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HHS Acquisition Update

2. HHS Acquisition Overview. Office of Acquisition Management

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HHS Acquisition Update

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    1. HHS Acquisition Update Marty Brown Senior Procurement Executive Deputy Assistant Secretary for Acquisition Management and Policy November 17, 2008

    2. 2 HHS Acquisition Overview Office of Acquisition Management & Policy includes Acquisition, Logistics and Travel policy functions. HHS Acquisition consists of ~ 1,000 employees in 40 offices. HHS has 10 Heads of Contracting Activity at agencies and operating divisions who oversee day-to-day contracting office operations. Our acquisition professionals award 70,000 contracting actions worth about $14 billion annually.

    3. 3 HHS Acquisition - Top Priorities Recruiting and retaining a high quality acquisition workforce Measuring acquisition performance in a meaningful way to produce improved results across the HHS enterprise Maintaining a deployable emergency contracting capability Consolidating Acquisition systems Improving oversight of Major Acquisition Increasing Small Business participation Detecting and preventing fraud Increasing competition

    4. 4 HHS Acquisition Dashboard FY 2008 Q1

    5. 5 HHS Acquisition Dashboard FY 2008 Q4

    6. 6 Dashboard Improvements Over FY08 HHS went from 21 Green, 5 Yellow and 20 Red ratings in Quarter 1 to 34 Green, 8 Yellow and 6 Red ratings in Quarter 4. In FY 2008 HHS, as a department, increased the percentage of Performance Based Acquisition dollars from 42% in Quarter 1 to 50% in Quarter 4. HHS’ Strategic Sourcing spend increased by 39% from FY 2007 to FY 2008. 6 HHS OPDIVs decreased the total number of contracts and orders they had eligible for closeout.

    7. 7 HHS Contract Obligations - Trend

    8. 8 FY08 Contract Obligations by OPDIV

    9. 9 HHS Major Acquisition All FY07 Contract Actions Over $10M

    10. 10 Current Issues FAC-P/PM Implementation SmartPay2 Transition Acquisition Intern Program Multiple Year Contracting / Funding Oversight – GAO Framework Doing Business with DoD Strategic Sourcing / Smarter Buying FPDS-NG Accuracy and Timeliness Competency Assessment(s) HHS Consolidated Acquisition System (HCAS) Implementation

    11. 11 FAC-P/PM Implementation What We’ve Done: Discussed preliminary certification approach with OPDIV Acquisition Career Managers. Collaborated with OCIO to identify PM certification standards. What’s Ahead: Issue draft HHS policy and handbook for OPDIV review. Issue final guidance. Close any competency gaps for current Level 3 PMs.

    12. 12 SmartPay2 Transition What We’ve Done: Contracted with J.P. Morgan Chase to issue new HHS purchase, travel and fleet cards. Kept customers up to date on current card destruction and new card activation. What’s Ahead: Resolve issue regarding late delivery of new purchase cards. Develop mitigation strategy to minimize disruption caused by late delivery. Negotiate any needed contractual modifications.

    13. 13 Acquisition Intern Program What We’ve Done: Developed partnership with HHS University to manage the program. Discussed basic concepts with HCAs. What’s Ahead: Obtain OPDIV commitments to hire one or more interns. Establish equitable method to fund intern salaries and benefits. Recruit interns; review applications; make selections.

    14. 14 Multiple Year Contracting / Funding What We’ve Done: Initiated fact-finding, multi-disciplinary “Tiger Team” to look at issue. Diane Frasier is leading “Tiger Team.” Developed review protocols and time lines. What’s Ahead: Complete fact-finding and prepare report on team results and recommendations. Issue acquisition policy memo to strengthen regulatory controls.

    15. 15 Oversight – GAO Framework What We’ve Done: Briefed HCAs on HHS’ proposed oversight approach. Retained LMI to help us tailor GAO framework to meet HHS’ unique oversight needs. What’s Ahead: Establish standard tools/templates and review protocols. Issue guidance on self-assessments and Procurement Management Reviews (PMRs). Start to conduct PMRs.

    16. 16 Doing Business with DoD What We’ve Done: Decided not to issue certification of compliance with DoD procurement requirements. Decided not to conduct NITAAC (assisted) acquisitions for DoD. What’s Ahead: Determine whether DoD plans to exempt any HHS acquisitions from certification standard.

    17. 17 Strategic Sourcing / Smarter Buying What We’ve Done: Implemented Federal Strategic Sourcing Initiative (FSSI) Office Supply awards. Working with HHS CIO’s office to foster enterprise license agreements. What’s Ahead: Finalizing strategy for Strategic Sourcing Contract Portfolio. Member of sourcing team recompeting FSSI Domestic Mail Delivery Services contract. Participating on Strategic Sourcing Community of Practice Education and Measures/Metrics Workgroups.

    18. 18 FPDS-NG Accuracy and Timeliness What We’ve Done: Conducted HHS-wide review of DCIS data reliability in FY07. Developed HHS-wide plan to improve data accuracy and timeliness in FY08. Encouraged HCAs to pursue OPDIV-unique data improvement initiatives. What’s Ahead: Issue acquisition guidance to support data improvement process. Conduct HHS-wide follow-on review of data reliability in FY10.

    19. 19 Competency Assessment(s) What We’ve Done: Reviewed 2008 workforce survey and reported findings to OPM. What’s Ahead: Analyze contracting and program competency gaps. Coordinate with HCAs to establish sensible FY09 competency goals. Work with HCAs to monitor progress against FY09 goals.

    20. 20 HCAS Implementation What We’ve Done: Upgraded the shared FDA and IHS PRISM to Version 6.1. Added new features to create the “Global” HCAS PRISM integrated with UFMS. What’s Ahead: Deploy “Global” PRISM integrated with UFMS for AHRQ, ASPR/BARDA, HRSA, PSC, SAMHSA & ASAM/OAMP in Feb 2009. Improve DCIS/FPDS reporting by requiring FPDS coding before release of award from PRISM.

    21. 21 Questions?

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