VA awards $2.3M for network traffic generators, with delivery orders expected over 3 years

Contract Overview

Contract Amount: $2,299,632 ($2.3M)

Contractor: Metgreen Solutions Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2024-04-19

End Date: 2027-04-18

Contract Duration: 1,094 days

Daily Burn Rate: $2.1K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IXIA TRAFFIC GENERATOR

Place of Performance

Location: EATONTOWN, MONMOUTH County, NEW JERSEY, 07724

State: New Jersey Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $2.3 million to METGREEN SOLUTIONS INC for work described as: IXIA TRAFFIC GENERATOR Key points: 1. Contract value appears reasonable for specialized network testing equipment. 2. Full and open competition suggests a competitive bidding process. 3. Potential risk indicators include the duration of the contract and the specific nature of the equipment. 4. Performance context is within IT infrastructure support for the VA. 5. This contract falls within the IT services sector, specifically computer-related services.

Value Assessment

Rating: good

The contract value of $2.3 million for network traffic generators seems within a reasonable range for specialized IT equipment. Benchmarking against similar procurements for network testing solutions would provide a clearer picture of value for money. The firm-fixed-price structure helps control costs for the government. However, without specific details on the exact model and capabilities of the IXIA Traffic Generator, a precise value comparison is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while sources were initially excluded, the final award was made through a broad competitive process. The number of bidders is not specified, but the 'full and open' designation generally implies a robust competition, which should lead to better price discovery and potentially lower costs for the government.

Taxpayer Impact: A competitive award process helps ensure taxpayer dollars are used efficiently by driving down prices through market forces.

Public Impact

Benefits the Department of Veterans Affairs (VA) by providing essential network testing equipment. Services delivered include the provision of IXIA Traffic Generators, crucial for network performance and security testing. Geographic impact is primarily within New Jersey, where the contractor is located, but the equipment supports VA operations nationwide. Workforce implications are likely minimal, primarily affecting IT specialists within the VA responsible for network management and testing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the specific IXIA equipment requires proprietary software or support.
Reliance on a single product line may limit future flexibility if technology evolves rapidly.
The duration of the contract (nearly 3 years) could lead to obsolescence if not managed carefully.

Positive Signals

Awarded through full and open competition, suggesting a fair market price was likely achieved.
Firm-fixed-price contract type provides cost certainty for the VA.
The contractor, METGREEN SOLUTIONS INC, is likely experienced in providing IT solutions.

Sector Analysis

The IT services sector is vast, with significant government spending on network infrastructure and cybersecurity. This contract for network traffic generators fits within the broader category of IT hardware and services, essential for maintaining robust and secure communication networks. Comparable spending benchmarks for network testing equipment can vary widely based on specific features and capabilities, but government agencies frequently procure such tools to ensure network integrity and performance.

Small Business Impact

The contract data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this particular award. Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from this contract's structure. The focus appears to be on obtaining the required equipment through the most competitive means available.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Veterans Affairs' contracting and procurement offices. Accountability measures are inherent in the firm-fixed-price contract type, requiring the contractor to deliver the specified goods. Transparency is generally maintained through contract databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Network Infrastructure Procurement
IT Hardware and Software
Cybersecurity Equipment
Department of Veterans Affairs IT Modernization

Risk Flags

Low number of bidders (2) despite full and open competition.
Potential for technological obsolescence given the contract duration.
Lack of specific model details makes value assessment difficult.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $2.3 million to METGREEN SOLUTIONS INC. IXIA TRAFFIC GENERATOR

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 $2.3 million.

What is the period of performance?

Start: 2024-04-19. End: 2027-04-18.

What specific models of IXIA Traffic Generators are being procured under this contract, and what are their key technical specifications?

The provided data does not specify the exact models of IXIA Traffic Generators. The contract identifies the item as 'IXIA TRAFFIC GENERATOR' and lists the NAICS code as '541519' (Other Computer Related Services). To determine the specific models and their technical specifications, one would need to consult the detailed contract award documents, including the Statement of Work (SOW) or the delivery order details. These documents would outline the required capabilities, performance metrics, and potentially the specific product SKUs or configurations necessary for the VA's network testing needs. Without this granular information, it's impossible to assess the suitability and technical adequacy of the procured equipment.

How does the $2.3 million total award amount compare to historical spending on similar network testing equipment by the VA or other federal agencies?

Comparing the $2.3 million award to historical spending requires access to comprehensive contract databases and filtering for similar equipment (e.g., network traffic generators, network performance testing tools) procured by the VA or other agencies over a relevant period. The provided data indicates this is a Delivery Order (aw: DELIVERY ORDER) with a total value of $2,299,632 (a: 2299632) and a duration of 1094 days (dur: 1094), approximately 3 years. Without specific historical data points for comparable items, it's difficult to definitively benchmark this value. However, the 'full and open competition' (ct: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES) suggests a competitive market, which generally leads to prices aligned with market rates. Further analysis would involve searching for contracts with similar equipment descriptions, NAICS codes (541519), and agencies over the past 3-5 years.

What are the primary risks associated with this contract, considering the equipment type and contract duration?

The primary risks associated with this contract include technological obsolescence and potential vendor lock-in. Network traffic generation technology can evolve rapidly, and a contract spanning nearly three years (1094 days) might result in the VA acquiring equipment that becomes outdated before the contract's end date. Furthermore, if the IXIA Traffic Generators rely on proprietary software, specific maintenance agreements, or specialized training, the VA could face vendor lock-in, limiting its ability to switch to alternative solutions or negotiate favorable terms in the future. The firm-fixed-price nature mitigates cost overrun risks but does not eliminate the risk of acquiring suboptimal or outdated technology if market shifts are significant during the contract period.

What is the track record of METGREEN SOLUTIONS INC in fulfilling federal contracts, particularly for IT hardware and services?

The provided data identifies METGREEN SOLUTIONS INC (co: METGREEN SOLUTIONS INC) as the contractor for this award. To assess their track record, one would need to examine their past performance on federal contracts. This involves searching contract databases (like FPDS or SAM.gov) for previous awards to METGREEN SOLUTIONS INC, noting the types of goods or services provided, the agencies involved, contract values, and performance ratings if available. A review of their history could reveal patterns in successful contract completion, on-time delivery, adherence to budget, and overall customer satisfaction. Without this specific historical data, it's challenging to provide a detailed assessment of their track record beyond their current award.

How does the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' procurement method impact the overall value and competition dynamics for this contract?

The procurement method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' (ct: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES) suggests an initial phase where certain sources might have been considered or excluded, followed by a broader competitive solicitation. This approach can be used for various reasons, such as ensuring specific technical requirements are met or addressing national security concerns. While the 'exclusion of sources' part might raise initial questions about the breadth of competition, the subsequent 'full and open' phase implies that the solicitation was ultimately open to all responsible sources capable of meeting the requirements. This should still foster significant price competition. The number of bidders (no: 2) is relatively low, which could indicate limited market interest or a highly specialized requirement. A low number of bidders, even under full and open competition, can sometimes reduce the downward pressure on prices compared to a scenario with numerous competing offers.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: IT AND TELECOM - DATA CENTER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 36C10B24Q0229

Offers Received: 2

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: $2,811,683

Exercised Options: $2,299,632

Current Obligation: $2,299,632

Actual Outlays: $2,053,684

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD37B

IDV Type: GWAC

Timeline