$1.4 Billion+ in Contracts at Risk By HHS Shutting Down Assisted Acquisition Services

August 13, 2019

The Department of Health and Human Services’ Program Support Center provides assisted acquisition services for other agencies at the tune of more than $1.4 billion.  These agencies include the Office of Personnel Management, the Office of Special Counsel, the Environmental Protection Agency, and the Departement of Defense.

HHS has decided to stop offering assisted acquisition services giving agencies approximately 15 months to move existing contracts.

According to the HHS’ memo to civilian agency customers:

“As the result of an internal review that is ongoing, PSC has determined that it does not have the policies, procedures or internal controls necessary to conduct assisted acquisitions for agencies outside of HHS.”

In a memo to Department of Defense Agencies HHS stated:

“As the result of an internal review that is ongoing, PSC is currently unable to certify that it will comply with defense procurement requirements for FY 2019 for assisted acquisitions executed on behalf of DoD. As of June 2019, the DoD Defense Procurement and Acquisition Policy division removed the HHS FAR 17.7 certification from its website at https://www.acq.osd.mil/dpap/cpic/cp/interagency_acquisition.html.”

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