GAO Rejects Bid Protest of $320M HHS Contract

Law360, New York (October 22, 2013, 6:22 PM EDT) -- The U.S. Department of Health and Human Services properly evaluated competing proposals before it rightly awarded GHI Medicare a $320 million contract for a Medicare benefits processing system, the U.S. Government Accountability Office ruled Tuesday, denying a bid protest.

IntegriGuard LLC, a subsidiary of HMS Holdings Corp., had argued that HHS' Centers for Medicare and Medicaid Services hadn't properly evaluated the costs of the two proposals — IntegriGuard's proposal was $13 million less than GHI Medicare's — including by, among other things, not properly weighing changes in GHI Medicare's final proposal revisions during several rounds of discussion with the agency....

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