HHS Awards $4.17M for Medicaid IT Services to Skylight Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $4,165,867 ($4.2M)

Contractor: Skylight Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2026-02-01

End Date: 2028-01-31

Contract Duration: 729 days

Daily Burn Rate: $5.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: THE PURPOSE OF THIS EFFORT IS TO OBTAIN PROFESSIONAL IT SERVICES FOR MEDICAID COMMUNITY ENGAGEMENT REQUIREMENTS STATE TECHNICAL ASSISTANCE SUPPORT. SEE TERMS AND CONDITIONS PAGES.

Place of Performance

Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $4.2 million to SKYLIGHT INC. for work described as: THE PURPOSE OF THIS EFFORT IS TO OBTAIN PROFESSIONAL IT SERVICES FOR MEDICAID COMMUNITY ENGAGEMENT REQUIREMENTS STATE TECHNICAL ASSISTANCE SUPPORT. SEE TERMS AND CONDITIONS PAGES. Key points: 1. The contract focuses on IT services for Medicaid community engagement and state technical assistance. 2. Skylight Inc. is the awardee, with the contract running for approximately two years. 3. The award was made under full and open competition, suggesting a competitive bidding process. 4. The contract type is Time and Materials, which can pose cost control challenges.

Value Assessment

Rating: fair

The Time and Materials contract type for IT services can lead to cost overruns if not closely managed. Benchmarking against similar custom computer programming services contracts is needed to assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a broad solicitation. However, the Time and Materials pricing structure may limit price discovery and potentially increase costs compared to fixed-price contracts.

Taxpayer Impact: Taxpayer funds are being used for essential IT support for Medicaid programs. The effectiveness of the competition and contract management will determine the ultimate value for taxpayers.

Public Impact

Ensures continued IT support for critical Medicaid community engagement initiatives. Supports state technical assistance, potentially improving Medicaid program delivery. The contract's success will impact the efficiency and effectiveness of state Medicaid operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing structure
Potential for cost overruns without strict oversight

Positive Signals

Awarded under full and open competition
Supports critical state technical assistance

Sector Analysis

This contract falls under IT Professional Services, specifically Custom Computer Programming Services. Spending in this sector is substantial, and effective contract management is crucial for ensuring value and successful project outcomes.

Small Business Impact

The data indicates this contract was not set aside for small businesses and does not specify any small business participation. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

Oversight will be critical due to the Time and Materials contract type. The Centers for Medicare and Medicaid Services must ensure robust monitoring of hours and rates to prevent cost creep and ensure accountability.

Related Government Programs

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

Risk Flags

Time and Materials contract type
Lack of specific performance metrics in provided data
Potential for cost overruns
No clear indication of small business participation

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $4.2 million to SKYLIGHT INC.. THE PURPOSE OF THIS EFFORT IS TO OBTAIN PROFESSIONAL IT SERVICES FOR MEDICAID COMMUNITY ENGAGEMENT REQUIREMENTS STATE TECHNICAL ASSISTANCE SUPPORT. SEE TERMS AND CONDITIONS PAGES.

Who is the contractor on this award?

The obligated recipient is SKYLIGHT 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 $4.2 million.

What is the period of performance?

Start: 2026-02-01. End: 2028-01-31.

What is the estimated hourly rate for the services provided under this Time and Materials contract, and how does it compare to industry benchmarks for similar IT support roles?

The provided data does not include specific hourly rates. To assess value, a comparison of the contractor's proposed rates against government-wide IT service rate ceilings or private sector benchmarks for comparable roles in Maryland would be necessary. This would help determine if the pricing is competitive and reasonable for the required expertise.

What are the specific performance metrics and deliverables outlined in the contract, and how will they be monitored to mitigate risks associated with a Time and Materials contract?

The data does not detail specific performance metrics or deliverables. Effective risk mitigation requires clearly defined tasks, measurable outcomes, and regular progress reviews. The government contracting officer must implement stringent oversight mechanisms to track progress, ensure quality, and control costs, especially given the flexible nature of T&M contracts.

How will the effectiveness of Skylight Inc.'s IT services be measured in terms of improving Medicaid community engagement and state technical assistance, beyond just task completion?

Measuring effectiveness requires defining key performance indicators (KPIs) related to improved engagement and assistance. This could include metrics like increased participant satisfaction, enhanced state agency responsiveness, or measurable improvements in program efficiency. Regular feedback loops and post-award evaluations are essential to gauge the true impact.

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

Solicitation ID: 75FCMC26Q0024

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1226 N TAMIAMI TRL STE 201-13, SARASOTA, FL, 34236

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

Financial Breakdown

Contract Ceiling: $13,909,314

Exercised Options: $4,165,867

Current Obligation: $4,165,867

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 47QTCA18D00D0

IDV Type: FSS

Timeline