VA's $21.6M VetsNet IT Contract Awarded to Leidos SMS Inc. Under Full and Open Competition

Contract Overview

Contract Amount: $21,664,956 ($21.7M)

Contractor: Leidos SMS Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2011-07-18

End Date: 2014-08-30

Contract Duration: 1,139 days

Daily Burn Rate: $19.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY (T4) TASK ORDER FOR VETERANS SERVICE NETWORK (VETSNET) ENHANCEMENTS AND MAINTENANCE.

Place of Performance

Location: SYRACUSE, ONONDAGA County, NEW YORK, 13212, UNITED STATES OF AMERICA

State: New York Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $21.7 million to LEIDOS SMS INC for work described as: TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY (T4) TASK ORDER FOR VETERANS SERVICE NETWORK (VETSNET) ENHANCEMENTS AND MAINTENANCE. Key points: 1. The contract focuses on IT services for the Veterans Service Network, indicating a need for robust technological infrastructure. 2. Leidos SMS Inc. secured the award, suggesting strong capabilities in computer systems design. 3. The award was made under full and open competition, implying a competitive bidding process. 4. The contract duration of 1139 days suggests a significant, ongoing need for these services.

Value Assessment

Rating: fair

The contract was awarded using a Time and Materials pricing structure. While common for IT services, this can sometimes lead to cost overruns if not closely managed, making direct price comparison difficult without detailed task breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, which generally promotes competitive pricing and allows for a wide range of potential bidders to participate. This method aims to ensure the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests that taxpayer funds were likely used efficiently, with pricing determined through a market-driven process.

Public Impact

Enhancements to the Veterans Service Network (VetsNet) are crucial for improving services delivered to veterans. Reliable IT infrastructure is essential for the efficient operation of veteran support programs. The contract's focus on maintenance ensures the continued functionality of critical veteran-facing systems. The use of IT services highlights the increasing reliance on technology in government operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost uncertainty.
Contract duration is substantial, requiring ongoing monitoring.

Positive Signals

Awarded under full and open competition.
Focus on critical veteran services.

Sector Analysis

This contract falls within the IT sector, specifically computer systems design services. Spending in this area is substantial across government agencies, with benchmarks varying based on the complexity and scope of services required.

Small Business Impact

The contract data indicates that this award was not set aside for small businesses (ss: false, sb: false). Therefore, small businesses were likely not the primary focus of this particular procurement, though they may have participated as subcontractors.

Oversight & Accountability

The award was made by the Department of Veterans Affairs, indicating internal oversight. Further oversight would typically involve program managers and contracting officers to ensure performance and adherence to contract terms.

Related Government Programs

Computer Systems Design Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Lack of detailed performance metrics in the provided data.
Contract duration requires sustained oversight.
No explicit small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $21.7 million to LEIDOS SMS INC. TRANSFORMATION TWENTY-ONE TOTAL TECHNOLOGY (T4) TASK ORDER FOR VETERANS SERVICE NETWORK (VETSNET) ENHANCEMENTS AND MAINTENANCE.

Who is the contractor on this award?

The obligated recipient is LEIDOS SMS 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 $21.7 million.

What is the period of performance?

Start: 2011-07-18. End: 2014-08-30.

What specific enhancements were made to VetsNet under this contract, and what was their impact on veteran service delivery?

The provided data does not detail the specific enhancements made to VetsNet. To assess the value, further investigation into contract performance reports and VA documentation would be necessary to understand the scope of work and its tangible benefits to veterans. This would include evaluating improvements in system functionality, user experience, and the efficiency of service provision.

What were the key performance indicators (KPIs) for this contract, and how did Leidos SMS Inc. perform against them?

Key performance indicators are not detailed in the provided data. Assessing performance risk requires examining contract deliverables, service level agreements, and any documented performance evaluations. Understanding these KPIs and the contractor's adherence to them is crucial for determining the overall effectiveness and value derived from the $21.6 million expenditure.

How did the Time and Materials pricing structure influence the final cost compared to a fixed-price contract for similar IT services?

Time and Materials (T&M) contracts offer flexibility but can lead to higher costs if not managed diligently, as the final price is based on actual labor hours and material costs. Without knowing the specific tasks and hours expended, a direct comparison to a fixed-price contract is difficult. However, T&M can be riskier for the government regarding cost certainty compared to fixed-price arrangements.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 1

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: ONE NORTHERN CONCOURSE, SYRACUSE, NY, 13212

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Service Disabled Veteran Owned Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $21,664,956

Exercised Options: $21,664,956

Current Obligation: $21,664,956

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11811D1000

IDV Type: IDC

Timeline