VA awards $27.7M for Micro Focus Reflection software licenses and maintenance to Metgreen Solutions Inc
Contract Overview
Contract Amount: $27,712,180 ($27.7M)
Contractor: Metgreen Solutions Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2023-09-27
End Date: 2026-09-26
Contract Duration: 1,095 days
Daily Burn Rate: $25.3K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 4
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: MICRO FOCUS REFLECTION SOFTWARE LICENSES AND MAINTENANCE SUPPORT
Place of Performance
Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20420
Plain-Language Summary
Department of Veterans Affairs obligated $27.7 million to METGREEN SOLUTIONS INC for work described as: MICRO FOCUS REFLECTION SOFTWARE LICENSES AND MAINTENANCE SUPPORT Key points: 1. The contract is for essential software licenses and ongoing maintenance, critical for VA operations. 2. Metgreen Solutions Inc. is the sole awardee, raising questions about competition. 3. The contract duration of three years presents a moderate risk of price escalation. 4. Spending falls under 'Other Computer Related Services', a broad category.
Value Assessment
Rating: fair
The contract value of $27.7M over three years appears reasonable for specialized software licenses and support. Benchmarking against similar enterprise software agreements would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES', indicating a limited competition. This method may have restricted price discovery and potentially led to a higher price than a fully open process.
Taxpayer Impact: Taxpayers may have paid a premium due to the limited competitive landscape for this specific software and vendor.
Public Impact
Ensures continued access to critical software for VA operations. Potential for increased costs due to limited competition. Supports a specific vendor's product line within the VA.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Potential for vendor lock-in
- Long-term maintenance costs
Positive Signals
- Essential software provision
- Defined contract period
Sector Analysis
Spending in the IT services sector, particularly for specialized software and maintenance, is substantial. Benchmarks for similar enterprise software licenses and support contracts vary widely based on scope and vendor.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this contract award.
Oversight & Accountability
The contract was awarded by the Department of Veterans Affairs, which has established oversight mechanisms for procurement. However, the limited competition warrants scrutiny to ensure accountability.
Related Government Programs
- Other Computer Related Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition may lead to higher costs.
- Potential for vendor lock-in with specialized software.
- Reliance on a single vendor for critical IT support.
- Long-term maintenance costs could escalate.
Tags
other-computer-related-services, department-of-veterans-affairs, dc, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $27.7 million to METGREEN SOLUTIONS INC. MICRO FOCUS REFLECTION SOFTWARE LICENSES AND MAINTENANCE SUPPORT
Who is the contractor on this award?
The obligated recipient is METGREEN SOLUTIONS 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 $27.7 million.
What is the period of performance?
Start: 2023-09-27. End: 2026-09-26.
What is the justification for excluding other sources in this 'limited' full and open competition?
The justification for excluding other sources in a 'limited' full and open competition typically involves specific technical requirements, existing infrastructure compatibility, or unique capabilities that only a particular vendor or set of vendors can meet. Without further details, it's difficult to ascertain the precise reason, but it often relates to ensuring seamless integration and operational continuity for critical systems.
How does the per-unit cost of these licenses compare to industry standards for similar software?
Benchmarking the per-unit cost of these Micro Focus Reflection licenses against industry standards is challenging without knowing the exact license types, user counts, and feature sets included. However, enterprise software licenses can be expensive, and the $27.7M total suggests a significant deployment. A detailed comparison would require access to specific pricing details and comparable market data.
What is the long-term strategy for software licensing and maintenance to avoid potential cost increases?
The long-term strategy should involve proactive market research and exploring alternative solutions or vendors as the contract nears its end. The VA could consider consolidating licenses, negotiating bulk discounts, or evaluating open-source alternatives if feasible. Regular reviews of software utilization and needs can also help optimize spending and avoid unnecessary renewals or escalations.
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
Solicitation ID: 36C10B23Q0366
Offers Received: 4
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 3203 KOENIGSTEIN AVE, NORFOLK, NE, 68701
Business Categories: Category Business, Corporate Entity Not Tax Exempt, 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: $27,712,180
Exercised Options: $27,712,180
Current Obligation: $27,712,180
Actual Outlays: $27,712,180
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD37B
IDV Type: GWAC
Timeline
Start Date: 2023-09-27
Current End Date: 2026-09-26
Potential End Date: 2026-09-26 00:00:00
Last Modified: 2025-07-25
More Contracts from Metgreen Solutions Inc
- Servicenow Software-As-A-Service (saas) License Entitlements — $312.6M (Department of Veterans Affairs)
- Servicenow Software-As-A-Service (saas) License Entitlements — $116.2M (Department of Veterans Affairs)
- Infoconnect Brand: License & Support Engineers: POP: 10/01/2023 - 09/30/2024 (base), 10/01/2024 - 09/30/2025 (OY1), 10/01/2025 - 09/30/2026 (OY2), 10/01/2026 - 09/30/2027 (OY3) — $49.3M (Department of the Treasury)
- Forescout Appliances, Associated Software Licenses/Subscriptions, Software Maintenance, Hardware Maintenance, Training and Premium Level Support Services — $43.4M (Department of Veterans Affairs)
- RED Seal Products and Maintenance — $39.5M (Department of Veterans Affairs)
Other Department of Veterans Affairs Contracts
- CCN Region 3 Express Report — $5.2B (Optum Public Sector Solutions, Inc.)
- Express Report for FY22 Region 2 — $5.1B (Optum Public Sector Solutions, Inc.)
- Fiscal Year 2022 Express Report for Region 1 — $4.2B (Optum Public Sector Solutions, Inc.)
- Express Report for the Patient Centered Community Care (PC3) Contract — $3.3B (Triwest Healthcare Alliance Corp)
- CCN Region Three FY21 Express Report — $3.1B (Optum Public Sector Solutions, Inc.)