VA awards $81.1M T4NG contract to VETERANS EZ INFO INC. for IT services

Contract Overview

Contract Amount: $81,174,123 ($81.2M)

Contractor: Veterans EZ Info Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2021-03-01

End Date: 2024-12-31

Contract Duration: 1,401 days

Daily Burn Rate: $57.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TRANSFORMATION TWENTY ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) BASIC CONTRACT P00006

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92101

State: California Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $81.2 million to VETERANS EZ INFO INC. for work described as: TRANSFORMATION TWENTY ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) BASIC CONTRACT P00006 Key points: 1. Contract value of $81.1M over its period of performance. 2. Competition was full and open, indicating a competitive bidding process. 3. Risk appears moderate given the IT services sector and contract type. 4. IT sector spending is significant, with this contract representing a portion.

Value Assessment

Rating: good

The contract value of $81.1M for Computer Systems Design Services appears reasonable for a multi-year IT support contract. Benchmarking against similar large-scale IT service contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing for the government.

Taxpayer Impact: The competitive nature of the award is expected to yield good value for taxpayer dollars by ensuring fair market pricing.

Public Impact

Supports the Department of Veterans Affairs' IT infrastructure and modernization efforts. Ensures continued delivery of essential computer systems design services. Impacts IT service providers and potentially the efficiency of VA operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost overruns if not closely managed.
Contract duration extends to late 2024, requiring ongoing monitoring.

Positive Signals

Awarded under full and open competition.
Supports critical VA IT functions.

Sector Analysis

This contract falls within the IT sector, specifically Computer Systems Design Services. Spending in this area is substantial across federal agencies, supporting digital transformation and operational efficiency.

Small Business Impact

The contract was awarded under full and open competition and does not indicate specific set-asides for small businesses. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight. Monitoring of the Time and Materials pricing and performance metrics will be crucial for accountability.

Related Government Programs

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

Risk Flags

Time and Materials pricing structure.
Contract duration extends to end of 2024.
Potential for cost overruns if not managed.
Lack of specific performance metrics in provided data.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $81.2 million to VETERANS EZ INFO INC.. TRANSFORMATION TWENTY ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) BASIC CONTRACT P00006

Who is the contractor on this award?

The obligated recipient is VETERANS EZ INFO INC..

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 $81.2 million.

What is the period of performance?

Start: 2021-03-01. End: 2024-12-31.

What is the projected cost per unit or labor hour for the services provided under this Time and Materials contract?

The provided data does not specify a cost per unit or labor hour. Time and Materials contracts are billed based on actual labor hours and material costs incurred. Effective oversight requires detailed tracking and justification of these costs to ensure they remain reasonable and within the overall contract ceiling.

What are the key performance indicators (KPIs) for this contract, and how is performance being measured?

Key performance indicators are not detailed in the provided data. For a contract of this nature, KPIs would typically focus on system uptime, response times for support requests, project completion rates, and user satisfaction. The VA's contracting officer and technical representatives are responsible for monitoring these metrics to ensure service delivery meets expectations.

How does the pricing structure of this Time and Materials contract compare to industry benchmarks for similar IT design services?

Without specific labor rates and material cost data, a direct comparison to industry benchmarks is challenging. However, Time and Materials contracts inherently carry a higher risk of cost escalation compared to fixed-price contracts. The VA's procurement team would have assessed initial rates against benchmarks, and ongoing monitoring is essential to manage costs effectively against market standards.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 7

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1901 1ST AVENUE, SUITE 192, SAN DIEGO, CA, 92101

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $81,174,123

Exercised Options: $81,174,123

Current Obligation: $81,174,123

Actual Outlays: $27,212,696

Subaward Activity

Number of Subawards: 8

Total Subaward Amount: $28,163,630

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11816D1028

IDV Type: IDC

Timeline