Definitive Contract 75FCMC23C0013
Active Awarded Last action
- Contract number
- 75FCMC23C0013
- Awardee
-
CGS Administrators, LLC UEI LLNXG14PXPB3 Part of Blue Cross & Blue Shield Of South Carolina
- Awarding agency
-
Centers for Medicare and Medicaid Services
Department of Health and Human Services
- Obligated
- $93,921,107
Award facts
- Opportunity
-
- Sources Sought Notice for Medicare Administrative Contractor (MAC) Services DME Jurisdictions B, D. Medicare Part A & B Jurisdiction 15 Pre-Solicitation · 75FCMC22R0002 · Posted Nov 3, 2021
- Contract value 46% obligated
-
- $109,128,558.00 Current, with exercised options
- $205,540,887.00 Potential, with all options
- Completion date 48% complete
-
- Current, with exercised options
- Potential, with all options
- NAICS code
- 524114 Direct Health and Medical Insurance Carriers
- Set-aside
- No set-aside
- Competition
- Full and Open Competition · 2 offers Negotiated Proposal / Quote
- Pricing
- Cost Plus Award Fee
- Place of performance
- Nashville, TN 37214, USA
- Legislative mandates
-
- Employment Eligibility Verification (E-Verify) FAR subpart 22.18
- Service Contract Inventory FAR subpart 4.17
Award details come from SAM.gov/FPDS.
Transactions
| Action | Obligated | Date |
|---|---|---|
| Supplemental Agreement for work within scope | -$1,998,134 | |
| Vendor Address Change | $0 | |
| Change Order | $2,709,353 | |
| Supplemental Agreement for work within scope | $0 | |
| Other Administrative Action | $0 | |
| Exercise an Option | $23,320,700 | |
| Other Administrative Action | $0 | |
| Other Administrative Action | $0 | |
| Other Administrative Action | $1,200,000 | |
| Other Administrative Action | -$1,024,594 | |
| Funding Only Action | $12,716,383 | |
| Other Administrative Action | $0 | |
| Supplemental Agreement for work within scope | $0 | |
| Exercise an Option | $10,225,000 | |
| Other Administrative Action | $0 | |
| Supplemental Agreement for work within scope | $0 | |
| Supplemental Agreement for work within scope | $0 | |
| Funding Only Action | $88,690 | |
| Supplemental Agreement for work within scope | -$16,723 | |
| Supplemental Agreement for work within scope | $15,872,652 | |
| Supplemental Agreement for work within scope | $10,231,311 | |
| Exercise an Option | $3,200,000 | |
| Supplemental Agreement for work within scope | $0 | |
| Other Administrative Action | $0 | |
| Funding Only Action | $48,846 | |
| Supplemental Agreement for work within scope | $0 | |
| Funding Only Action | $1,333,259 | |
| Funding Only Action | $3,418,219 | |
| Exercise an Option | $12,559,865 | |
| Other Administrative Action | $0 | |
| Original award | $36,280 |
Show all 31
About this award
The Centers for Medicare and Medicaid Services awarded CGS Administrators, LLC a $205.5 million ceiling definitive contract for JB DME MAC services on April 1, 2023. The contract is cost-plus-award-fee, no set-aside was used, and ultimate completion is September 30, 2030. Place of performance is Nashville, TN 37214.
The originating opportunity was a Sources Sought notice posted November 3, 2021, with responses due December 3, 2021. It sought capability statements for Medicare Administrative Contractor services covering DME Jurisdictions B and D and Medicare Part A and B services for Jurisdiction 15. Required services include fee-for-service claims processing and payment, provider enrollment, medical review, and correspondence handling. The notice cited annual workloads of approximately 30 million claims for Jurisdiction B, 20 million for Jurisdiction D, and 6 million for Jurisdiction 15, and stated that no minimum or maximum award values had been established.
CGS Administrators subcontracts staff augmentation to Karna LLC (professional services, February 16, 2024) and Broadway Ventures, LLC (September 6, 2024). The prime is a subsidiary of Blue Cross & Blue Shield Of South Carolina.
Service Contract Inventory data shows government-invoiced labor of $1.9 million in FY2023 (6.2 FTEs, 12,849 contractor hours), $11.4 million in FY2024 (39.8 FTEs, 82,761 hours), and $23.1 million in FY2025 (90.8 FTEs, 188,948 hours). The derived government-paid hourly rate declined from $149.55 in FY2023 to $137.92 in FY2024 and $122.26 in FY2025. The source notes these rates are approximate in years with subcontractors. FY2025 reports one subcontractor and 1% of contractor hours subcontracted out, with CGS Administrators in a prime role.
Subawards
| Subcontractor | Amount | Awarded |
|---|---|---|
| Broadway Ventures, LLC | $1,394,668 | |
| Karna LLC | $96,000 |
Quick answers
Who was awarded contract 75FCMC23C0013?
75FCMC23C0013 was awarded to CGS Administrators, LLC by Centers for Medicare and Medicaid Services (Department of Health and Human Services) on April 1, 2023.
How much is contract 75FCMC23C0013 worth?
The government has obligated $93,921,107 on 75FCMC23C0013. Its current value, with exercised options, is $109,128,558. Its potential value, with all options, is $205,540,887.
Was contract 75FCMC23C0013 competed?
The extent of competition for 75FCMC23C0013 was full and open competition. The government received 2 offers.
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