Agriculture's IT Maintenance Contract with Vistronix Exceeds $14.4M, Awarded via Full and Open Competition

Contract Overview

Contract Amount: $14,406,903 ($14.4M)

Contractor: Vistronix, LLC

Awarding Agency: Department of Agriculture

Start Date: 2007-11-06

End Date: 2008-12-30

Contract Duration: 420 days

Daily Burn Rate: $34.3K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 1

Pricing Type: FIXED PRICE

Sector: IT

Official Description: SUPPORT SERVICES FOR IT SYSTEMS MAINTENANCE OF NRCS BUSINESS APPLICATIONS THROUGH CURRENT CONTINUING RESOLUTION. WAIVER #1510. NRCS IA #08-0166. TECHNICAL CONTACT: KEN HARWARD

Place of Performance

Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Agriculture obligated $14.4 million to VISTRONIX, LLC for work described as: SUPPORT SERVICES FOR IT SYSTEMS MAINTENANCE OF NRCS BUSINESS APPLICATIONS THROUGH CURRENT CONTINUING RESOLUTION. WAIVER #1510. NRCS IA #08-0166. TECHNICAL CONTACT: KEN HARWARD Key points: 1. The contract focuses on IT systems maintenance for USDA's NRCS business applications. 2. Vistronix, LLC is the sole awardee, with the contract valued at over $14.4 million. 3. Awarded under Full and Open Competition after Exclusion of Sources, indicating a competitive process. 4. The sector is primarily IT services, specifically Other Computer Related Services.

Value Assessment

Rating: good

The contract value of $14.4 million for IT systems maintenance appears reasonable given the duration and scope. Benchmarking against similar IT maintenance contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through 'Full and Open Competition after Exclusion of Sources,' suggesting a competitive process was initiated, though specific details on source exclusion are not provided. This method generally promotes price discovery.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential IT maintenance services.

Public Impact

Ensures continuity of critical NRCS business applications, supporting agricultural operations. Supports federal IT infrastructure and the maintenance of essential government services. The contract value contributes to the IT services sector economy.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on 'Exclusion of Sources' in the competition.
Contract duration extends into the next fiscal year, potentially subject to appropriations.

Positive Signals

Awarded through a competitive process.
Supports critical government IT infrastructure.

Sector Analysis

This contract falls within the IT services sector, specifically 'Other Computer Related Services.' Spending in this area is substantial across federal agencies for maintaining legacy and modern systems.

Small Business Impact

The data indicates the awardee is Vistronix, LLC. There is no explicit information provided regarding small business participation or subcontracting goals within this specific contract award.

Oversight & Accountability

The contract is managed by the Department of Agriculture, Office of the Chief Financial Officer. Oversight would involve monitoring performance, adherence to terms, and financial accountability throughout the contract period.

Related Government Programs

Other Computer Related Services
Department of Agriculture Contracting
Office of the Chief Financial Officer Programs

Risk Flags

Potential for limited competition due to 'Exclusion of Sources'.
Contract duration extends beyond the current fiscal year.
Lack of transparency on specific performance metrics.
No clear indication of small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $14.4 million to VISTRONIX, LLC. SUPPORT SERVICES FOR IT SYSTEMS MAINTENANCE OF NRCS BUSINESS APPLICATIONS THROUGH CURRENT CONTINUING RESOLUTION. WAIVER #1510. NRCS IA #08-0166. TECHNICAL CONTACT: KEN HARWARD

Who is the contractor on this award?

The obligated recipient is VISTRONIX, LLC.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).

What is the total obligated amount?

The obligated amount is $14.4 million.

What is the period of performance?

Start: 2007-11-06. End: 2008-12-30.

What is the specific nature of the 'Exclusion of Sources' in the competition method, and how did it impact the final price?

The 'Exclusion of Sources' clause within 'Full and Open Competition' suggests that while the competition was broadly open, certain potential sources may have been excluded based on specific criteria or requirements. The exact reasons for exclusion are not detailed in the provided data. This could potentially limit the competitive landscape, but if the exclusions were justified by unique capabilities or security needs, it might still lead to a fair price. Further investigation into the waiver and justification would be needed to fully assess the price impact.

How does the $14.4 million cost compare to industry benchmarks for similar IT system maintenance contracts of this duration?

Without specific details on the scope of 'IT systems maintenance' and the complexity of the NRCS business applications, a precise benchmark is difficult. However, for a contract spanning approximately 14 months (Nov 2007 - Dec 2008) with a value over $14 million, the average annual cost is roughly $12 million. This figure needs to be compared against industry data for comparable government IT maintenance contracts, considering factors like service level agreements, software licenses, and personnel costs.

What are the key performance indicators (KPIs) for this contract, and how is Vistronix, LLC's performance being measured?

The provided data does not include specific Key Performance Indicators (KPIs) or details on how Vistronix, LLC's performance is being measured. Typically, IT maintenance contracts include metrics related to system uptime, response times for issue resolution, security compliance, and adherence to service level agreements. The contracting officer and technical point of contact would be responsible for monitoring these aspects to ensure the government receives the contracted services effectively.

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: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 8401 GREENSBORO DR # 500, MC LEAN, VA, 22102

Business Categories: Category Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Indian (Subcontinent) American Owned Business

Financial Breakdown

Contract Ceiling: $14,406,903

Exercised Options: $14,406,903

Current Obligation: $14,406,903

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: AG3144C070017

IDV Type: IDC

Timeline