HHS and its Contractors Under Attack with Initiative to
Repeal and Replace Obamacare

Contractors working with Health and Human Services should expect a massive redirection of resources under the Trump Administration. This presents significant risk to industry, particularly incumbent contractors and competitors positioning for recompetes based on requirements aligned with the Affordable Care Act. 

$24.3 billion worth of contract actions are set to expire in calendar year 2017. This new analysis highlights the HHS offices that will be reallocating budget in 2017, along with contractors holding expiring contract risk and the procurement mechanisms that will be used to redirect spending. 

Highlights Include:

  • Expiring contracts for IT & Software increased by 59.5%. One of the many signs the market is becoming increasingly competitive.
  • Repeal and replace risk will impact the Healthcare Services & Insurance industry, particularly Medicare Administrative Contractors.
  • Big Pharma faces significant risk. With national prescription drug spending at an all-time high, President Trump is calling for curbing cost growth. 
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