VA awards $37.4M for Cyber Innovation Managed Services to Deloitte

Contract Overview

Contract Amount: $37,440,604 ($37.4M)

Contractor: Deloitte Consulting LLP

Awarding Agency: Department of Veterans Affairs

Start Date: 2020-09-25

End Date: 2024-09-24

Contract Duration: 1,460 days

Daily Burn Rate: $25.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: GSA ORDER FOR CYBER INNOVATION PROGRAM (CIP) MANAGED SERVICES

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $37.4 million to DELOITTE CONSULTING LLP for work described as: GSA ORDER FOR CYBER INNOVATION PROGRAM (CIP) MANAGED SERVICES Key points: 1. Significant contract value for managed cybersecurity services. 2. Deloitte Consulting LLP is the sole awardee. 3. Potential for concentrated risk with a single provider. 4. IT sector spending on cybersecurity is a growing area.

Value Assessment

Rating: good

The $37.4M award over four years suggests a competitive pricing strategy for managed cybersecurity services. Benchmarking against similar GSA IT managed services contracts would provide further insight into value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for critical cybersecurity needs.

Public Impact

Enhances cybersecurity posture for the Department of Veterans Affairs. Supports critical IT infrastructure and data protection. Potential for improved service delivery through specialized expertise.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

Reliance on a single vendor for critical cyber services.
Potential for vendor lock-in if not managed carefully.

Positive Signals

Awarded through full and open competition.
Utilizes a firm-fixed-price contract type.
Long-term contract provides stability for service delivery.

Sector Analysis

This contract falls within the IT sector, specifically focusing on cybersecurity managed services. Spending in this area has increased significantly as agencies prioritize protecting sensitive data and critical infrastructure.

Small Business Impact

The data indicates this award was not set aside for small businesses, suggesting large prime contractors were involved. Further analysis would be needed to determine small business subcontracting opportunities.

Oversight & Accountability

The use of GSA schedules and competitive bidding processes provides a degree of oversight. However, ongoing performance monitoring and contract management are crucial for accountability.

Related Government Programs

Computer Systems Design Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Vendor Concentration Risk
Scope Creep Potential
Dependency on Key Personnel
Evolving Threat Landscape

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $37.4 million to DELOITTE CONSULTING LLP. GSA ORDER FOR CYBER INNOVATION PROGRAM (CIP) MANAGED SERVICES

Who is the contractor on this award?

The obligated recipient is DELOITTE CONSULTING LLP.

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 $37.4 million.

What is the period of performance?

Start: 2020-09-25. End: 2024-09-24.

What specific cyber threats does this managed service program aim to mitigate for the VA?

This program likely focuses on a broad range of cyber threats including malware, phishing, ransomware, insider threats, and advanced persistent threats (APTs). It aims to provide continuous monitoring, threat detection, incident response, and vulnerability management to protect the VA's sensitive veteran data and critical IT systems from compromise and disruption.

How does the firm-fixed-price contract type ensure cost-effectiveness for the VA?

A firm-fixed-price contract establishes a ceiling price that the contractor must not exceed. This shifts the risk of cost overruns to Deloitte Consulting LLP, incentivizing efficient service delivery and cost control. The VA benefits from predictable budgeting and protection against unexpected price increases for the defined scope of work.

What are the key performance indicators (KPIs) used to measure the effectiveness of this cyber innovation program?

Effectiveness is likely measured through KPIs such as mean time to detect (MTTD) and mean time to respond (MTTR) to security incidents, the number of critical vulnerabilities remediated, the reduction in security incidents, compliance with relevant security standards (e.g., NIST), and overall system uptime and availability. Regular performance reviews would assess these metrics.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1919 N LYNN ST, ARLINGTON, VA, 22209

Business Categories: Category Business, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $44,914,278

Exercised Options: $37,440,657

Current Obligation: $37,440,604

Actual Outlays: $18,357,971

Subaward Activity

Number of Subawards: 5

Total Subaward Amount: $3,608,102

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F0617Y

IDV Type: FSS

Timeline