VA Awards $5.1M VISAGE 7 License to Blue Tech Inc. for VISN 23
Contract Overview
Contract Amount: $5,122,235 ($5.1M)
Contractor: Blue Tech Inc.
Awarding Agency: Department of Veterans Affairs
Start Date: 2024-02-01
End Date: 2027-01-31
Contract Duration: 1,095 days
Daily Burn Rate: $4.7K/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: VISAGE 7 OPEN ARCHIVE LICENSING FOR VISN 23
Place of Performance
Location: SAINT PAUL, DAKOTA County, MINNESOTA, 55121
Plain-Language Summary
Department of Veterans Affairs obligated $5.1 million to BLUE TECH INC. for work described as: VISAGE 7 OPEN ARCHIVE LICENSING FOR VISN 23 Key points: 1. Contract awarded to Blue Tech Inc. for VISAGE 7 software licensing. 2. The contract is for VISN 23, indicating a regional focus within the VA. 3. The total value is $5.12 million over a 3-year period. 4. NAICS code 541519 suggests services related to computer systems design and related services.
Value Assessment
Rating: fair
The contract value of $5.12 million for a 3-year software license appears reasonable given the specialized nature of enterprise software. Benchmarking against similar large-scale software procurements would provide a clearer picture of value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' suggesting a prior limited competition or a specific justification for excluding other sources. This method may limit price discovery and potentially lead to higher costs.
Taxpayer Impact: Taxpayers may be impacted by potentially higher costs due to limited competition, though the specific impact is difficult to quantify without further data.
Public Impact
Veterans in VISN 23 may benefit from improved IT infrastructure and services enabled by this software. The contract supports a specific technology (VISAGE 7) which could streamline VA operations. This award highlights the VA's ongoing investment in modernizing its IT systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition raises concerns about potential overpricing.
- Lack of detailed justification for source exclusion requires scrutiny.
Positive Signals
- Supports critical VA operations in VISN 23.
- Firm fixed price contract provides cost certainty.
Sector Analysis
The IT services sector, particularly software licensing for government agencies, is highly competitive but often involves specialized solutions. Benchmarks for similar enterprise software licenses can vary widely based on features and user base.
Small Business Impact
There is no indication that small businesses were involved in this specific contract award. Further analysis would be needed to determine if subcontracting opportunities were offered or pursued.
Oversight & Accountability
The award was made by the Department of Veterans Affairs, indicating internal oversight. The 'after exclusion of sources' clause warrants closer examination by oversight bodies to ensure fair and competitive practices.
Related Government Programs
- Other Computer Related Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Limited competition may lead to inflated pricing.
- Lack of transparency regarding source exclusion.
- Potential for vendor lock-in with specialized software.
- Need for clear performance metrics to ensure value.
Tags
other-computer-related-services, department-of-veterans-affairs, mn, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $5.1 million to BLUE TECH INC.. VISAGE 7 OPEN ARCHIVE LICENSING FOR VISN 23
Who is the contractor on this award?
The obligated recipient is BLUE TECH 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 $5.1 million.
What is the period of performance?
Start: 2024-02-01. End: 2027-01-31.
What was the specific justification for excluding other sources in this full and open competition?
The justification for excluding other sources is critical for understanding the procurement's integrity. Without this information, it's difficult to assess if the limited competition was warranted due to unique capabilities or if it restricted market access unnecessarily, potentially impacting the final price and overall value for the government.
How does the per-unit cost of VISAGE 7 licensing compare to similar enterprise software solutions in the federal market?
Benchmarking the per-unit cost against comparable enterprise software licenses is essential for evaluating value. If VISAGE 7 licensing is significantly higher than alternatives with similar functionalities, it could indicate an unfavorable pricing agreement or a lack of effective price negotiation during the limited competition phase.
What are the expected performance improvements or efficiencies gained from this VISAGE 7 licensing for VISN 23 operations?
Quantifying the expected performance improvements and efficiencies is key to assessing the contract's effectiveness. Understanding the tangible benefits, such as improved data management, enhanced user experience, or streamlined workflows, will help determine if the $5.12 million investment yields a commensurate return in operational effectiveness for VISN 23.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT
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: 4025 HANCOCK ST. STE. 100, SAN DIEGO, CA, 92110
Business Categories: Category Business, Corporate Entity Not Tax Exempt, HUBZone Firm, Manufacturer of Goods, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business
Financial Breakdown
Contract Ceiling: $6,501,225
Exercised Options: $5,122,235
Current Obligation: $5,122,235
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: NNG15SD00B
IDV Type: GWAC
Timeline
Start Date: 2024-02-01
Current End Date: 2027-01-31
Potential End Date: 2029-01-31 00:00:00
Last Modified: 2026-01-21
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