General Dynamics receives $84 million contract for Medicare and Medicaid services

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General Dynamics Information Technology’s VIPS business sector has received an information technology contract to support a Retiree Drug Subsidy program for the Department of Health and Human Services.

The task order was granted under the department’s Centers for Medicare and Medicaid Services (CMS). The contract has an initial $16 million value with a maximum value of $84 million if all options are exercised.

VIPs has been working with CMS since 2005.

The Retiree Drug Subsidy was created under the Medicare Prescription Drug, Improvement and Modernization Act of 2003, which provides a subsidy to employer and union sponsors of prescription drug coverage for Medicare-eligible retirees.

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