The proposed bill seeks to modify Contract No. CW91987 with Conduent State Healthcare, LLC, to extend the contract for the operations and maintenance of the District's Medicaid Management Information System (MMIS) until January 31, 2026, with a total not-to-exceed amount of $13,121,383.91. This extension is necessary to maintain compliance with the Center for Medicare and Medicaid Services (CMS) requirements and ensure the continued operation of the federally owned MMIS. The modification is classified as a sole source extension due to the ongoing development of a new MMIS system, and the current contractor has demonstrated satisfactory performance since 2016.

Key amendments to the contract include the replacement of Section B.2.1, which establishes a fixed-priced component for operations with a claim volume cap of 12,000,000, and the replacement of Section C.5.66, detailing the contractor's responsibilities for turnover activities and documentation. Additionally, Section I.5 is amended to limit the contractor's liability to the cost of four months of the extension period, excluding certain types of damages. The bill also provides an option to extend the contract for an additional two months, from February 1, 2026, to March 31, 2026, with a not-to-exceed amount of $5,389,516.57. These changes aim to ensure a smooth transition and continued operation of the MMIS while clarifying the contractor's obligations and liabilities.