Sole Economically Feasible Source- Integrated Eligibility System Vendor

The Illinois Department of Healthcare and Family Services, in conjunction with the Department of Human Services and Department of Information Technology, is declaring its intent to award a one-year sole-source contract to Deloitte Consulting LLP for continued operation and maintenance of the Illinois Integrated Eligibility System (IES) effective October 15, 2026, through October 14, 2027, with written comments or hearing requests due by 4:00 PM on October 2, 2026, and anticipated contract completion October 7, 2026.

This is a sole economically feasible source procurement. The justification rests on operational continuity: Deloitte has operated the system since 2012 and holds exclusive knowledge of its architecture (six million lines of code, 1,500+ screens, 1,800 data tables, 100+ interface connections). The IES determines eligibility for Medicaid, CHIP, SNAP, and cash assistance for approximately three million Illinois residents. The transition to the successor vendor (Accenture, awarded competitively) requires a minimum of six months following federal Centers for Medicare and Medicaid Services review and contract execution; interruption risks system outages, benefit-processing delays, loss of federal matching funds, and harm to beneficiaries and over 4,300 state employees.

The contract not-to-exceed value is $126,320,430.40, comprising a blended hourly rate of $155.70 for approximately 808,982 hours ($125,958,497.40), monthly hosting costs of $246,475.00, and estimated software costs of $115,458.00. The state determined pricing fair and reasonable by reference to NASPO contract rates of $175–$215 per hour for similar services. Funding sources include state appropriated funds and federal funds from USDA Food and Nutrition Administration and CMS (federal partners provide approximately $275–$300 million annually in matching funds).

Work encompasses maintenance and operations, network and hosting services, support services, security and compliance work, system modernization, and transition activities across multiple task orders. A 15% subcontracting goal applies to minority-owned, women-owned, and disability-owned businesses. A public hearing is scheduled for October 2, 2026, at 2:00 PM via WebEx; the hearing will be canceled unless interested parties submit written comments or request attendance. Contact Dianne Richman, Chief Procurement Office – General Services, at Dianne.Richman@illinois.gov or 217-622-1857.