HHS Awards $112.7M for Medicare Outreach Campaigns to Porter Novelli

Contract Overview

Contract Amount: $112,739,560 ($112.7M)

Contractor: Porter Novelli Public Services Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2024-06-28

End Date: 2027-03-09

Contract Duration: 984 days

Daily Burn Rate: $114.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: MEDICARE OPEN ENROLLMENT (MOE) AND NEW TO MEDICARE PUBLIC EDUCATION (NMPE) AND OUTREACH CAMPAIGNS (OC) TASK ORDER COMPETITION OBTAIN TECHNICAL PROFESSIONAL SERVICES FOR THE DEVELOPMENT, IMPLEMENTATION, EXECUTION AND EVALUATION OF A NATIONAL INTEGR

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20007

State: District of Columbia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $112.7 million to PORTER NOVELLI PUBLIC SERVICES INC. for work described as: MEDICARE OPEN ENROLLMENT (MOE) AND NEW TO MEDICARE PUBLIC EDUCATION (NMPE) AND OUTREACH CAMPAIGNS (OC) TASK ORDER COMPETITION OBTAIN TECHNICAL PROFESSIONAL SERVICES FOR THE DEVELOPMENT, IMPLEMENTATION, EXECUTION AND EVALUATION OF A NATIONAL INTEGR Key points: 1. Significant investment in public education for Medicare enrollment. 2. Porter Novelli, a large advertising firm, secured the contract. 3. Potential for broad public impact across Medicare beneficiaries. 4. Focus on development, implementation, and evaluation of national campaigns.

Value Assessment

Rating: good

The contract value of $112.7M over approximately 3 years appears reasonable for a national public education and outreach campaign of this scope. Benchmarking against similar large-scale federal public awareness campaigns 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 robust price discovery process. The use of Time and Materials (T&M) pricing for technical services allows flexibility but requires careful monitoring to control costs.

Taxpayer Impact: Taxpayer funds are being used to ensure Medicare beneficiaries are informed about enrollment and available services, which is a core government function.

Public Impact

Ensures millions of Medicare beneficiaries receive critical information about enrollment periods and program changes. Aims to improve access to healthcare services through informed decision-making. Public awareness campaigns can lead to better utilization of Medicare benefits.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns with T&M contract type.
Effectiveness of outreach in reaching diverse and hard-to-reach populations.
Measuring the ROI of public education campaigns can be challenging.

Positive Signals

Full and open competition promotes fair pricing.
National scope ensures broad reach.
Focus on evaluation allows for program improvement.

Sector Analysis

This contract falls within the advertising and public relations sector, specifically supporting government health initiatives. Federal spending on public awareness campaigns is common, particularly for large programs like Medicare, to ensure citizen engagement and program effectiveness.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to a large firm, Porter Novelli. There is no indication of small business participation in this specific award.

Oversight & Accountability

The Centers for Medicare and Medicaid Services (CMS) is responsible for overseeing this contract. Robust oversight will be crucial to ensure the effective execution of the campaigns and proper utilization of funds, especially given the T&M contract type.

Related Government Programs

Advertising Agencies
Department of Health and Human Services Contracting
Centers for Medicare and Medicaid Services Programs

Risk Flags

Potential for cost overruns due to T&M pricing.
Ensuring campaign effectiveness across diverse populations.
Measuring the ROI of public education initiatives.
Dependency on a single large contractor for national messaging.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $112.7 million to PORTER NOVELLI PUBLIC SERVICES INC.. MEDICARE OPEN ENROLLMENT (MOE) AND NEW TO MEDICARE PUBLIC EDUCATION (NMPE) AND OUTREACH CAMPAIGNS (OC) TASK ORDER COMPETITION OBTAIN TECHNICAL PROFESSIONAL SERVICES FOR THE DEVELOPMENT, IMPLEMENTATION, EXECUTION AND EVALUATION OF A NATIONAL INTEGR

Who is the contractor on this award?

The obligated recipient is PORTER NOVELLI PUBLIC SERVICES 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 $112.7 million.

What is the period of performance?

Start: 2024-06-28. End: 2027-03-09.

How will the effectiveness of these outreach campaigns be measured to ensure taxpayer value?

Effectiveness will likely be measured through a combination of metrics, including campaign reach (e.g., media impressions, website traffic), beneficiary engagement (e.g., calls to helplines, inquiries), and ultimately, enrollment numbers and informed decision-making rates. The contract's emphasis on evaluation suggests a structured approach to data collection and analysis to demonstrate impact and inform future strategies.

What are the primary risks associated with a Time and Materials contract for a national public education campaign?

The primary risk with a T&M contract is the potential for uncontrolled cost escalation if labor hours and material costs are not closely monitored and managed. For a public education campaign, this could manifest as extended project timelines or scope creep, leading to expenditures exceeding initial estimates without a commensurate increase in demonstrable public benefit.

Given the national scope, what strategies will be employed to ensure equitable reach across diverse demographic and geographic populations?

The campaign development will need to incorporate targeted outreach strategies for various demographics, including different age groups, languages, and socioeconomic statuses. Utilizing a mix of media channels (digital, traditional, community outreach) and partnering with local organizations will be crucial to ensure information reaches underserved populations effectively and equitably across the nation.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Advertising, Public Relations, and Related Services › Advertising Agencies

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: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1615 L STREET NW, SUITE 1150, WASHINGTON, DC, 20036

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $197,332,034

Exercised Options: $112,739,560

Current Obligation: $112,739,560

Actual Outlays: $94,769,331

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 75FCMC18D0045

IDV Type: IDC

Timeline