VA Awards $33.3M Contract for VETRIDE Transportation Solution to KEVADIYA INC
Contract Overview
Contract Amount: $33,263,382 ($33.3M)
Contractor: Kevadiya Inc.
Awarding Agency: Department of Veterans Affairs
Start Date: 2022-07-05
End Date: 2026-07-04
Contract Duration: 1,460 days
Daily Burn Rate: $22.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: VETRIDE TRANSPORTATION SOLUTION
Place of Performance
Location: PONTIAC, OAKLAND County, MICHIGAN, 48342
State: Michigan Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $33.3 million to KEVADIYA INC. for work described as: VETRIDE TRANSPORTATION SOLUTION Key points: 1. The contract is for custom computer programming services, with a significant value of $33.3 million. 2. Competition was full and open after exclusion of sources, suggesting a deliberate selection process. 3. The contract type is Firm Fixed Price, which transfers risk to the contractor. 4. The sector is IT, specifically custom computer programming, a common area for federal spending.
Value Assessment
Rating: good
The contract value of $33.3 million for custom computer programming services appears reasonable given the duration and scope. Benchmarking against similar IT service contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The competition method was 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This indicates that while the competition was open, specific sources may have been excluded prior to the main bidding process, potentially impacting the breadth of price discovery.
Taxpayer Impact: The full and open competition aims to secure the best value for taxpayers by allowing multiple vendors to bid, though the exclusion of sources warrants further scrutiny.
Public Impact
Veterans may benefit from improved transportation services facilitated by this IT solution. The contract supports the Department of Veterans Affairs' mission to provide services to veterans. KEVADIYA INC. will be a key contractor, potentially impacting their growth and market position.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Exclusion of sources in competition needs clarification.
- Potential for vendor lock-in if the solution is highly specialized.
Positive Signals
- Firm Fixed Price contract shifts cost overrun risk to contractor.
- Long-term contract (4 years) provides stability for service delivery.
Sector Analysis
This contract falls within the Information Technology sector, specifically custom computer programming services. Federal spending in this area is substantial, driven by the need for modernizing government systems and enhancing service delivery through software solutions.
Small Business Impact
The data indicates that the awardee is KEVADIYA INC. and the contract was not set aside for small businesses (sb: false). Further analysis is needed to determine if small businesses had opportunities to participate as subcontractors.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight of this contract. The definitive contract award type suggests a structured process, but ongoing monitoring of performance and costs is crucial for accountability.
Related Government Programs
- Custom Computer Programming Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for limited competition due to source exclusion.
- Custom programming can lead to higher costs and integration challenges.
- Long-term contract duration may reduce flexibility.
- Lack of small business set-aside.
Tags
custom-computer-programming-services, department-of-veterans-affairs, mi, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $33.3 million to KEVADIYA INC.. VETRIDE TRANSPORTATION SOLUTION
Who is the contractor on this award?
The obligated recipient is KEVADIYA 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 $33.3 million.
What is the period of performance?
Start: 2022-07-05. End: 2026-07-04.
What specific transportation challenges does the VETRIDE solution aim to address for veterans, and how will its success be measured?
The VETRIDE Transportation Solution likely aims to streamline and improve the efficiency of transportation services for veterans, potentially covering aspects like appointment scheduling, ride coordination, and logistics management. Success metrics would typically involve improvements in veteran satisfaction, reduced wait times, optimized routing, and cost savings in transportation operations. Specific KPIs should be detailed in the contract's performance work statement.
What was the rationale behind excluding certain sources prior to the full and open competition, and did this exclusion limit potential cost savings?
The rationale for excluding specific sources prior to the 'full and open competition after exclusion of sources' needs to be documented by the agency. This exclusion could be due to prior performance issues, specific technical requirements, or other justifiable reasons. However, excluding potential bidders inherently limits the competitive landscape, which could potentially lead to higher prices than if all qualified sources were allowed to compete.
How does the custom computer programming aspect of this contract align with the VA's broader IT modernization strategy and interoperability goals?
The custom nature of the programming suggests it's tailored to unique VA needs, potentially addressing gaps in off-the-shelf solutions. Its alignment with IT modernization hinges on whether it employs modern architectures, supports data integration, and enhances user experience for veterans and staff. Ensuring interoperability with existing VA systems is critical to avoid creating new data silos and to maximize the return on investment.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Custom Computer Programming Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - APLLICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: TWO STEP
Solicitation ID: 36C10B22R0010
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 100 N SAGINAW ST, PONTIAC, MI, 48342
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Small Business, Special Designations, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $44,740,463
Exercised Options: $33,263,382
Current Obligation: $33,263,382
Actual Outlays: $3,769,883
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2022-07-05
Current End Date: 2026-07-04
Potential End Date: 2027-07-04 00:00:00
Last Modified: 2025-12-04
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