GovConNet Pathway to

Growth Procurement Conference

Health & Human Services

Landscape

PanelDiane FrasierNIH Head of Contracting Activity

Jess Scarborough DHHS Assistant Secretary for Preparedness and Response; Head of Contracting Activity

Melissa StarinskyCMS Head of Contracting Activity

Facilitator: Dorothy Callahan

Principal, D.Callahan LLC

May 17, 2019

• Shifts in the Federal Acquisition Landscape

• Strategic Advances in HHS OPDIV Acquisition

• Pending FY19 Contract Opportunities

Agenda

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• 2019: Office of Management and Budget (OMB) M-19-16 Centralized Mission Support Capabilities for the Federal Government

• 2018: President’s Management Agenda (PMA) Cross Agency Priority Goal (CAP Goal) #5 Sharing Quality Services

• Aims to increase use of centralized administrative services across Federal enterprise

• Describes how the Government will:

– Develop inter-agency standards and priorities for shared services

– Create centralized capabilities, shared governance, performance expectations

– Accelerate adoption of existing quality services

• Designates Quality Service Management Offices (QSMOs) to manage each service end-to-end

– Starts with Grants Management (HHS), Financial Management (Treasury), Human Resources Transactions (GSA), Cybersecurity (DHS); more to come

– In effect, establishes Government-managed marketplaces for these services/functions

– Stops agencies from issuing “new solicitations for new or modernized technology or services for these functions” without extensive approval

Shifts in the Federal Acquisition Landscape

Shared Services

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A steady drumbeat, getting louder and louder

• 2019: OMB M-19-13 Category Management…

• 2018: PMA CAP Goal #7 Category Management…

• 2017: OMB M-17-22 …Reforming the Fed. Govt…

Buy common goods & services as enterprise

• Government as smart market-maker will

➢ Align more spending with CatMan

➢ Improve industry communications

➢ Manage demand more efficiently

➢ Share data across government

➢ Develop acquisition workforce

• Bring more spend under management (SUM)

• Increase use of Best-in-Class (BIC) vehicles

Shifts in the Federal Acquisition Landscape

Category Management

Source: HHS BUYSMARTERFY19 Q3 Update Briefing (May 2019)

78% of HHS’ FY18 total contract spendaligned to just three category

portfolios

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• 2018: OMB M-18-19 PMIAA* implementing guidance

• 2016: PMIAA* Act Pub. L. No. 114-264

• Driving maturity in acquisition program management

– Collaboration between program and procurement

– Invest in workforce capabilities and career development

• Establishing acquisition portfolio management capabilities

– Portfolio of acquisitions supports complex programs

– Reduce complexity, redundancy, inefficiency; improve performance/health across the portfolio

– Plan & execute managed transitions to improved portfolio

• Conducting major non-IT acquisition portfolio reviews with OMB

Shifts in the Federal Acquisition Landscape

Program Management

5* Program Management Improvement and Accountability Act

Adapted from M-18-19

Strategic Advances in HHS Acquisition

ReImagine HHS

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National Institutes of Health

Institutes and Centers (ICs) Listing

- National Institute of Diabetes and Digestive and Kidney Diseases (NIDDK)

- National Institute of Environmental Health Sciences (NIEHS)

- National Institute of General Medical Sciences (NIGMS)

- National Institute of Mental Health (NIMH)

- National Institute of Neurological Disorders and Stroke (NINDS)

- National Institute of Nursing Research (NINR)

- National Institute on Aging (NIA)

- National Institute on Alcohol Abuse and Alcoholism (NIAAA)

- National Institute on Arthritis and Musculoskeletal and Skin Diseases (NIAMS)

- National Institute on Deafness and Other Communication Disorders (NIDCD)

- National Institute on Drug Abuse (NIDA)

- National Institute on Minority Health and Health Disparities (NIMHD)

- National Library of Medicine (NLM)

- NIH Clinical Center (CC)

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➢Office of the Director (OD)- Center for Information Technology (CIT)

- Center for Scientific Review (CSR)

- Eunice Kennedy Shriver National Institute of Child Health and Human Development (NICHD)

- Fogarty International Center (FIC)

- National Cancer Institute (NCI)

- National Center for Advancing Translations Sciences (NCATS)

- National Center for Complementary and Integrative Health (NCCIH)

- National Eye Institute (NEI)

- National Heart, Lung, and Blood Institute (NHLBI)

- National Human Genome Research Institute (NHGRI)

- National Institute of Allergy and Infectious Disease (NIAID)

- National Institute of Biomedical Imaging and Bioengineering (NIBIB)

- National Institute of Dental and Craniofacial Research (NIDCR)

National Institute of Environmental Health Sciences

(NIEHS)

R&D $89M & Non-R&D $62MTotal: $151M

Charles Conrad / Melissa Gentry

NATIONAL INSTITUTES OF HEALTH OFFICE OF ACQUISITION & LOGISTICS MANAGEMENT

(OALM)Diane J. Frasier

Head of the Contracting Activity, NIHTotal: $5.528B

COAC: R&D Contracts: $1.892B

Non-R&D Contracts: $3.203B

DELEGATED:Purchase Card: $253M

Delegated Community: $143MBPA CALLS: $37M

National Library of Medicine

(NLM, CIT, OD)

R&D $19M & Non-R&D $568MTotal: $587M

Dan Hartinger

Office of Research Facilities (ORF)

All NIH Facilities Related Acquisitions

R&D $18M & Non-R&D $430MTotal: $448MKala Shankar

Office of Logistics & Acquisition Operations (OLAO, NINR, NEI, ORS,

NIDCD, NIGMS, OD, NITAAC)

R&D $16M & Non-R&D $444MTotal: $460M

Acting - Susan Cortes-ShrankNITAAC: $272MBridget Gauer

National Institute of Allergy & Infectious Diseases

(NIAID, HHS Biodefense)

R&D $514M & Non-R&D $280MTotal: $794M

Charles Grewe

National Institute of Child Health and Human

Development(NICHD, NIAAA, FIC, NIDDK,

NIMHD)

R&D $81M & Non-R&D $146MTotal: $227MOlga Acosta

National Institute on Drug Abuse (NIDA, NIINDS, NIMH,

NIA, NCATS)

R&D $151M & Non-R&D $403MTotal: $555M

Christopher Belt

National Heart, Lung, & Blood Institute (NHLBI, NIAMS, CSR, NIDCR, NIBIB, NHGRI)

R&D $123 & Non-R&D $165MTotal: $289MJohn Taylor

Clinical Center (CC)

R&D $.351M & Non-R&D $164MTotal: $165M

Susan Nsangou

National Cancer Institute (NCI, NCCIH)

R&D $870M & Non-R&D $277MTotal: $1.15B

Teresa Baughman

Strategic Advances in HHS Acquisition

ReImagine HHS/BuySmarter

Source: HHS BUYSMARTER FY19 Q3 Update Briefing (May 2019)

Artificial Intelligence (AI) proofs of concept uncoveredlike-to-like pricing variations of more than 300% across HHS

For more information: HHSBUYSMARTER@hhs.gov 9

FY19 Strategic Priorities• Building Acquisition Agility

• Beginning to Modernize the CMS Acquisition Lifecycle

• Driving Better Enterprise Performance

• Measuring and Improving Customer Experience and Strategic Performance

Strategic Advances in CMS Acquisition

OAGM Strategic Priorities

FY 18-22 Strategic Goals (MESH)• Modernization – Great information,

modern technology

• Employees – Empowered & engaged

• Standardization – Well-tuned processes and policies

• Harmony – Mission-aligned capabilities

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The CMS Acquisition Lifecycle

• 50 acquisition professionals completing Digital IT Acquisition Professional (DITAP) Training

• Adapting and applying latest FAR authorities and techniques, including:

➢ Product or Technical Demonstrations

➢ Confidence Ratings

➢ Down-Selects (multi-phase)

➢ Comparative Evaluations

➢ Select-Best-Suited, then Negotiate

Strategic Advances in CMS Acquisition

Innovations in Acquisition

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CMS Takeaways:

• Great value in accurate forecast data & ample notice

• Early, sustained two-way communications and feedback is extremely meaningful and beneficial

• Important to make clear where innovation is valued, and how much it might be worth

• On, May 2, 2019, industry reps shared their perspectives with ~200 CMS acquisition pros

• Improved CMS’s understanding of key industry practices throughout procurements, including

– Strengthening Acquisition Planning

– Understanding Proposed Innovations

– Value of a Quality Debriefing

Strategic Advances in CMS Acquisition

Reverse Industry DayCo-sponsored with the Professional Services Council and the National Contract Management Association

View a recording of the April 2, 2019 event: https://youtu.be/i3FbRe_uYAc 12

Selected FY19 CMS Opportunities

Pending FY19Procurements Group

TCV(est)

PoP Struct

Planned Award Procurement Method

Part C and Part D Programs and Appeals Support

MSCG $15M BY + 4 OY 08/27/2019 SB under GSA PSS

Medicare Part D Payment Process MSCG $16.5M BY + 4 OY 09/02/2019 GSA PSS

Trusted Third Party (TTP) ITCG >=$50M<$100M

BY + 4 OY 09/11/2019 TBD under SPARC

Unified Case Management (UCM) ITCG >= $100M BY + 4 OY 09/13/2019 Unrestricted under SPARC

Customer Support Front End System (CSFES) ITCG <=25K BY + 4 OY 09/13/2019 Unrestricted / GSA Sched 70

State Medicaid Program Integrity Reviews ASG >=$5M <$10M

BY + 4 OY 09/13/2019 Competitive 8(a) Set-Aside (FAR 15 & 19)

Insurance Market Reform Enforcement MSCG $10M BY + 2 OY 09/15/2019 SB under GSA PSS

Medicare Cost Plan Reimbursement Functions

MSCG $2.5 M BY + 4 OY 09/15/2019 GSA’s Professional Services Schedule (FABS)

Medical Claims Review of Managed Care Organizations (MCOs)

MSCG $3.6 M BY + 4 OY 09/15/2019 GSA’s Professional Services Schedule (MOBIS)

Program Integrity Model & Analytic Support Contract (PIMASC)

ASG >=$50M <$100M

BY + 4 OY 09/29/2019 OASIS IDIQ TO Competition -Pool 1 - Unrestricted

National Administrative Support (NAS) ASG >=$20M < $50M

BY + 4 OY 09/30/2019 GSA - MOBIS

Exchange Improper Payment measurements (EIPM) Review Contractor (RC)

ASG >=$20M< $50M

BY + 4 OY 11/01/2019

Exchange Improper Payment measurements (EIPM) Statistical Contractor (SC)

ASG >=$5M <$10M

BY + 4 OH 11/01/2019

For full list (updated 5/1/2019) click on “Forecast of Opportunities” athttps://www.cms.gov/About-CMS/Contracting-With-CMS/ContractingGeneralInformation/index.html

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Selected FY19 ASPR Opportunities

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QUESTIONS?

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ANSWERS!