VA awards $19.3M contract for IT services to Four Points Technology, LLC

Contract Overview

Contract Amount: $19,274,118 ($19.3M)

Contractor: Four Points Technology, L.L.C.

Awarding Agency: Department of Veterans Affairs

Start Date: 2020-10-01

End Date: 2025-12-31

Contract Duration: 1,917 days

Daily Burn Rate: $10.1K/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: VISN 1 PACS PROCUREMENT

Place of Performance

Location: JAMAICA PLAIN, SUFFOLK County, MASSACHUSETTS, 02130

State: Massachusetts Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $19.3 million to FOUR POINTS TECHNOLOGY, L.L.C. for work described as: VISN 1 PACS PROCUREMENT Key points: 1. Contract value of $19.3M over approximately 5 years. 2. Procurement method: Full and Open Competition after Exclusion of Sources. 3. Contract type: Firm Fixed Price. 4. Delivery Order awarded under an existing MAS contract. 5. Services fall under 'Other Computer Related Services' NAICS code. 6. Contract awarded to a single vendor, Four Points Technology, L.L.C.

Value Assessment

Rating: fair

The contract value of $19.3M over nearly five years averages to approximately $3.85M annually. Without specific benchmarks for VISN 1 PACS procurement or comparable IT services within the VA, a precise value-for-money assessment is challenging. The firm fixed-price structure provides cost certainty, but the absence of detailed performance metrics or comparison to similar contracts makes it difficult to definitively gauge if the pricing is competitive or represents excellent value. Further analysis would require understanding the scope of services and market rates for similar IT support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded under 'Full and Open Competition after Exclusion of Sources,' indicating that while competition was sought, certain sources may have been excluded prior to the solicitation. The specific reasons for exclusion are not detailed here. The award to a single vendor suggests that either only one offer was received, or Four Points Technology, L.L.C. was the only compliant and best-value offer. The limited nature of the competition, as implied by the award type, may have restricted price discovery.

Taxpayer Impact: The limited competition may have resulted in a higher price for taxpayers compared to a scenario with broader, unrestricted competition. Without more bidders, the government has less leverage to negotiate the lowest possible price.

Public Impact

Benefits the Veterans Health Administration (VISN 1) by providing essential IT services. Ensures the continued operation and support of critical IT systems for healthcare delivery. Geographic impact is primarily within VISN 1, serving facilities in Massachusetts. Supports the IT workforce through the services provided by Four Points Technology, L.L.C.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may have impacted price competitiveness.
Lack of detailed performance metrics makes value assessment difficult.
Specific reasons for 'Exclusion of Sources' are not provided.

Positive Signals

Firm Fixed Price contract provides cost predictability.
Awarded under an existing MAS contract, potentially streamlining the procurement process.
Services are critical for supporting VA healthcare IT infrastructure.

Sector Analysis

This contract falls within the Information Technology sector, specifically under 'Other Computer Related Services.' The IT services market is vast and highly competitive, with numerous vendors offering a wide range of solutions. Contracts like this, supporting federal agencies, are common. Benchmarking would require comparing the specific IT services procured against similar contracts awarded by other federal agencies or within the VA for comparable support levels and scopes.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The award to Four Points Technology, L.L.C. does not inherently benefit or disadvantage the small business ecosystem unless Four Points Technology itself engages in subcontracting with small businesses, which is not specified in this data.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Veterans Affairs contracting officers and program managers. As a delivery order under an existing MAS contract, the underlying contract likely has established oversight mechanisms. Transparency is facilitated by public contract databases, but detailed performance reviews and Inspector General jurisdiction would depend on specific VA policies and any identified issues.

Related Government Programs

VISN 1 IT Support Contracts
VA Healthcare IT Services
MAS IT Services
Federal IT Procurement

Risk Flags

Limited competition
Lack of detailed performance metrics
Potential for price inflation due to restricted competition

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $19.3 million to FOUR POINTS TECHNOLOGY, L.L.C.. VISN 1 PACS PROCUREMENT

Who is the contractor on this award?

The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..

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 $19.3 million.

What is the period of performance?

Start: 2020-10-01. End: 2025-12-31.

What is the specific scope of 'Other Computer Related Services' covered by this contract?

The provided data identifies the NAICS code as 541519, 'Other Computer Related Services.' This broad category can encompass a wide range of IT services beyond standard hardware or software sales, including IT consulting, system integration, IT support, and managed IT services. For this specific contract, the 'VISN 1 PACS PROCUREMENT' designation suggests the services are likely related to Picture Archiving and Communication Systems (PACS) within the Veterans Affairs VISN 1 network. This could include maintenance, support, upgrades, or related IT functions critical for the operation of these medical imaging systems. A detailed statement of work (SOW) would provide the precise definition of services.

How does the $19.3M contract value compare to similar IT service contracts within the VA or other federal agencies?

Directly comparing the $19.3M contract value without knowing the specific services, duration, and performance requirements is challenging. However, the contract spans nearly five years (October 2020 to December 2025), averaging approximately $3.85M annually. This annual figure is moderate for IT support contracts within large federal agencies like the VA, which often award multi-million dollar contracts for enterprise-wide IT solutions. Contracts for enterprise resource planning (ERP) systems, cybersecurity, or large-scale cloud migrations can run into hundreds of millions or even billions. This contract appears to be for a more focused IT service, likely supporting a specific system or region (VISN 1), making its value reasonable within that context, but not exceptionally large or small without further details.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided summary data does not include specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. These are typically detailed within the contract's Statement of Work (SOW) or Performance Work Statement (PWS). For a contract supporting critical IT systems like PACS, common KPIs might include system uptime percentages, response times for technical support requests, resolution times for reported issues, data backup and recovery success rates, and security compliance metrics. The absence of this information in the summary prevents a thorough assessment of the contractor's performance obligations and the government's ability to measure value received.

What is the track record of Four Points Technology, L.L.C. with the Department of Veterans Affairs?

Four Points Technology, L.L.C. has a history of receiving contracts from the Department of Veterans Affairs. This specific contract, valued at $19.3M and running from October 2020 to December 2025, indicates an ongoing relationship. Publicly available contract databases often show a pattern of awards to established vendors like Four Points Technology for IT products and services. Their ability to secure this delivery order under a competitive process suggests a satisfactory performance history and alignment with VA procurement requirements. Further investigation into their past performance ratings and other VA awards would provide a more comprehensive view of their track record.

What is the significance of the contract being a 'Delivery Order' under an existing MAS contract?

A 'Delivery Order' under a Multiple Award Schedule (MAS) contract, such as this one awarded under the General Services Administration (GSA) MAS program (implied by the contract type and vendor), signifies a streamlined procurement process. Instead of conducting a full, standalone competition for these specific services, the VA is exercising an option or placing an order against a pre-competed contract vehicle held by Four Points Technology. MAS contracts are designed to provide agencies with rapid access to commercial items and services at pre-negotiated prices. This method can reduce administrative burden and lead times, but the initial competition for the MAS contract itself is crucial for ensuring overall value.

What are the potential risks associated with a 'Full and Open Competition after Exclusion of Sources' award?

The 'Full and Open Competition after Exclusion of Sources' designation presents a nuanced risk profile. While it implies that the solicitation was open to all responsible sources, the 'exclusion of sources' clause indicates that certain potential offerors were deliberately excluded from the outset, often due to specific requirements or pre-qualification criteria. The risk lies in whether this exclusion was justified and did not unduly limit competition. If the exclusion criteria were overly restrictive or not clearly articulated, it could lead to a less competitive environment, potentially higher prices, and a missed opportunity to engage with innovative or cost-effective vendors. Transparency regarding the reasons for exclusion is key to mitigating this risk.

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 › ADP AND TELECOMMUNICATIONS

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: 13221 WOODLAND PARK RD, HERNDON, VA, 20171

Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $19,274,118

Exercised Options: $19,274,118

Current Obligation: $19,274,118

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD22B

IDV Type: GWAC

Timeline