VA awards $8.46M contract for Identity Product Team services to MAGNUM OPUS, LLC

Contract Overview

Contract Amount: $8,458,588 ($8.5M)

Contractor: Magnum Opus, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2022-08-18

End Date: 2025-12-23

Contract Duration: 1,223 days

Daily Burn Rate: $6.9K/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: IDENTITY PRODUCT TEAM

Place of Performance

Location: SCOTTSDALE, MARICOPA County, ARIZONA, 85251

State: Arizona Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $8.5 million to MAGNUM OPUS, LLC for work described as: IDENTITY PRODUCT TEAM Key points: 1. Contract awarded to MAGNUM OPUS, LLC for IT services. 2. The contract value is $8.46 million over its duration. 3. Competition was full and open after exclusion of sources. 4. The sector is IT, specifically 'Other Computer Related Services'.

Value Assessment

Rating: good

The contract's fixed price structure provides cost certainty. Benchmarking against similar IT service contracts is recommended to ensure optimal value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition after exclusion of sources, suggesting a competitive bidding process. This method generally promotes price discovery and fair market value.

Taxpayer Impact: The competitive nature of the award is expected to yield reasonable pricing for taxpayers.

Public Impact

Veterans will benefit from improved identity management services. The contract supports the Department of Veterans Affairs' IT infrastructure. MAGNUM OPUS, LLC will provide specialized computer-related services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

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

Positive Signals

Clear contract duration and delivery dates.
Fixed price contract provides budget predictability.

Sector Analysis

This contract falls within the IT sector, specifically 'Other Computer Related Services'. Spending in this area is substantial across government, with benchmarks varying widely based on service complexity and duration.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.

Oversight & Accountability

The contract is a delivery order under a larger award, implying existing oversight mechanisms. Monitoring performance and adherence to terms is crucial for accountability.

Related Government Programs

Other Computer Related Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Contract duration extends beyond one year.
Fixed price contract.
Competition was full and open after exclusion of sources.
Services are IT-related.
Awarded to a single entity.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $8.5 million to MAGNUM OPUS, LLC. IDENTITY PRODUCT TEAM

Who is the contractor on this award?

The obligated recipient is MAGNUM OPUS, 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 $8.5 million.

What is the period of performance?

Start: 2022-08-18. End: 2025-12-23.

What specific identity management capabilities are being procured, and how do they align with VA's strategic goals?

The contract is for 'Identity Product Team' services, likely encompassing the development, implementation, or maintenance of systems that manage user identities and access controls. These capabilities are critical for securing sensitive veteran data and ensuring efficient access to VA resources. Alignment with strategic goals would involve assessing how these services contribute to modernization efforts, enhanced cybersecurity postures, and improved user experience for veterans and staff.

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

Key performance indicators would typically focus on system uptime, response times, security compliance, and successful identity verification rates. Performance measurement likely involves regular reporting from MAGNUM OPUS, LLC, potentially supplemented by government quality assurance checks and user feedback. The effectiveness of the 'Identity Product Team' will be judged by its ability to maintain secure and reliable identity management solutions that meet the VA's operational needs.

Are there any potential risks associated with the long contract duration (ending Dec 2025) and the specific services provided?

Risks include technological obsolescence, changes in VA requirements, and potential vendor performance issues over the contract's lifespan. Given the critical nature of identity management, a breach or system failure could have severe consequences. Mitigation strategies should include regular contract reviews, contingency planning, and maintaining open communication channels with the vendor to address emerging challenges proactively.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: CEDAR-0006

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5792 W JEFFERSON BLVD, LOS ANGELES, CA, 90016

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

Financial Breakdown

Contract Ceiling: $8,458,588

Exercised Options: $8,458,588

Current Obligation: $8,458,588

Actual Outlays: $5,451,427

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10B21D0007

IDV Type: IDC

Timeline