VA Awards $22.18M for VHA FIS Support Services to IT Concepts, Inc
Contract Overview
Contract Amount: $22,175,126 ($22.2M)
Contractor: IT Concepts, Inc.
Awarding Agency: Department of Veterans Affairs
Start Date: 2023-09-24
End Date: 2025-09-19
Contract Duration: 726 days
Daily Burn Rate: $30.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: VHA FIS SUPPORT SERVICES
Place of Performance
Location: VIENNA, FAIRFAX County, VIRGINIA, 22182
State: Virginia Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $22.2 million to IT CONCEPTS, INC. for work described as: VHA FIS SUPPORT SERVICES Key points: 1. Contract awarded to IT Concepts, Inc. for $22.18 million. 2. Service category is Computer Systems Design Services (NAICS 541512). 3. Contract type is Firm Fixed Price with a Delivery Order. 4. Competition was Full and Open, indicating broad market engagement. 5. Contract duration is 726 days, ending September 19, 2025.
Value Assessment
Rating: good
The award of $22.18 million for FIS Support Services appears reasonable given the scope and duration. Benchmarking against similar IT support contracts would provide further validation, but the firm fixed price structure suggests a degree of cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value offering.
Taxpayer Impact: The use of full and open competition is a positive indicator for taxpayer value, as it encourages a competitive bidding process that can lead to more favorable pricing.
Public Impact
Ensures continued IT support for the Veterans Health Administration (VHA). Supports critical systems for veteran healthcare delivery. Potential impact on veteran access to services if support falters.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep in long-term IT support contracts.
- Reliance on a single vendor for critical IT functions.
- Ensuring adequate performance metrics are met throughout the contract.
Positive Signals
- Awarded through full and open competition.
- Firm Fixed Price contract provides cost predictability.
- Supports a vital government function (VHA).
Sector Analysis
This contract falls within the IT services sector, specifically computer systems design. Spending in this area is substantial across government, supporting everything from administrative functions to mission-critical operations. Benchmarks for similar services vary widely based on complexity and duration.
Small Business Impact
While the contract was awarded through full and open competition, there is no specific indication of small business participation in this award. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.
Oversight & Accountability
The Department of Veterans Affairs is responsible for oversight of this contract. Standard procurement regulations and contract management practices should be in place to ensure performance and accountability.
Related Government Programs
- Computer Systems Design Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Contract duration is significant (726 days).
- Potential for vendor lock-in.
- Reliance on a single vendor for critical IT support.
- Need for ongoing performance monitoring.
Tags
computer-systems-design-services, department-of-veterans-affairs, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $22.2 million to IT CONCEPTS, INC.. VHA FIS SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is IT CONCEPTS, 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 $22.2 million.
What is the period of performance?
Start: 2023-09-24. End: 2025-09-19.
What specific FIS support services are included in this contract?
The contract specifies 'Computer Systems Design Services' (NAICS 541512). This typically encompasses a range of activities such as designing, developing, and implementing IT infrastructure, software solutions, and related consulting. Detailed service level agreements and performance work statements would further define the exact scope of support provided to the VHA.
What are the primary risks associated with this contract?
Key risks include potential vendor lock-in, over-reliance on a single provider for critical IT functions, and the possibility of cost overruns if the scope of work expands beyond initial projections. Ensuring robust contract management and performance monitoring by the VA is crucial to mitigate these risks and maintain service continuity.
How does this contract contribute to the VA's overall mission effectiveness?
This contract is vital for maintaining the operational integrity of the Veterans Health Administration's Financial Information System (FIS) and related IT infrastructure. Reliable FIS support directly impacts the VA's ability to manage resources, process payments, and ultimately deliver healthcare services efficiently to veterans.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1600 SPRING HILL RD STE 305, VIENNA, VA, 22182
Business Categories: 8(a) Program Participant, Category Business, Corporate Entity Not Tax Exempt, Minority Owned Business, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, Indian (Subcontinent) American Owned Business, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $22,175,126
Exercised Options: $22,175,126
Current Obligation: $22,175,126
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: GS35F0441Y
IDV Type: FSS
Timeline
Start Date: 2023-09-24
Current End Date: 2025-09-19
Potential End Date: 2025-09-19 00:00:00
Last Modified: 2025-09-12
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