KPMG Will Develop $92 Million HHS Financial System

KPMG Consulting Inc., McLean, Va., was selected by the Department of Health and Human Services to develop and build its Unified Financial Management System. The first year of the contract is worth $11.9 million and can be worth up to $92.4 million over the course of six years if all options are exercised.

The Web-enabled system is expected to provide enterprise-level uniform financial management across all the agencies of the department, incorporating the Centers for Medicare and Medicaid Services' Integrated General Ledger Accounting System and the National Institutes of Health's Business System. It also includes a departmental reporting system and other department-wide administrative systems for functions such as grants and procurement.

The Centers for Medicare and Medicaid Services were formerly the Health Care Financing Administration.

"This can enable HHS to eliminate system and process duplication, gain efficiencies, and produce timely, reliable financial information and service delivery across the Department," said Kelvin Womack, managing director, KPMG Consulting.

The contract will be managed by the agency's Unified Financial Systems Program Office. Anderson, Chicago, will provide independent verification and validation services for the project.