DoD's $11.6M IT contract for ADP Facility Operation & Maintenance Services awarded to Vion Corporation

Contract Overview

Contract Amount: $11,647,197 ($11.6M)

Contractor: Vion Corporation

Awarding Agency: Department of Defense

Start Date: 2005-10-26

End Date: 2008-09-24

Contract Duration: 1,064 days

Daily Burn Rate: $10.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: 200601!600497!9700!HC1013!DEFENSE INFO. TECHNOLOGY CONTRAC!GS35F0739M !C!N! !N!HC101306F2117! !20051026!20061031!098695323!098695323!098695323!N!VION CORPORATION !1055 THOMAS JEFFERSON ST N!WASHINGTON !DC!20007!50000!001!11!WASHINGTON !DISTRICT OF COLUMBIA !D.C. !+000002703536!N!N!000000000000!D301!ADP FACILITY OPERATION & MAINTENANCE SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !811212!E! !6! ! ! ! ! !99990909!B!E!N! ! !A! ! ! !000! ! ! ! ! ! ! ! !B!N! ! ! ! ! ! ! !000! ! ! ! ! ! ! !9700!H98249!0001! !

Place of Performance

Location: FORT LEE, PRINCE GEORGE County, VIRGINIA, 23801

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $11.6 million to VION CORPORATION for work described as: 200601!600497!9700!HC1013!DEFENSE INFO. TECHNOLOGY CONTRAC!GS35F0739M !C!N! !N!HC101306F2117! !20051026!20061031!098695323!098695323!098695323!N!VION CORPORATION !1055 THOMAS JEFFERSON ST N!WASHINGTON !DC!20007!50000!001!11!WASHINGTON !DIST… Key points: 1. Contract awarded under full and open competition, suggesting a competitive bidding process. 2. The contract's duration of 1064 days indicates a significant, long-term service requirement. 3. Vion Corporation, the sole awardee, has a track record that warrants scrutiny for performance. 4. The fixed-price contract type may offer cost certainty but could limit flexibility for evolving needs. 5. The specific services, ADP Facility Operation & Maintenance, are critical for IT infrastructure. 6. Geographic location of service delivery in Virginia is noted.

Value Assessment

Rating: fair

The contract value of $11.6 million over approximately 3 years for ADP Facility Operation & Maintenance Services appears within a reasonable range for such specialized IT support. Benchmarking against similar contracts for facility operations and maintenance services within the Department of Defense would provide a clearer picture of value for money. Without specific per-unit cost data or detailed service level agreements, a precise value assessment is challenging. However, the fixed-price nature suggests an attempt to control costs upfront.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified in the provided data, which is crucial for a thorough assessment of competition dynamics. A robust competitive process typically leads to better pricing and service innovation for the government.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a marketplace where contractors vie for the best price and performance, potentially leading to cost savings and higher quality services.

Public Impact

The primary beneficiary is the Department of Defense, specifically the Defense Information Systems Agency (DISA), which receives essential IT facility operation and maintenance services. Services delivered include the operation and maintenance of ADP (Automated Data Processing) facilities, crucial for supporting military and intelligence operations. The geographic impact is centered around the service delivery location in Virginia. Workforce implications include employment opportunities for IT professionals and support staff required for facility operations and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the number of bidders limits the assessment of competitive intensity.
Performance metrics and quality assurance details are not provided, making it difficult to gauge service effectiveness.
The fixed-price contract type might not adequately account for unforeseen technical challenges or scope changes.
Contractor's specific experience with ADP facility operations and maintenance at this scale needs further investigation.

Positive Signals

Awarded under full and open competition, suggesting a fair and accessible process for potential bidders.
The fixed-price contract type provides cost predictability for the government.
The contract duration indicates a stable, long-term need for these critical IT support services.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on IT facility operations and maintenance. The market for IT infrastructure support services is substantial, with government agencies being significant consumers. Comparable spending benchmarks would involve analyzing other large-scale IT facility management contracts within federal agencies, particularly those supporting critical defense or operational systems. The size of this contract, over $11 million, places it in the mid-to-large tier for IT service contracts.

Small Business Impact

The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications specifically mandated for small businesses through a set-aside program. However, the prime contractor, Vion Corporation, may still engage small businesses as subcontractors to fulfill parts of the contract, depending on their own business practices and supply chain strategies.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Defense Information Systems Agency (DISA). Performance monitoring, adherence to service level agreements, and financial accountability are key oversight functions. 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 Facility Management Services
ADP Operations Support
Defense Information Systems Agency Contracts
IT Infrastructure Maintenance
Federal IT Services

Risk Flags

Potential for performance issues impacting critical IT operations.
Risk of cost overruns if scope changes significantly under fixed-price contract.
Security vulnerabilities in managed IT facilities.
Contractor's reliance on specific personnel could lead to disruption if key staff depart.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $11.6 million to VION CORPORATION. 200601!600497!9700!HC1013!DEFENSE INFO. TECHNOLOGY CONTRAC!GS35F0739M !C!N! !N!HC101306F2117! !20051026!20061031!098695323!098695323!098695323!N!VION CORPORATION !1055 THOMAS JEFFERSON ST N!WASHINGTON !DC!20007!50000!001!11!WASHINGTON !DISTRICT OF COLUMBIA !D.C. !+000002703536!N!N!000000000000!D301!ADP FACILITY OPERATION & MAINTENANCE SERVICES !S1 !SERVICES !000 !NOT DISCERNABLE !811212!E! !6! ! ! ! ! !999

Who is the contractor on this award?

The obligated recipient is VION CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Information Systems Agency).

What is the total obligated amount?

The obligated amount is $11.6 million.

What is the period of performance?

Start: 2005-10-26. End: 2008-09-24.

What is Vion Corporation's overall track record with federal contracts, particularly in IT facility operations and maintenance?

Vion Corporation has a history of receiving federal contracts, primarily within the IT and professional services domains. Analyzing their past performance on similar contracts, including any reported issues, contract modifications, or terminations, is crucial. Specifically for ADP Facility Operation & Maintenance Services, understanding their experience in managing large-scale data center operations, ensuring uptime, and maintaining complex IT infrastructure is key. A review of their contract history would reveal the volume and value of previous awards, the agencies they've served, and any performance feedback or awards received. This context helps assess their capability and reliability for the current contract.

How does the awarded amount of $11.6 million compare to market rates for similar IT facility operation and maintenance services?

Benchmarking the $11.6 million contract value against market rates requires detailed analysis of the specific services, scope, and duration. For ADP Facility Operation & Maintenance Services, factors like data center size, equipment managed, security requirements, and geographic location significantly influence pricing. Industry reports and commercial IT service provider pricing for similar managed services can offer a comparative perspective. Without granular data on Vion's specific service deliverables and the competitive landscape at the time of award, a precise comparison is difficult. However, the fixed-price nature suggests an agreed-upon value, and the full and open competition implies market forces were at play.

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

Key risks include potential performance shortfalls by Vion Corporation, leading to disruptions in critical IT operations. Technical obsolescence or the need for upgrades not covered by the fixed-price contract could also pose a risk. Furthermore, security vulnerabilities within the managed facilities represent a significant concern for defense operations. Mitigation strategies typically involve robust performance monitoring by the COR, clearly defined service level agreements (SLAs), regular security audits, and contingency planning. The fixed-price structure itself can be a risk if scope creep occurs without proper change management.

How effective has Vion Corporation been in fulfilling its obligations under this specific contract?

Assessing the effectiveness of Vion Corporation's performance under this contract requires access to performance reports, customer feedback, and any contract modifications or disputes. Since the contract period ended in 2008, historical performance data would be the primary source. Key indicators of effectiveness would include system uptime, response times to incidents, adherence to security protocols, and overall client satisfaction from the Defense Information Systems Agency (DISA). Without direct access to these internal government assessments, a definitive statement on effectiveness is speculative. Publicly available data often lacks this level of detail.

What has been the historical spending trend for ADP Facility Operation & Maintenance Services within the Department of Defense?

Historical spending on ADP Facility Operation & Maintenance Services within the Department of Defense has generally been substantial and consistent, reflecting the critical nature of IT infrastructure for military operations. Spending trends are influenced by factors such as technological advancements, evolving security threats, and the overall defense budget. Agencies like DISA consistently require robust support for their data centers and computing facilities. Analyzing past spending patterns reveals whether this $11.6 million contract represents a typical investment or an outlier, and it can indicate shifts in outsourcing strategies or technology adoption over time.

Industry Classification

NAICS: Retail Trade › Electronics and Appliance Stores › Computer and Software Stores

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

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: 1055 THOMAS JFFERSON ST NW, WASHINGTON, DC, 98

Business Categories: Category Business, Small Business, Veteran Owned Business

Parent Contract

Parent Award PIID: GS35F0739M

IDV Type: FSS

Timeline