HHS awards $28.2M for Exchange Health Plan Quality Activities to Booz Allen Hamilton
Contract Overview
Contract Amount: $28,185,948 ($28.2M)
Contractor: Booz Allen Hamilton Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2012-08-31
End Date: 2017-12-31
Contract Duration: 1,948 days
Daily Burn Rate: $14.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: TIME AND MATERIALS
Sector: Other
Official Description: IGF::OT::IGF - DEVELOPMENT AND EVALUATION OF EXCHANGE HEALTH PLAN QUALITY ACTIVITIES
Place of Performance
Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102
State: Virginia Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $28.2 million to BOOZ ALLEN HAMILTON INC for work described as: IGF::OT::IGF - DEVELOPMENT AND EVALUATION OF EXCHANGE HEALTH PLAN QUALITY ACTIVITIES Key points: 1. Contract awarded to a single large business, Booz Allen Hamilton. 2. Spending spans 5 years, indicating a long-term need for these services. 3. The contract falls under Administrative Management and General Management Consulting Services. 4. The award value is substantial, requiring careful oversight.
Value Assessment
Rating: good
The contract value of $28.2 million over five years appears reasonable for comprehensive consulting services in health plan quality. Benchmarking against similar large-scale consulting contracts within HHS would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing compared to limited or sole-source awards.
Taxpayer Impact: The use of full and open competition is positive for taxpayers, as it aims to secure the best value through market forces.
Public Impact
Impacts the quality and effectiveness of health insurance plans offered through exchanges. Influences the administrative and management strategies of healthcare services. Affects beneficiaries by potentially improving the quality of care and plan administration.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns in long-term Time and Materials contracts.
- Reliance on a single contractor for critical quality evaluation activities.
Positive Signals
- Awarded through full and open competition.
- Addresses a critical area of healthcare policy: quality assessment.
Sector Analysis
This contract falls within the professional services sector, specifically management consulting for government agencies. Spending benchmarks for similar administrative and management consulting services for HHS are typically in the millions, aligning with this award.
Small Business Impact
The contract was awarded to a large business and does not indicate any specific set-asides or subcontracting opportunities for small businesses in the provided data.
Oversight & Accountability
The Centers for Medicare and Medicaid Services (CMS) is responsible for overseeing this contract. Standard government oversight mechanisms for contract performance and financial management should be in place.
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
- Potential for cost overruns
- Contract duration
- Reliance on a single vendor
- Lack of small business participation noted
Tags
administrative-management-and-general-ma, department-of-health-and-human-services, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $28.2 million to BOOZ ALLEN HAMILTON INC. IGF::OT::IGF - DEVELOPMENT AND EVALUATION OF EXCHANGE HEALTH PLAN QUALITY ACTIVITIES
Who is the contractor on this award?
The obligated recipient is BOOZ ALLEN HAMILTON 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 $28.2 million.
What is the period of performance?
Start: 2012-08-31. End: 2017-12-31.
What specific metrics are used to evaluate the success of the Exchange Health Plan Quality Activities?
The success of the Exchange Health Plan Quality Activities is likely evaluated based on the contractor's ability to develop and implement effective quality assessment frameworks, improve data collection on plan performance, and provide actionable recommendations to CMS. Key performance indicators would probably include the accuracy and comprehensiveness of quality reports, the impact of recommendations on actual plan improvements, and adherence to project timelines and budget.
What are the primary risks associated with a five-year Time and Materials contract for quality evaluation?
The primary risks with a five-year Time and Materials contract for quality evaluation include potential cost escalation due to undefined scope or inefficiencies, contractor performance drift over time, and a lack of strong incentive for cost control. CMS must actively monitor labor hours, rates, and project progress to mitigate these risks and ensure value for money throughout the contract's duration.
How does this contract contribute to the overall effectiveness of the Affordable Care Act's health insurance exchanges?
This contract is crucial for the effectiveness of the ACA's health insurance exchanges by ensuring that quality standards for health plans are established, monitored, and improved. By evaluating plan performance and providing insights into quality metrics, it helps consumers make informed choices and drives competition among insurers to offer higher quality care, thereby supporting the core objectives of the ACA.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Parent Company: Booz Allen Hamilton Holding Corporation
Address: 8283 GREENSBORO DR, MCLEAN, VA, 22102
Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $28,185,948
Exercised Options: $28,185,948
Current Obligation: $28,185,948
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $5,406,552
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS23F9755H
IDV Type: FSS
Timeline
Start Date: 2012-08-31
Current End Date: 2017-12-31
Potential End Date: 2021-08-06 00:00:00
Last Modified: 2023-04-05
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