VA awards $22.3M for Imprivata software support and maintenance over three years

Contract Overview

Contract Amount: $22,338,441 ($22.3M)

Contractor: Alvarez LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-04-01

End Date: 2027-03-31

Contract Duration: 1,094 days

Daily Burn Rate: $20.4K/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: THE VA OFFICE OF INFORMATION AND TECHNOLOGY, SOFTWARE PRODUCT MANAGEMENT HAS A REQUIREMENT FOR IMPRIVATA CONTEXT MANAGEMENT SOFTWARE ANNUAL SUPPORT AND MAINTENANCE, ALONG WITH IMPRIVATA VAULT SERVER ANNUAL SUPPORT AND MAINTENANCE.

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $22.3 million to ALVAREZ LLC for work described as: THE VA OFFICE OF INFORMATION AND TECHNOLOGY, SOFTWARE PRODUCT MANAGEMENT HAS A REQUIREMENT FOR IMPRIVATA CONTEXT MANAGEMENT SOFTWARE ANNUAL SUPPORT AND MAINTENANCE, ALONG WITH IMPRIVATA VAULT SERVER ANNUAL SUPPORT AND MAINTENANCE. Key points: 1. Software support and maintenance contract for critical Imprivata solutions. 2. Competition method: Full and open after exclusion of sources. 3. Risk: Reliance on specific vendor software. 4. Sector: Information Technology (IT) services for healthcare.

Value Assessment

Rating: good

The total award of $22.3M over three years appears reasonable for specialized software support and maintenance. Benchmarking against similar enterprise software agreements would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' suggesting a competitive process but with specific source limitations. This method aims for best value while potentially narrowing the field.

Taxpayer Impact: Taxpayers benefit from a competitive process, even if limited, to secure necessary software support at a fair price.

Public Impact

Ensures continued operation of critical Imprivata software for VA IT. Supports patient data security and access through Imprivata Vault. Maintains essential IT infrastructure for the Department of Veterans Affairs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may not yield the absolute lowest price.
Vendor lock-in potential for specialized software.

Positive Signals

Awarded to a single vendor, streamlining support.
Long-term contract provides budget stability.

Sector Analysis

This contract falls within the IT services sector, specifically supporting healthcare technology for the VA. Spending benchmarks for enterprise software maintenance and support vary widely based on vendor and scope.

Small Business Impact

The data indicates this contract was not set aside for small businesses, and the awardee, ALVAREZ LLC, is not explicitly identified as a small business in this context. Further analysis would be needed to determine the impact on small business participation.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard procurement regulations and contract management practices should ensure accountability and performance.

Related Government Programs

Other Computer Related Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for vendor lock-in.
Reliance on a single software provider.
Limited competition may impact price optimization.
Cybersecurity risks associated with software maintenance.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $22.3 million to ALVAREZ LLC. THE VA OFFICE OF INFORMATION AND TECHNOLOGY, SOFTWARE PRODUCT MANAGEMENT HAS A REQUIREMENT FOR IMPRIVATA CONTEXT MANAGEMENT SOFTWARE ANNUAL SUPPORT AND MAINTENANCE, ALONG WITH IMPRIVATA VAULT SERVER ANNUAL SUPPORT AND MAINTENANCE.

Who is the contractor on this award?

The obligated recipient is ALVAREZ 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 $22.3 million.

What is the period of performance?

Start: 2024-04-01. End: 2027-03-31.

What is the specific functionality and criticality of the Imprivata Context Management and Vault software within the VA's IT infrastructure?

The Imprivata Context Management and Vault software are crucial for secure access and identity management within the VA's network. They likely enable clinicians and staff to access patient data and systems efficiently and securely, playing a vital role in healthcare delivery and data protection.

What were the specific reasons for excluding other sources in the 'Full and Open Competition After Exclusion of Sources' award?

Excluding other sources typically occurs when only one or a limited number of vendors can meet highly specialized technical requirements, or when specific security certifications are mandated. The VA would need to justify that only Imprivata's proprietary solutions met the essential needs for this contract.

How does the annual cost of this support and maintenance compare to industry averages for similar enterprise software solutions?

Without specific details on the software versions, user counts, and included support levels, a precise comparison is difficult. However, $7.44M annually ($22.3M / 3 years) for enterprise-grade identity and access management software support is within a plausible range, though potentially on the higher side depending on the scope.

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: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 161 FORT EVANS RD NE STE 335, LEESBURG, VA, 20176

Business Categories: Category Business, HUBZone Firm, Limited Liability Corporation, 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: $29,784,588

Exercised Options: $22,338,441

Current Obligation: $22,338,441

Actual Outlays: $14,892,294

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD19B

IDV Type: GWAC

Timeline