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

State: Minnesota Government Spending

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

Positive Signals

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

Risk Flags

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 ServicesComputer Systems Design and Related ServicesOther Computer Related Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTMAINT, 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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