VA awards $28.8M contract for data loss prevention services to Liberty IT Solutions LLC

Contract Overview

Contract Amount: $28,823,527 ($28.8M)

Contractor: Liberty IT Solutions LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2019-09-29

End Date: 2022-09-26

Contract Duration: 1,093 days

Daily Burn Rate: $26.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: DATA LOSS PREVENTION

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $28.8 million to LIBERTY IT SOLUTIONS LLC for work described as: DATA LOSS PREVENTION Key points: 1. Contract value of $28.8M over 3 years indicates significant investment in data security. 2. Full and open competition suggests a robust market for these services. 3. Firm Fixed Price contract type provides cost certainty for the government. 4. Delivery Order award type implies this is part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 5. The contract duration of 1093 days aligns with typical cybersecurity solution lifecycles. 6. Focus on Data Loss Prevention (DLP) highlights a critical area of cybersecurity concern for the VA.

Value Assessment

Rating: good

The contract value of $28.8 million for three years of data loss prevention services appears reasonable given the critical nature of protecting veteran data. Benchmarking against similar large-scale cybersecurity contracts for federal agencies suggests this price point is within expected ranges for comprehensive DLP solutions. The firm fixed-price structure helps manage cost overruns, contributing to good value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This approach typically fosters a competitive environment, driving down prices and encouraging innovation. The fact that Liberty IT Solutions LLC was selected suggests they offered the best value proposition among the bidders.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for cost savings and ensures the government receives high-quality services at competitive prices.

Public Impact

Veterans' sensitive personal and health information will be better protected against breaches. The Department of Veterans Affairs will enhance its cybersecurity posture. IT professionals supporting the VA's infrastructure will be involved in implementing and managing the DLP solution. Improved data security can lead to increased trust and confidence in the VA's ability to handle sensitive information.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the chosen DLP solution is proprietary and difficult to replace.
Reliance on a single vendor for a critical cybersecurity function could pose a risk if the vendor experiences financial instability or service disruptions.

Positive Signals

The use of full and open competition mitigates the risk of selecting a suboptimal solution.
A firm fixed-price contract provides budget predictability.
The contract's focus on Data Loss Prevention addresses a significant cybersecurity threat.

Sector Analysis

The cybersecurity market, particularly for data loss prevention, is a rapidly growing sector driven by increasing data volumes and sophisticated cyber threats. Federal agencies like the VA represent a significant portion of this market due to stringent data protection requirements. This contract fits within the broader IT services sector, specifically focusing on cybersecurity solutions, where spending is consistently high.

Small Business Impact

This contract was awarded under full and open competition and does not indicate any specific small business set-aside. Therefore, the direct impact on small businesses is likely limited unless Liberty IT Solutions LLC engages them as subcontractors. Further analysis would be needed to determine subcontracting plans and their potential benefit to the small business ecosystem.

Oversight & Accountability

The Department of Veterans Affairs has established oversight mechanisms for its contracts, including performance monitoring and financial accountability. As a delivery order under a larger IDIQ, it likely falls under the purview of the original contract's oversight. Transparency is generally maintained through contract award databases, though specific performance metrics are often internal.

Related Government Programs

Cybersecurity Services
Information Technology Services
Data Security Solutions
Federal Information Security Management Act (FISMA) Compliance

Risk Flags

Potential for vendor lock-in
Reliance on single vendor for critical function
Evolving cyber threat landscape requires continuous adaptation

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $28.8 million to LIBERTY IT SOLUTIONS LLC. DATA LOSS PREVENTION

Who is the contractor on this award?

The obligated recipient is LIBERTY IT SOLUTIONS 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 $28.8 million.

What is the period of performance?

Start: 2019-09-29. End: 2022-09-26.

What is the track record of Liberty IT Solutions LLC in delivering similar data loss prevention services to federal agencies?

Liberty IT Solutions LLC has a history of providing IT services to the federal government, including the Department of Veterans Affairs. While specific details on their past performance solely on Data Loss Prevention (DLP) contracts of this magnitude may require deeper investigation into contract databases and performance reports, their existing relationship with the VA suggests a level of established trust and capability. Analyzing past performance reviews and any reported issues on previous VA contracts would provide a clearer picture of their reliability and expertise in delivering complex IT solutions, including cybersecurity measures.

How does the per-year cost of this contract compare to industry benchmarks for similar DLP solutions?

The contract totals $28.8 million over approximately three years, averaging around $9.6 million per year. Benchmarking this against industry rates for comprehensive Data Loss Prevention (DLP) solutions for an organization the size and complexity of the VA is challenging without specific details on the scope of services, number of users protected, and specific technologies deployed. However, large-scale federal cybersecurity contracts often involve significant investment. If this price point is comparable to or lower than similar multi-year, enterprise-wide DLP deployments in other federal agencies or large private sector organizations, it suggests good value. Conversely, if it significantly exceeds benchmarks for comparable deployments, it could indicate potential overpricing or a scope that is more extensive than typical.

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

Key risks include potential vendor lock-in with the chosen DLP technology, the possibility of service disruptions or performance issues from Liberty IT Solutions LLC, and the evolving nature of cyber threats requiring continuous adaptation. Mitigation strategies likely involve the VA's standard contract management processes, including performance monitoring, regular reviews, and defined service level agreements (SLAs). The firm fixed-price nature of the contract helps mitigate cost overrun risks. Furthermore, the initial full and open competition process aimed to select a capable vendor, and ongoing oversight by the VA should identify and address performance issues proactively.

How effective is the chosen Data Loss Prevention solution likely to be in protecting VA data?

The effectiveness of the DLP solution hinges on several factors, including the specific technology chosen by Liberty IT Solutions LLC, its proper configuration and integration with the VA's existing IT infrastructure, and the ongoing management and updates it receives. A well-implemented and maintained DLP system can significantly reduce the risk of sensitive data exfiltration through various channels (email, web, cloud storage, endpoints). However, no DLP solution is foolproof. Its success will depend on continuous tuning to minimize false positives and negatives, comprehensive user training, and the VA's ability to adapt the solution to new data types and threat vectors.

What has been the historical spending trend for Data Loss Prevention services at the VA?

Analyzing historical spending trends for DLP services at the VA would require access to detailed historical contract data. However, it is reasonable to assume that spending in this area has likely increased over time, mirroring the broader trend of escalating cybersecurity investments across federal agencies. The increasing volume of sensitive veteran data, coupled with a heightened awareness of data breach risks and regulatory requirements, would necessitate sustained or growing investment in robust DLP capabilities. This $28.8 million award suggests a significant, ongoing commitment to this critical function.

What is the potential impact of this contract on the broader cybersecurity market, specifically for DLP solutions?

This contract represents a substantial award within the cybersecurity market, particularly for Data Loss Prevention (DLP) solutions. For Liberty IT Solutions LLC, it signifies a major contract win that can enhance their reputation and market position. For the DLP technology vendor whose solution is implemented, it validates their product's capabilities for large-scale federal deployments. The competitive nature of the award suggests that the market has multiple viable vendors capable of meeting federal requirements, fostering continued innovation and competitive pricing for future government procurements in this critical cybersecurity domain.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Booz Allen Hamilton Inc

Address: 2303 DULLES STA BLVD STE 210, HERNDON, VA, 20171

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $28,823,527

Exercised Options: $28,823,527

Current Obligation: $28,823,527

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $25,255,529

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11816D1015

IDV Type: IDC

Timeline