VA awards $7.1M contract for IT asset management to SoldierPoint Digital Health, LLC

Contract Overview

Contract Amount: $7,105,741 ($7.1M)

Contractor: Soldierpoint Digital Health, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-09-01

End Date: 2025-08-31

Contract Duration: 364 days

Daily Burn Rate: $19.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CCIN TASK ORDER FOR PRODUCT ORDERING, INVENTORY, AND ASSET MANAGEMENT SUPPORT (POIAM)

Place of Performance

Location: FREDERICKSBURG, SPOTSYLVANIA County, VIRGINIA, 22408

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $7.1 million to SOLDIERPOINT DIGITAL HEALTH, LLC for work described as: CCIN TASK ORDER FOR PRODUCT ORDERING, INVENTORY, AND ASSET MANAGEMENT SUPPORT (POIAM) Key points: 1. Contract focuses on product ordering, inventory, and asset management support. 2. Awarded through full and open competition, suggesting a competitive bidding process. 3. The contract duration is one year, with a firm-fixed-price structure. 4. No small business set-aside was utilized for this procurement. 5. The contractor, SoldierPoint Digital Health, LLC, is a new awardee for this specific task order. 6. The task order falls under computer systems design services.

Value Assessment

Rating: good

The contract value of $7.1 million for a one-year period for IT product ordering, inventory, and asset management support appears reasonable given the scope of services. Benchmarking against similar IT support contracts within the Department of Veterans Affairs (VA) would provide a more precise value-for-money assessment. The firm-fixed-price structure helps control costs for the government, but the specific pricing details and profit margins are not publicly available for detailed comparison.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded using full and open competition, indicating that all responsible sources were permitted to submit a bid. The number of bidders is not specified, but this method generally fosters price discovery and encourages competitive pricing. The VA likely sought to maximize value and innovation by allowing a broad range of potential contractors to participate.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically leads to more competitive pricing and a wider selection of qualified vendors, potentially reducing overall spending on IT support services.

Public Impact

The Department of Veterans Affairs benefits from improved IT product ordering, inventory, and asset management. This contract supports the operational efficiency of VA's digital health initiatives. The services delivered are crucial for maintaining accurate IT asset records and ensuring timely procurement of necessary products. The primary impact is on the internal IT operations and administrative functions within the VA, rather than direct patient care.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if performance is not closely monitored.
Reliance on a single vendor for critical IT asset management functions.
Need for robust performance metrics to ensure service delivery meets expectations.

Positive Signals

Firm-fixed-price contract provides cost certainty for the government.
Full and open competition suggests a potentially competitive pricing environment.
Contract duration of one year allows for reassessment of needs and performance.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a significant segment of the federal IT market. The total federal spending on IT services is in the hundreds of billions annually. This specific contract, valued at $7.1 million, represents a small portion of that overall spending but is critical for the operational efficiency of the VA's digital health infrastructure. Comparable contracts often involve IT support, system integration, and asset management for large federal agencies.

Small Business Impact

This contract was not awarded as a small business set-aside, nor does it indicate any specific subcontracting requirements for small businesses. The award to SoldierPoint Digital Health, LLC, a company that may or may not be a small business itself, does not directly contribute to the federal government's small business contracting goals through this specific procurement mechanism. Further analysis would be needed to determine if SoldierPoint is a small business and if they intend to utilize small business subcontractors.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and the program manager within the Department of Veterans Affairs. Performance will be monitored against the terms and conditions of the firm-fixed-price delivery order. Transparency is facilitated by the Federal Procurement Data System (FPDS), which records contract awards. There is no specific mention of an Inspector General's direct jurisdiction over this particular task order, but the VA OIG has broad oversight responsibilities for VA programs and contracts.

Related Government Programs

IT Asset Management Systems
Computer Systems Design Services
Digital Health Support Services
Federal IT Procurement
Department of Veterans Affairs IT Contracts

Risk Flags

New awardee for this specific task order.
Potential for performance issues impacting IT asset management.
Need for robust oversight to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $7.1 million to SOLDIERPOINT DIGITAL HEALTH, LLC. CCIN TASK ORDER FOR PRODUCT ORDERING, INVENTORY, AND ASSET MANAGEMENT SUPPORT (POIAM)

Who is the contractor on this award?

The obligated recipient is SOLDIERPOINT DIGITAL HEALTH, 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 $7.1 million.

What is the period of performance?

Start: 2024-09-01. End: 2025-08-31.

What is the track record of SoldierPoint Digital Health, LLC with the Department of Veterans Affairs?

Based on the provided data, this is a new task order award to SoldierPoint Digital Health, LLC. Without access to broader federal procurement databases (like FPDS or SAM.gov), it's difficult to ascertain their complete track record with the VA or other federal agencies. This specific award suggests they have successfully bid on and won a contract for IT product ordering, inventory, and asset management support. Further investigation into their past performance, other contract awards, and any performance evaluations would be necessary to fully assess their track record. It is important to note that 'new awardee' for a specific task order does not necessarily mean the company is new to federal contracting, but rather new to this particular type of service delivery under this contract vehicle.

How does the $7.1 million value compare to similar IT asset management contracts within the VA?

The $7.1 million value for a one-year IT product ordering, inventory, and asset management support contract is within a typical range for such services within a large federal agency like the VA. However, a precise comparison requires benchmarking against contracts with similar scopes, durations, and service levels. Factors such as the number of assets managed, the complexity of the inventory system, the geographic scope of support, and the specific IT products involved can significantly influence pricing. Without detailed comparative data on other VA IT asset management contracts, it's challenging to definitively state whether this represents excellent, fair, or questionable value. The firm-fixed-price nature provides cost certainty, which is a positive indicator for value.

What are the primary risks associated with this contract for the VA?

The primary risks associated with this contract include potential performance deficiencies by SoldierPoint Digital Health, LLC, leading to inaccurate inventory, delayed procurement, or asset mismanagement. There's also a risk of cost overruns if the firm-fixed-price model doesn't adequately account for unforeseen complexities, though this is mitigated by the fixed price. Another risk is the potential for vendor lock-in if the VA becomes overly reliant on SoldierPoint's systems or processes without clear exit strategies or performance standards. Ensuring robust oversight and clear performance metrics will be crucial to mitigating these risks and ensuring the successful delivery of services.

How effective is the 'full and open competition' strategy for IT asset management services at the VA?

The 'full and open competition' strategy is generally considered effective for IT asset management services as it allows a broad range of vendors to compete, potentially driving down prices and fostering innovation. For the VA, this approach likely ensures they can access a diverse pool of qualified contractors capable of managing complex IT inventories and procurement systems. The effectiveness is contingent on the clarity of the solicitation requirements and the rigor of the evaluation process. If well-executed, it maximizes the chances of selecting a vendor that offers the best combination of technical capability and cost-effectiveness, ultimately benefiting the agency's operational efficiency and taxpayer dollars.

What is the historical spending pattern for IT asset management support at the VA?

Historical spending patterns for IT asset management support at the VA can vary significantly year over year, influenced by factors such as technology upgrades, changes in agency needs, and the competitive landscape. While this specific $7.1 million award is for one year, the VA likely has ongoing or recurring needs for such services. Analyzing past contract awards for similar services, including their values, durations, and awarded contractors, would reveal trends. For instance, has spending increased or decreased? Have there been shifts towards specific types of IT asset management solutions? Understanding these patterns provides context for the current award and helps in future budget planning and procurement strategies.

What are the implications of the firm-fixed-price (FFP) contract type for this IT asset management task order?

The firm-fixed-price (FFP) contract type for this IT asset management task order places the primary risk of cost overruns on the contractor, SoldierPoint Digital Health, LLC. This is generally advantageous for the government as it provides budget certainty and protects against unexpected price increases. For the VA, it means they know the total cost of the services upfront, assuming the scope of work remains consistent. The contractor is incentivized to manage their costs efficiently to maintain profitability. However, FFP contracts can sometimes lead to contractors being less flexible in accommodating scope changes or may result in higher initial bid prices to account for contractor risk.

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) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

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

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

Financial Breakdown

Contract Ceiling: $14,232,235

Exercised Options: $7,105,741

Current Obligation: $7,105,741

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 36C10G24D0048

IDV Type: IDC

Timeline