HHS Awards $43.9M for ICD-10 Program Management to Noblis, Inc
Contract Overview
Contract Amount: $43,912,935 ($43.9M)
Contractor: Noblis, Inc.
Awarding Agency: Department of Health and Human Services
Start Date: 2009-07-06
End Date: 2015-10-01
Contract Duration: 2,278 days
Daily Burn Rate: $19.3K/day
Competition Type: COMPETITIVE DELIVERY ORDER
Number of Offers Received: 3
Pricing Type: TIME AND MATERIALS
Sector: Healthcare
Official Description: ICD-10 PROGRAM MANAGEMENT
Place of Performance
Location: WINDSOR MILL, BALTIMORE County, MARYLAND, 21244
State: Maryland Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $43.9 million to NOBLIS, INC. for work described as: ICD-10 PROGRAM MANAGEMENT Key points: 1. Noblis, Inc. secured a significant contract for ICD-10 program management. 2. The contract was awarded under a competitive delivery order, suggesting some level of price discovery. 3. Potential risks include the long duration of the contract and the Time and Materials pricing model. 4. The sector is administrative and management consulting services, crucial for healthcare system operations.
Value Assessment
Rating: fair
The award amount of $43.9 million over approximately 6.3 years suggests a moderate annual spend. Benchmarking against similar management consulting contracts would be necessary for a precise value assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Awarded via a competitive delivery order, indicating multiple bids were likely considered. The Time and Materials pricing, however, may limit price certainty compared to fixed-price contracts.
Taxpayer Impact: Taxpayer funds are utilized for essential healthcare program management, aiming for efficient implementation of the ICD-10 system.
Public Impact
Ensures continued support for the critical ICD-10 coding system implementation and maintenance. Impacts healthcare providers and payers through the management of coding standards. Supports the operational efficiency of Medicare and Medicaid services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Time and Materials pricing can lead to cost overruns.
- Long contract duration may reduce flexibility.
- Potential for scope creep without strict oversight.
Positive Signals
- Competitive award process.
- Supports a critical healthcare initiative.
Sector Analysis
This contract falls within the administrative and general management consulting services sector, specifically supporting healthcare IT infrastructure. Spending in this area is often substantial due to the complexity of healthcare systems.
Small Business Impact
The provided data does not indicate any specific subcontracting goals or participation by small businesses in this contract.
Oversight & Accountability
Oversight would be crucial given the Time and Materials contract type and the long duration to ensure cost control and adherence to scope.
Related Government Programs
- Administrative Management and General Management Consulting Services
- Department of Health and Human Services Contracting
- Centers for Medicare and Medicaid Services Programs
Risk Flags
- Time and Materials pricing
- Long contract duration (approx. 6.3 years)
- Potential for scope creep
- Administrative/Management Consulting Services
Tags
administrative-management-and-general-ma, department-of-health-and-human-services, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $43.9 million to NOBLIS, INC.. ICD-10 PROGRAM MANAGEMENT
Who is the contractor on this award?
The obligated recipient is NOBLIS, 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 $43.9 million.
What is the period of performance?
Start: 2009-07-06. End: 2015-10-01.
What was the competitive landscape for this delivery order, and how did it influence pricing?
The contract was awarded as a 'COMPETITIVE DELIVERY ORDER', suggesting that multiple vendors likely submitted proposals. While competition generally drives down prices, the Time and Materials (T&M) pricing structure means the final cost is dependent on actual hours worked and labor rates, rather than a pre-defined fixed price. The extent of price discovery is therefore limited by the T&M model itself.
What are the primary risks associated with the Time and Materials pricing model for this long-term contract?
The primary risk of a Time and Materials contract, especially one spanning over six years, is the potential for cost escalation. Without a fixed ceiling or strict controls, the government may end up paying more than anticipated if the contractor's hours or labor rates increase unexpectedly. This necessitates robust monitoring and management by the agency to control scope and prevent inefficiencies.
How effectively does this contract support the overall goals of the ICD-10 transition and ongoing healthcare data management?
This contract directly supports the ICD-10 transition and ongoing data management by providing essential program management services. Its effectiveness hinges on the contractor's ability to manage the complexities of the ICD-10 system, ensure accurate coding, and facilitate smooth data exchange within the healthcare ecosystem. Successful execution is vital for accurate billing, improved data analysis, and efficient healthcare operations.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SOCIAL SERVICES › SOCIAL SERVICES
Competition & Pricing
Extent Competed: COMPETITIVE DELIVERY ORDER
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 2002 EDMUND HALLEY DR, RESTON, VA, 20191
Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $43,912,935
Exercised Options: $43,912,935
Current Obligation: $43,912,935
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS10F0189T
IDV Type: FSS
Timeline
Start Date: 2009-07-06
Current End Date: 2015-10-01
Potential End Date: 2015-10-01 00:00:00
Last Modified: 2021-12-06
More Contracts from Noblis, Inc.
- Epics Unrestricted Contract; Noblis; # Dtfawa-17-D-00014 on Task Order # 0005 Enterprise Engineering Services Support — $280.0M (Department of Transportation)
- Advisory and Assistance Services — $231.1M (Department of Defense)
- Epics Unrestricted Contract Noblis # Dtfawa-17-D-00014 for Task Order # 0004 NAS Voice Systems (NVS) PMO) Support — $135.1M (Department of Transportation)
- Ecss T.0. 0020 - Enterprise Engineering Services TAS::69 1301::TAS Igf::ot::igf — $121.7M (Department of Transportation)
- This Procurement Will Require Project Management Advice, Guidance and Support Services Under the Oversight of the Office of Information Technology (OIT) to Facilitate Consistent and Effective Planning, Control, and Monitoring of the Progress and Stat — $80.4M (Department of Health and Human Services)
Other Department of Health and Human Services Contracts
- Contact Center Operations (CCO) — $5.5B (Maximus Federal Services, Inc.)
- TAS::75 0849::TAS Oper of Govt R&D Goco Facilities — $4.8B (Leidos Biomedical Research Inc)
- THE Purpose of This Contract IS to Provide the Full Complement of Services Necessary to Care for UC in ORR Custody Including Facilities Set-Up, Maintenance, and Support Internal and Perimeter (IF Applicable) Security, Direct Care and Supervision Inc — $3.5B (Rapid Deployment Inc)
- Contact Center Operations — $2.6B (Maximus Federal Services, Inc.)
- Federal Contract — $2.4B (Leidos Biomedical Research Inc)
View all Department of Health and Human Services contracts →