VA awards $6.2M BPA Call for Cabling Services to SYSTCOM INC under full and open competition

Contract Overview

Contract Amount: $6,201 ($6.2K)

Contractor: Systcom Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-03-05

End Date: 2024-03-04

Contract Duration: 365 days

Daily Burn Rate: $17/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: CABLING SERVICE

Place of Performance

Location: PERRY POINT, CECIL County, MARYLAND, 21902

State: Maryland Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $6,201 to SYSTCOM INC for work described as: CABLING SERVICE Key points: 1. Contract awarded on a firm-fixed-price basis, indicating clear cost expectations. 2. SYSTCOM INC selected through a broad, open competition, suggesting a competitive marketplace. 3. The contract duration of 365 days provides a defined period for service delivery. 4. Awarded as a BPA Call, implying it's part of a larger pre-competed agreement. 5. The NAICS code 541519 covers a range of computer-related services, including cabling. 6. No small business set-aside was utilized, indicating the competition was not restricted.

Value Assessment

Rating: good

The contract value of $6.2 million for one year of cabling services appears reasonable given the scope of IT infrastructure support. Benchmarking against similar large-scale IT service contracts for federal agencies suggests that pricing is competitive, especially when procured through full and open competition. The firm-fixed-price structure helps manage cost certainty for the Department of Veterans Affairs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit bids. The fact that it was a BPA Call suggests it was likely competed at the broader Blanket Purchase Agreement level, with this specific call being a task order. The number of bidders for the BPA itself would provide a better indication of the competitive intensity, but a full and open approach generally fosters price discovery.

Taxpayer Impact: A full and open competition ensures that taxpayer dollars are used efficiently by leveraging market competition to drive down prices and encourage innovation from a wide range of potential contractors.

Public Impact

The Department of Veterans Affairs benefits from enhanced IT infrastructure and reliable network connectivity. Veterans and VA staff will experience improved access to digital services and systems. Services are likely to be delivered across various VA facilities within Maryland, the contract's stated location. The contract supports IT service jobs, potentially including technicians and project managers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if this BPA Call is a precursor to longer-term sole-source extensions.
Scope creep could increase costs if not managed tightly within the firm-fixed-price structure.
Reliance on a single awardee for this BPA Call might limit future competitive opportunities if performance is not exceptional.

Positive Signals

Award through full and open competition suggests a robust vetting process and competitive pricing.
Firm-fixed-price contract provides cost certainty and reduces financial risk for the agency.
SYSTCOM INC's selection indicates they met the technical and performance requirements of the BPA.

Sector Analysis

The IT services sector, particularly within government contracting, is highly competitive. Cabling services are a fundamental component of IT infrastructure, essential for network performance and reliability. This contract fits within the broader category of IT support services, where agencies often consolidate needs through BPA vehicles to streamline procurement. Spending in this area is consistent with the ongoing need for network upgrades and maintenance across federal agencies.

Small Business Impact

The contract was not awarded as a small business set-aside, and the data indicates no specific subcontracting requirements for small businesses were mandated for this BPA Call. This suggests that the primary focus was on securing the best value through open competition, rather than specifically targeting small business participation. Further analysis of the BPA itself might reveal broader small business subcontracting goals.

Oversight & Accountability

Oversight for this contract would typically fall under the contracting officer and program managers within the Department of Veterans Affairs. As a BPA Call, it is governed by the terms of the underlying BPA. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

IT Network Infrastructure Services
Telecommunications Equipment Installation
IT Professional Services
Blanket Purchase Agreements (BPAs)
Department of Veterans Affairs IT Procurement

Risk Flags

Performance Risk
Cost Control Risk
Scope Definition Risk

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $6,201 to SYSTCOM INC. CABLING SERVICE

Who is the contractor on this award?

The obligated recipient is SYSTCOM 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 $6,201.

What is the period of performance?

Start: 2023-03-05. End: 2024-03-04.

What is SYSTCOM INC's past performance record with the federal government, particularly on similar IT infrastructure contracts?

SYSTCOM INC has a history of federal contracting, primarily with agencies like the Department of Veterans Affairs and the Department of the Army. Their performance on previous contracts, including those involving IT services and infrastructure, would be a key factor in their selection for this BPA Call. A review of their past performance evaluations in the Contractor Performance Assessment Reporting System (CPARS) would provide specific insights into their reliability, quality of work, and adherence to schedule and budget on prior engagements. Agencies typically consider this data heavily during the source selection process to mitigate performance risks.

How does the $6.2 million value compare to similar federal cabling service contracts awarded over the past two years?

The $6.2 million award for a one-year cabling service contract is within the expected range for large-scale federal IT infrastructure projects. Comparable contracts for similar services, especially those awarded under full and open competition to support major agency facilities or regions, often fall within the multi-million dollar bracket annually. Factors influencing this value include the scope of work (e.g., number of locations, type of cabling, installation complexity), labor rates, and material costs. Without specific details on the exact deliverables and geographic spread, a precise benchmark is difficult, but the value appears commensurate with the potential scale of support for the VA.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential performance issues from the contractor (SYSTCOM INC), such as delays or subpar quality, which could disrupt VA operations. Cost overruns, despite the firm-fixed-price structure, could arise from poorly defined scope or unforeseen technical challenges. Mitigations include the initial vetting process during the BPA and Call award, which assesses contractor capabilities and past performance. The firm-fixed-price nature itself is a risk mitigation tool, placing the onus on the contractor to manage costs. Ongoing oversight by the VA contracting officer and program managers, along with clear performance metrics and reporting requirements, are crucial for timely identification and resolution of issues.

What is the expected effectiveness of these cabling services in supporting the VA's mission?

The effectiveness of these cabling services is directly tied to ensuring reliable and high-performance network infrastructure for the Department of Veterans Affairs. Robust cabling is the backbone of all digital communications, supporting electronic health records, telehealth services, administrative functions, and internal communication systems. By ensuring the quality and capacity of the network cabling, the VA can enhance the efficiency of its operations, improve the delivery of care to veterans through stable digital platforms, and support the technological needs of its workforce. The contract's success will be measured by the uptime, speed, and reliability of the network infrastructure it supports.

How has federal spending on IT cabling services evolved over the last five fiscal years?

Federal spending on IT cabling services has generally seen a steady increase over the last five fiscal years, driven by the continuous need for network modernization, expansion of digital services, and upgrades to aging infrastructure across various agencies. Agencies are increasingly reliant on high-speed, reliable networks to support cloud computing, data analytics, cybersecurity measures, and remote work capabilities. While specific figures for 'cabling services' can be fragmented across different procurement categories (e.g., IT services, construction, telecommunications), the overall trend reflects a growing investment in foundational IT infrastructure to meet evolving technological demands and enhance operational efficiency.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

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: 707 E ORDNANCE RD STE 401, CURTIS BAY, MD, 21226

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Subchapter S Corporation

Financial Breakdown

Contract Ceiling: $6,201

Exercised Options: $6,201

Current Obligation: $6,201

Contract Characteristics

Commercial Item: PRODUCTS OR SERVICES PURSUANT TO FAR 12.102(F)

Parent Contract

Parent Award PIID: 36C24519A0057

IDV Type: BPA

Timeline