HHS Awards $23.5M for CMS ACA State Security and Privacy Support Services to Reli Group Inc

Contract Overview

Contract Amount: $23,475,072 ($23.5M)

Contractor: Reli Group Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2022-05-15

End Date: 2026-06-15

Contract Duration: 1,492 days

Daily Burn Rate: $15.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 9

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: THE PURPOSE OF THIS CONTRACT IS TO PROCURE MARKETPLACE STATE SECURITY AND PRIVACY SUPPORT SERVICES. THE CONTRACT WILL PROVIDE SECURITY OVERSIGHT, MONITOR DATA ANALYSIS AND GOVERNANCE COMPLIANCE FOR CMS ACA STATE OVERSIGHT AND COMPLIANCE PROGRAM. THE

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $23.5 million to RELI GROUP INC for work described as: THE PURPOSE OF THIS CONTRACT IS TO PROCURE MARKETPLACE STATE SECURITY AND PRIVACY SUPPORT SERVICES. THE CONTRACT WILL PROVIDE SECURITY OVERSIGHT, MONITOR DATA ANALYSIS AND GOVERNANCE COMPLIANCE FOR CMS ACA STATE OVERSIGHT AND COMPLIANCE PROGRAM. THE Key points: 1. Contract focuses on critical security oversight and data governance for CMS ACA. 2. Reli Group Inc. is the prime contractor for this firm-fixed-price award. 3. The contract spans over three years, indicating a need for sustained support. 4. Competition was full and open after exclusion of sources, suggesting a deliberate process.

Value Assessment

Rating: good

The contract value of $23.5 million over approximately 3 years appears reasonable for specialized security and privacy support services in a complex healthcare IT environment. Benchmarking against similar contracts for IT security and compliance services would provide 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 after exclusion of sources,' indicating that while the competition was open, specific sources may have been excluded based on predefined criteria. This method aims to ensure fair competition while potentially focusing on qualified vendors.

Taxpayer Impact: The firm-fixed-price structure helps control costs for taxpayers, as the government pays a set amount regardless of the contractor's actual costs.

Public Impact

Ensures security and privacy compliance for the Affordable Care Act's state oversight programs. Supports critical data analysis and governance, protecting sensitive health information. Contributes to the stability and integrity of healthcare marketplaces. Provides essential IT support services to a major federal agency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for vendor lock-in if services are highly specialized.
  • Reliance on a single vendor for critical security functions.
  • Scope creep could increase costs beyond initial estimates.

Positive Signals

  • Clear purpose and defined scope of work.
  • Firm-fixed-price contract provides cost certainty.
  • Long-term contract allows for sustained expertise.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, specifically focusing on IT security and privacy compliance for healthcare. Spending in this sector is substantial, driven by increasing cybersecurity threats and the need for robust data governance, particularly within government agencies managing sensitive information.

Small Business Impact

The data indicates this contract was awarded to Reli Group Inc. and does not specify any set-asides for small businesses. Further analysis would be needed to determine if small business participation was incorporated through subcontracting or if opportunities were missed.

Oversight & Accountability

The contract is managed by the Centers for Medicare and Medicaid Services (CMS), a key agency within HHS. Oversight would involve monitoring performance against contract requirements, ensuring compliance with security protocols, and managing the firm-fixed-price budget effectively.

Related Government Programs

  • Computer Systems Design Services
  • Department of Health and Human Services Contracting
  • Centers for Medicare and Medicaid Services Programs

Risk Flags

  • Potential for vendor lock-in.
  • Reliance on a single entity for critical security functions.
  • Complexity of healthcare data privacy regulations.
  • Need for continuous adaptation to evolving cyber threats.
  • Ensuring consistent quality of service over the contract duration.

Tags

computer-systems-design-services, department-of-health-and-human-services, md, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $23.5 million to RELI GROUP INC. THE PURPOSE OF THIS CONTRACT IS TO PROCURE MARKETPLACE STATE SECURITY AND PRIVACY SUPPORT SERVICES. THE CONTRACT WILL PROVIDE SECURITY OVERSIGHT, MONITOR DATA ANALYSIS AND GOVERNANCE COMPLIANCE FOR CMS ACA STATE OVERSIGHT AND COMPLIANCE PROGRAM. THE

Who is the contractor on this award?

The obligated recipient is RELI GROUP INC.

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 $23.5 million.

What is the period of performance?

Start: 2022-05-15. End: 2026-06-15.

What is the specific value proposition of Reli Group Inc.'s services compared to potential competitors in the marketplace for these specialized security and privacy support functions?

The specific value proposition of Reli Group Inc. is not detailed in the provided data. However, given the contract's focus on CMS ACA state oversight and compliance, their value likely lies in specialized expertise in healthcare IT security, data governance, and regulatory compliance. This could include deep knowledge of HIPAA, ACA regulations, and specific security frameworks relevant to state-level healthcare marketplaces, potentially offering a more tailored and effective solution than general IT security providers.

What are the primary risks associated with relying on a single vendor for critical security and privacy oversight services for the CMS ACA program?

The primary risks include vendor lock-in, where transitioning to another provider becomes difficult and costly. There's also a risk of reduced innovation if the vendor becomes complacent. Furthermore, a single point of failure exists; if Reli Group Inc. experiences operational issues, security breaches, or fails to maintain adequate staffing or expertise, the entire CMS ACA security and privacy framework could be compromised, impacting data integrity and public trust.

How effectively does this contract ensure the ongoing security and privacy of sensitive health data managed through the CMS ACA state oversight program?

The contract aims to ensure effectiveness by procuring dedicated security oversight, data analysis, and governance compliance services. The firm-fixed-price structure incentivizes the contractor to deliver these services efficiently. However, actual effectiveness hinges on the contractor's execution, the robustness of the security protocols implemented, and the oversight provided by CMS to ensure continuous compliance with evolving threats and regulations.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - SECURITY AND COMPLIANCE

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 9

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5520 RESEARCH PARK DRIVE, SUITE 105, CATONSVILLE, MD, 21228

Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, HUBZone Firm, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $34,862,919

Exercised Options: $23,475,072

Current Obligation: $23,475,072

Actual Outlays: $18,284,367

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 75N98120D00065

IDV Type: GWAC

Timeline

Start Date: 2022-05-15

Current End Date: 2026-06-15

Potential End Date: 2027-06-14 00:00:00

Last Modified: 2025-07-30

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