VA awards $3.67M contract for perioperative software support to Minburn Technology Group

Contract Overview

Contract Amount: $3,673,164 ($3.7M)

Contractor: Minburn Technology Group, 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: $3.4K/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: DSS PERIOPERATIVE SOFTWARE SYSTEM SUPPORT

Place of Performance

Location: NASHVILLE, DAVIDSON County, TENNESSEE, 37212

State: Tennessee Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $3.7 million to MINBURN TECHNOLOGY GROUP, LLC for work described as: DSS PERIOPERATIVE SOFTWARE SYSTEM SUPPORT Key points: 1. Contract value appears reasonable for specialized IT support services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. Contract duration of nearly three years indicates a need for sustained support. 4. The award is for a specific software system, implying a focused scope. 5. Performance is in Tennessee, potentially impacting regional IT workforce. 6. Fixed-price contract type helps manage cost certainty for the government.

Value Assessment

Rating: good

The contract value of $3.67 million over approximately three years for specialized IT support for a perioperative software system seems within a reasonable range for this type of service. Benchmarking against similar IT support contracts for healthcare systems would provide a more precise value-for-money assessment. The firm fixed-price structure offers cost predictability. Without specific details on the software's complexity or the level of support required, a definitive value assessment is challenging, but the award amount does not immediately suggest overpricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that the agency initially considered excluding certain sources but ultimately opened the competition. This suggests that multiple vendors had the opportunity to bid. The presence of full and open competition generally promotes price discovery and allows the government to select the best value offer. The number of bidders is not specified, which would provide further insight into the intensity of the competition.

Taxpayer Impact: The use of full and open competition is beneficial for taxpayers as it fosters a competitive environment, which typically leads to more favorable pricing and better quality services.

Public Impact

The Department of Veterans Affairs (VA) will benefit from sustained support for its perioperative software system. This contract ensures the continued functionality and maintenance of critical software used in surgical and patient care settings. The primary beneficiaries are VA medical facilities and the healthcare professionals who rely on this system for patient management. The geographic impact is primarily within the VA healthcare system, with performance located in Tennessee. The contract supports IT professionals involved in software maintenance and support.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the software's criticality and potential impact of service disruption.
Limited information on the number of bidders and the competitive landscape.
The 'after exclusion of sources' clause warrants further investigation into the initial exclusion rationale.
Potential for vendor lock-in if this is a proprietary system requiring specialized knowledge.

Positive Signals

Full and open competition was utilized, indicating a broad search for qualified vendors.
Firm fixed-price contract type provides cost certainty.
The contract duration suggests a stable, long-term need for the service.
Award to a single vendor (Minburn Technology Group, LLC) may indicate specialized expertise.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on software support services for a healthcare application. The market for specialized healthcare IT support is significant, driven by the increasing digitization of medical records and operational systems. Comparable spending benchmarks would involve analyzing IT support contracts for Electronic Health Records (EHR) or other critical clinical software systems within government and private healthcare organizations. The size of this contract is moderate within the broader IT services market.

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 or specific benefits for small businesses stemming from a set-aside provision. The award to Minburn Technology Group, LLC, a single entity, does not provide information on whether they are a small or large business, nor does it detail their subcontracting plans. Analysis of the prime contractor's size and their utilization of small business subcontractors would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of Veterans Affairs responsible for the perioperative software system. Accountability measures are embedded in the firm fixed-price contract terms, requiring delivery of specified services. Transparency is facilitated by the contract award notice, which provides basic details. The Inspector General's office within the VA may conduct audits or investigations if concerns regarding performance, cost, or compliance arise.

Related Government Programs

VA Electronic Health Record (EHR) Modernization
Healthcare IT Support Services
Clinical Software Maintenance Contracts
Department of Defense Health IT Programs

Risk Flags

Potential for limited competition if initial exclusion rationale was overly restrictive.
Lack of detailed performance metrics in public award data.
Dependence on a single vendor for critical software support.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $3.7 million to MINBURN TECHNOLOGY GROUP, LLC. DSS PERIOPERATIVE SOFTWARE SYSTEM SUPPORT

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 $3.7 million.

What is the period of performance?

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

What is the specific perioperative software system being supported, and what is its criticality to VA operations?

The specific perioperative software system is identified as 'DSS PERIOPERATIVE SOFTWARE SYSTEM SUPPORT.' While the exact name suggests its function in managing surgical scheduling, patient flow, and related administrative tasks within operating rooms, its criticality is not explicitly detailed in the provided data. However, given its role in perioperative care, it is likely a mission-critical system for the VA, directly impacting patient safety, surgical efficiency, and resource allocation. Disruptions or performance issues with such a system could lead to delays in procedures, increased administrative burden, and potential patient care complications. Further analysis would require examining VA operational documentation or system inventories to ascertain its precise role and impact.

How does the awarded price of $3.67 million compare to similar IT support contracts for healthcare software within the federal government?

Comparing the $3.67 million contract value requires access to a broader dataset of federal IT support contracts, particularly those for specialized healthcare software. Without direct comparable data, a precise benchmark is difficult. However, for a nearly three-year contract supporting a specific system, this amount appears moderate. Contracts for comprehensive Electronic Health Record (EHR) systems or broader IT infrastructure support often run into hundreds of millions or billions of dollars. This contract's value suggests a more focused scope, likely covering maintenance, updates, and technical support for a particular module or application rather than an entire system overhaul. A detailed value-for-money assessment would necessitate comparing the scope of work, service level agreements, and pricing structures of similar, smaller-scale IT support contracts within the VA or other federal health agencies.

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

The provided data does not specify the Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, for IT support services, KPIs and SLAs would define expectations for system uptime, response times for technical issues, resolution times for critical bugs, and performance metrics for software updates. These metrics are crucial for ensuring the contractor, Minburn Technology Group, LLC, meets the VA's operational needs effectively. The firm fixed-price nature of the contract implies that the contractor is responsible for meeting these defined performance standards to receive full payment. A thorough review of the contract's statement of work (SOW) and associated performance clauses would be necessary to identify these specific requirements and how performance is measured and enforced.

What is the track record of Minburn Technology Group, LLC in supporting similar federal IT contracts, particularly within the healthcare sector?

Information regarding the specific track record of Minburn Technology Group, LLC in supporting similar federal IT contracts, especially within the healthcare sector, is not detailed in the provided data. To assess their capability and past performance, one would need to consult federal procurement databases (like SAM.gov or FPDS) for previous awards and performance evaluations to Minburn Technology Group, LLC. Key areas to investigate would include their experience with perioperative systems, their success in meeting performance metrics on prior contracts, and any history of contract disputes or performance issues. A positive track record in similar engagements would increase confidence in their ability to successfully execute this current contract for the VA.

What is the potential risk associated with the 'Full and Open Competition After Exclusion of Sources' designation?

The designation 'Full and Open Competition After Exclusion of Sources' suggests an initial intent to limit the pool of potential bidders, perhaps due to perceived specialized requirements or existing relationships. However, the subsequent decision to open it fully indicates a recognition that broader competition was feasible or desirable. The primary risk associated with this designation is the potential for a less competitive outcome if the initial exclusion criteria were overly restrictive or if the market for such specialized services is inherently limited. It could also imply that the agency explored other options before committing to full competition. Understanding the rationale behind the initial exclusion is key to assessing whether the final competition truly maximized value and minimized risk for the government. Without knowing what sources were initially excluded and why, it's difficult to fully gauge the 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 › IT AND TELECOM - PLATFORM

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: $6,431,067

Exercised Options: $3,673,164

Current Obligation: $3,673,164

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: NNG15SD34B

IDV Type: GWAC

Timeline