Va's $11.77M VCS BPA OO Development Businessware Task Order Awarded to NTT Data Services Federal Government, LLC

Contract Overview

Contract Amount: $11,770,985 ($11.8M)

Contractor: NTT Data Services Federal Government, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2007-07-18

End Date: 2011-09-30

Contract Duration: 1,535 days

Daily Burn Rate: $7.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Sector: IT

Official Description: VCS BPA OO DEVELOPMENT BUSINESSWARE TASK ORDER

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22031, UNITED STATES OF AMERICA

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $11.8 million to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC for work described as: VCS BPA OO DEVELOPMENT BUSINESSWARE TASK ORDER Key points: 1. The contract was awarded under a Blanket Purchase Agreement (BPA), suggesting a pre-negotiated framework for services. 2. The duration of the contract (1535 days) indicates a medium-term commitment for the services provided. 3. The task order was competed under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', implying a competitive process with specific exclusions. 4. The North American Industry Classification System (NAICS) code 518210 points to services related to computing infrastructure and data processing. 5. The contract's value of $11.77 million over its period suggests a significant investment in IT infrastructure or services. 6. The absence of small business set-aside flags indicates this was not specifically targeted towards small businesses. 7. The contract was awarded by the Department of Veterans Affairs (VA), a major federal agency with substantial IT needs.

Value Assessment

Rating: fair

Benchmarking the value of this specific task order against similar IT services contracts is challenging without more granular data on the scope of 'Development Businessware'. However, the total value of $11.77 million over approximately 4.2 years suggests an average annual spend of roughly $2.78 million. This figure needs to be assessed in the context of the specific services rendered, such as software development, infrastructure support, or data processing. Without direct comparisons of unit costs or service levels, a definitive value-for-money assessment is difficult, but the amount is substantial for a single task order.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the competition was intended to be open, certain sources were excluded from bidding. The specific reasons for these exclusions are not detailed in the provided data. The number of bidders is also not specified, making it difficult to fully assess the level of competition and its impact on price discovery. A limited competition, even if 'full and open' with exclusions, may result in less aggressive pricing compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayers may have received less competitive pricing due to the exclusion of certain sources, potentially leading to a higher overall cost for the services procured.

Public Impact

Veterans and VA staff benefit from improved IT infrastructure and services supporting healthcare and administrative functions. The contract supports the delivery of essential computing infrastructure, data processing, and web hosting services for the VA. The geographic impact is primarily within the United States, supporting the VA's national operations. The contract likely impacts the IT workforce through the need for skilled personnel in development, infrastructure management, and data services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for reduced competition due to 'exclusion of sources' in the bidding process.
Lack of specific details on the scope of 'Development Businessware' makes it hard to assess true value for money.
The BPA mechanism, while efficient, could potentially lead to less scrutiny on individual task orders if not managed carefully.

Positive Signals

Awarded under a competitive process, indicating some level of market vetting.
The task order is part of a larger BPA, suggesting a strategic approach to IT procurement for the VA.
The contract duration of over 4 years implies a stable and predictable IT service delivery for the agency.

Sector Analysis

The IT services sector, particularly within government contracting, is highly competitive and diverse. This contract falls under the 'Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services' category (NAICS 518210). Federal spending in this area is substantial, driven by the need for agencies like the VA to maintain and upgrade complex IT systems. Comparable spending benchmarks would typically involve analyzing the average cost of similar IT services procured by other large federal agencies, considering factors like service scope, duration, and security requirements. The market size for government IT services is in the tens of billions of dollars annually.

Small Business Impact

The provided data indicates that this contract was not awarded as a small business set-aside (ss: false, sb: false). Therefore, there are no direct implications for small business set-aside goals. However, the prime contractor, NTT DATA SERVICES FEDERAL GOVERNMENT, LLC, may engage small businesses as subcontractors to fulfill parts of the contract requirements. The extent of subcontracting to small businesses would depend on the prime contractor's policies and the specific nature of the work performed under this task order.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Veterans Affairs' contracting and program management offices. Accountability measures are typically embedded in the contract terms, including performance standards, reporting requirements, and payment schedules tied to deliverables. Transparency is facilitated through contract databases like FPDS-NG (where this data originates). Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse related to this contract arise.

Related Government Programs

VA Enterprise Data Management
VA IT Infrastructure Modernization
Federal Cloud Computing Strategy
IT Services for Healthcare Agencies
Department of Veterans Affairs IT Procurement

Risk Flags

Limited competition due to source exclusions.
Lack of detailed service scope for 'Development Businessware'.
Potential for cost overruns if scope is not tightly managed.
Dependence on a single contractor for critical IT services.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $11.8 million to NTT DATA SERVICES FEDERAL GOVERNMENT, LLC. VCS BPA OO DEVELOPMENT BUSINESSWARE TASK ORDER

Who is the contractor on this award?

The obligated recipient is NTT DATA SERVICES FEDERAL GOVERNMENT, 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 $11.8 million.

What is the period of performance?

Start: 2007-07-18. End: 2011-09-30.

What is the specific nature of the 'VCS BPA OO DEVELOPMENT BUSINESSWARE TASK ORDER' and what services does it encompass?

The provided data offers limited detail on the specific services encompassed by the 'VCS BPA OO DEVELOPMENT BUSINESSWARE TASK ORDER'. 'VCS' likely refers to the Veterans Canteen Service or a similar VA-specific program, 'BPA' indicates a Blanket Purchase Agreement, and 'OO' might denote 'Other Obligation' or a specific project code. 'Development Businessware' suggests services related to the development, implementation, or maintenance of software, applications, or IT infrastructure that supports business operations. Without access to the full task order document or a more detailed description, it's difficult to ascertain the precise scope, which could range from custom software development to the provision and management of business-related IT tools and platforms. The NAICS code 518210 (Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services) provides a general classification but doesn't detail the specific 'development' aspect.

How does the pricing of this $11.77 million task order compare to similar IT services contracts awarded by the VA or other federal agencies?

Directly comparing the pricing of this $11.77 million task order to similar contracts is challenging without knowing the exact scope and duration of services. The total value spread over 1535 days (approximately 4.2 years) results in an average annual expenditure of about $2.78 million. To benchmark effectively, one would need to identify comparable contracts for 'Development Businessware' or similar IT services, considering factors like the number of users supported, the complexity of the software or infrastructure, and the level of support provided. Federal IT spending varies widely; for instance, large-scale cloud hosting or complex software development projects can easily run into millions annually. The 'limited' competition noted in the award type might suggest that the pricing, while potentially fair, may not be as aggressively competitive as in a fully unrestricted open competition.

What are the key risks associated with a contract awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'?

A primary risk associated with 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' is the potential for reduced competition, which can negatively impact price discovery and potentially lead to higher costs for the government. While the competition is 'full and open' among the eligible bidders, the exclusion of certain sources, if not well-justified and transparently documented, could limit the pool of qualified offerors. This could mean that the government does not receive the most innovative solutions or the most cost-effective proposals available in the broader market. Another risk is the perception of fairness and transparency if the reasons for exclusion are not clearly articulated or appear arbitrary. This could lead to protests or challenges from excluded vendors, causing delays and additional administrative burden.

What is NTT DATA SERVICES FEDERAL GOVERNMENT, LLC's track record with the Department of Veterans Affairs and in providing similar IT services?

NTT DATA SERVICES FEDERAL GOVERNMENT, LLC (and its predecessors/affiliates) has a significant track record of performing IT services for the Department of Veterans Affairs. They have been awarded numerous contracts across various IT domains, including infrastructure, software development, and data management. Their history with the VA suggests a familiarity with the agency's complex requirements and operating environment. Analyzing their performance on past VA contracts, including any past performance evaluations or contract awards/modifications, would provide further insight into their capabilities and reliability in delivering services similar to those likely covered under this 'Development Businessware' task order. Their overall presence in the federal IT contracting space indicates substantial experience.

How has the VA's spending on 'Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services' (NAICS 518210) evolved over the past five years?

The VA's spending on NAICS code 518210, 'Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services,' has generally trended upwards over the past five years, reflecting the increasing reliance on robust IT infrastructure to support its vast healthcare and benefits systems. This growth is driven by modernization efforts, the expansion of digital services for veterans, and the need for secure, scalable data management. While specific figures fluctuate annually based on major procurements and project cycles, the overall trajectory indicates a sustained and significant investment in these foundational IT services. This upward trend is consistent with broader federal government initiatives to modernize IT systems and leverage cloud-based solutions.

What are the potential implications of this contract for the VA's IT modernization goals?

This task order, focusing on 'Development Businessware' within the IT services sector, likely plays a role in the VA's broader IT modernization goals. Modernization often involves updating legacy systems, developing new applications to improve service delivery, and enhancing data processing capabilities. By procuring these services through a BPA task order, the VA aims to streamline the acquisition process and ensure continuity of essential IT functions. The specific impact depends on whether the 'businessware' being developed or managed supports critical functions like electronic health records, claims processing, or veteran outreach. Successful execution of this task order could contribute to improved efficiency, better data utilization, and enhanced user experience for both VA staff and veterans.

Industry Classification

NAICS: Information › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related Services › Computing Infrastructure Providers, Data Processing, Web Hosting, and Related 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: NEGOTIATED PROPOSAL/QUOTE

Evaluated Preference: NONE

Contractor Details

Parent Company: Dell Technologies Inc. (UEI: 601839660)

Address: 8550 ARLINGTON BLVD, FAIRFAX, VA, 22031

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

Financial Breakdown

Contract Ceiling: $11,770,985

Exercised Options: $11,770,985

Current Obligation: $11,770,985

Parent Contract

Parent Award PIID: V200P1752

IDV Type: BPA

Timeline