Leidos Gets $317,986,855 Sole-Source Bridge Contract To Keep MHS GENESIS Running
The Defense Health Agency award covers reintegration, licensing and hosting, and is set to shrink as other contractors take over.
Leidos was awarded a $317,986,855 firm-fixed-price contract by the Defense Health Agency, according to the Department of War's contract announcement for Tuesday. The award, dated Sept. 28, is a sole-source bridge for the electronic health record system known as MHS GENESIS.
What the announcement says
The contract (HT003826DE014) buys "essential system reintegration, software licensing, and hosting services" for MHS GENESIS, which the Department called a critical defense business system. Leidos, of Reston, Virginia, will do the work in Reston.
The Department said the award will be funded by fiscal 2026 operations and maintenance funds. The announcement does not state an obligated amount, so the $317,986,855 is the contract's value, not money confirmed as committed at award.
The period of performance runs from July 29, 2026, to Jan. 28, 2028. The agency's contracting division in Arlington, Virginia, administers it.
A bridge that shrinks
The Department said the bridge will reduce in scope during a 12-month period. It said the contract will ease the move to other service contractors and set up direct government relationships with solution providers.
The announcement gives both the 12-month scope reduction and the performance dates through Jan. 28, 2028, and does not reconcile the two. Holders should read the figure as a ceiling on a declining workload, not a steady run rate.
What to watch
The next fixed date in the announcement is Jan. 28, 2028, when the period of performance ends.
The Department's stated aim is a handoff: a bridge that narrows while other contractors and direct government relationships take over.
Sources
- Contracts for Oct. 13, 2026 — U.S. Department of War
- Leidos selects X-Bow to supply rocket motors for U.S. Army missiles (LDOS:NYSE) | Seeking Alpha — seekingalpha.com
- Leidos Selects X-Bow to Provide Rocket Motors for U.S. Army's Low-Cost Cruise Missile — prnewswire.com
- Leidos participates at U.S. Army's Reveille Forge 'permanent hackathon' — prnewswire.com
