VA awards $36.1M task order for IT systems design to TISTA Science and Technology Corporation

Contract Overview

Contract Amount: $36,109,826 ($36.1M)

Contractor: Tista Science and Technology Corporation

Awarding Agency: Department of Veterans Affairs

Start Date: 2020-07-27

End Date: 2024-10-29

Contract Duration: 1,555 days

Daily Burn Rate: $23.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TASK ORDER FOR CORP TMSS

Place of Performance

Location: POTOMAC, MONTGOMERY County, MARYLAND, 20854

State: Maryland Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $36.1 million to TISTA SCIENCE AND TECHNOLOGY CORPORATION for work described as: TASK ORDER FOR CORP TMSS Key points: 1. The contract value represents a significant investment in IT modernization for the VA. 2. Competition dynamics for this task order are crucial for assessing value for money. 3. Performance history of TISTA Science and Technology Corporation will be a key risk indicator. 4. The duration of the contract suggests a long-term need for these services. 5. This contract falls within the broader IT services sector for federal agencies.

Value Assessment

Rating: good

The contract value of $36.1 million over approximately four years appears reasonable for comprehensive computer systems design services. Benchmarking against similar large-scale IT modernization contracts within the VA or other federal agencies would provide a clearer picture of value for money. The firm-fixed-price structure suggests that cost risks are largely borne by the contractor, which can be beneficial for the government if well-managed. However, without specific performance metrics or detailed cost breakdowns, a definitive assessment of cost-effectiveness is challenging.

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. With 3 bidders, the competition level suggests a moderate degree of market interest. This level of competition is generally positive for price discovery, as it encourages vendors to offer competitive pricing to secure the award. However, the specific details of the bidding process and the nature of the proposals received would offer deeper insights into the effectiveness of this competition.

Taxpayer Impact: Full and open competition with multiple bidders typically leads to more competitive pricing, potentially saving taxpayer dollars compared to sole-source or limited competition awards.

Public Impact

Veterans Affairs (VA) personnel and potentially beneficiaries will benefit from improved IT systems. Services delivered include computer systems design, likely encompassing planning, development, and integration. The geographic impact is primarily within the VA's operational footprint, potentially nationwide. Workforce implications may include IT professionals employed by TISTA Science and Technology Corporation and potentially internal VA IT staff involved in the project.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in complex IT system design projects.
Ensuring TISTA's proposed solutions align with VA's long-term IT strategy and interoperability requirements.
Managing the transition and integration of new systems with existing VA infrastructure.

Positive Signals

Firm-fixed-price contract structure shifts cost risk to the contractor.
Awarded under full and open competition, suggesting a competitive bidding process.
The contract duration indicates a sustained commitment to improving VA IT capabilities.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a critical component of the federal IT market. This sector encompasses a wide range of activities from custom software development to IT infrastructure design and integration. The federal government is a major consumer of these services, with significant spending allocated annually to modernize and maintain its complex IT systems. Comparable spending benchmarks would involve looking at other large IT system design and integration contracts awarded by agencies like the Department of Defense or HHS.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a small business set-aside. The primary contractor, TISTA Science and Technology Corporation, is likely a mid-to-large sized business. The impact on the small business ecosystem would be indirect, potentially through opportunities if TISTA chooses to subcontract, or by competing against small businesses for future prime contracts.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Veterans Affairs contracting officers and program managers. Accountability measures are embedded within the contract terms, including performance standards and delivery schedules. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract is suspected.

Related Government Programs

VA IT Modernization Programs
Federal Civilian IT Services
Computer Systems Design and Related Services
Information Technology Professional Services

Risk Flags

Potential for cost overruns if scope is not well-defined.
Risk of integration issues with existing VA IT infrastructure.
Cybersecurity vulnerabilities during system development and deployment.
Dependency on contractor performance for critical IT system upgrades.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $36.1 million to TISTA SCIENCE AND TECHNOLOGY CORPORATION. TASK ORDER FOR CORP TMSS

Who is the contractor on this award?

The obligated recipient is TISTA SCIENCE AND TECHNOLOGY 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 $36.1 million.

What is the period of performance?

Start: 2020-07-27. End: 2024-10-29.

What is TISTA Science and Technology Corporation's track record with the VA and other federal agencies for similar IT system design contracts?

TISTA Science and Technology Corporation has a history of performing IT services for federal agencies, including the VA. Analyzing their past performance on similar task orders and contracts is crucial. This includes reviewing past performance evaluations, any contract modifications, and the successful delivery of systems within scope, budget, and schedule. A strong track record with the VA suggests familiarity with their specific requirements, security protocols, and operational environment, which can mitigate performance risks. Conversely, a history of issues or underperformance on comparable contracts would raise concerns about the successful execution of this current task order.

How does the awarded amount compare to the estimated value or initial solicitations for this task order?

The awarded amount of $36.1 million represents the total value of the task order. To assess value for money, it's important to compare this figure against the government's initial estimate (if publicly available) and the bids submitted by competing vendors. If the awarded amount is significantly lower than the estimate or the next highest bid, it suggests successful price negotiation and competitive pressure. Conversely, if it's close to the upper end of estimates or significantly higher than other bids, it might warrant further scrutiny into the necessity of the scope or the pricing structure. The firm-fixed-price nature means the government is paying a set amount, so understanding the basis of that price is key.

What are the primary risks associated with the performance of computer systems design services for the VA, and how are they mitigated in this contract?

Key risks in IT system design include technical complexity, integration challenges with legacy systems, cybersecurity vulnerabilities, and potential schedule delays. For the VA, which handles sensitive veteran data, security is paramount. Mitigation strategies in this contract likely include detailed technical specifications, phased delivery schedules, rigorous testing and validation protocols, and robust cybersecurity requirements. The firm-fixed-price structure also incentivizes the contractor to manage costs and schedules effectively. However, the effectiveness of these mitigations depends on the clarity of the SOW, the contractor's expertise, and the VA's oversight.

How effective has the VA been in managing IT system design contracts of this magnitude in the past?

The VA has a mixed history with large IT contracts, facing both successes and significant challenges, notably with the VistA EHR modernization efforts. Managing IT system design contracts of this magnitude requires strong program management, clear requirements definition, effective vendor oversight, and adaptability to evolving technological landscapes. Past challenges have often stemmed from scope creep, inadequate planning, and integration issues. The success of this current task order will depend on the VA's ability to apply lessons learned from previous projects, ensuring robust project management, continuous communication with TISTA, and diligent monitoring of performance and deliverables.

What is the historical spending trend for computer systems design services by the VA over the last five fiscal years?

Analyzing the VA's historical spending on computer systems design services provides context for the $36.1 million task order. Federal procurement data indicates that the VA consistently spends hundreds of millions, if not billions, annually on IT services, including system design, development, and integration. Spending in this specific category can fluctuate based on agency-wide modernization initiatives, specific project needs, and budget allocations. Understanding whether this $36.1 million represents an increase, decrease, or stable level of investment compared to previous years helps assess its significance within the VA's overall IT budget and strategic priorities.

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: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1201 SEVEN LOCKS RD, STE 350, ROCKVILLE, MD, 20854

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $36,630,416

Exercised Options: $36,109,826

Current Obligation: $36,109,826

Actual Outlays: $16,079,811

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $178,060

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11816D1005

IDV Type: IDC

Timeline