VA's $25.4M WAN/LAN Refresh contract awarded to Thundercat Technology, LLC

Contract Overview

Contract Amount: $25,421,002 ($25.4M)

Contractor: Thundercat Technology, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2018-09-27

End Date: 2019-12-26

Contract Duration: 455 days

Daily Burn Rate: $55.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: LIFECYCLE 18 WAN LAN REFRESH

Place of Performance

Location: ARLINGTON, TARRANT County, TEXAS, 76006

State: Texas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $25.4 million to THUNDERCAT TECHNOLOGY, LLC for work described as: LIFECYCLE 18 WAN LAN REFRESH Key points: 1. Contract value represents a significant investment in network infrastructure modernization. 2. Competition was full and open after exclusion of sources, suggesting a deliberate procurement strategy. 3. The contract duration of 455 days indicates a focused, time-bound project. 4. Fixed-price contract type aims to control costs and provide budget certainty. 5. The award to a single vendor highlights the specific capabilities required for this refresh. 6. Geographic focus on Texas (TX) suggests a localized network upgrade.

Value Assessment

Rating: fair

The contract's total value of $25.4 million for a WAN/LAN refresh over approximately 15 months appears within a reasonable range for large-scale network infrastructure projects. However, without specific details on the scope of work, number of locations, or equipment involved, a precise value-for-money assessment is challenging. Benchmarking against similar large-scale network refreshes across federal agencies would provide a clearer picture of whether this pricing is competitive. The fixed-price nature of the contract suggests an effort to manage costs, but the ultimate value depends on the successful delivery of the specified network upgrades.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This procurement method indicates that while the competition was initially intended to be broad, certain sources were excluded before the final award. The number of bidders is not explicitly stated, but the 'full and open' designation implies that multiple responsible sources were considered. The exclusion of sources suggests a specific reason, potentially related to technical requirements or prior performance, which could influence the final pricing and the range of solutions considered.

Taxpayer Impact: The 'full and open' competition, even with exclusions, generally benefits taxpayers by encouraging multiple vendors to bid, which can drive down prices and improve the quality of services offered. However, the exclusion of sources warrants scrutiny to ensure it was justified and did not unduly limit competition.

Public Impact

Veterans Affairs (VA) network infrastructure will be modernized, potentially improving the reliability and speed of services for veterans. The contract supports the IT infrastructure backbone for VA operations within Texas. IT professionals and technicians in Texas may see employment opportunities related to the network refresh. Improved network performance could lead to more efficient delivery of healthcare and administrative services to veterans. The project directly benefits the VA's operational efficiency by ensuring up-to-date network capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'exclusion of sources' in a full and open competition needs further clarification to ensure no viable vendors were unfairly prevented from bidding.
Lack of detailed scope of work makes it difficult to fully assess if the $25.4M represents optimal value.
The contract's duration and value could indicate a complex project with potential for cost overruns if not managed tightly.

Positive Signals

Awarded under full and open competition, suggesting a competitive bidding process.
Fixed-price contract type helps in cost control and budget predictability.
The contract addresses a critical need for network infrastructure modernization within the VA.
The vendor, Thundercat Technology, LLC, is a known entity in the federal IT contracting space.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on network infrastructure services. The market for IT network services, including WAN/LAN refreshes, is substantial within the federal government, with agencies consistently investing in upgrading their digital backbone. Comparable spending benchmarks for similar network modernization projects across agencies like DoD or GSA would provide context for the $25.4 million award. The increasing reliance on robust and secure networks for data transmission and service delivery makes this a critical area of federal IT spending.

Small Business Impact

The contract details indicate that small business participation was not a primary set-aside consideration (ss: false, sb: false). This suggests the primary focus was on securing the necessary technical capabilities for the network refresh, potentially from larger or specialized IT firms. There is no explicit mention of subcontracting requirements for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem for this specific contract appears limited, though the prime contractor may engage small businesses in their supply chain.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and program management offices. As a delivery order under a larger contract vehicle, oversight would involve monitoring performance against the fixed-price terms, delivery schedules, and technical specifications. Transparency is facilitated by the contract award data being publicly available. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected during the contract's performance or award.

Related Government Programs

VA IT Modernization Initiatives
Federal Network Infrastructure Upgrades
WAN/LAN Services Contracts
Department of Veterans Affairs IT Services

Risk Flags

Potential for limited competition due to source exclusion.
Scope definition clarity for value assessment.
Vendor performance history on similar large-scale network projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $25.4 million to THUNDERCAT TECHNOLOGY, LLC. LIFECYCLE 18 WAN LAN REFRESH

Who is the contractor on this award?

The obligated recipient is THUNDERCAT TECHNOLOGY, LLC.

Which agency awarded this contract?

Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).

What is the total obligated amount?

The obligated amount is $25.4 million.

What is the period of performance?

Start: 2018-09-27. End: 2019-12-26.

What specific network equipment and services were included in this $25.4 million WAN/LAN refresh?

The provided data does not detail the specific network equipment (routers, switches, firewalls, cabling) or services (installation, configuration, testing, maintenance) encompassed by the $25.4 million contract. A WAN/LAN refresh typically involves upgrading or replacing aging network hardware, enhancing bandwidth, improving network security, and potentially reconfiguring network architecture to support modern applications and increased data traffic. The scope would likely cover all necessary hardware, software licenses, and professional services required to bring the VA's network infrastructure in Texas up to current standards. Without a detailed Statement of Work (SOW), a precise breakdown of costs per component or service is not possible.

How does the $25.4 million contract value compare to similar VA network infrastructure projects?

Benchmarking this $25.4 million contract against similar VA network infrastructure projects requires access to historical VA contract data for comparable scope and scale. Large-scale WAN/LAN refreshes can vary significantly in cost based on the number of sites, the complexity of the existing infrastructure, the specific technologies being implemented, and the geographic spread. For instance, a refresh covering multiple large medical centers would naturally incur higher costs than one focused on a single facility or a smaller regional office. Without specific comparable contract details (e.g., contract number, award date, scope, vendor, total value), it is difficult to definitively state whether $25.4 million represents a high, low, or average cost for the VA. However, for a project spanning approximately 15 months and involving significant hardware and service components, this figure suggests a substantial undertaking.

What are the key performance indicators (KPIs) used to measure the success of this contract?

The provided data does not specify the Key Performance Indicators (KPIs) for this contract. Typically, for a WAN/LAN refresh, success metrics would focus on network performance improvements, such as increased bandwidth, reduced latency, and improved uptime/availability. Other KPIs might include successful deployment of new hardware and software within the agreed timeline, adherence to security protocols, user satisfaction post-implementation, and completion of the project within the fixed budget. The contract's fixed-price nature implies that meeting the defined technical requirements and delivery schedule are paramount. The Department of Veterans Affairs would have established specific acceptance criteria and performance standards in the contract's Statement of Work (SOW).

What is Thundercat Technology, LLC's track record with similar federal IT contracts, particularly network infrastructure?

Thundercat Technology, LLC has a history of performing federal IT contracts, including those involving network infrastructure and technology refreshes. As a reseller and integrator, they often partner with original equipment manufacturers (OEMs) to deliver solutions. Their track record with the VA and other agencies would typically be assessed based on past performance evaluations, on-time delivery, adherence to technical specifications, and overall customer satisfaction. While the provided data confirms this specific award, a comprehensive review of their broader contract history, including any past issues or commendations on similar network projects, would be necessary for a full assessment of their capabilities and reliability in this domain.

How does the 'Full and Open Competition After Exclusion of Sources' procurement method impact cost and innovation?

The 'Full and Open Competition After Exclusion of Sources' method aims to balance broad competition with specific needs. By excluding certain sources, the agency signals that only vendors meeting particular criteria (e.g., specific technical expertise, security clearances, or past performance) are eligible for the final round of bidding. This can potentially reduce the number of bids but may lead to more relevant and technically sound proposals. For taxpayers, this can be beneficial if the exclusions genuinely narrow the field to highly qualified vendors capable of delivering the required solution efficiently, potentially leading to better value. However, if exclusions are overly restrictive or not well-justified, they could limit competition, stifle innovation by preventing newer or alternative solutions from being considered, and potentially lead to higher costs.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1925 ISAAC NEWTON SQ STE 180, RESTON, VA, 20190

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $76,626,218

Exercised Options: $25,421,002

Current Obligation: $25,421,002

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: NNG15SD26B

IDV Type: GWAC

Timeline