HHS awards $2.9M for IHS Clinical Data Mart Operations and Maintenance to Platinum Business Services

Contract Overview

Contract Amount: $2,940,563 ($2.9M)

Contractor: Platinum Business Services, LLC

Awarding Agency: Department of Health and Human Services

Start Date: 2023-03-29

End Date: 2026-09-29

Contract Duration: 1,280 days

Daily Burn Rate: $2.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: Healthcare

Official Description: IHS CLINICAL DATA MART OPERATIONS AND MAINTENANCE

Place of Performance

Location: CATONSVILLE, BALTIMORE County, MARYLAND, 21228

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $2.9 million to PLATINUM BUSINESS SERVICES, LLC for work described as: IHS CLINICAL DATA MART OPERATIONS AND MAINTENANCE Key points: 1. Value for money appears fair given the 3-year duration and the nature of IT operations and maintenance. 2. Competition dynamics indicate a full and open competition, suggesting potential for competitive pricing. 3. Risk indicators are moderate, typical for IT operations contracts with established service providers. 4. Performance context is within the scope of standard IT support and data management services. 5. Sector positioning is within the Health IT sub-sector, supporting critical data infrastructure for NIH. 6. The contract type is Time and Materials, which can pose cost control challenges if not managed closely.

Value Assessment

Rating: fair

The contract value of $2.9 million over approximately three years for IT operations and maintenance is within a reasonable range for similar government contracts. Benchmarking against comparable contracts for data mart operations and maintenance would provide a more precise assessment of value. The Time and Materials pricing structure necessitates careful monitoring to ensure cost efficiency and prevent scope creep.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that multiple bidders were likely considered. The level of competition, while not explicitly detailed by the number of bidders, suggests that the government sought to leverage market capabilities. This approach generally promotes price discovery and encourages competitive offers.

Taxpayer Impact: A full and open competition aims to secure the best value for taxpayers by allowing all qualified vendors to participate, potentially leading to lower prices and higher quality services.

Public Impact

The National Institutes of Health (NIH) benefits from continuous operation and maintenance of its Clinical Data Mart. Essential services include data management, system upkeep, and operational support for critical health research data. The geographic impact is primarily within the NIH's operational centers, likely supporting researchers nationwide. Workforce implications include the need for skilled IT professionals to manage and maintain the data mart infrastructure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not managed diligently.
Reliance on a single vendor for critical data mart operations could pose a risk if performance degrades.
The specific details of the 'Exclusion of Sources' in the competition type warrant further investigation for potential limitations.

Positive Signals

Awarded through full and open competition, suggesting a robust vetting process.
The contract duration of over three years provides stability for essential IT operations.
The vendor, Platinum Business Services, LLC, is likely experienced in providing such IT services to the federal government.

Sector Analysis

This contract falls within the Health Information Technology (Health IT) sector, a critical component of the broader IT services market. The Health IT sector is characterized by specialized needs related to data security, regulatory compliance (like HIPAA), and the integration of complex healthcare systems. Spending in this area supports research, patient care, and public health initiatives. Comparable spending benchmarks would involve analyzing other contracts for similar data management and IT operational support services within federal health agencies.

Small Business Impact

The data indicates that small business participation was not a primary set-aside criterion for this contract (ss: false, sb: false). While this specific contract may not directly benefit small businesses through a set-aside, the prime contractor, Platinum Business Services, LLC, may engage small businesses as subcontractors. The impact on the small business ecosystem would depend on the subcontracting plans and opportunities created by the prime awardee.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program officials within the National Institutes of Health (NIH). Accountability measures are embedded in the contract's performance work statement and delivery schedules. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

NIH Data Management Services
Clinical Data Repository Operations
Federal Health IT Infrastructure Support
Computer Systems Design Services Contracts
Time and Materials IT Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Risk associated with 'Exclusion of Sources' potentially limiting competition.
Dependence on a single contractor for critical data infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $2.9 million to PLATINUM BUSINESS SERVICES, LLC. IHS CLINICAL DATA MART OPERATIONS AND MAINTENANCE

Who is the contractor on this award?

The obligated recipient is PLATINUM BUSINESS SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $2.9 million.

What is the period of performance?

Start: 2023-03-29. End: 2026-09-29.

What is the track record of Platinum Business Services, LLC in performing similar IT operations and maintenance contracts for the federal government?

Platinum Business Services, LLC has a history of performing IT services for the federal government. A detailed review of their contract history, including past performance evaluations and any reported issues on similar data mart operations and maintenance contracts, would be necessary to fully assess their track record. Examining contract awards and completion data from sources like FPDS can reveal their experience level, the types of agencies they've served, and the scale of their previous engagements. Understanding their performance on prior Time and Materials contracts would also be crucial, as this pricing model requires diligent oversight to ensure cost control and adherence to scope.

How does the awarded price compare to market rates for similar IT operations and maintenance services?

The awarded value of $2.9 million over approximately 1280 days (roughly 3.5 years) for the IHS Clinical Data Mart Operations and Maintenance contract needs to be benchmarked against market rates. Without specific details on the labor categories, hours, and overhead rates included in the Time and Materials structure, a precise comparison is difficult. However, general market data for IT operations, data management, and system maintenance services within the federal sector can provide a baseline. Factors such as the complexity of the data mart, security requirements, and the specific technologies involved will influence market rates. A detailed cost analysis by the agency would have been performed prior to award to ensure fair and reasonable pricing.

What are the primary risks associated with a Time and Materials (T&M) contract for IT operations?

The primary risk with Time and Materials (T&M) contracts, like this one for IT operations, is the potential for cost overruns. Unlike fixed-price contracts, T&M agreements reimburse the contractor for direct labor hours at specified rates and for the actual cost of materials. This structure can incentivize longer project durations or increased labor hours if not managed rigorously. For the government, this means that the total cost is not fixed upfront, making budget forecasting more challenging. Effective oversight, including detailed tracking of hours, clear definition of tasks, and robust change control processes, is essential to mitigate these risks and ensure the contract remains within budget and scope.

How does the 'Full and Open Competition After Exclusion of Sources' procurement method impact price discovery and value for taxpayers?

The procurement method 'Full and Open Competition After Exclusion of Sources' suggests that while the competition was intended to be broad, certain sources or types of sources were excluded from consideration. This exclusion, if not well-justified, could potentially limit the pool of qualified bidders and, consequently, the level of competition. While 'full and open' implies an effort to maximize participation, the 'exclusion of sources' element requires scrutiny. If the exclusion was based on specific capabilities or certifications necessary for the unique requirements of the IHS Clinical Data Mart, it might be justified. However, if it unduly restricted competition, it could lead to less competitive pricing and potentially higher costs for taxpayers compared to a truly unrestricted full and open competition.

What are the implications of this contract for the stability and continuity of NIH's clinical data services?

This contract is crucial for ensuring the stability and continuity of the NIH's Clinical Data Mart operations. By awarding a multi-year contract (2023-2029) for operations and maintenance, the NIH secures essential IT support services required to keep the data mart functional, secure, and accessible. This continuity is vital for researchers who rely on this data for their work, potentially impacting the pace and progress of medical research. The duration of the contract provides a predictable operational environment, reducing the risk of service disruptions that could arise from frequent vendor changes or short-term agreements.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 8604 GARNET ROCK GATE, LAUREL, MD, 20723

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $2,940,563

Exercised Options: $2,940,563

Current Obligation: $2,940,563

Actual Outlays: $2,298,672

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 75N98119D00082

IDV Type: GWAC

Timeline