Actuarial Services for Medicaid Managed Care and CHIP

The Texas Health and Human Services Commission (HHSC) is seeking to contract with a qualified entity to provide actuarial services related to the state's Medicaid Managed Care and Children's Health Insurance Program (CHIP). The selected contractor will be responsible for certifying the actuarial soundness of Managed Care Organization (MCO) capitation rates, which must be developed on an annual basis. The contractor will be required to have demonstrated expertise and knowledge of the Texas Medicaid managed care programs, as well as a minimum of two fellows in the Society of Actuaries on staff. Proposals will be evaluated based on the respondent's experience and qualifications, proposed project work plan, and cost. An optional pre-proposal conference will be held on March 19, 2024, and the deadline for submitting proposals is April 11, 2024 at 10:30 a.m. Central Time. The anticipated contract start date is August 2024, with an initial term of two years and the option to extend for up to three additional one-year periods.

The RFP does not specify any set-aside designations or restrictions on the types of organizations that can respond. However, it does note that the incumbent provider is Rudd and Wisdom Inc., and their current contract information is publicly available. Historically, compensation for similar contracts has ranged from approximately $1.5 million to $1.7 million per state fiscal year, though HHSC reserves the right to adjust the projected amount based on available state funding during the contract term. The RFP stipulates that the contractor's compensation must not exceed $1,900,000 annually.