Healthcare Procurement

Steptoe is one of the most active firms advising clients about federal and state healthcare procurement.  We are very familiar with the complex interplay between the regulatory regimes for healthcare providers and government contractors.  We have represented contractors in bid protests of healthcare and pharmacy benefit procurements by the Government, and we have assisted healthcare providers in responding to audits and investigations arising from healthcare contracts with the Government, including allegations arising under the False Claims Act.  Our practice also includes representing contractors in evaluating and pursuing potential contractual claims against the Government under healthcare contracts.  In addition, we have provided a broad range of legal advice to CHAMPUS and TRICARE contractors for over twenty-five years.    

Representative Matters

  • Konaig Services, Inc., B-408705.2 (Aug. 21, 2013). Steptoe successfully represented Konaig Services in protesting the award by the Center for Medicare and Medicaid Services of a task order for software support services under the STARS II contract.  The protest challenged the agency’s source selection decision and technical and price/cost evaluations.  Shortly after the protest was filed, CMS notified GAO that it was taking corrective action and would conduct a new competition for the task order.
  • NaphCare, Inc., B-406695 et al., 2012 C.P.D. ¶ 246 (Aug. 3, 2012). Steptoe successfully represented the intervenor in defense of a contract awarded by the Federal Bureau of Prisons (BOP) to provide comprehensive medical services to inmates at the Federal Correctional Complex in Allenwood, Pa.  Steptoe lawyers assisted the BOP in successfully demonstrating the flaws in the protester’s challenge to the agency’s technical merit and risk evaluation and source selection decision.
  • UnitedHealth Military & Veterans Servs., LLC, B-401652.8 et al., 2012 C.P.D. ¶ 83 (Jun. 14, 2011) and UnitedHealth Military & Veterans Servs., LLC v. United States, No. 11-405C, 2011 U.S. Claims LEXIS 2128 (Fed. Cl. Oct. 25, 2011).  Representing the intervenor in protests at the GAO and the Court of Federal Claims, Steptoe assisted the Department of Defense in successfully defending the award of a multi-billion dollar TRICARE contract award for DoD service members and retirees and their dependents.  Both forums rejected protester’s challenges to the evaluation of the intervenor’s proposal, noting that the intervenor adhered to the terms of the solicitation and properly explained changes in its proposals during successive rounds of FPRs.  The Court of Federal Claims also concluded that certain protest grounds should not be considered because they were untimely under the rule in Blue & Gold Fleet, L.P. v. United States, 492 F.3d 1308 (Fed. Cir. 2007). 
  • AmerisourceBergen Drug Corp. v. U.S., 60 Fed. Cl. 30 (Fed. Cl. 2004).  Steptoe successfully represented McKesson in defending a multi-billion dollar contract award to McKesson by the Department of Veterans Affairs for the distribution of pharmaceutical products under the VA’s Pharmaceutical Prime Vendor program.
  • Steptoe represented a managed healthcare provider in a lawsuit brought by the Government and a relator qui tam under the federal False Claims Act and assisted the client in reaching an amicable resolution of these claims.
  • Humana Military Healthcare Services, Inc., ASBCA Nos. 56884, 56892, 57086 (2009).  Steptoe successfully negotiated a settlement of claims for constructive acceptance of a Value Engineering Change Proposal (VECP) and for price adjustments arising out of contracts to assist the Department of Defense in managing the delivery of healthcare to military families.

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