[Congressional Record Volume 160, Number 100 (Wednesday, June 25, 2014)]
[Senate]
[Pages S3961-S3962]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                          AFFORDABLE CARE ACT

  Mr. BLUNT. The other matter I wish to talk about for just a few 
minutes deals with the disappointing answer Senator Alexander and I got 
this week from a request we made several days ago about a processing 
center near St. Louis where the employees have stepped forward and 
basically said this was a processing center for the Affordable Care 
Act. One group that may not be able to afford the Affordable Care Act--
among many others--may be the taxpayers. These employees stepped 
forward and said they were really not doing anything.
  The St. Louis Post-Dispatch reported this morning:

       Whistleblower allegations last month that claims workers 
     slept, read or played games at Wentzville invoked a flurry of 
     questions from Missouri's congressional delegation.

  Moving on with their story, they cite one of the whistleblowers as 
saying:

       We played Pictionary. We played 20 Questions. We played 
     Trivial Pursuit.

  She estimated she processed six applications the entire month of 
December.
  CMS, while not acknowledging any of those allegations, said it ``has 
adjusted Serco's work to accommodate changing operational needs.'' That 
is sort of a nonanswer answer.
  If we want the government to work more effectively, the government 
has to be responsive to the Congress.
  Mr. President, I unanimous consent to have my letter printed in the 
Record.
  This letter is dated June 17, but we had to call them yesterday to 
see if they were ever going to respond. They stamp-dated this a few 
days ago, but we certainly have not received anything.
  I understand the Affordable Care Act is not going the way the 
administration had hoped, but that doesn't mean they can continue to 
pretend there are applications where there are no applications or work 
where there is no work or contracts that have not performed.
  This is a British company that was already in trouble with the 
British Government that has not performed there. It appears to be one 
of the considerations to get a $1.25 billion contract here.
  I wish to have answers to these questions. I know many in the 
Congress wish to have answers to their questions. They wish to ask 
questions rather than to have to listen to whatever information the 
administration would like to give.
  I think the entire Missouri congressional delegation is interested in 
this, as are people who are wanting the taxpayers to be protected and 
for people to have access to health care they can afford and that meets 
the needs of their family.

[[Page S3962]]

  There being no objection, the material was ordered to be printed in 
the Record as follows:

         Department of Health and Human Services, Centers for 
           Medicare and Medicaid Services
                                    Washington, DC, June 17, 2014.
     Hon. Roy Blunt,
     U.S. Senate,
     Washington, DC.
       Dear Senator Blunt: Thank you for your letter regarding the 
     recent news story about employees of Serco, a contractor to 
     the Centers for Medicare & Medicaid Services (CMS), which 
     provides eligibility support for the Federally-facilitated 
     Marketplace (Marketplace). CMS is committed to working with 
     Serco, and all of CMS's contractors, to ensure that federal 
     funds are spent appropriately and that performance 
     expectations are clear and monitored. We closely monitor the 
     work Serco is doing regarding the number of employees it has, 
     including staff allocation by job function, and we are 
     confident that the balance is appropriate.
       On April 22, CMS was notified by Serco of a request for an 
     interview with KMOV, a local news station in St. Louis, 
     Missouri, regarding the allegations of misconduct at its 
     Wentzville, Missouri facility. Upon learning about the 
     allegations, CMS formally requested Serco to conduct a 
     compliance investigation for the purpose of reviewing the 
     allegations of inappropriate employee conduct at its 
     Wentzville, Missouri facility as cited in the news story and 
     to take any necessary steps to address them. At this time, 
     CMS does not have any knowledge of similar allegations taking 
     place at any of Serco's other facilities.
       Regarding adjustments of Serco staffing levels in response 
     to Marketplace workload, total Serco workforce numbers and 
     patterns vary and are adjusted based on the needs of the 
     contract. Currently, Serco has approximately 3,000 employees 
     stationed among its four locations. The number of Serco staff 
     is reviewed on a regular basis by CMS and adjustments to 
     staffing levels are made as appropriate based on the workload 
     and requirements of the contract. Over the course of open 
     enrollment, and now after open enrollment, CMS has adjusted 
     Serco's workforce to accommodate changing operational needs. 
     For example, CMS adjusted the workforce to process more paper 
     applications last fall, when HealthCare.gov had technical 
     problems, and then again for calling consumers to help them 
     take the necessary steps to complete their enrollment.
       For oversight purposes, CMS monitors Serco's performance 
     through a range of contractually required reports, meetings 
     and site visits. CMS receives daily production and staffing 
     reports from Serco, and communicates with Serco 
     representatives daily to discuss operations and policy 
     guidance to ensure adequate staffing levels and operational 
     priorities. CMS has also conducted site visits across all 
     four Serco facilities and is in constant communication with 
     Serco's management team.
       Regarding the question of oversight or other actions to 
     ensure compliance with contract terms, in accordance with 
     Federal Acquisition Regulation (FAR) 42.15, CMS will complete 
     an annual evaluation of Serco utilizing the Contractor 
     Performance Assessment Reporting System at the end of the 
     base period. In the event of inappropriate activity related 
     to payments already made to Serco, CMS would take recourse 
     that is legally and contractually allowed.
       Concerning document production and consumer notifications, 
     since October 1, 2013, Serco has handled more than 1 million 
     documents related to the Marketplace and made 1.4 million 
     outbound phone calls to Marketplace applicants. Serco 
     performs a number of duties for CMS other than processing 
     initial paper applications. Serco workers also are involved 
     with verifying information, processing exemptions, resolving 
     conflicts of information, and calling consumers to obtain 
     missing information or necessary documentation.
       Finally, in consideration of whether Serco would be granted 
     a one-year option period at the end of the contract's one-
     year base period, CMS will conduct a review of the quality of 
     the work currently being performed by the contractor, 
     determine whether the contractor has met the terms and 
     conditions of the contract thus far, and assess if the 
     requirement covered by the option continues to fulfill an 
     existing government need. CMS's review will fulfill all of 
     the conditions prescribed in FAR 17.207, Exercise of Options.
       I understand your concerns and appreciate you bringing them 
     to my attention. will also provide a copy of this response to 
     Senator Lamar Alexander. Once again, thank you for your 
     letter and do not hesitate to contact me if you have any 
     further thoughts or concerns.
           Sincerely,
                                                 Marilyn Tavenner,
                                                    Administrator.

  Mr. BLUNT. I yield the floor and ask unanimous consent that we move 
to the quorum call and that the time be equally divided.
  The PRESIDING OFFICER. Without objection, it is so ordered.
  The clerk will call the roll.
  The assistant legislative clerk proceeded to call the roll.
  The PRESIDING OFFICER. The Senator from Tennessee.
  Mr. ALEXANDER. I ask unanimous consent that the order for the quorum 
call be rescinded.
  The PRESIDING OFFICER. Without objection, it is so ordered.

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