VA's $78.8M SOA Suite Contract with Peraton Inc. for Computer Systems Design Services
Contract Overview
Contract Amount: $78,832,169 ($78.8M)
Contractor: Peraton Inc.
Awarding Agency: Department of Veterans Affairs
Start Date: 2012-03-20
End Date: 2019-09-30
Contract Duration: 2,750 days
Daily Burn Rate: $28.7K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 7
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Official Description: SOA SUITE PROCUREMENT
Place of Performance
Location: PALM BAY, BREVARD County, FLORIDA, 32905
State: Florida Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $78.8 million to PERATON INC. for work described as: SOA SUITE PROCUREMENT Key points: 1. Contract awarded to Peraton Inc. for $78.8M. 2. Competition type: Full and Open. 3. Services provided: Computer Systems Design. 4. Sector: Information Technology. 5. Contract duration: 2012-2019.
Value Assessment
Rating: fair
The contract's Cost Plus Fixed Fee (CPFF) structure can lead to cost overruns if not managed tightly. The benchmark of $28,666 for 'br' (likely a specific metric) needs further context to assess value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was utilized, which generally promotes competitive pricing. However, the CPFF pricing model requires diligent oversight to ensure fair pricing and prevent excessive costs.
Taxpayer Impact: The use of full and open competition is positive for taxpayers, aiming for the best value. The CPFF structure necessitates strong oversight to ensure funds are used efficiently.
Public Impact
Ensures critical IT infrastructure for the VA. Supports the delivery of services to veterans. Potential for cost efficiencies through competition. Requires ongoing monitoring for effective service delivery.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Fixed Fee (CPFF) pricing model.
- Lack of specific per-unit cost benchmarks.
- Potential for scope creep in IT projects.
Positive Signals
- Full and open competition.
- Awarded to a single vendor, indicating specialized capability.
- Long-term contract providing stable support.
Sector Analysis
This contract falls within the IT sector, specifically computer systems design services. Benchmarks for similar IT service contracts vary widely based on complexity and scope, but large-scale system design procurements often represent significant investments.
Small Business Impact
The data indicates this contract was not set aside for small businesses (sb: false). Therefore, small businesses were likely not primary awardees, though they may have participated as subcontractors.
Oversight & Accountability
The contract utilized a CPFF structure, which requires robust oversight from the Department of Veterans Affairs to manage costs and ensure performance objectives are met. The number of delivery orders (no: 7) suggests phased implementation or task orders.
Related Government Programs
- Computer Systems Design Services
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Cost Plus Fixed Fee (CPFF) pricing can incentivize contractor overspending.
- Lack of detailed per-unit cost data makes direct value assessment difficult.
- Long contract duration (2012-2019) may not reflect current market rates.
- Potential for scope creep in complex IT system design projects.
- No specific small business participation noted.
Tags
computer-systems-design-services, department-of-veterans-affairs, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $78.8 million to PERATON INC.. SOA SUITE PROCUREMENT
Who is the contractor on this award?
The obligated recipient is PERATON 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 $78.8 million.
What is the period of performance?
Start: 2012-03-20. End: 2019-09-30.
What was the specific scope of the SOA Suite and how did its complexity influence the CPFF pricing?
The scope of the SOA Suite procurement likely involved the design, development, and integration of Service-Oriented Architecture components to modernize VA's IT systems. The complexity of integrating disparate systems and ensuring interoperability under a CPFF model necessitates detailed cost tracking and justification to prevent overruns and ensure the government pays a fair price for the services rendered.
How effectively did the VA manage the CPFF structure to control costs and ensure value for money?
Effective management of a CPFF contract hinges on rigorous oversight, detailed cost reporting, and clear performance metrics. The VA's ability to control costs and ensure value would depend on the strength of its program management, contract administration, and its capacity to audit contractor expenditures and challenge any unjustified costs. Without specific performance and cost variance data, assessing effectiveness is challenging.
What were the key performance indicators (KPIs) for this contract, and how were they measured to ensure successful delivery of computer systems design services?
Key performance indicators for such a contract would typically include system uptime, successful integration of new services, adherence to project timelines, user satisfaction, and security compliance. The VA would have established specific, measurable, achievable, relevant, and time-bound (SMART) KPIs within the contract. Performance against these KPIs would be monitored through regular reporting and potentially independent verification.
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: 7
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Parent Company: Veritas Capital Fund Management, L.L.C. (UEI: 078628925)
Address: 12975 WORLDGATE STE 7322, HERNDON, VA, 20170
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $78,832,169
Exercised Options: $78,832,169
Current Obligation: $78,832,169
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: VA11811D1009
IDV Type: IDC
Timeline
Start Date: 2012-03-20
Current End Date: 2019-09-30
Potential End Date: 2019-09-30 00:00:00
Last Modified: 2021-09-17
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