HHS Awards $12.6M for QPP-SURS to Altarum Institute via Full and Open Competition

Contract Overview

Contract Amount: $12,625,478 ($12.6M)

Contractor: Altarum Institute

Awarding Agency: Department of Health and Human Services

Start Date: 2017-02-16

End Date: 2022-02-15

Contract Duration: 1,825 days

Daily Burn Rate: $6.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 30

Pricing Type: COST PLUS FIXED FEE

Sector: Healthcare

Official Description: QUALITY PAYMENT PROGRAM SMALL UNDERSERVED AND RURAL SUPPORT (QPP-SURS) AWARD IGF::CT::IGF

Place of Performance

Location: ANN ARBOR, WASHTENAW County, MICHIGAN, 48105

State: Michigan Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $12.6 million to ALTARUM INSTITUTE for work described as: QUALITY PAYMENT PROGRAM SMALL UNDERSERVED AND RURAL SUPPORT (QPP-SURS) AWARD IGF::CT::IGF Key points: 1. The contract focuses on administrative management and consulting services for the Quality Payment Program. 2. Altarum Institute, a known entity in healthcare consulting, secured the award. 3. The contract spans five years, indicating a significant, long-term need. 4. The use of Cost Plus Fixed Fee (CPFF) pricing warrants scrutiny for potential cost overruns.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee (CPFF) structure can lead to higher costs if not managed tightly. Benchmarking against similar CPFF contracts for administrative consulting services is recommended to ensure fair pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, suggesting a robust price discovery process. This method generally leads to more competitive pricing compared to sole-source or limited solicitations.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, aiming to secure services at a reasonable cost. However, the CPFF structure requires ongoing oversight to control final expenditures.

Public Impact

Impacts healthcare providers participating in the Quality Payment Program. Aims to improve support for underserved and rural populations within the program. The five-year duration suggests a sustained effort to refine program administration and outreach.

Waste & Efficiency Indicators

Waste Risk Score: 69 / 10

Warning Flags

  • CPFF pricing structure requires close monitoring.
  • Long contract duration increases risk exposure.

Positive Signals

  • Full and open competition utilized.
  • Established contractor with relevant expertise.

Sector Analysis

This contract falls under administrative management and general management consulting services, a broad category. Benchmarks for similar government contracts in this sector vary widely based on scope and duration.

Small Business Impact

The contract was not awarded to a small business. There is no indication of small business participation or subcontracting goals within the provided data.

Oversight & Accountability

The contract's long duration and CPFF structure necessitate robust oversight from the Centers for Medicare and Medicaid Services to ensure efficient use of funds and achievement of program objectives.

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

  • Cost Plus Fixed Fee (CPFF) pricing.
  • Long contract duration (5 years).
  • Lack of small business participation noted.
  • Potential for scope creep in administrative services.

Tags

administrative-management-and-general-ma, department-of-health-and-human-services, mi, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $12.6 million to ALTARUM INSTITUTE. QUALITY PAYMENT PROGRAM SMALL UNDERSERVED AND RURAL SUPPORT (QPP-SURS) AWARD IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is ALTARUM INSTITUTE.

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 $12.6 million.

What is the period of performance?

Start: 2017-02-16. End: 2022-02-15.

What is the specific value proposition of Altarum Institute's services for the QPP-SURS program?

The value proposition likely centers on Altarum's expertise in healthcare policy, program administration, and data analysis to enhance the effectiveness and reach of the Quality Payment Program, particularly for underserved and rural providers. Their services are expected to streamline operations, improve provider engagement, and ensure compliance with program requirements, ultimately benefiting patient care.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this program?

The primary risk with CPFF is that the contractor may have less incentive to control costs compared to fixed-price contracts, as their fee is fixed regardless of the actual costs incurred. This can lead to potential cost overruns if not rigorously monitored. Additionally, defining the 'fixed fee' accurately upfront can be challenging for complex service contracts.

How effectively is this contract expected to improve support for underserved and rural providers in the QPP?

Effectiveness will depend on the specific strategies and deliverables Altarum Institute implements. The contract's success hinges on their ability to develop and execute targeted outreach, technical assistance, and resource allocation plans that directly address the unique challenges faced by underserved and rural providers within the Quality Payment Program framework.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative 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: HHSM5002016RFP0021

Offers Received: 30

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 3520 GREEN CT STE 300, ANN ARBOR, MI, 48105

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: $12,625,478

Exercised Options: $12,625,478

Current Obligation: $12,625,478

Actual Outlays: $1,499,674

Subaward Activity

Number of Subawards: 41

Total Subaward Amount: $8,341,176

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2017-02-16

Current End Date: 2022-02-15

Potential End Date: 2022-02-15 00:00:00

Last Modified: 2025-09-04

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