VA Awards $141.7M T4NG Contract for IT Support to Science Applications International Corp
Contract Overview
Contract Amount: $141,683,156 ($141.7M)
Contractor: Science Applications International Corporation
Awarding Agency: Department of Veterans Affairs
Start Date: 2019-05-14
End Date: 2024-07-31
Contract Duration: 1,905 days
Daily Burn Rate: $74.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: TIME AND MATERIALS
Sector: IT
Official Description: TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) TO FOR ON-SITE PROFESSIONAL AND TECHNICAL SUPPORT SERVICES FOR THE VA FINANCIAL SERVICES CENTER (FSC), FINANCIAL TECHNOLOGY SERVICE (FTS), FORMERLY THE INFORMATION TECHNOLOGY SERVICE, AND ITS SUBDIVISIONS. SPECIFICALLY, UNDER THIS EFFORT, THE CONTRACTOR SHALL PROVIDE SERVICES TO SUPPORT THE IT INFRASTRUCTURE, OPERATIONS, FSC PROJECTS, AND VARIOUS INITIATIVES SUPPORTED BY FSC, ON BEHALF OF VA, AND OTHER GOVERNMENT AGENCIES (OGAS). FURTHER, THE CONTRACTOR SHALL PROVIDE SUPPORT SERVICES AND DEVELOP DELIVERABLES FOR FSC PROJECTS INCLUDING NEW SOFTWARE PROJECTS, MAINTENANCE RELEASES, AND EMERGENCY SOFTWARE RELEASES. THE CONTRACTOR SHALL PERFORM RESOURCE PLANNING IN SUPPORT OF NEW SOFTWARE PROJECTS, MAINTENANCE RELEASES, AND EMERGENCY SOFTWARE RELEASES. THE CONTRACTOR SHALL MANAGE RESOURCE LEVELS AND COORDINATE WITH FSC PROJECT MANAGERS TO UNDERSTAND SCHEDULE TIMELINES. THE INCLUDED OPTIONAL TASKS SHALL PROVIDE FOR PRIVACY SERVICES, CLOUD SERVICES - CLOUD CENTER OF EXCELLENCE, AND ONE 45-DAY PHASE OUT TRANSITION TASK. THE PERIOD OF PERFORMANCE (POP) FOR THIS EFFORT SHALL BE ONE (1) TWELVE (12) MONTH BASE PERIOD, WITH FOUR (4) TWELVE (12) MONTH OPTION PERIODS, AND THREE OPTIONAL TASKS. THE TOTAL TASK ORDER (TO) POP SHALL NOT EXCEED 60 MONTHS.
Place of Performance
Location: AUSTIN, TRAVIS County, TEXAS, 78744
State: Texas Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $141.7 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION for work described as: TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) TO FOR ON-SITE PROFESSIONAL AND TECHNICAL SUPPORT SERVICES FOR THE VA FINANCIAL SERVICES CENTER (FSC), FINANCIAL TECHNOLOGY SERVICE (FTS), FORMERLY THE INFORMATION TECHNOLOGY SERVICE, AND ITS SUBDIVISIONS. SPECIF… Key points: 1. The contract focuses on IT infrastructure, operations, and software development for the VA's Financial Services Center. 2. Science Applications International Corporation (SAIC) is the incumbent contractor, suggesting potential for continuity and established performance. 3. The award is a Delivery Order under the T4NG IDIQ, indicating a broader contract vehicle is in place. 4. The primary NAICS code (541512) points to Computer Systems Design Services, a critical area for modern government operations.
Value Assessment
Rating: good
The total value of $141.7 million over approximately 5 years suggests a significant investment in IT support services. Benchmarking against similar large-scale IT support contracts for federal agencies would provide a clearer picture of its cost-effectiveness.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which generally promotes competitive pricing and a wider range of potential offerors. The specific pricing mechanisms (Time and Materials) will influence how costs are managed and controlled.
Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by fostering a competitive environment for IT services.
Public Impact
Veterans' financial services and IT systems will receive enhanced support, potentially leading to improved user experience and operational efficiency. The contract supports critical IT infrastructure and software development, ensuring the reliability of essential government functions. This award contributes to the modernization of VA's technological capabilities, impacting various internal and external stakeholders.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns with Time and Materials pricing if not closely managed.
- Dependence on a single contractor for critical IT functions could pose a risk if performance issues arise.
Positive Signals
- Awarded under full and open competition, suggesting competitive pricing.
- Incumbent contractor may bring efficiency and institutional knowledge.
- Supports modernization of critical VA financial systems.
Sector Analysis
This contract falls within the IT services sector, specifically focusing on computer systems design and related support. Spending in this area is substantial across federal agencies, driven by the need for modern, secure, and efficient digital infrastructure.
Small Business Impact
While the primary awardee is a large business, the T4NG IDIQ vehicle itself often includes provisions or opportunities for small business subcontracting. Further analysis would be needed to determine the extent of small business participation in this specific delivery order.
Oversight & Accountability
The award is a Delivery Order under the T4NG IDIQ, which implies a structured oversight framework. The VA's contracting office and program managers will be responsible for monitoring performance, ensuring compliance, and managing costs.
Related Government Programs
- Computer Systems Design Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for cost overruns due to Time and Materials pricing.
- Reliance on a single contractor for critical IT functions.
- Need for continuous monitoring of performance and adherence to scope.
- Complexity of managing IT infrastructure and software development projects.
Tags
computer-systems-design-services, department-of-veterans-affairs, tx, delivery-order, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $141.7 million to SCIENCE APPLICATIONS INTERNATIONAL CORPORATION. TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY NEXT GENERATION (T4NG) TO FOR ON-SITE PROFESSIONAL AND TECHNICAL SUPPORT SERVICES FOR THE VA FINANCIAL SERVICES CENTER (FSC), FINANCIAL TECHNOLOGY SERVICE (FTS), FORMERLY THE INFORMATION TECHNOLOGY SERVICE, AND ITS SUBDIVISIONS. SPECIFICALLY, UNDER THIS EFFORT, THE CONTRACTOR SHALL PROVIDE SERVICES TO SUPPORT THE IT INFRASTRUCTURE, OPERATIONS, FSC PROJECTS, AND VARIOUS INITIATIVES SUPPORTED BY FSC, ON BEHALF OF VA, AND OTHER GOVERNMENT AGENCIES (OGAS)
Who is the contractor on this award?
The obligated recipient is SCIENCE APPLICATIONS INTERNATIONAL CORPORATION.
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 $141.7 million.
What is the period of performance?
Start: 2019-05-14. End: 2024-07-31.
What is the projected cost savings or efficiency gain anticipated from this IT support contract compared to previous arrangements or market benchmarks?
The provided data does not explicitly state projected cost savings or efficiency gains. However, the use of full and open competition and the Time and Materials pricing structure suggest an intent to achieve value. A detailed cost-benefit analysis or comparison with industry benchmarks for similar IT support services would be necessary to quantify these benefits.
What are the key performance indicators (KPIs) established for SAIC under this contract, and how will their performance be measured to ensure effective service delivery?
Specific Key Performance Indicators (KPIs) are not detailed in the provided summary. Typically, IT support contracts of this magnitude include metrics related to system uptime, response times for issue resolution, project completion rates, and user satisfaction. The VA's contracting officer and technical representatives will monitor these metrics to ensure SAIC meets its contractual obligations.
Given the Time and Materials (T&M) contract type, what mechanisms are in place to prevent scope creep and control labor costs effectively?
Time and Materials contracts require robust oversight to manage costs. Mechanisms likely in place include defined labor categories with capped hourly rates, strict adherence to approved work hours, regular progress reviews, and clear task orders with estimated effort. The VA will need to actively manage the scope of work and ensure all expenditures are justified and aligned with project objectives.
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: 5
Pricing Type: TIME AND MATERIALS (Y)
Evaluated Preference: NONE
Contractor Details
Address: 12010, SUNSET HILLS ROAD, RESTON, VA, 20190
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $141,683,156
Exercised Options: $141,683,156
Current Obligation: $141,683,156
Actual Outlays: $70,422,327
Subaward Activity
Number of Subawards: 39
Total Subaward Amount: $43,154,414
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: VA11816D1002
IDV Type: IDC
Timeline
Start Date: 2019-05-14
Current End Date: 2024-07-31
Potential End Date: 2024-07-31 00:00:00
Last Modified: 2024-11-15
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