VA Awards $5M Supply Chain AI Tool Contract to Minburn Technology Group
Contract Overview
Contract Amount: $4,999,999 ($5.0M)
Contractor: Minburn Technology Group, LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2026-04-08
End Date: 2027-04-07
Contract Duration: 364 days
Daily Burn Rate: $13.7K/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: SUPPLY CHAIN AI RISK ANALYSIS TOOL
Place of Performance
Location: FREDERICK, FREDERICK County, MARYLAND, 21703
State: Maryland Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $5.0 million to MINBURN TECHNOLOGY GROUP, LLC for work described as: SUPPLY CHAIN AI RISK ANALYSIS TOOL Key points: 1. Contract value of $4,999,999 for a Supply Chain AI Risk Analysis Tool. 2. Competition was Full and Open after exclusion of sources, suggesting some prior limitations. 3. Risk of vendor lock-in or limited innovation due to specific source exclusion. 4. Sector is IT services, specifically 'Other Computer Related Services'.
Value Assessment
Rating: fair
The contract value of $5M for a specialized AI tool appears reasonable given the niche application. Benchmarking against similar AI development contracts is difficult without more specific scope details.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The 'Full and Open Competition after Exclusion of Sources' indicates a deviation from standard full and open competition. This method may have limited the pool of potential bidders, potentially impacting price discovery and overall value.
Taxpayer Impact: Taxpayer funds are being used for a specialized IT solution. The limited competition raises questions about whether the best possible price was achieved.
Public Impact
Enhances VA's supply chain resilience through AI-driven risk analysis. Potential for improved efficiency and cost savings in VA logistics. Focus on AI technology signals modernization efforts within the VA.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition raises concerns about optimal pricing.
- Specific nature of AI tool may limit broader applicability or future vendor options.
Positive Signals
- Addresses critical supply chain risk management.
- Utilizes advanced AI technology for improved decision-making.
Sector Analysis
This contract falls within the IT services sector, specifically 'Other Computer Related Services'. Spending in this area is high across government, with AI and data analytics being key growth areas.
Small Business Impact
The contract does not indicate any specific set-asides for small businesses. The prime contractor, Minburn Technology Group, LLC, is listed as a small business, which is a positive signal.
Oversight & Accountability
The contract is a delivery order under a larger contract, implying some level of pre-qualification. Further oversight will be needed to ensure performance and adherence to the fixed-price terms.
Related Government Programs
- Other Computer Related Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition
- Potential for vendor lock-in
- Lack of detailed performance metrics in provided data
- Unclear justification for source exclusion
Tags
other-computer-related-services, department-of-veterans-affairs, md, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $5.0 million to MINBURN TECHNOLOGY GROUP, LLC. SUPPLY CHAIN AI RISK ANALYSIS TOOL
Who is the contractor on this award?
The obligated recipient is MINBURN TECHNOLOGY GROUP, 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 $5.0 million.
What is the period of performance?
Start: 2026-04-08. End: 2027-04-07.
What specific AI capabilities are included in the risk analysis tool, and how do they compare to industry standards?
The provided data does not detail the specific AI capabilities. A comprehensive analysis would require reviewing the Statement of Work (SOW) to understand the algorithms, data sources, and analytical functions. Benchmarking against industry standards would involve comparing these features to commercially available or government-developed AI risk assessment platforms.
What was the justification for excluding other sources, and what impact did this have on the final price?
The justification for excluding other sources is not provided in the data. Typically, such exclusions are based on factors like unique capabilities, prior performance, or specific technical requirements. Without this justification, it's difficult to assess if the exclusion was warranted or if it led to a higher price than could have been achieved through broader competition.
How will the effectiveness of the AI tool in mitigating supply chain risks be measured and validated by the VA?
The effectiveness measurement strategy is not detailed. The VA should establish clear Key Performance Indicators (KPIs) tied to risk reduction, improved response times, or cost savings directly attributable to the tool. Regular performance reviews and independent validation will be crucial to ensure the AI tool delivers tangible benefits.
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: 9716 ARNON CHAPEL RD, GREAT FALLS, VA, 22066
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $4,999,999
Exercised Options: $4,999,999
Current Obligation: $4,999,999
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD34B
IDV Type: GWAC
Timeline
Start Date: 2026-04-08
Current End Date: 2027-04-07
Potential End Date: 2027-04-07 00:00:00
Last Modified: 2026-04-07
More Contracts from Minburn Technology Group, LLC
- Microsoft Licenses — $356.0M (Department of State)
- Ussocom Microsoft Enterprise Agreement for Microsoft License Software Assurance and NEW Licenses — $284.6M (Department of Defense)
- FY23 Usda Ocio Enterprise Solutions POP: 10/1/2022 - 9/30/2023 — $234.7M (Department of Agriculture)
- VA Endpoints - Base Award With Options Exercised AT Award — $229.0M (Department of Veterans Affairs)
- Microsoft Software Licenses and Support (task Order 00004) — $173.0M (Department of the Treasury)
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.)