GSA's $18.9M Enterprise Architecture Support contract for VA EAS16 awarded to American Veterans, LLC

Contract Overview

Contract Amount: $18,937,996 ($18.9M)

Contractor: American Veterans, LLC

Awarding Agency: General Services Administration

Start Date: 2011-08-29

End Date: 2014-09-26

Contract Duration: 1,124 days

Daily Burn Rate: $16.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 11

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: ENTERPRISE ARCHITECTURE SUPPORT FOR THE 16 MAJOR INITIATIVES FOR THE VA EAS16

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20420

State: District of Columbia Government Spending

Plain-Language Summary

General Services Administration obligated $18.9 million to AMERICAN VETERANS, LLC for work described as: ENTERPRISE ARCHITECTURE SUPPORT FOR THE 16 MAJOR INITIATIVES FOR THE VA EAS16 Key points: 1. Contract awarded through full and open competition, indicating a broad search for qualified vendors. 2. The contract type is Time and Materials, which can pose cost control challenges if not managed closely. 3. The duration of the contract was 1124 days, suggesting a significant, long-term engagement. 4. The contract was awarded to American Veterans, LLC, a service-disabled veteran-owned small business. 5. The North American Industry Classification System (NAICS) code 541512 points to computer systems design services. 6. The contract was awarded by the General Services Administration (GSA) Federal Acquisition Service. 7. The contract's value of $18.9M is moderate for IT support services of this nature.

Value Assessment

Rating: fair

The contract's value of $18.9 million for enterprise architecture support over approximately three years appears within a reasonable range for complex IT initiatives. However, without specific benchmarks for enterprise architecture support services for a federal agency of the VA's size and complexity, a precise value-for-money assessment is challenging. The Time and Materials (T&M) contract type introduces inherent risk for cost overruns if not meticulously managed and monitored for efficiency. Benchmarking against similar large-scale EA support contracts within the federal government would provide a clearer picture of its cost-effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which suggests a competitive process was initiated, but specific sources may have been excluded based on predefined criteria. The presence of 11 bidders indicates a healthy level of interest and competition for this requirement. A competitive process generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: The competitive nature of this award is beneficial for taxpayers, as it likely resulted in a more efficient allocation of government funds and potentially lower overall costs compared to a sole-source or limited competition scenario.

Public Impact

Veterans Affairs (VA) will benefit from enhanced enterprise architecture support, crucial for modernizing its IT systems and initiatives. The contract supports the VA's 16 major initiatives, aiming to improve the efficiency and effectiveness of its operations. The services delivered are expected to improve the foundational IT infrastructure and strategic planning for the VA. The primary geographic impact is within the District of Columbia, where the contract was awarded and likely managed. The contract supports IT consulting and design services, potentially impacting the workforce in the federal IT contracting sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not closely monitored.
The 'Exclusion of Sources' clause in the competition type warrants further investigation into the specific criteria used for exclusion.
The long duration of the contract (1124 days) requires sustained oversight to ensure continued value and performance.
Reliance on a single contractor for enterprise architecture support over an extended period could create vendor lock-in.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
The contractor, American Veterans, LLC, is a service-disabled veteran-owned small business, aligning with federal small business goals.
The contract supports critical VA initiatives, indicating alignment with agency strategic objectives.
The contract was awarded by GSA, a reputable agency known for its procurement expertise.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on computer systems design and enterprise architecture services. The federal IT services market is substantial, with agencies like the VA representing significant spending. Enterprise architecture is a critical discipline for managing complex IT environments, ensuring alignment between business strategy and technology. Comparable spending benchmarks for EA support services can vary widely based on agency size, complexity, and the scope of initiatives supported. This contract's value of $18.9M over three years is moderate within the context of large federal IT procurements.

Small Business Impact

While the contract was awarded to American Veterans, LLC, which is a service-disabled veteran-owned small business (SDVOSB), the contract itself was not explicitly a small business set-aside. The 'full and open competition after exclusion of sources' clause suggests a broader competition was initially considered. The fact that an SDVOSB won a contract of this size is a positive signal for the small business ecosystem. However, the potential for subcontracting opportunities with larger firms, if any, is not detailed here and would be a key factor in assessing the broader impact on small businesses.

Oversight & Accountability

Oversight for this contract would primarily reside with the General Services Administration (GSA) and the Department of Veterans Affairs (VA) program officials. The contract's Time and Materials nature necessitates rigorous monitoring of labor hours, rates, and deliverables to ensure cost control and prevent scope creep. Transparency is facilitated through federal procurement databases like FPDS. Accountability measures would be tied to performance metrics and contractual milestones. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

VA IT Modernization Initiatives
GSA IT Schedule Programs
Federal Enterprise Architecture Guidance
IT Consulting Services Contracts
Service-Disabled Veteran-Owned Small Business (SDVOSB) Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Need for strong oversight to manage scope and performance over the contract's duration.
Importance of clearly defined exclusion criteria in the 'Full and Open Competition After Exclusion of Sources' process.
Risk of vendor lock-in with a long-duration contract.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $18.9 million to AMERICAN VETERANS, LLC. ENTERPRISE ARCHITECTURE SUPPORT FOR THE 16 MAJOR INITIATIVES FOR THE VA EAS16

Who is the contractor on this award?

The obligated recipient is AMERICAN VETERANS, LLC.

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $18.9 million.

What is the period of performance?

Start: 2011-08-29. End: 2014-09-26.

What is the track record of American Veterans, LLC in delivering similar enterprise architecture support services to federal agencies?

Assessing the track record of American Veterans, LLC requires a detailed review of their past performance on similar contracts. Information on their previous projects, client satisfaction, and adherence to timelines and budgets would be crucial. Specifically, their experience with large-scale federal IT initiatives, particularly within the Department of Veterans Affairs, would be a key indicator of their capability. A review of contract performance reports and any past issues or commendations would provide a comprehensive understanding of their reliability and expertise in delivering enterprise architecture support.

How does the $18.9 million contract value compare to similar enterprise architecture support contracts awarded by GSA or other federal agencies?

Benchmarking the $18.9 million contract value requires comparing it against similar enterprise architecture (EA) support contracts awarded by the General Services Administration (GSA) or other federal agencies of comparable size and complexity. Factors such as contract duration, scope of work (e.g., number of initiatives supported, specific EA domains covered), and the level of expertise required will influence cost. Without access to a detailed database of comparable EA support contracts, it's difficult to provide a precise benchmark. However, for a multi-year engagement supporting 16 major initiatives, $18.9 million appears to be within a reasonable range, though potentially on the lower end if the scope is exceptionally broad or requires highly specialized expertise.

What are the primary risks associated with the Time and Materials (T&M) contract type for this enterprise architecture support engagement?

The primary risk associated with the Time and Materials (T&M) contract type for this enterprise architecture support engagement is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts pay the contractor for the actual time and materials used. If not managed diligently, this can lead to increased costs if the project scope expands, if inefficiencies arise, or if labor hours are not meticulously tracked and justified. For the government, this necessitates robust oversight, clear task definitions, and continuous monitoring of labor rates and hours to ensure that expenditures remain within budget and that the contractor is performing efficiently. Scope creep is a significant concern under T&M, as it can inflate costs without a corresponding increase in defined deliverables.

How effectively does the 'Full and Open Competition After Exclusion of Sources' clause balance competitive principles with agency needs?

The 'Full and Open Competition After Exclusion of Sources' clause attempts to balance competitive principles with specific agency needs by allowing for a broad initial solicitation while reserving the right to exclude certain sources based on predefined criteria. This can be beneficial if there are specific technical requirements, security clearances, or past performance prerequisites that only a subset of potential vendors can meet. However, it carries the risk of inadvertently limiting competition if the exclusion criteria are too broad or not sufficiently justified. The effectiveness hinges on the transparency and reasonableness of the exclusion criteria. If the criteria are well-defined and directly related to essential program requirements, it can lead to a more focused competition among highly qualified bidders. Conversely, poorly defined exclusions can stifle competition and potentially lead to higher prices or less innovative solutions.

What are the potential implications of this contract on the VA's ability to achieve its strategic IT modernization goals?

This contract is directly aimed at supporting the VA's 16 major initiatives through enterprise architecture (EA) support. Effective EA is foundational for successful IT modernization, as it provides the blueprint for how technology aligns with and supports business objectives. By providing expert guidance on EA, this contract should help the VA ensure that its modernization efforts are integrated, efficient, and strategically sound. This can lead to reduced redundancy, improved interoperability between systems, and a more agile IT infrastructure capable of adapting to future needs. The success of this contract is therefore critical for the VA to achieve its overarching goals of modernizing its IT systems to better serve veterans.

How does the contract's duration of 1124 days (approx. 3 years) influence the assessment of its value and risk?

The contract's duration of 1124 days (approximately three years) suggests a significant, long-term commitment to enterprise architecture support for the VA's major initiatives. From a value perspective, a longer duration can allow for deeper integration of the contractor's expertise and a more comprehensive understanding of the VA's complex environment, potentially leading to more sustainable architectural solutions. However, it also increases the risk associated with vendor lock-in and the potential for the contractor's approach to become outdated if not continuously managed. For the government, a longer contract necessitates sustained oversight to ensure performance remains high and costs are controlled throughout the period of performance. It also provides stability for the contractor to invest in understanding the VA's needs.

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 › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: R3114402

Offers Received: 11

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 2 BRITTANY LN, STAFFORD, VA, 07

Business Categories: Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Service Disabled Veteran Owned Business, Small Business, Small Disadvantaged Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $28,914,453

Exercised Options: $18,937,996

Current Obligation: $18,937,996

Parent Contract

Parent Award PIID: GS06F0524Z

IDV Type: GWAC

Timeline