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Old 10-10-2013, 07:28 AM   #1 (permalink)
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$634 Million

Report: Glitchy Healthcare.gov cost taxpayers more than $634 million to build

Read more: Report: Glitchy Healthcare.gov cost more than $634 million | The Daily Caller
Quote:
With critics panning the Obamacare exchange website Healthcare.gov for its myriad technological problems, a tech news site has surfaced with a dollar estimate for what the glitchy website actually cost taxpayers.

According to Digital Trends, CGI Federal received $634,320,919 to construct Healthcare.gov — or more than the amount spent building Linkedin ($200 million) and Spotify ($288 million) combined.

The site also cost more than it took to initially create Facebook, Twitter, and Instagram, according to the report.

The Department of Health and Human Services did not respond to The Daily Caller’s request for comment.

The expense appears even larger when compared with the amount the company was originally slated to receive, as in 2011 CGI Federal was contracted to build the site for about $93 million.

This news comes as Fox News reports that officials in the White House might have known prior to the launch that the site was not ready and the government still has not released information on how many people have successfully enrolled in the federal exchanges.

Thursday, an Associated Press-GFK poll revealed that seven percent of Americans reported that somebody in their household has tried to sign up for the exchange, however among those who experimented with the exchanges, just 10 percent of those who attempted to sign up were able to buy health insurance.

According to the AP, about 75 percent of Americans polled said they experienced problems trying to sign up.

The administration has noted that open enrollment is just beginning and there is still time for Americans to enroll.
Pathetic.
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Old 10-10-2013, 07:30 AM   #2 (permalink)
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We paid $634 million for the Obamacare sites and all we got was this lousy 404

Read more: Obamacare's broken website cost more than LinkedIn, Spotify combined | Digital Trends
Follow us: @digitaltrends on Twitter | digitaltrendsftw on Facebook

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It’s been one full week since the flagship technology portion of the Affordable Care Act (Obamacare) went live. And since that time, the befuddled beast that is Healthcare.gov has shutdown, crapped out, stalled, and mis-loaded so consistently that its track record for failure is challenged only by Congress.

The site itself, which apparently underwent major code renovations over the weekend, still rejects user logins, fails to load drop-down menus and other crucial components for users that successfully gain entrance, and otherwise prevents uninsured Americans in the 36 states it serves from purchasing healthcare at competitive rates – Healthcare.gov’s primary purpose. The site is so busted that, as of a couple days ago, the number of people that successfully purchased healthcare through it was in the “single digits,” according to the Washington Post.


We, the taxpayers, seem to have forked up more than $634 million of the federal purse to build the digital equivalent of a rock.

The reason for this nationwide headache apparently stems from poorly written code, which buckled under the heavy influx of traffic that its engineers and administrators should have seen coming. But the fact that Healthcare.gov can’t do the one job it was built to do isn’t the most infuriating part of this debacle – it’s that we, the taxpayers, seem to have forked up more than $634 million of the federal purse to build the digital equivalent of a rock.

The exact cost to build Healthcare.gov, according to U.S. government records, appears to have been $634,320,919, which we paid to a company you probably never heard of: CGI Federal. The company originally won the contract back in 2011, but at that time, the cost was expected to run “up to” $93.7 million – still a chunk of change, but nothing near where it ended up.

Given the complicated nature of federal contracts, it’s difficult to make a direct comparison between the cost to develop Healthcare.gov and the amount of money spent building private online businesses. But for the sake of putting the monstrous amount of money into perspective, here are a few figures to chew on: Facebook, which received its first investment in June 2004, operated for a full six years before surpassing the $600 million mark in June 2010. Twitter, created in 2006, managed to get by with only $360.17 million in total funding until a $400 million boost in 2011. Instagram ginned up just $57.5 million in funding before Facebook bought it for (a staggering) $1 billion last year. And LinkedIn and Spotify, meanwhile, have only raised, respectively, $200 million and $288 million.

Government has a long history of spending money unnecessarily. But in an age when the U.S is home to the world’s largest, most successful Internet companies, how is it possible that we can’t even manage to build a functional website without blowing through hundreds of millions of dollars?

The best answer I’ve found comes from the Department of Better Technology, a private company that builds software for governments – a competitor, in other words, to CGI Federal, which specializes in building software solutions for major industry sectors including defense, energy and environment, financial and, of course, healthcare. Still, biased though it may be, the argument makes a lot of sense.

As one of the company’s authors wrote in a recent blog post, the failure of Healthcare.gov isn’t because the people in our government are inept mouth-breathers who regard the work as a meaningless burden, but because the factors that play into which companies receive government contracts, a process called “procurement,” are fundamentally broken.

“Contracting officers – people inside of the government in charge of selecting who gets to do what work – are afraid of their buys being contested by people who didn’t get selected,” writes the author. “They’re also afraid of things going wrong down the line inside of a procurement, so they select vendors with a lot of ‘federal experience’ to do the work.”


When things still go wrong, they simply throw ‘more money at the same people who caused the problem to fix the problem.’

And when things still go wrong, they simply throw “more money at the same people who caused the problem to fix the problem.”

Considering the frustrating bunch we have in Congress at the moment, this assessment seems particularly believable.

Unlike some Americans, I actually want the Obamacare exchanges to succeed. I’ve given the state-specific options a try (there are 15 of them, including Washington D.C.’s) and they seem to greatly simplify the process of buying healthcare. And the rates do appear to come in far lower than what many people without health insurance from an employer have had to bear until now. It’s not government-run healthcare. There are no death panels. And, from what I can tell, the world will not end if more people have health insurance – quite the opposite, in fact.

What I cannot stand is a nation that has vast technological resources in its citizenry spending $600 million of our collective money to slap together a product that, thus far, has only managed to waste people’s precious minutes. So the next time our government comes up with any bright idea that relies upon a massive website, let’s all be sure to ask how they plan to build it. Because the standard operating procedure at the moment is just plain sick.


Read more: Obamacare's broken website cost more than LinkedIn, Spotify combined | Digital Trends
Follow us: @digitaltrends on Twitter | digitaltrendsftw on Facebook
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Old 10-10-2013, 07:31 AM   #3 (permalink)
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Old 10-10-2013, 07:32 AM   #4 (permalink)
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What's WORSE?

CGI - Headquarters: E-Commerce Place, Montreal, Quebec, Canada
Would be funny if Vertical Scope owned them too.
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Old 10-10-2013, 07:36 AM   #5 (permalink)
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Obamacare website looks "like nobody tested it," programmer says


Obamacare website looks "like nobody tested it," programmer says - CBS News
Quote:
Healthcare.gov launched more than a week ago, and while millions of Americans have signed into the site, not many have been able to actually sign up for insurance because of glitches with the website.

Administration officials implementing the new health care law will be on the hot seat Wednesday as the House Oversight Committee hopes to find out what the problems were.

Committee Chairman Darrell Issa told CBS News' Jan Crawford that he plans to ask how the mess surrounding the website could even happen.

Special Section: Obamacare Kicks Off

No one knows how many people have managed to enroll because the administration refuses to release those numbers, but the website's launch has been rocky.

Media outlets have struggled to find anyone who's actually been successful. The Washington Post even illustrated that sought-after person as a unicorn, and USA Today called the launch an "inexcusable mess" and a "nightmare."

White House officials initially blamed the problem on an unexpectedly high volume as they had more than 8 million hits in the first week, but after it went offline over the weekend for repairs, officials now acknowledge other problems.

"We've identified the glitches, we've added hardware, we're recoding software, and I can tell you today is better than yesterday, and we are hoping in the very near future to have a seamless process that's what we are aiming for," Health and Human Services Secretary Kathleen Sebelius said.

However, computer experts say the website has major flaws.

"It wasn't designed well, it wasn't implemented well, and it looks like nobody tested it," said Luke Chung, an online database programmer.

Chung supports the new health care law but said it was not the demand that is crashing the site. He thinks the entire website needs a complete overhaul.

"It's not even close. It's not even ready for beta testing for my book. I would be ashamed and embarrassed if my organization delivered something like that," he said.

There are new reports that some people who tried to register but were blocked from enrolling were asked to reset their passwords Tuesday and that more people will be asked to do the same.

Chung told Crawford that this change is a clue that they are making major changes to the system's foundation. He also said it is a sign of progress and that they finally have the people who know what needs to be done to fix the problems.
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Old 10-10-2013, 07:58 AM   #6 (permalink)
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"We've identified the glitches, we've added hardware, we're recoding software, and I can tell you today is better than yesterday, and we are hoping in the very near future to have a seamless process that's what we are aiming for," Health and Human Services Secretary Kathleen Sebelius said.
She is full of shit.

I've been directly involved in software testing at our small company for some
time and I can say without a doubt, there is NO WAY, absolutley NO WAY
they have "identified the glitches" in one week's time with this massive
$634 million dollar piece of clusterfuck.

They will be very fortunate to have ANY semblence of partial operational
success by third quarter 2015 and then only after spending an additional
$634 million which this country doesn't have.

Morons.
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Old 10-10-2013, 08:13 AM   #7 (permalink)
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She is full of shit.

I've been directly involved in software testing at our small company for some
time and I can say without a doubt, there is NO WAY, absolutley NO WAY
they have "identified the glitches" in one week's time with this massive
$634 million dollar piece of clusterfuck.

They will be very fortunate to have ANY semblence of partial operational
success by third quarter 2015 and then only after spending an additional
$634 million which this country doesn't have.

Morons.
I doubt it cost $634 million. I would sooner bet about $534 million was sent somewhere else.
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Old 10-10-2013, 08:17 AM   #8 (permalink)
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I doubt it cost $634 million. I would sooner bet about $534 million was sent somewhere else.
Given to Zuckerburg, Page, and Brin as a consultant fee which will be funneled back into the DNC coffers.
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Huh. Yeah, I guess you're right.
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Old 10-10-2013, 08:19 AM   #9 (permalink)
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Democrats - "sometimes you just have to implement a solution to see whats wrong with it"


And that is a shitload of $$ for a system of that size, a private company could do it right for 1/10th that amount.
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Old 10-10-2013, 08:22 AM   #10 (permalink)
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What's WORSE?

CGI - Headquarters: E-Commerce Place, Montreal, Quebec, Canada
Oh, this is messed up.
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Old 10-10-2013, 08:27 AM   #11 (permalink)
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I doubt it cost $634 million. I would sooner bet about $534 million was sent somewhere else.
You may very well be correct, but as Hillary would say,
"What difference does it make?!!!?"

The $634 million dollars in tax payer funding is still gone and they have a POS
for their efforts.

How much more of our money will be pissed away to have something that,
at the very least resembles a working product, as intended?
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Old 10-10-2013, 08:37 AM   #12 (permalink)
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Having been involved in software development for back end systems getting data from over 100,000 systems simultaneously it's not surprising there are serious issues when the back end systems people don't talk to the front end people, and vice versa.
Here's a pretty good article that's not just a lot of bitching.
What went wrong with healthcare.gov: The front end and back end never talked to each other.

Another interesting article
IT experts: HealthCare.gov is still a mess | E government - InfoWorld
Quote:
The problem might also have stemmed from the budget alloted to the whole project. Back in April, the Washington Post noted how building the health care exchange was estimated to cost at least $5 billion to implement. Congress alloted only $1 billion....
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Old 10-10-2013, 08:38 AM   #13 (permalink)
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I'm actually astonished that it didn't cost twice that...our government are amazing bargain shoppers.
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Old 10-10-2013, 08:51 AM   #14 (permalink)
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634 MILLION. Holy Shit, I'm working for the wrong company.

I could have built that site, functioning properly, for MUCH less. Fuck it, gimme 5 Million and 6 months and I'll hand you over a site that would work, and work well, the first day. Give me 10 and I'll assemble a pretty kick ass team to handle it.

That damn thing ain't that complicated - I've built much bigger systems.
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Old 10-10-2013, 08:53 AM   #15 (permalink)
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could have done this on Azure fairly simply... and used GSM and AbiCode for testing/monitoring... and had the elasticity needed... for much..... much.... much less.
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Old 10-10-2013, 08:56 AM   #16 (permalink)
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Wait! Are you all saying that the .gov messed up something?!?

Well, they may have screwed up the website for the healthcare thing-a-ma-bob. But you can be damned sure that when they start implementing that which they can't sell (yet), it will run like a well-designed clockwork.

It's a .gov program after all.....how can it possibly go wrong. Right Screwzy?
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Old 10-10-2013, 09:09 AM   #17 (permalink)
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Wait! Are you all saying that the .gov messed up something?!?

Well, they may have screwed up the website for the healthcare thing-a-ma-bob. But you can be damned sure that when they start implementing that which they can't sell (yet), it will run like a well-designed clockwork.

It's a .gov program after all.....how can it possibly go wrong. Right Screwzy?
The only thing they seem to have figured how to do is steal money from its citizens.

I can't think of any other thing they do well at.
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Old 10-10-2013, 09:36 AM   #18 (permalink)
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I know this is the government we are talking about but how does a contract for a product go from 94 million to 635?

Gov: I want this product to do this...bid.

Contractors: Gotcha

Gov: Selection to company x, bid 94 million

Contractor: Invoice 634 million...oh and we got problems.

Gov: ok...keep going.

How does that work? My god we have to get a handle of this crap!
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Old 10-10-2013, 09:40 AM   #19 (permalink)
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I know this is the government we are talking about but how does a contract for a product go from 94 million to 635?

Gov: I want this product to do this...bid.

Contractors: Gotcha

Gov: Selection to company x, bid 94 million

Contractor: Invoice 634 million...oh and we got problems.

Gov: ok...keep going.

How does that work? My god we have to get a handle of this crap!
Change orders.

You see, the company rightfully billed in excesive fees for changes to the system they were designing. A system that I am SURE they had ZERO REQUIREMENTS for.

How could they, no one read the obamacare bill when it was signed in to law.

So, they start building it, and as people start figuring out what is in it crap has to change.
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Old 10-10-2013, 09:48 AM   #20 (permalink)
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I know this is the government we are talking about but how does a contract for a product go from 94 million to 635?
So lets say you and I were fraternity brothers, or we banged the same cheerleader at Harvard, or our dads were fraternity brothers, or maybe they were both partners for the same law firm...you get the point. Lets say that I'm accepting bids for a rather large .gov project. Lets say that a few "legitimate" companies submitted bids, but they were a little lower "you" are able to deliver. Now let's say that we meet for drinks and you explain that you can't possibly deliver a competitive bid, but it would be in "all of our" best interests for you to get the bid.
So you submit a "reasonable" bid, though you know you have neither the technology, ability, or desire to be able to deliver. Now understand that there is obviously ZERO ACCOUNTABILITY WHATSOVER regarding any of this, so you continue to invoice (hopefully with a nice kickback ending up somewhere in my books), we've already signed the contract that has lots of loopholes (intentionally obviously...God bless lawyer politicians) for additional charges throughout the process.
Now of course none of this could possibly be true, just sounds like a script to a horrible movie. After all, our "leaders" are truly only interested in the well being of honest, hard working US citizens and wouldn't possibly be involved in something so criminal, unscrupulous, and overtly "evil"....right?
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Old 10-10-2013, 09:52 AM   #21 (permalink)
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^ Those two pretty much nailed it.

In the 'real world', bidding 93 Mil then turning in an invoice for 634 Mil would probably end the company in some form of litigation.

Scope creep is almost unavoidable, I've NEVER seen it so bad that the 'estimate' and deliverable were ~6x different
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Old 10-10-2013, 10:01 AM   #22 (permalink)
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Thanks for the explanation, I know how it works.

It just pisses me off. It should not work this way. I know it is impossible to eliminate all over rides and corruption but damn, we have to get a handle on this crap. This would not fly in private business and as such it should not fly in government.
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Old 10-10-2013, 10:03 AM   #23 (permalink)
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Thanks for the explanation, I know how it works.

It just pisses me off. It should not work this way. I know it is impossible to eliminate all over rides and corruption but damn, we have to get a handle on this crap. This would not fly in private business and as such it should not fly in government.
Don't worry, they're trying to get rid of that pesky "private business"...that should make everything much more consistent for everyone.
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Old 10-10-2013, 10:08 AM   #24 (permalink)
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Old 10-10-2013, 10:14 AM   #25 (permalink)
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Wink

Has any one thought about this: Obummercareless plan was put into affect to disrupt the country, to cause stress on every one,. It was to drain BILLIONS from the country's coffers. It was never supposed work in the first place. This farce was dreamed up by people who HATE America,and want to see us down and out. This is a typical communist tactic.! #1 disrupt government #2 kill the wealth #3 pit the poor against the wealthy and last#4 create confusion in all aspects of daily life, so they can pull off massive underhand law infractions/ constitution violations.!!!!!!
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