HHS signs $3 million PR contract to promote federal exchange

The Obama administration has awarded a $3-million public relations contract to highlight a central piece of President Obama's healthcare law — the 'fallback' insurance exchanges the federal government will set up in some states.

Public relations firm Weber Shandwick won the $3.1-million contract.

Congressional Republicans have sharply criticized the administration for contracting with public relations firms to raise awareness about parts of the Affordable Care Act. Most recently, GOP lawmakers raised questions about states that have used federal grants to fund PR contracts for their insurance exchanges.

The new $3.1 million award is tied to the fallback exchange that the Health and Human Services Department will operate in states that don't set up their own exchanges. Only a handful of states have taken concrete steps to set up an exchange, and some states that want to handle the task themselves won't be ready by the Jan. 1, 2014, deadline.

“This will help our educational effort to ensure more Americans have access to quality, affordable health insurance," said a spokesman for the Centers for Medicare and Medicaid Services.

According to PR Week, which first reported the contract, Weber Shandwick will use the money to "promote early awareness and foster engagement with consumers to help them learn more about coverage that they may be eligible for."

The contract runs through April 2013 — several months before the federal exchange will be up and running and able to enroll people — with an option for an additional year, according to PR Week.

— This post was updated at 4:30 p.m.

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