HHS's $45.2M MEPS MPC Contract Awarded to RTI for Computing Infrastructure

Contract Overview

Contract Amount: $45,231,958 ($45.2M)

Contractor: Research Triangle Institute

Awarding Agency: Department of Health and Human Services

Start Date: 2017-07-17

End Date: 2022-06-30

Contract Duration: 1,809 days

Daily Burn Rate: $25.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: IGF::OT::IGF MEDICAL EXPENDITURE PANEL SURVEY (MEPS) MEDICAL PROVIDER COMPONENT (MPC)

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27709

State: North Carolina Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $45.2 million to RESEARCH TRIANGLE INSTITUTE for work described as: IGF::OT::IGF MEDICAL EXPENDITURE PANEL SURVEY (MEPS) MEDICAL PROVIDER COMPONENT (MPC) Key points: 1. The contract supports the Medical Expenditure Panel Survey (MEPS) Medical Provider Component (MPC). 2. RTI was awarded the contract under full and open competition. 3. The contract spans nearly five years, indicating a significant, long-term need. 4. The sector is IT, specifically data processing and web hosting services.

Value Assessment

Rating: good

The contract value of $45.2M over 1809 days suggests a substantial investment in data processing and hosting. Benchmarking against similar large-scale IT infrastructure contracts is difficult without more granular cost breakdowns, but the duration and scope appear reasonable for the services provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, which generally promotes competitive pricing and allows for a wide range of potential contractors to bid. This method is expected to yield fair market value.

Taxpayer Impact: Taxpayer funds are being used for essential data infrastructure supporting critical health expenditure research, aiming for efficient resource allocation through competitive bidding.

Public Impact

Supports vital national health expenditure data collection and analysis. Ensures continued operation and improvement of the MEPS MPC. Provides a foundation for research impacting healthcare policy. The IT services are crucial for managing and disseminating sensitive health data.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically focusing on computing infrastructure, data processing, and web hosting. Spending in this area is substantial across government agencies for supporting various programs and operations. Benchmarks for similar large-scale data processing contracts are highly variable based on specific requirements.

Small Business Impact

The provided data does not indicate any specific set-asides or participation goals for small businesses in this contract. Given the nature of the services and the prime contractor, it's possible that subcontracting opportunities for small businesses exist but are not explicitly detailed here.

Oversight & Accountability

The contract is managed by the Agency for Healthcare Research and Quality (AHRQ), a component of HHS. Oversight would typically involve monitoring performance, costs, and adherence to contract terms to ensure accountability and effective service delivery.

Related Government Programs

Risk Flags

Tags

computing-infrastructure-providers-data-, department-of-health-and-human-services, nc, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $45.2 million to RESEARCH TRIANGLE INSTITUTE. IGF::OT::IGF MEDICAL EXPENDITURE PANEL SURVEY (MEPS) MEDICAL PROVIDER COMPONENT (MPC)

Who is the contractor on this award?

The obligated recipient is RESEARCH TRIANGLE INSTITUTE.

Which agency awarded this contract?

Awarding agency: Department of Health and Human Services (Agency for Healthcare Research and Quality).

What is the total obligated amount?

The obligated amount is $45.2 million.

What is the period of performance?

Start: 2017-07-17. End: 2022-06-30.

What is the specific breakdown of costs within the Cost Plus Fixed Fee structure, and how are these costs justified against the fixed fee?

The provided data lacks the detailed breakdown of costs (e.g., labor, overhead, direct costs) that comprise the 'cost' portion of the Cost Plus Fixed Fee (CPFF) award. Understanding how these costs are tracked, reported, and audited is crucial for assessing value. The fixed fee is negotiated separately and represents the contractor's profit. Without insight into the cost accounting and auditing processes, it's difficult to definitively assess if the fee is appropriate relative to the effort and risk involved.

What are the key performance indicators (KPIs) and service level agreements (SLAs) for this contract, and how is performance measured?

The provided data does not specify the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract. Effective oversight requires clearly defined metrics for uptime, data accuracy, response times, and security. Without these, it is challenging to objectively measure the contractor's performance and ensure the government is receiving the expected level of service for its investment.

How does the chosen IT infrastructure and hosting solution align with current and future government cybersecurity standards and data privacy requirements?

The data does not detail the specific technologies or hosting solutions employed under this contract. Ensuring compliance with evolving government cybersecurity mandates (e.g., CMMC, NIST standards) and stringent data privacy regulations for sensitive health information is paramount. A thorough review of the contractor's security architecture, incident response plans, and audit trails would be necessary to confirm alignment.

Industry Classification

NAICS: InformationComputing Infrastructure Providers, Data Processing, Web Hosting, and Related ServicesComputing Infrastructure Providers, Data Processing, Web Hosting, and Related Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: AHRQ1710001

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3040 E CORNWALLIS RD, RESEARCH TRIANGLE PARK, NC, 27709

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

Financial Breakdown

Contract Ceiling: $47,045,999

Exercised Options: $45,231,958

Current Obligation: $45,231,958

Actual Outlays: $4,711,476

Subaward Activity

Number of Subawards: 21

Total Subaward Amount: $23,332,989

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2017-07-17

Current End Date: 2022-06-30

Potential End Date: 2022-06-30 00:00:00

Last Modified: 2022-08-09

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