Exhibit 300 (BY2010) for HHS Consolidated Acquisition Solution

1. Date of Submission:

2009-04-10

2. Agency:

009

3. Bureau:

00

4. Name of this Capital Asset:

HHS Consolidated Acquisition Solution

5. Unique Project Identifier:

009-00-01-06-01-0040-00

6. What kind of investment will this be in FY2010?

Full-Acquisition

7. What was the first budget year this investment was submitted to OMB?

FY2008

8. Provide a brief summary and justification for this investment, including a brief description of how this closes in part or in whole an identified agency performance gap.

The HHS acquisition community lacks an integrated procurement system that is consistent across HHS; the operational contracting offices use different systems and manual processes to support acquisitions. The use of disparate systems complicates interfaces to financial and other HHS systems. Without IT standardization in acquisitions, HHS is unable to integrate acquisition data with financial data in UFMS, the enterprise financial management system, in an automated manner for at least 56,000 obligations a year. To achieve its acquisition standardization goals, HHS determined that it could consolidate its varying configurations of the COTS PRISM application across HHS and deploy the requisitioning functionality of Oracle i-Procurement, a package available within Oracle Federal Financials, the software utilized by UFMS. This implementation is referred to as the HHS Consolidated Acquisition Solution (HCAS). HCAS is a new system that will be used for all operational contracting components within HHS that use UFMS. HHS will deploy HCAS to the following contracting offices: AHRQ, ASPR, FDA, PSC, PSC Perry Point, HRSA, IHS, and SAMHSA. HCAS is currently scheduled to be fully deployed across HHS by 2QFY09. HCAS is in the acquisition phase, focusing on development and deployment activities in FY08 and 1QFY09. CDC will not deploy HCAS until the Department upgrades UFMS to Oracle 12. HCAS supports HHS's strategic goal of responsible stewardship and effective management and the OCIO goal for a robust enterprise IT infrastructure. HCAS is the result of ASAM's Acquisition Integration and Modernization initiative which establishes a single solution for acquisition, eliminating 4 configurations of PRISM across HHS and leverages the Integrated Acquisition Environment e-gov initiative. With iProcurement, HCAS will result in automating approximately 9700 requisitions at PSC, automating the recording of about 56000 PSC obligations and delivering commitment accounting for those obligations. As such, HCAS inclusive of the iProcurement deployment will enable more real-time funds control for program managers at PSC and PSC serviced agencies. An updated business case for the investment shows a positive ROI of 6.5%. Finally, the integration with UFMS reduces the Department risk of Anti-Deficiency Act violations.

9. Did the Agency's Executive/Investment Committee approve this request?

yes

9.a. If "yes," what was the date of this approval?

2008-06-24

10. Did the Project Manager review this Exhibit?

yes

11.a. What is the current FAC-P/PM certification level of the project/program manager?

Waiver Issued

11.b. When was the Program/Project Manager Assigned?

2007-04-01

11.c. What date did the Program/Project Manager receive the FACP/PM certification? If the certification has not been issued, what is the anticipated date for certification?

2009-07-31

12. Has the agency developed and/or promoted cost effective, energy-efficient and environmentally sustainable techniques or practices for this project.

no

12.a. Will this investment include electronic assets (including computers)?

yes

12.b. Is this investment for new construction or major retrofit of a Federal building or facility? (answer applicable to non-IT assets only)

no

13. Does this investment directly support one of the PMA initiatives?

yes

If yes, select the initiatives that apply:

Initiative Name
Eliminating Improper Payments
Expanded E-Government
Financial Performance

13.a. Briefly and specifically describe for each selected how this asset directly supports the identified initiative(s)? (e.g. If E-Gov is selected, is it an approved shared service provider or the managing partner?)

By establishing HCAS, HHS consolidates multiple acquisition systems into one, enabling interoperability of HHS enterprise systems. HCAS leverages the Integrated Acquisition Environment e-gov initiative. Data integration with UFMS improves timeliness and creates real-time records such as commitments and receipts--increasing financial data accuracy, reducing erroneous and untimely payments. HCAS will result in tangible improvements in financial management, reporting and external compliance.

14. Does this investment support a program assessed using the Program Assessment Rating Tool (PART)?

no

15. Is this investment for information technology?

yes

16. What is the level of the IT Project (per CIO Council's PM Guidance)?

Level 2

17. What project management qualifications does the Project Manager have? (per CIO Council's PM Guidance)

(1) Project manager has been validated as qualified for this investment

18. Is this investment identified as high risk on the Q4 - FY 2007 agency high risk report (per OMB memorandum M-05-23)?

yes

19. Is this a financial management system?

yes

19.a. If yes, does this investment address a FFMIA compliance area?

yes

19.a.1. If yes, which compliance area:

Federal financial management systems requirements. By enabling integration with UFMS, HCAS increases the timeliness and accuracy of financial reporting; it creates real-time records such as commitments when obligated and records when purchased.

19.b. If yes, please identify the system name(s) and system acronym(s) as reported in the most recent financial systems inventory update required by Circular A11 section 52.

HHS is in the process of incorporating the HHS Consolidated Acquisition Solution (HCAS) in its financial systems inventory.

20. What is the percentage breakout for the total FY2009 funding request for the following? (This should total 100%)

Area	Percentage
Hardware	1
Software	2
Services	90
Other	7

21. If this project produces information dissemination products for the public, are these products published to the Internet in conformance with OMB Memorandum 05-04 and included in your agency inventory, schedules and priorities?

n/a

22. Contact information of individual responsible for privacy related questions.

Name	Terry Hurst
Phone Number	301-443-2365
Title	OS Senior Privacy Official
Email	Terry.Hurst@hhs.gov

23. Are the records produced by this investment appropriately scheduled with the National Archives and Records Administration's approval?

yes

24. Does this investment directly support one of the GAO High Risk Areas?

no

1. Provide the total estimated life-cycle cost for this investment by completing the following table. All amounts represent budget authority in millions, and are rounded to three decimal places. Federal personnel costs should be included only in the row designated Government FTE Cost, and should be excluded from the amounts shown for Planning, Full Acquisition, and Operation/Maintenance. The total estimated annual cost of the investment is the sum of costs for Planning, Full Acquisition, and Operation/Maintenance. For Federal buildings and facilities, life-cycle costs should include long term energy, environmental, decommissioning, and/or restoration costs. The costs associated with the entire life-cycle of the investment should be included in this report.

All amounts represent Budget Authority

Note: For the cross-agency investments, this table should include all funding (both managing partner and partner agencies).

Government FTE Costs should not be included as part of the TOTAL represented.

Cost Type	Py-1 & Earlier -2007	PY 2008	CY 2009	BY 2010
Planning Budgetary Resources	2.315	0.774	0.000	0.000
Acquisition Budgetary Resources	3.589	12.157	5.986	0.000
Maintenance Budgetary Resources	0.000	0.000	5.363	9.987
Government FTE Cost	0.305	0.585	0.293	0.200
# of FTEs	3	4	4	2

2. Will this project require the agency to hire additional FTE's?

no

3. If the summary of spending has changed from the FY2008 President's budget request, briefly explain those changes.

The HCAS solution now incorporates a global configuration and deployment of Oracle i-Procurement. In addition, the ASAM OAMP informed HHS of a delay in implementation due to a significant additional number of data records at PSC requiring clean-up prior to implementation. As a result, implementation has been delayed to February 2009 and additional funding was obtained to support i-Procurement and resolve data clean-up and conversion costs. Total planning and acquisition costs show an increase of approximately $4.896 million in FY08 and $1.832 in FY09. In addition, the PMO plans to operate with a smaller team of federal employees in FY08 and FY09. This decreases the cost of federal FTEs in FY08 and FY09 from $0.852 and $0.580 to $0.585 and $0.293, respectively. Based on more accurate updated estimates of remaining program costs, the PMO also reallocated funds within fiscal years to reflect revised projections for other significant program costs such as hardware, software, and travel. However, total costs for the sum of these expenses remains the same. The scope of the HCAS PMO's mandate is limited to configuration and deployment of HCAS. Steady state O&M will be provided by PSC's HCAS O&M office. Estimates of O&M costs are provided to reflect the HHS total cost of investment and also reflect a change from the FY2009 budget request. O&M charges have increased to reflect additional support for iProcurement. From FY10-FY13, O&M costs increase by roughly $4 million a year. Total annual costs of roughly $9-$10 million are shown through FY19 instead of through FY16. This results in a total of $63.7 million in additional O&M costs than the prior submission in December 2007. The HCAS governance bodies and the HHS ITIRB recently approved a new performance baseline with updated costs and schedule for the project; they also approved the new funding threshold for the program. The PMO has entered the new baseline as part of this submission.

In order to successfully address this area of the exhibit 300, performance goals must be provided for the agency and be linked to the annual performance plan. The investment must discuss the agency's mission and strategic goals, and performance measures (indicators) must be provided. These goals need to map to the gap in the agency's strategic goals and objectives this investment is designed to fill. They are the internal and external performance benefits this investment is expected to deliver to the agency (e.g., improve efficiency by 60 percent, increase citizen participation by 300 percent a year to achieve an overall citizen participation rate of 75 percent by FY 2xxx, etc.). The goals must be clearly measurable investment outcomes, and if applicable, investment outputs. They do not include the completion date of the module, milestones, or investment, or general goals, such as, significant, better, improved that do not have a quantitative measure.

Agencies must use the following table to report performance goals and measures for the major investment and use the Federal Enterprise Architecture (FEA) Performance Reference Model (PRM). Map all Measurement Indicators to the corresponding Measurement Area and Measurement Grouping identified in the PRM. There should be at least one Measurement Indicator for each of the four different Measurement Areas (for each fiscal year). The PRM is available at www.egov.gov. The table can be extended to include performance measures for years beyond FY 2009.

Row	Fiscal Year	Strategic Goal Supported	Measurement Area	Measurement Grouping	Measurement Indicator	Baseline	Planned Improvement to the Baseline	Actual Results
1	2006	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	12	12	12
2	2006	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	37960	37960	37960
3	2006	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	22	22	22
4	2006	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems (millions of Dollars)	$7.2 million	$7.2 million	$7.2 million
5	2007	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	12%	65%	55%
6	2007	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	37960	15,243	20,328
7	2007	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	22	22	22
8	2007	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$7.2 million	$7.2 million	$11.1 million
9	2008	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	55%	55%
10	2008	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	20,328	20,328
11	2008	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	22	22
12	2008	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$11.1 million	$11.5 million
13	2009	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	55%	78%
14	2009	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	20,328	10,000
15	2009	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	22	18.5
16	2009	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$11.5 million	$10.7 million
17	2010	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	78%	80%
18	2010	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	10,000	8,800
19	2010	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	18.5	14
20	2010	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$10.7 million	$10.3 million
21	2011	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	80%	80%
22	2011	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	8,800	8,800
23	2011	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	14	9
24	2011	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$10.3 million	$10.7 million
25	2012	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	80%	97%
26	2012	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	8,800	1500
27	2012	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (for manual operations)	9	6.8
28	2012	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$10.7 million	$10.3 million
29	2013	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	97%	99%
30	2013	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	1,500	430
31	2013	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract(for manual operations)	6.8	6.8
32	2013	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operating and maintaining HHS acquisition systems	$10.3 million	$9.8 million
33	2014	Effective Management of Human Capital/Information Technology/Resources	Mission and Business Results	Services Acquisition	Percentage of integrated procurement actions in HCAS (of HCAS clients)	99%	99%
34	2014	Effective Management of Human Capital/Information Technology/Resources	Customer Results	Frequency and Depth	Number of actions created outside the system	430	430
35	2014	Effective Management of Human Capital/Information Technology/Resources	Processes and Activities	Efficiency	Average number of business hours required to approve a contract (manual operations)	6.8	6.8
36	2014	Effective Management of Human Capital/Information Technology/Resources	Technology	Operations and Maintenance Costs	Total cost of operations and maintenance	$9.8 million	$10.2 million

In order to successfully address this area of the business case and capital asset plan you must ensure the investment is included in the agency's EA and Capital Planning and Investment Control (CPIC) process, and is mapped to and supports the FEA. You must also ensure the business case demonstrates the relationship between the investment and the business, performance, data, services, application, and technology layers of the agency's EA.

1. Is this investment included in your agency's target enterprise architecture?

yes

2. Is this investment included in the agency's EA Transition Strategy?

yes

2.a. If yes, provide the investment name as identified in the Transition Strategy provided in the agency's most recent annual EA Assessment.

HHS Consolidated Acquisition System (HCAS)

3. Is this investment identified in a completed (contains a target architecture) and approved segment architecture?

no

4. Identify the service components funded by this major IT investment (e.g., knowledge management, content management, customer relationship management, etc.). Provide this information in the format of the following table. For detailed guidance regarding components, please refer to http://www.whitehouse.gov/omb/egov/.

Component: Use existing SRM Components or identify as NEW. A NEW component is one not already identified as a service component in the FEA SRM.

Reused Name and UPI: A reused component is one being funded by another investment, but being used by this investment. Rather than answer yes or no, identify the reused service component funded by the other investment and identify the other investment using the Unique Project Identifier (UPI) code from the OMB Ex 300 or Ex 53 submission.

Internal or External Reuse?: Internal reuse is within an agency. For example, one agency within a department is reusing a service component provided by another agency within the same department. External reuse is one agency within a department reusing a service component provided by another agency in another department. A good example of this is an E-Gov initiative service being reused by multiple organizations across the federal government.

Funding Percentage: Please provide the percentage of the BY requested funding amount used for each service component listed in the table. If external, provide the funding level transferred to another agency to pay for the service.

Row	Agency Component Name	Agency Component Description	Service Type	Component	Reused Component Name	Reused UPI	Internal or External Reuse?	Funding %
1	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Management of Processes	Quality Management			No Reuse	3
2	Acquisition: Ordering		Supply Chain Management	Ordering / Purchasing			No Reuse	20
3	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Supply Chain Management	Sourcing Management			No Reuse	5
4	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Security Management	Identification and Authentication			No Reuse	5
5	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Data Management	Data Exchange			No Reuse	5
6	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Development and Integration	Enterprise Application Integration			No Reuse	15
7	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Investment Management	Strategic Planning and Mgmt			No Reuse	2
8	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Management of Processes	Configuration Management			No Reuse	3
9	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Security Management	Access Control			No Reuse	5
10	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Knowledge Management	Information Sharing			No Reuse	2
11	Acquisition: Workflow		Supply Chain Management	Invoice / Requisition Tracking and Approval			No Reuse	5
12	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Development and Integration	Data Integration			No Reuse	10
13	HHS Consolidated Acquisition Solution	Provide single system for acquisitions to meet the needs of all HHS procurement offices. 4/28/2007 -- This is the name of a Targeted Department-wide system for acquisitions.	Supply Chain Management	Procurement			No Reuse	20

5. To demonstrate how this major IT investment aligns with the FEA Technical Reference Model (TRM), please list the Service Areas, Categories, Standards, and Service Specifications supporting this IT investment.

FEA SRM Component: Service Components identified in the previous question should be entered in this column. Please enter multiple rows for FEA SRM Components supported by multiple TRM Service Specifications.

Service Specification: In the Service Specification field, Agencies should provide information on the specified technical standard or vendor product mapped to the FEA TRM Service Standard, including model or version numbers, as appropriate.

Row	SRM Component	>Service Area	Service Category	Service Standard	Service Specification (i.e., vendor and product name)
1	Quality Management	Service Platform and Infrastructure	Database / Storage	Database	Oracle by: Oracle Corporation
2	Ordering / Purchasing	Component Framework	User Presentation / Interface	Dynamic Server-Side Display	Java Server Pages by: Sun Microsystems, Inc.
3	Sourcing Management	Service Access and Delivery	Delivery Channels	Internet	Internet Protocol by: The Internet Engineering Task Force
4	Identification and Authentication	Component Framework	Security	Certificates / Digital Signatures	Entity Authentication Using Public Key Cryptography by: National Institute of Standards and Technology
5	Identification and Authentication	Service Access and Delivery	Service Transport	Service Transport	Hypertext Transfer Protocol with SSL by: The Internet Engineering Task Force
6	Data Exchange	Component Framework	Data Interchange	Data Exchange	SOAP by: World Wide Web Consortium
7	Data Exchange	Component Framework	Data Management	Database Connectivity	Open Database Connectivity by: Microsoft Corporation
8	Strategic Planning and Mgmt	Component Framework	Data Management	Reporting and Analysis	PRISM-Procurement by: Compusearch Software Systems, Inc.
9	Configuration Management	Service Platform and Infrastructure	Software Engineering	Software Configuration Management	Microsoft Project by: Microsoft Corporation
10	Access Control	Service Platform and Infrastructure	Delivery Servers	Application Servers	PRISM-Procurement by: Compusearch Software Systems, Inc.
11	Access Control	Service Platform and Infrastructure	Delivery Servers	Web Servers	Secure Sockets Layer by: Netscape Communications Corporation
12	Access Control	Service Platform and Infrastructure	Hardware / Infrastructure	Network Devices / Standards	Cisco PIX 535 by: Cisco Systems, Inc.
13	Access Control	Service Platform and Infrastructure	Delivery Servers	Web Servers	Microsoft Internet Information Services by: Microsoft Corporation
14	Information Sharing	Service Platform and Infrastructure	Hardware / Infrastructure	Servers / Computers	HP AlphaServer by: Hewlett-Packard Corporation
15	Information Sharing	Component Framework	Data Interchange	Data Exchange	Microsoft Exchange by: Microsoft Corporation
16	Information Sharing	Service Platform and Infrastructure	Hardware / Infrastructure	Servers / Computers	Sun Server by: TBD
17	Information Sharing	Component Framework	Data Interchange	Data Exchange	Microsoft Office Outlook by: Microsoft Corporation
18	Information Sharing	Component Framework	User Presentation / Interface	Content Rendering	Extensible Markup Language (XML) 1.1 by: World Wide Web Consortium
19	Information Sharing	Component Framework	User Presentation / Interface	Content Rendering	Java Server Pages by: Sun Microsystems, Inc.
20	Invoice / Requisition Tracking and Approval	Service Platform and Infrastructure	Delivery Servers	Application Servers	PRISM-Procurement by: Compusearch Software Systems, Inc.
21	Data Integration	Service Interface and Integration	Integration	Middleware	PL/SQL by: Oracle Corporation
22	Procurement	Service Access and Delivery	Access Channels	Web Browser	Windows Internet Explorer by: Microsoft Corporation
23	Quality Management	Service Access and Delivery	Service Requirements	Legislative / Compliance	TBD
24	Enterprise Application Integration	Service Interface and Integration	Interface	Service Description / Interface	TBD
25	Data Integration	Service Interface and Integration	Interoperability	Data Format / Classification	TBD

6. Will the application leverage existing components and/or applications across the Government (i.e., FirstGov, Pay.Gov, etc)?

yes

6.a. If yes, please describe.

Multi-OPDIV usage is planned

You should perform a risk assessment during the early planning and initial concept phase of the investment's life-cycle, develop a risk-adjusted life-cycle cost estimate and a plan to eliminate, mitigate or manage risk, and be actively managing risk throughout the investment's life-cycle.

Answer the following questions to describe how you are managing investment risks.

1. Does the investment have a Risk Management Plan?

yes

1.a. If yes, what is the date of the plan?

2008-06-23

1.b. Has the Risk Management Plan been significantly changed since last year's submission to OMB?

yes

1.c. If yes, describe any significant changes:

The HCAS Risk Management Plan was updated to further refine key risk management procedures associated with risk identification, categorization, analysis, ownership, mitigation, and contingency planning. The PMO increased the frequency of project team Risk and Issue Meetings from biweekly to weekly. Given the new strategy to deploy HCAS in tandem with the UFMS Release 4.1 Upgrade, it established new Risk and Issue Registers for those risks/issues that are jointly owned by the HCAS Implementation team and the UFMS O&M team. The updated procedures also include weekly meetings with HHS Executive management to discuss risks and issues, ensure risk/issue ownership, and facilitate rapid decision-making and resolution.

3. Briefly describe how investment risks are reflected in the life cycle cost estimate and investment schedule:

HHS factored risk adjustment in its return on investment. Risks were quantified for schedule risks, coordination risks, and risks associated with the baseline architecture not being compatible with version 6 of PRISM. Upcoming data cleanup and conversion issues remain the largest risk to successful deployment. Management support and customer buy-in from PSC to address data readiness has been achieved. Additional funds of $4.124 million to address data conversion have been secured and are allocated over FY08 and FY09 project activities. Future schedule risk may occur from lack of effective cross-team coordination or lack of effective clean up by PSC. We have estimated an additional $900K per month of SI burn for an additional two months of schedule risk for a total of $1.8 million in FY09. If the HCAS initial baseline architecture (FDA's version of PRISM) is not compatible with the PRISM v6 architecture, extensive changes will be required impacting the schedule or upgrade capability. While it is difficult to assess the precise impact these changes would have on the cost of the program if this risk materializes, it is likely to be substantial. For this reason, HHS has included an additional $281,250 to the HCAS development effort in FY08 and in FY09.

1. Does the earned value management system meet the criteria in ANSI/EIA Standard 748?

yes

2. Is the CV% or SV% greater than ± 10%?

no

3. Has the investment re-baselined during the past fiscal year?

yes

3.a. If yes, when was it approved by the agency head?

2008-06-24