VA awards $25M T4NG modification to Leidos SMS Inc. for computer systems design services

Contract Overview

Contract Amount: $25,006,549 ($25.0M)

Contractor: Leidos SMS Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2018-04-20

End Date: 2019-04-12

Contract Duration: 357 days

Daily Burn Rate: $70.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: IGF::OT::IGF TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) MODIFICATION P00004.

Place of Performance

Location: AUSTIN, TRAVIS County, TEXAS, 78772

State: Texas Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $25.0 million to LEIDOS SMS INC for work described as: IGF::OT::IGF TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) MODIFICATION P00004. Key points: 1. The contract modification is for computer systems design services, a common IT need. 2. Leidos SMS Inc. is a significant player in the government contracting space. 3. The award value is substantial, requiring careful oversight. 4. The sector is IT, specifically computer systems design.

Value Assessment

Rating: good

The award value of $25M for a modification suggests a significant ongoing project. Benchmarking against similar large-scale IT service contracts is necessary to fully assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. This method generally leads to better price discovery and potentially more favorable pricing for the government.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, suggesting the government sought the best value through a broad solicitation.

Public Impact

Veterans will benefit from improved IT systems and services. The modification supports the Department of Veterans Affairs' mission. This award contributes to the IT infrastructure supporting federal agencies.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Modification value requires scrutiny
Potential for scope creep in ongoing projects

Positive Signals

Awarded under full and open competition
Supports critical VA IT infrastructure

Sector Analysis

This contract falls within the IT sector, specifically computer systems design services. Spending in this area is consistently high across federal agencies, with significant competition among large IT firms.

Small Business Impact

The data indicates this award was not set aside for small businesses, and the prime contractor is a large entity. There is no direct information on small business subcontracting in this snippet.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight of this contract. Standard contract management practices and potential IG reviews would ensure accountability.

Related Government Programs

Computer Systems Design Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Large modification value
Time and Materials pricing structure
Potential for scope creep
Reliance on a single large contractor

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $25.0 million to LEIDOS SMS INC. IGF::OT::IGF TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) MODIFICATION P00004.

Who is the contractor on this award?

The obligated recipient is LEIDOS SMS 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 $25.0 million.

What is the period of performance?

Start: 2018-04-20. End: 2019-04-12.

What is the specific nature of the work being performed under this modification and how does it align with the original T4NG contract objectives?

This modification likely entails enhancements, upgrades, or new functionalities related to computer systems design, building upon the existing T4NG contract. The alignment with original objectives would depend on the specific tasks outlined in the modification's statement of work, ensuring it contributes to the overall modernization and efficiency goals of the VA's IT infrastructure.

Are there any performance concerns or past issues with Leidos SMS Inc. on similar large-scale IT contracts that could pose a risk?

A review of past performance for Leidos SMS Inc. on comparable federal IT contracts would be prudent. While full and open competition suggests a competitive process, any history of performance issues, cost overruns, or missed deadlines on similar projects could indicate potential risks for this modification's successful execution and timely delivery.

How does the pricing structure (Time and Materials) for this modification compare to industry benchmarks for similar computer systems design services?

Time and Materials (T&M) contracts can be efficient for evolving scopes but carry inherent risks of cost escalation if not managed tightly. Benchmarking the proposed hourly rates and estimated total cost against government databases (like the Federal Procurement Data System) and industry standards for computer systems design services is crucial to ensure fair and reasonable pricing.

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

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Leidos Holdings, Inc.

Address: 149 NORTHERN CONCOURSE STE 1, SYRACUSE, NY, 13212

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

Financial Breakdown

Contract Ceiling: $25,006,549

Exercised Options: $25,006,549

Current Obligation: $25,006,549

Subaward Activity

Number of Subawards: 19

Total Subaward Amount: $17,850,141

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11816D1004

IDV Type: IDC

Timeline