HHS awards $28.4M contract to Vizient Inc. for hospital innovation improvement services
Contract Overview
Contract Amount: $28,368,027 ($28.4M)
Contractor: Vizient Inc
Awarding Agency: Department of Health and Human Services
Start Date: 2016-09-28
End Date: 2020-03-31
Contract Duration: 1,280 days
Daily Burn Rate: $22.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 16
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: HOSPITAL INNOVATION IMPROVEMENT NETWORK CONTRACT - IGF::CT::IGF
Place of Performance
Location: IRVING, DALLAS County, TEXAS, 75062
State: Texas Government Spending
Plain-Language Summary
Department of Health and Human Services obligated $28.4 million to VIZIENT INC for work described as: HOSPITAL INNOVATION IMPROVEMENT NETWORK CONTRACT - IGF::CT::IGF Key points: 1. Contract awarded to Vizient Inc. for administrative and management consulting. 2. The contract spans over 1280 days with a firm fixed price. 3. No small business participation was noted in this contract. 4. The sector is primarily administrative management and general management consulting services.
Value Assessment
Rating: fair
The contract value of $28.4 million over approximately 3.5 years appears reasonable for comprehensive administrative and management consulting services. Benchmarking against similar large-scale consulting contracts would provide a clearer picture of its value.
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 allows multiple vendors to bid, potentially leading to more competitive pricing.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing the best value services.
Public Impact
Supports innovation within hospitals, potentially leading to improved patient care and efficiency. The services provided could impact healthcare delivery models and operational strategies. Long-term contract duration suggests ongoing need for these specialized consulting services.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Contract duration is substantial, requiring ongoing monitoring.
Positive Signals
- Awarded through full and open competition.
- Firm fixed price contract type limits cost overrun risk.
Sector Analysis
This contract falls under administrative management and general management consulting services, a broad category supporting various government functions. Benchmarks for this sector vary widely based on the specific services rendered.
Small Business Impact
The data indicates no small business participation in this contract. Efforts to include small businesses in future procurements within this service area could be explored.
Oversight & Accountability
The Centers for Medicare and Medicaid Services (CMS) is responsible for oversight. The firm fixed price and defined period of performance provide a framework for accountability.
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
- No small business participation.
- Contract duration of over 3 years.
- Specific performance outcomes not detailed.
Tags
administrative-management-and-general-ma, department-of-health-and-human-services, tx, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Health and Human Services awarded $28.4 million to VIZIENT INC. HOSPITAL INNOVATION IMPROVEMENT NETWORK CONTRACT - IGF::CT::IGF
Who is the contractor on this award?
The obligated recipient is VIZIENT 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 $28.4 million.
What is the period of performance?
Start: 2016-09-28. End: 2020-03-31.
What specific innovations were facilitated by this contract, and what was their measurable impact on hospital efficiency or patient outcomes?
The contract aimed to support hospital innovation, but the specific innovations and their measurable impact are not detailed in the provided data. Further analysis would require access to performance reports and outcome metrics to assess the true value delivered and whether the $28.4 million investment yielded significant improvements in hospital efficiency or patient care.
Given the full and open competition, were there any concerns raised about the bidding process or the final price compared to market rates?
While awarded under full and open competition, the provided data does not detail any concerns raised during the bidding process or explicitly compare the final price to market rates. The firm fixed price structure suggests a degree of price certainty, but a deeper dive into the procurement file would be needed to confirm the absence of any pricing-related issues or protests.
How effectively did Vizient Inc. meet the objectives of the Hospital Innovation Improvement Network contract, and were there any performance issues?
The provided data does not include performance metrics or details on whether Vizient Inc. met the contract's objectives. Assessing effectiveness would require reviewing performance evaluations, deliverables, and any feedback from the Centers for Medicare and Medicaid Services (CMS) regarding the contractor's execution and impact.
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: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: HHSM5002016RFP0026
Offers Received: 16
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 290 E JOHN CARPENTER FRWY, IRVING, TX, 75062
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $28,368,027
Exercised Options: $28,368,027
Current Obligation: $28,368,027
Subaward Activity
Number of Subawards: 10
Total Subaward Amount: $10,086,252
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2016-09-28
Current End Date: 2020-03-31
Potential End Date: 2020-03-31 00:00:00
Last Modified: 2023-02-10
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 →