VA awards $22.4M for Inquiry Routing System licenses and maintenance to IMMIXTECHNOLOGY INC

Contract Overview

Contract Amount: $22,403,059 ($22.4M)

Contractor: Immixtechnology Inc

Awarding Agency: Department of Veterans Affairs

Start Date: 2012-07-01

End Date: 2017-06-30

Contract Duration: 1,825 days

Daily Burn Rate: $12.3K/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: IGF::CL::IGF CLOSELY ASSOCIATED WITH INQUIRY ROUTING INFORMATION SYSTEM LICENSES AND MAINTENANCE.

Place of Performance

Location: SALT LAKE CITY, SALT LAKE County, UTAH, 84113

State: Utah Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $22.4 million to IMMIXTECHNOLOGY INC for work described as: IGF::CL::IGF CLOSELY ASSOCIATED WITH INQUIRY ROUTING INFORMATION SYSTEM LICENSES AND MAINTENANCE. Key points: 1. Contract awarded to IMMIXTECHNOLOGY INC for essential IT services. 2. Significant spending on software licenses and maintenance highlights ongoing IT infrastructure needs. 3. Full and open competition after exclusion of sources suggests a specific justification for vendor selection. 4. The contract duration of 5 years indicates a long-term reliance on the selected vendor.

Value Assessment

Rating: fair

The contract value of $22.4M over 5 years for IT services appears reasonable given the duration and nature of software licenses and maintenance. Benchmarking against similar contracts for enterprise IT solutions would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while competition was sought, specific sources were initially excluded. This method can impact price discovery if the pool of potential bidders is unnecessarily narrowed.

Taxpayer Impact: Taxpayers are funding essential IT infrastructure for the Department of Veterans Affairs. The effectiveness of the competition method in securing the best value is a key consideration for taxpayer impact.

Public Impact

Ensures continued operation of critical VA systems for veterans' services. Supports the technological infrastructure of a major federal agency. Potential for vendor lock-in if alternatives are not explored periodically.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under IT services, specifically 'Other Computer Related Services.' Spending on software licenses and maintenance is common across federal agencies to support essential operations. Benchmarks for similar IT service contracts vary widely based on scope and complexity.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. The contract was awarded to IMMIXTECHNOLOGY INC, and further analysis would be needed to determine if they are a small business or if subcontracting opportunities exist.

Oversight & Accountability

The contract's duration and value warrant oversight to ensure continued adherence to terms and effective service delivery. Regular performance reviews and cost analysis are crucial for accountability.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-veterans-affairs, ut, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $22.4 million to IMMIXTECHNOLOGY INC. IGF::CL::IGF CLOSELY ASSOCIATED WITH INQUIRY ROUTING INFORMATION SYSTEM LICENSES AND MAINTENANCE.

Who is the contractor on this award?

The obligated recipient is IMMIXTECHNOLOGY 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 $22.4 million.

What is the period of performance?

Start: 2012-07-01. End: 2017-06-30.

What was the specific justification for excluding other sources in the 'Full and Open Competition After Exclusion of Sources' award?

The justification for excluding sources needs to be thoroughly reviewed. Typically, such a designation implies that while competition was intended, only certain vendors met highly specific technical requirements or were deemed capable of fulfilling the contract's unique needs. Understanding these criteria is vital to assess if the exclusion was appropriate and did not unduly limit competition, potentially impacting the final price.

How does the per-unit cost of licenses and maintenance compare to industry standards for similar software?

A detailed comparison of the per-unit costs for these licenses and maintenance against industry benchmarks is essential. Without this, it's difficult to ascertain if the VA is receiving competitive pricing. Variations in features, support levels, and contract terms can influence pricing, so a like-for-like comparison is necessary for a valid assessment of value for money.

What is the long-term strategy for managing Inquiry Routing System licenses and maintenance to ensure cost-effectiveness and avoid vendor lock-in?

The VA's long-term strategy is critical. Relying on a single vendor for an extended period, even with competition initially, can lead to escalating costs and reduced flexibility. Proactive planning for future contract renewals, exploring alternative solutions, and negotiating favorable terms based on usage volume are key to ensuring cost-effectiveness and mitigating vendor lock-in.

Industry Classification

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

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

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

Parent Company: Arrow Electronics, Inc. (UEI: 049159957)

Address: 8444 WESTPARK DR STE 200, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,403,059

Exercised Options: $22,403,059

Current Obligation: $22,403,059

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $469,128,501

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Parent Contract

Parent Award PIID: NNG07DA20B

IDV Type: GWAC

Timeline

Start Date: 2012-07-01

Current End Date: 2017-06-30

Potential End Date: 2017-06-30 00:00:00

Last Modified: 2017-02-27

More Contracts from Immixtechnology Inc

View all Immixtechnology Inc federal contracts →

Other Department of Veterans Affairs Contracts

View all Department of Veterans Affairs contracts →

Explore Related Government Spending