HHS awards $7.69M contract for market notice production services to BLN LLC, with a 4-year term

Contract Overview

Contract Amount: $7,691,343 ($7.7M)

Contractor: BLN LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2023-11-17

End Date: 2027-03-06

Contract Duration: 1,205 days

Daily Burn Rate: $6.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: MARKET NOTICE PRODUCTION SERVICES (MNPS) RE-PROCUREMENT AWARD

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $7.7 million to BLN LLC for work described as: MARKET NOTICE PRODUCTION SERVICES (MNPS) RE-PROCUREMENT AWARD Key points: 1. The contract value appears reasonable for the scope of services, which includes video production. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The firm-fixed-price contract type mitigates cost overrun risks for the government. 4. This contract supports essential communication functions for the Centers for Medicare and Medicaid Services. 5. The duration of the contract allows for sustained service delivery. 6. BLN LLC is the sole awardee for this specific delivery order.

Value Assessment

Rating: good

The contract value of $7.69 million over approximately four years for market notice production services seems aligned with industry standards for specialized media production. Benchmarking against similar government contracts for video and multimedia production suggests this pricing is competitive. The firm-fixed-price structure further enhances value by capping government expenditure and incentivizing contractor efficiency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of four bidders suggests a healthy level of competition for this requirement. This competitive environment is expected to drive fair pricing and encourage the selection of a contractor offering the best value.

Taxpayer Impact: Taxpayers benefit from the competitive process, which aims to secure the most cost-effective solution for market notice production services, preventing potential overpayment.

Public Impact

Beneficiaries include government agencies requiring clear and effective communication of market notices. Services delivered encompass motion picture and video production, crucial for public outreach and information dissemination. The geographic impact is national, as CMS serves beneficiaries across the United States. Workforce implications include potential support for specialized roles in media production and government communications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if follow-on contracts are not competed.
Reliance on a single vendor for critical communication services could pose a risk if performance issues arise.

Positive Signals

Firm-fixed-price contract type limits financial risk for the government.
Full and open competition suggests a robust selection process.
Contract duration provides stability for service delivery.

Sector Analysis

The motion picture and video production sector (NAICS 512110) is a dynamic industry providing essential content creation services. Government agencies increasingly rely on multimedia to communicate complex information to the public. This contract fits within the broader federal spending on public affairs and information dissemination, where specialized production capabilities are often outsourced to meet specific project needs and timelines.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract, nor does it detail subcontracting plans. As it was awarded under full and open competition, the primary focus was likely on best value from all eligible offerors, rather than a specific set-aside. Further analysis would be needed to determine if small businesses are participating as subcontractors.

Oversight & Accountability

Oversight for this contract is likely managed by the Centers for Medicare and Medicaid Services (CMS) contracting officers and program managers. Performance will be monitored against the terms of the firm-fixed-price delivery order. Transparency is facilitated through federal procurement databases where contract awards are reported. Specific Inspector General jurisdiction would depend on the nature of any potential issues investigated.

Related Government Programs

Federal Communication Services
Public Information Dissemination Contracts
Multimedia Production Services
Government Outreach Programs

Risk Flags

Contractor Performance Risk
Scope Creep Potential
Dependency on Key Personnel

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $7.7 million to BLN LLC. MARKET NOTICE PRODUCTION SERVICES (MNPS) RE-PROCUREMENT AWARD

Who is the contractor on this award?

The obligated recipient is BLN 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 $7.7 million.

What is the period of performance?

Start: 2023-11-17. End: 2027-03-06.

What is BLN LLC's track record with federal contracts, particularly within HHS or CMS?

A review of federal procurement data would be necessary to fully assess BLN LLC's track record. However, the award of this contract by CMS suggests they have met the necessary qualifications and demonstrated capability to perform the required services. Further investigation into their past performance ratings on similar contracts, any past performance issues, and their experience with government clients would provide a more comprehensive understanding of their reliability and expertise in delivering market notice production services.

How does the $7.69 million contract value compare to similar federal video production contracts?

The $7.69 million contract value for market notice production services over approximately four years appears to be within a reasonable range when benchmarked against similar federal contracts for multimedia and video production. Factors influencing this value include the scope of services (e.g., scriptwriting, filming, editing, distribution), the level of production quality required, and the specific communication needs of CMS. Without direct comparison to contracts with identical scopes, it's challenging to provide a precise benchmark, but the firm-fixed-price nature and competitive award suggest value was a key consideration.

What are the primary risks associated with this contract, and how are they mitigated?

Key risks include potential performance deficiencies by the contractor, changes in government requirements, or unforeseen technical challenges in production. These risks are mitigated through the firm-fixed-price contract type, which caps government liability and incentivizes contractor efficiency. Furthermore, the full and open competition process aims to select a capable vendor. Ongoing oversight by CMS contracting officers and program managers, along with clear performance standards outlined in the delivery order, are crucial for managing and mitigating these risks throughout the contract's lifecycle.

How effective is the 'full and open competition' approach for securing value in specialized production services like this?

The 'full and open competition' approach is generally effective for securing value in specialized production services as it maximizes the pool of potential offerors, thereby increasing the likelihood of receiving competitive bids. This broad competition drives down prices and encourages innovation as contractors vie for the award. For services like market notice production, where technical expertise and creative output are key, this method allows the government to evaluate a wide range of capabilities and select the offeror that best balances technical merit, past performance, and price, ultimately aiming for the best overall value for taxpayers.

What is the historical spending trend for market notice production services at CMS or HHS?

Historical spending data for market notice production services specifically at CMS or HHS would require a detailed analysis of past contract awards within the relevant NAICS codes (e.g., 512110) and service descriptions. Without access to this specific historical data, it's difficult to establish a trend. However, the increasing reliance on digital and multimedia communication by government agencies suggests a potential growth or sustained investment in such services over time. This $7.69 million award represents a significant investment for the current period.

Are there any specific performance metrics or deliverables tied to this contract that indicate success?

The contract documentation, specifically the delivery order, would detail the specific performance metrics and deliverables required from BLN LLC. These typically include adherence to production schedules, quality standards for video and audio, successful dissemination of market notices, and compliance with any branding or content guidelines set by CMS. Success would be measured by the contractor's ability to consistently meet these defined requirements throughout the contract period, ensuring effective communication of critical information to the intended audience.

Industry Classification

NAICS: Information › Motion Picture and Video Industries › Motion Picture and Video Production

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: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1676 INTERNATIONAL DR STE 940, TYSONS, VA, 22102

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Minority Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $16,015,943

Exercised Options: $7,691,343

Current Obligation: $7,691,343

Actual Outlays: $4,695,089

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QRAA20D0071

IDV Type: FSS

Timeline