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HHS shift could benefit General Dynamics

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Chesterfield County might be able to keep more than 1,000 jobs at a Medicare call center there.

The U.S. Department of Health and Human Services will abandon its pursuit of a policy shift that would have limited the number of bidders for a multibillion-dollar contract for the call center and excluded General Dynamics Corp., the current administrator.

"The dedicated employees currently working for General Dynamics at the Chesterfield call center never asked for special treatment," Rep. J. Randy Forbes, R-4th, said Monday in a statement.

"Instead, they simply asked for the opportunity to compete in an open and fair bidding process for the 1-800-MEDICARE contract that they have currently held for nearly a decade."

The contract is worth $2 billion to $3 billion and ends in 2013.

Vangent, now General Dynamics, has operated the call center in Chesterfield since 2003, providing information to beneficiaries and caregivers regarding their benefits.

"We're very pleased that the 1,100 employees in Chester and their colleagues in other locations will have the opportunity to compete for this business in the future," said Rob Doolittle, spokesman for Falls Church-based defense contractor.

"We have an excellent track record on the program and believe the expertise among the staff and managers is very valuable to the government and to the taxpayers who rely on the Medicare program."

Forbes sent a letter dated Feb. 6 to Health and Human Services Secretary Kathleen Sebelius expressing concern over a proposed change in policy from an open, competitive bidding process for the call center contract to a General Services Administration contracting vehicle limited to three telecommunications carriers.

Forbes said the news to retain an open bidding process was welcomed not only by General Dynamics' employees but also by taxpayers who want to ensure that their tax dollars are being spent in an efficient and transparent manner.

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