHPS survey data collected under this contract?

The contract likely mandates adherence to established CAHPS survey protocols, including standardized sampling, data collection instruments, and quality control measures. The RAND Corporation's expertise suggests a focus on rigorous methodological standards to ensure data integrity and comparability across different healthcare providers and programs.

How will the data collected inform future policy adjustments or program modifications within CMS?

The collected survey data is intended to provide crucial feedback on patient experiences and provider performance within value-based care programs. This information will enable CMS to identify areas of success, pinpoint challenges, and make data-driven decisions regarding program design, incentive structures, and quality improvement initiatives.

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

Key performance indicators would likely include timely and accurate survey administration, high response rates, data completeness, and adherence to budget. Success may also be measured by the utility of the generated data in informing CMS's strategic objectives for its value-based care programs.

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: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1776 MAIN ST, SANTA MONICA, CA, 90401

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,210,039

Exercised Options: $15,958,526

Current Obligation: $15,958,526

Actual Outlays: $13,018,032

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $5,645,106

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS10F0275P

IDV Type: FSS

Timeline

Start Date: 2021-06-04

Current End Date: 2026-06-30

Potential End Date: 2026-06-30 00:00:00

Last Modified: 2025-12-09

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