VA awards $90.4M T4NG task order to Cognosante MVH LLC for CCR&A SaaS and integration

Contract Overview

Contract Amount: $90,375,997 ($90.4M)

Contractor: Cognosante MVH LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2017-06-30

End Date: 2019-08-27

Contract Duration: 788 days

Daily Burn Rate: $114.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF::OT::IGF T4NG TASK ORDER FOR THE COMMUNITY CARE REFERRALS AND AUTHORIZATION (CCR&A) SOFTWARE AS A SERVICE (SAAS) AND INTEGRATION DEVELOPMENT PROJECT.

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $90.4 million to COGNOSANTE MVH LLC for work described as: IGF::OT::IGF T4NG TASK ORDER FOR THE COMMUNITY CARE REFERRALS AND AUTHORIZATION (CCR&A) SOFTWARE AS A SERVICE (SAAS) AND INTEGRATION DEVELOPMENT PROJECT. Key points: 1. The contract focuses on software as a service (SaaS) and integration development for community care referrals. 2. Awarded under T4NG, this task order represents a significant investment in VA's healthcare IT infrastructure. 3. The project aims to improve the authorization and referral process for veterans' community care. 4. Competition was full and open, suggesting a robust market for these specialized IT services.

Value Assessment

Rating: good

The contract value of $90.4M for a 2-year period appears reasonable for complex SaaS integration. Benchmarking against similar large-scale healthcare IT projects would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and innovation.

Taxpayer Impact: The investment aims to improve efficiency and veteran care, potentially leading to long-term cost savings and better health outcomes for beneficiaries.

Public Impact

Enhances the referral and authorization process for veterans seeking community care. Leverages SaaS and integration to modernize VA's healthcare IT systems. Aims to improve the overall experience for veterans accessing external healthcare services. Supports the Department of Veterans Affairs' mission to provide comprehensive care.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns in integration development.
Dependence on a single vendor for critical SaaS functionality.
Ensuring data security and privacy for veteran health information.

Positive Signals

Modernizes a key component of veteran healthcare access.
Utilizes a competitive procurement process.
Addresses a critical need for efficient care coordination.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, specifically focusing on healthcare IT solutions. Spending in this area is substantial as agencies modernize their IT infrastructure and seek specialized software services.

Small Business Impact

While the prime contractor is Cognosante MVH LLC, the data does not indicate if small businesses were involved as subcontractors on this specific task order. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard oversight mechanisms for IT development and SaaS implementation would apply, including performance monitoring and quality assurance.

Related Government Programs

Computer Systems Design Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Complexity of SaaS integration
Potential for scope creep
Vendor lock-in concerns
Data security and privacy
Long-term maintenance costs

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $90.4 million to COGNOSANTE MVH LLC. IGF::OT::IGF T4NG TASK ORDER FOR THE COMMUNITY CARE REFERRALS AND AUTHORIZATION (CCR&A) SOFTWARE AS A SERVICE (SAAS) AND INTEGRATION DEVELOPMENT PROJECT.

Who is the contractor on this award?

The obligated recipient is COGNOSANTE MVH LLC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $90.4 million.

What is the period of performance?

Start: 2017-06-30. End: 2019-08-27.

What is the expected return on investment for this $90.4M CCR&A system upgrade in terms of improved veteran care and administrative efficiency?

The expected ROI hinges on the successful integration and adoption of the CCR&A SaaS. Improved efficiency in processing referrals and authorizations could reduce administrative overhead and veteran wait times. Enhanced data accuracy and streamlined workflows are anticipated to lead to better-informed care decisions, ultimately improving the quality and timeliness of care veterans receive, though specific quantifiable metrics would require post-award performance data.

What are the primary risks associated with integrating a new SaaS solution with existing VA legacy systems, and how are they being mitigated?

Key risks include data compatibility issues, interoperability challenges between the new SaaS and legacy systems, and potential disruptions to ongoing operations during integration. Mitigation strategies likely involve thorough testing, phased rollouts, robust data migration plans, and close collaboration between Cognosante MVH LLC and VA IT personnel to ensure seamless integration and minimize service interruptions.

How will the effectiveness of the CCR&A software be measured to ensure it meets the needs of veterans and the VA?

Effectiveness will likely be measured through a combination of performance metrics, user feedback, and achievement of key performance indicators (KPIs). This could include metrics related to referral processing times, authorization approval rates, system uptime, user satisfaction surveys from VA staff and potentially veterans, and the reduction in manual processes or errors.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Cognosante Holdings, LLC

Address: 3110 FAIRVIEW PARK DR STE 800, FALLS CHURCH, VA, 22042

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $90,375,997

Exercised Options: $90,375,997

Current Obligation: $90,375,997

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11816D1001

IDV Type: IDC

Timeline