HHS awards $3.7M for CareWare services to Jeff Murrays Programming Shop Inc

Contract Overview

Contract Amount: $3,712,552 ($3.7M)

Contractor: Jeff Murrays Programming Shop Inc

Awarding Agency: Department of Health and Human Services

Start Date: 2023-03-23

End Date: 2026-03-22

Contract Duration: 1,095 days

Daily Burn Rate: $3.4K/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: MAINTAINING, SUPPORTING AND UPDATING CAREWARE SERVICES

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70130

State: Louisiana Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $3.7 million to JEFF MURRAYS PROGRAMMING SHOP INC for work described as: MAINTAINING, SUPPORTING AND UPDATING CAREWARE SERVICES Key points: 1. Contract awarded for maintaining, supporting, and updating CareWare services. 2. The contract duration is 1095 days, spanning three years. 3. The award was made as a Purchase Order under simplified acquisition procedures. 4. The contractor, Jeff Murrays Programming Shop Inc., is based in Louisiana. 5. The NAICS code indicates custom computer programming services. 6. The contract type is Firm Fixed Price, providing cost certainty. 7. No small business set-aside was indicated for this award.

Value Assessment

Rating: fair

The contract value of $3.7 million over three years for custom computer programming services appears to be within a reasonable range for specialized software maintenance and support. Benchmarking against similar custom programming contracts is challenging without more specific details on the scope of 'CareWare services' and the complexity of the required updates and support. However, the fixed-price nature of the contract offers some predictability for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was not competed under simplified acquisition procedures, suggesting a limited competition approach. The specific reasons for this limited competition are not detailed, but it could be due to factors like existing contractor knowledge, specific technical requirements, or urgency. With limited competition, there is a higher risk that the government may not have achieved the most favorable pricing or innovative solutions available in the market.

Taxpayer Impact: Limited competition can potentially lead to higher costs for taxpayers compared to a fully open and competitive process, as it reduces the pressure on contractors to offer their best prices.

Public Impact

The primary beneficiaries are likely the Health Resources and Services Administration (HRSA) within HHS, which will receive continued support for their CareWare services. The services delivered include maintenance, support, and updates for critical software systems. The geographic impact is primarily within the operational scope of HRSA, with the contractor based in Louisiana. Workforce implications are minimal for the government, with the primary labor provided by the contractor.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may have resulted in a higher price than a fully open bid.
Lack of detailed justification for limited competition raises transparency concerns.
Reliance on a single vendor for critical software support could pose future risks if the vendor's capabilities diminish or pricing increases significantly.

Positive Signals

Firm Fixed Price contract provides budget certainty for the government.
Contract duration of three years offers stability for service delivery.
Contractor is based in the US, potentially simplifying communication and oversight.

Sector Analysis

This contract falls within the Custom Computer Programming Services sector, a segment of the broader IT services industry. This sector is characterized by specialized development, maintenance, and support for software applications. The market size for IT services supporting government health agencies is substantial, driven by the need for robust and secure data management and operational systems. This contract represents a small but essential component of the IT infrastructure supporting HRSA's mission.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. This means that opportunities for small businesses to participate in this specific contract are limited. The award to a single entity without specific small business provisions does not directly contribute to the broader small business contracting ecosystem for this particular service.

Oversight & Accountability

Oversight for this contract would typically fall under the Health Resources and Services Administration (HRSA) contracting officers and program managers. As a purchase order under simplified acquisition, the oversight might be less formalized than for larger, more complex contracts. Transparency is moderate, as the award is publicly visible, but the justification for limited competition is not detailed. Inspector General jurisdiction would apply if any fraud or mismanagement were suspected.

Related Government Programs

Health IT Services
Custom Software Development
IT Support Contracts
Federal Health Agency IT Spending

Risk Flags

Limited Competition Justification Missing
Lack of Detailed Cost Breakdown
Potential for Vendor Lock-in

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $3.7 million to JEFF MURRAYS PROGRAMMING SHOP INC. MAINTAINING, SUPPORTING AND UPDATING CAREWARE SERVICES

Who is the contractor on this award?

The obligated recipient is JEFF MURRAYS PROGRAMMING SHOP INC.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Health Resources and Services Administration).

What is the total obligated amount?

The obligated amount is $3.7 million.

What is the period of performance?

Start: 2023-03-23. End: 2026-03-22.

What specific 'CareWare services' are being maintained, supported, and updated under this contract?

The provided data indicates the contract is for 'MAINTAINING, SUPPORTING AND UPDATING CAREWARE SERVICES.' However, the specific functionalities and purpose of 'CareWare' are not detailed. Based on the context of the Health Resources and Services Administration (HRSA), 'CareWare' likely refers to a software system critical for managing healthcare services, patient data, or program operations within HRSA. This could encompass patient registration, appointment scheduling, clinical data management, or reporting tools essential for HRSA's mission. Further clarification from HRSA documentation or the contract statement of work would be necessary to fully understand the scope of these services.

What is the justification for awarding this contract on a limited competition basis?

The data states the contract was 'NOT COMPETED UNDER SAP' (Simplified Acquisition Procedures), which implies a limited competition approach rather than a full and open solicitation. Specific justifications for this limited competition are not provided in the data. Common reasons for limited competition include the availability of only one responsible source, urgent and compelling needs, or specific technical requirements that only one contractor can meet. Without further documentation from the agency (e.g., a Justification for Other Than Full and Open Competition - JOFOC), it is impossible to determine the precise rationale. This lack of transparency regarding the justification is a point of concern for ensuring maximum value for taxpayer dollars.

How does the per-unit cost or hourly rate compare to market benchmarks for similar custom computer programming services?

The provided data does not include per-unit cost, hourly rates, or a detailed breakdown of the $3.7 million contract value. It only provides the total award amount and the contract duration (1095 days). To assess the value for money, one would need to compare the contractor's proposed rates against industry benchmarks for custom computer programming services, considering factors like the complexity of the software, the required skill sets, and the geographic location of the contractor. Without this granular cost data and market comparison, it is difficult to definitively state whether the pricing is competitive or represents good value for the government.

What is the track record of Jeff Murrays Programming Shop Inc. with federal contracts, particularly with HHS?

The provided data identifies 'JEFF MURRAYS PROGRAMMING SHOP INC' as the contractor for this $3.7 million award. However, it does not offer details on the company's past performance, contract history, or specific experience with the Department of Health and Human Services (HHS) or the Health Resources and Services Administration (HRSA). A comprehensive assessment of the contractor's track record would require accessing federal procurement databases (like FPDS or SAM.gov) to review their award history, past performance evaluations, and any reported issues or successes on previous government contracts. This information is crucial for understanding their reliability and capability in fulfilling the current contract requirements.

What are the potential risks associated with a three-year contract for custom software maintenance and support?

Potential risks associated with a three-year contract for custom software maintenance and support include vendor lock-in, where the government becomes overly dependent on a single provider, making it difficult and costly to switch vendors later. There's also the risk of scope creep if the definition of 'maintenance, support, and updates' is not tightly managed, potentially leading to cost overruns, although the Firm Fixed Price (FFP) structure mitigates this to some extent. Furthermore, the contractor's technical expertise or financial stability could decline over the contract period, impacting service quality. Finally, if the underlying technology or the government's needs evolve significantly, the contracted services might become less relevant or require substantial modifications, posing a risk to program effectiveness.

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: NOT COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 75R60223Q00095

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1215 PRYTANIA ST, NEW ORLEANS, LA, 70130

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

Financial Breakdown

Contract Ceiling: $3,712,552

Exercised Options: $3,712,552

Current Obligation: $3,712,552

Actual Outlays: $3,502,757

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline