HHS to Launch 2 Acquisition Programs in FY 2025

The Department of Health and Human Services will stand up two new programs related to the agency’s acquisition of new technologies and collaboration with industry, agency officials said during an industry day for its newest agency ARPA-H.

One will be an Acquisition Innovation Lab to optimize how the agency will procure new technology. The lab will ensure continuous improvement and be adaptable to the changing market dynamics.

The other program is the Industry Liaison Program to improve overall communication with industry. This enables industry partners and HHS officials to share feedback, improve engagements and build future solicitations.

The programs will be especially pertinent for ARPA-H, whose mission is to fund research with high-risk, high-reward missions for advances in health. ARPA-H also serves as an experiment for the federal government to do business differently.

“We want to explore new technologies that will allow us to build new health innovations, but in a way where we don’t have to continue to expand the amount of work we need to do,” said HHS Services Deputy Assistant Secretary for Acquisitions and Senior Procurement Executive Katrina Brisbon at the industry day. “We want to adopt innovative methods that also support an evolving mission.”

ARPA-H Enables Doing Business Differently

Since 2023, ARPA-H has launched 20 programs, three of which are still accepting proposals. ARPA-H Director Renee Wegrzyn said during the event that in its first six months, the agency mobilized $113 million across 24 teams.

Agency leadership took into account how lengthy grant approval times discourages private-sector technology providers from working with the government. Agency leaders want to continue to improve how the agency works with industry.

“Seven of those teams never worked with the government,” said Wegrzyn. “We want to hear from you today. What are the other barriers that we can be knocking down to work with the government and be able to advance the state of the art for health for everyone?”

A key to this is how the agency set up its operations. Wegrzyn highlighted how the agency’s program managers lead portfolios of projects that bring in multiple perspectives, but still have a sole decision-maker.

Also, the agency’s venture capitalist operations model means it can follow a more simple funding process that includes a three-page summary and, if approved, a 30-minute in-person pitch.

“We’re built like a business. We’re built to be quick, nimble and move decisively,” said Wegrzyn. “Success is when something transitions out of ARPA-H and into the real world, and our program managers have that passion and that vision.”