Early Retiree Reinsurance Program IT/Operations

This acquisition is a result of The Patient Protection and Affordable Care Act (the Affordable Care Act)(Public Law 111-148), which was enacted into law on March 23, 2010. Section 1102 of the Affordable Care Act establishes the temporary Early Retiree Reinsurance Program (ERRP). ERRP is designed to encourage the retention of employer-sponsored health benefits coverage and to lower the costs of such benefits to early retirees and their eligible spouses, surviving spouses, and dependents. Generally, plan sponsors may receive an amount equal to 80 percent of allowable health care costs for these individuals between a cost threshold and cost limit. In order to qualify for reinsurance payments, a plan sponsor must apply to the program, be approved, and submit certain data related to health care costs for qualifying individuals.



In order for HHS to meet the statutory requirements of the Affordable Care Act it is necessary to utilize Contractor support. The Contractor will be required to immediately provide the necessary staff and other resources to (1) establish application processing operations; (2) deliver a customer service support system to deliver the necessary scripts and other information to customer service staff; (3) support the development of education/training/outreach materials and events; and (4) begin the design, development, and testing of systems to electronically register ERRP system users reimburse program participants.



A letter contract was issued on June 28, 2010 to allow the Contractor to start work immediately. The Letter Contract was definitized on July 30, 2010. The amount indicated in this notice is for the fully definitized contract. Award of the Letter Contract was posted in a separate notice under the same solicitation number.



This is a non-competitive contract action under the authority of FAR 6.302-2. In accordance with FAR 6.305, the Justification for Other Than Full and Open Competition will be made publicly available at the GPE.