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FedSources, 8400 Westpark Drive, McLean, VA 22102 703.610.8700 • 800.210.6326 • 703.883.9067 (fax) © 2010 FedSources. All rights reserved.
The Federal Healthcare Technology Domain
 A cross-government report on Federal spending
By Ray BjorklundSenior VP and Chief Knowledge OfficerFedSources, aWashington Management Groupcompany
Overview
The U.S. Federal government will spend more than $385 billion on healthcare – not including Medicarespending – in GFY2010. Nearly $70 billion of that will go to government contractors in the area of healthcare technology.Note that $70 billion will be spent on healthcare technology, not simply health IT. Health IT, accordingto its definition, is patient centric. The contractor addressable market for health IT is about $900million. The contractor addressable market for healthcare technology is magnitudes larger andpresents much greater opportunity.While this report covers health IT as part of the overall healthcare technology market, it does notcover grants, health benefits, or healthcare reform legislation. Instead, this report maps outcontractor addressable spending for those technologies and services involved in healthcare.These technologies and services span a broad range of agencies, including the Department of Healthand Human Services (HHS), the Food and Drug Administration (FDA), the Department of Defense(DoD), the Department of Homeland Security (DHS), the Department of Justice (DoJ), and manyothers.Federal healthcare technology is a large, complex market ripe with opportunity. This report willpresent the market in a unique way, highlighting opportunities within programs and agenciesgovernment contractors may not have previously considered for healthcare technology business.
Market Breakdown
In this report, we’ve broken the healthcare technology domain into three categories: Health Researchand Promotion, Health Protection, and Healthcare Delivery. Each category below includes adescription, the dollar amount spent on that area, the type of activity for which the money is beingspent, and the agencies that spend the most money.
Health Research and Promotion
The Health Research and Promotion sector of the healthcare technology market covers healthcare-related measures and investigations. It includes money spent on studies of social and demographichealthcare factors, investigations into the prevention and cure of diseases, and enhancement of thehealthcare system.
 
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FedSources, 8400 Westpark Drive, McLean, VA 22102 703.610.8700 • 800.210.6326 • 703.883.9067 (fax) © 2010 FedSources. All rights reserved.
Health Research and Promotion represents the area with the largest growth rate: 26 percent CAGR(compound annual growth rate) from 2008 to 2010. For GFY2010, the Federal government will spend$7.28 billion on Health Research and Promotion. This figure follows spending of $4.6 billion inGFY2008, and $6.13 billion in GFY2009.The types of Health Research and Promotion tracked within the spending figures include:
Biomedical research
o
Medical research, clinical investigation, rehabilitative research, genomic research
Public health science, policy, and practice
o
Policy and planning; behavioral, social, and economic research; public health education;health professionals education and trainingThe top spending agencies in the area of Health Research and Promotion include:
Department of Health and Human Services
o
National Institutes of Health
o
Centers for Disease Control and Prevention
o
Food and Drug Administration
o
Agency for Healthcare Research and Quality
o
Substance Abuse and Mental Health Services Administration
o
Health Resources and Services Administration
Department of Labor
o
Occupational Safety and Health Administration
Environmental Protection Agency
Department of Defense
o
Military Health System
o
Uniformed Services University of the Health Sciences
Department of Veterans Affairs
o
Veterans Health Administration
U.S. Department of Agriculture
o
Food and Nutrition Service
o
Rural Utilities Service
Department of Energy
Health Protection
The category of Health Protection covers the government’s efforts to protect and defend its citizens. Itincludes the development of standards, analysis of health trends, and preparedness. It also includesthe application of countermeasures to protect food and human health.Health Protection is the second largest category in terms of growth rate: 8 percent CAGR from 2008to 2010. For GFY2010, the Federal government will spend $5.83 billion on Health Protection. Thisfigure follows spending of $4.98 billion in GFY2008, and $6.42 billion in GFY2009.The types of Health Protection tracked within the spending figures include:
Disease Prevention
o
Epidemiology, pathology, toxicology
Compliance and Testing
o
Medical device safety, drug safety, food safety, occupational health
Environmental Health
o
CBRNE (chemical, biological, radiological, nuclear, and high-yield explosives)assessment, hazard and stress analysis, disease vector management
 
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FedSources, 8400 Westpark Drive, McLean, VA 22102 703.610.8700 • 800.210.6326 • 703.883.9067 (fax) © 2010 FedSources. All rights reserved.
Preparedness and Response
o
Medical countermeasures, emergency responseThe top spending agencies in the area of Health Protection include:
Department of Health and Human Services
o
Centers for Disease Control and Prevention
o
Food and Drug Administration
U.S. Department of Agriculture
o
Food Safety and Inspection Service
o
Animal and Plant Health Inspection Service
Department of Defense
o
Military Health System
Department of Labor
o
Occupational Safety and Health Administration
Department of Homeland Security
o
Office of Health Affairs
Department of Justice
o
Federal Bureau of Investigation
Department of Commerce
o
National Institute of Standards and Technology
U.S. Postal Service
Department of Energy
Healthcare Delivery 
Healthcare Delivery is the largest category by far in the healthcare technology domain, covering allthe means by which the government cares for healthcare recipients. It also includes medical anddental services, pharmaceuticals, medical supplies and healthcare facilities construction andmaintenance.Although this is the largest category, it shows the smallest overall growth: 4 percent CAGR from 2008to 2010. For GFY2010, the Federal government will spend $54.09 billion on Healthcare Delivery. Thisfigure follows spending of $49.91 billion in GFY2008, and $53.50 billion in GFY2009.The types of Healthcare Delivery tracked within the spending figures include:
Medical and Dental care
Pharmacy services
Combat medicine
Emergency and humanitarian missions
Veterinary care
Acquisition of medical materiel, services, and facilitiesThe top spending agencies in the area of Healthcare Delivery include:
Department of Veterans Affairs
o
Veterans Health Administration
Department of Defense
o
Defense Logistics Agency
o
Army Medical Department
o
Bureau of Medicine & Surgery
o
Air Force Medical Service
o
TRICARE Management Activity
U.S. Army Medical Research Acquisition Activity

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uploaded a new revision for this document (#2)

02 / 17 / 2010

uploaded a new revision for this document (#1)

02 / 17 / 2010