Federal Opportunity Alert: IRS Affordable Care Act Administration

by Chris Wiedemann, Senior Analyst

As Stephanie mentioned in her post last week, the Patient Protection and Affordable Care Act (PPACA) has created substantial new regulatory burdens for the Department of Health and Human Services. However, expanded mission requirements are not limited to that department – unsurprisingly for such a large piece of legislation, regulatory and enforcement authority rests in several different places across government. Outside of HHS, however, the single largest instance of new regulatory authority resides with the Internal Revenue Service.

For evidence of the size and scope of IRS’s involvement with the Affordable Care Act (ACA), look no further than the Treasury’s section in the Exhibit 53. The second largest investment there, referred to simply as “Affordable Care Act Administration,” is in fact a $300M bucket of new Development, Modernization & Enhancement money intended to stand up an entirely new system to support IRS’s increased data collection and tax enforcement requirements. Although the investment is still in the early planning stages, the bureau has already started contracting out program management and development services to prime holders of the TIPSS 4 contract. As we enter the home stretch of this fiscal year and move into FY14, be on the lookout for a wide range of commercial off the shelf requirements coming out of IRS to support this investment, including data management, business intelligence, fraud & waste detection, and cyber security requirements.

To learn more about the IRS’s ACA Administration investment, as well as other key initiatives and programs in the Treasury, be sure to register for immixGroup’s upcoming Market Intelligence Briefing on April 24 at 11:00 am ET.