VA awards $106M contract to Iron Bow for Cisco infrastructure support, spanning over two years

Contract Overview

Contract Amount: $106,189,900 ($106.2M)

Contractor: Iron BOW Technologies, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-10-01

End Date: 2026-09-30

Contract Duration: 729 days

Daily Burn Rate: $145.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CISCO ENTERPRISE INFRASTRUCTURE & ADVANCED ENGINEERING SUPPORT AGREEMENT

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $106.2 million to IRON BOW TECHNOLOGIES, LLC for work described as: CISCO ENTERPRISE INFRASTRUCTURE & ADVANCED ENGINEERING SUPPORT AGREEMENT Key points: 1. The contract focuses on enterprise infrastructure and advanced engineering support for Cisco systems. 2. Iron Bow Technologies, LLC is the awardee, indicating a specific vendor relationship. 3. The award is for Firm Fixed Price, suggesting predictable costs for the VA. 4. This spending falls under Computer Facilities Management Services, a key IT support area.

Value Assessment

Rating: good

The $106M contract over two years suggests a significant investment in ongoing IT support. Benchmarking against similar large-scale infrastructure support contracts would be necessary for a precise value assessment, but the fixed-price nature offers cost certainty.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which typically drives competitive pricing. This method allows any qualified vendor to bid, fostering a price discovery process that should benefit the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential IT infrastructure support.

Public Impact

Veterans will benefit from reliable IT infrastructure supporting VA services. The contract ensures continued operation of critical Cisco-based systems within the VA. This investment supports the VA's digital transformation and operational efficiency goals.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if Cisco hardware/software is heavily integrated.
Reliance on a single vendor for advanced engineering support could pose risks.
Scope creep could increase costs beyond the initial $106M if not managed.

Positive Signals

Firm Fixed Price contract provides cost predictability.
Full and open competition suggests a competitive award process.
Long-term support agreement ensures continuity of critical IT services.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on enterprise infrastructure and advanced engineering support. Spending benchmarks for similar large-scale IT support contracts within federal agencies can vary widely based on scope and duration.

Small Business Impact

The contract was awarded to Iron Bow Technologies, LLC, and there is no indication of small business participation in this specific award. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

The Department of Veterans Affairs is the contracting agency, responsible for oversight. The contract's fixed-price nature and competitive award process suggest a degree of accountability, but ongoing performance monitoring is crucial.

Related Government Programs

Computer Facilities Management Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for vendor lock-in
Reliance on specialized vendor expertise
Scope creep risk
Long-term IT infrastructure dependency

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $106.2 million to IRON BOW TECHNOLOGIES, LLC. CISCO ENTERPRISE INFRASTRUCTURE & ADVANCED ENGINEERING SUPPORT AGREEMENT

Who is the contractor on this award?

The obligated recipient is IRON BOW TECHNOLOGIES, 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 $106.2 million.

What is the period of performance?

Start: 2024-10-01. End: 2026-09-30.

What is the specific scope of 'advanced engineering support' and how does it align with the VA's current and future IT needs?

The 'advanced engineering support' likely encompasses specialized technical assistance, system optimization, and potentially the integration of new Cisco technologies. Its alignment with VA needs depends on whether it addresses current infrastructure challenges, supports modernization efforts, or prepares for future technological advancements. A detailed review of the SOW and performance metrics would clarify this alignment and ensure the support is strategically valuable.

How will the VA ensure that the $106M expenditure represents good value for money over the contract's two-year duration, given the fixed-price nature?

The VA will ensure value through rigorous performance monitoring, ensuring Iron Bow meets all contractual obligations and service level agreements. The fixed-price structure inherently caps costs, but value is maximized by ensuring the services delivered directly contribute to operational efficiency and mission success. Regular reviews of the support's impact on system uptime, performance, and security will be critical.

What are the potential risks associated with relying on Iron Bow Technologies for critical Cisco infrastructure support, and how are they mitigated?

Risks include potential vendor lock-in, reliance on a single provider for specialized expertise, and the possibility of unforeseen technical issues requiring extensive support. Mitigation strategies involve clearly defined performance metrics, robust oversight by the VA, maintaining internal expertise to validate vendor work, and having contingency plans for critical system failures or vendor performance issues.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 36C10B24R0053

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2121 COOPERATIVE WAY STE 500, HERNDON, VA, 20171

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

Financial Breakdown

Contract Ceiling: $323,332,402

Exercised Options: $106,189,900

Current Obligation: $106,189,900

Actual Outlays: $75,559,999

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline