VA awards $22.6M for consulting services to Veterans Management Services, Inc

Contract Overview

Contract Amount: $22,634,467 ($22.6M)

Contractor: Veterans Management Services, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2017-02-12

End Date: 2022-02-12

Contract Duration: 1,826 days

Daily Burn Rate: $12.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: LABOR HOURS

Sector: Other

Official Description: IGF::OT::IGF CONSULTING SERVICES

Place of Performance

Location: FREDERICK, FREDERICK County, MARYLAND, 21703

State: Maryland Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $22.6 million to VETERANS MANAGEMENT SERVICES, INC. for work described as: IGF::OT::IGF CONSULTING SERVICES Key points: 1. Contract awarded for administrative and general management consulting. 2. Full and open competition was utilized. 3. The contract spans five years, ending in February 2022. 4. The North American Industry Classification System (NAICS) code is 541611.

Value Assessment

Rating: fair

The contract's total value is $22.6 million over five years. Without specific performance metrics or comparable contract data, assessing value for money is challenging. The pricing structure is based on labor hours, which can lead to cost overruns if not managed effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally promotes price discovery and can lead to more favorable pricing for the government.

Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value. However, the labor hour pricing model requires diligent oversight to ensure costs remain reasonable.

Public Impact

Supports the Department of Veterans Affairs' administrative and management functions. Provides consulting services aimed at improving operational efficiency. The five-year duration suggests a need for ongoing support in these areas.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Labor hour pricing can be susceptible to cost escalation.
Lack of specific performance metrics makes value assessment difficult.

Positive Signals

Awarded through full and open competition.
Contract supports critical VA functions.

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically management consulting. Benchmarks for this sector vary widely based on the specific services and expertise required. The awarded amount is moderate for a five-year engagement in this field.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The contract was awarded by the Department of Veterans Affairs. Oversight would typically involve contract officers and program managers ensuring deliverables meet requirements and that costs are justified.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for cost overruns due to labor hour pricing.
Difficulty in assessing true value without performance metrics.
Limited insight into specific consulting outcomes.
No indication of small business subcontracting.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $22.6 million to VETERANS MANAGEMENT SERVICES, INC.. IGF::OT::IGF CONSULTING SERVICES

Who is the contractor on this award?

The obligated recipient is VETERANS MANAGEMENT SERVICES, 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 $22.6 million.

What is the period of performance?

Start: 2017-02-12. End: 2022-02-12.

What specific management and administrative improvements were achieved through this contract?

The provided data does not detail the specific outcomes or improvements achieved. To assess the contract's effectiveness, a review of performance reports, deliverables, and the impact on VA operations would be necessary. Understanding the key performance indicators (KPIs) and whether they were met is crucial for evaluating the value derived from the $22.6 million investment.

How did the labor hour pricing compare to industry benchmarks for similar consulting services?

The data does not provide specific hourly rates or a breakdown of labor categories. To assess the fairness of the labor hour pricing, it would be necessary to compare the rates paid against established industry benchmarks for management consulting services, considering factors like consultant experience levels, geographic location, and the complexity of the tasks performed.

What mechanisms were in place to ensure the consulting services directly contributed to enhanced veteran services?

The contract's objective is to provide administrative and general management consulting services to the VA. While the data doesn't specify the direct link, it's assumed these services were intended to improve the VA's internal operations, which indirectly benefits veteran services. Specific oversight mechanisms and performance metrics tied to veteran outcomes would be needed to confirm this direct contribution.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

Product/Service Code: EDUCATION AND TRAINING › EDUCATION AND TRAINING SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Address: 14 PIDGEON HILL DR STE 500, STERLING, VA, 20165

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Service Disabled Veteran Owned Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $27,082,839

Exercised Options: $25,870,227

Current Obligation: $22,634,467

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: GS10F030AA

IDV Type: FSS

Timeline