$530 Million For No-Bid Contract Raises Concerns

In May, the OIG updated its work plan to include an audit on sole-source contracts. Last year, it was reported that a government contract worth up to $530 million was awarded to Family Endeavors, Inc. after the organization hired a President Biden transition official. The $530 million from the no-bid contract was said to be more than 12 times the organization’s annual budget. The contract was to help manage the influx of migrant children at the U.S. southern border and was awarded through HHS’s Administration for Children and Families (ACF), which manages the Unaccompanied Children Program.

The OIG plans to determine whether ACF awarded this sole-source contract to Family Endeavors, Inc. per federal statutes and regulations and HHS policies and procedures.

Download the latest update to the OIG’s monthly work plan update, “A Brief Summary of the OIG Work Plan Updates for May 2022: Sole-Source Contracts, Accuracy of Falls Reporting, and Add-On Payments for COVID-19.” This concise eBrief includes updates on the following areas:

• Audit of add-on payments for COVID-19 tests
• Accuracy of falls reporting in home health agencies
• Audit of sole-source contracts
• Follow-up audit under the Post-Acute-Care Transfer Policy (PACT)

P.S. From now on, we'll be including a one-page flyer in our eBriefs that you can print and post in your office's break room, kitchen, or other shared space. We hope this will help you share important compliance information with your coworkers.