VA awards $41.5M for Application Performance Monitoring, V3GATE, LLC secures contract
Contract Overview
Contract Amount: $41,448,095 ($41.4M)
Contractor: V3gate, LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2022-09-30
End Date: 2026-09-28
Contract Duration: 1,459 days
Daily Burn Rate: $28.4K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: APPLICATION PERFORMANCE MONITORING (APM) SOLUTION
Place of Performance
Location: COLORADO SPRINGS, EL PASO County, COLORADO, 80921
State: Colorado Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $41.4 million to V3GATE, LLC for work described as: APPLICATION PERFORMANCE MONITORING (APM) SOLUTION Key points: 1. Contract value of $41.5M over 4 years. 2. V3GATE, LLC is the primary contractor. 3. Department of Veterans Affairs is the procuring agency. 4. The contract is for Application Performance Monitoring (APM) solutions.
Value Assessment
Rating: fair
The contract value of $41.5M for APM solutions appears within a reasonable range for a multi-year federal contract of this nature. Benchmarking against similar APM contracts would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition after exclusion of sources, indicating a competitive bidding process. This method generally promotes price discovery and potentially better pricing for the government.
Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair market value for the APM solution.
Public Impact
Ensures critical VA applications perform optimally, impacting healthcare delivery and veteran services. Supports the modernization of VA IT infrastructure. Provides essential tools for monitoring and troubleshooting application performance.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if APM solution is highly specialized.
- Dependence on V3GATE, LLC for critical system performance.
Positive Signals
- Competitive award process.
- Long-term contract provides stability for APM services.
Sector Analysis
The IT services sector, particularly for specialized solutions like APM, sees significant federal spending. Benchmarks for APM solutions vary widely based on scope and features, but this award is substantial.
Small Business Impact
The data does not indicate if small businesses were involved in the subcontracting or prime contracting opportunities for this award.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this contract to ensure performance and value. Regular performance reviews and adherence to contract terms are key oversight mechanisms.
Related Government Programs
- Other Computer Related Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Lack of specific details on APM features and benefits.
- No indication of small business participation.
- Potential for vendor lock-in with a single APM provider.
- Long-term reliance on one vendor for critical system monitoring.
Tags
other-computer-related-services, department-of-veterans-affairs, co, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $41.4 million to V3GATE, LLC. APPLICATION PERFORMANCE MONITORING (APM) SOLUTION
Who is the contractor on this award?
The obligated recipient is V3GATE, 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 $41.4 million.
What is the period of performance?
Start: 2022-09-30. End: 2026-09-28.
What specific APM capabilities are included in this $41.5M contract, and how do they align with VA's current IT modernization goals?
The contract focuses on Application Performance Monitoring (APM) solutions, which are crucial for ensuring the reliability and efficiency of the VA's digital services. These capabilities likely include real-time performance tracking, issue detection, root cause analysis, and user experience monitoring. The alignment with IT modernization goals would depend on whether the chosen APM solution supports cloud migration, microservices architecture, or other strategic initiatives the VA is pursuing.
What are the key performance indicators (KPIs) for this APM contract, and how will V3GATE, LLC's performance against these KPIs be measured?
Key performance indicators for an APM contract typically include application uptime, response times, error rates, and user satisfaction metrics. The VA will likely measure V3GATE, LLC's performance against these KPIs through regular reporting, system-generated data from the APM tools, and potentially user feedback surveys. Contractual clauses would define acceptable performance thresholds and remedies for non-compliance.
Beyond the initial competitive award, are there mechanisms in place to ensure ongoing cost-effectiveness and prevent scope creep throughout the contract's duration?
Mechanisms to ensure ongoing cost-effectiveness and prevent scope creep include firm-fixed-price contract terms, which limit cost increases, and rigorous change control processes. The VA's contracting officers and technical representatives will monitor contract performance and expenditures closely. Periodic reviews of the APM solution's utilization and effectiveness can also identify opportunities for optimization or de-scoping unnecessary features.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related 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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 555 MIDDLE CREEK PKWY STE 120, COLORADO SPRINGS, CO, 80921
Business Categories: Category Business, Hispanic American Owned Business, Limited Liability Corporation, Minority Owned Business, Partnership or Limited Liability Partnership, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $62,013,078
Exercised Options: $41,448,095
Current Obligation: $41,448,095
Actual Outlays: $40,993,748
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD27B
IDV Type: GWAC
Timeline
Start Date: 2022-09-30
Current End Date: 2026-09-28
Potential End Date: 2027-09-28 00:00:00
Last Modified: 2025-08-27
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