VA Awards $27.7M for IBM Filenet Licenses to Merlin International Under Full and Open Competition

Contract Overview

Contract Amount: $27,700,000 ($27.7M)

Contractor: Merlin International, Inc.

Awarding Agency: Department of Veterans Affairs

Start Date: 2013-07-01

End Date: 2017-06-30

Contract Duration: 1,460 days

Daily Burn Rate: $19.0K/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::OT::IGF _ TASK ORDER AWARD FOR IBM P8 FILENET ENTERPRISE LICENSES

Place of Performance

Location: ENGLEWOOD, ARAPAHOE County, COLORADO, 80112

State: Colorado Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $27.7 million to MERLIN INTERNATIONAL, INC. for work described as: IGF::OT::IGF _ TASK ORDER AWARD FOR IBM P8 FILENET ENTERPRISE LICENSES Key points: 1. The contract is for enterprise software licenses, a common IT expenditure. 2. Merlin International, Inc. secured the award, indicating a competitive market. 3. The duration of the contract (4 years) suggests a need for sustained support. 4. The fixed-price contract type aims to control costs. 5. The 'Other Computer Related Services' NAICS code covers a broad range of IT services.

Value Assessment

Rating: fair

The award amount of $27.7M over four years for enterprise software licenses appears within a reasonable range for large-scale IT procurements. Benchmarking against similar enterprise software contracts would provide a more precise assessment 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, suggesting a robust bidding process. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: The competitive award process is expected to yield a fair price, minimizing unnecessary taxpayer expenditure on essential IT infrastructure.

Public Impact

Veterans will benefit from improved IT systems supporting VA operations. The use of enterprise software ensures data management and operational efficiency for the VA. This contract supports the government's need for reliable and scalable IT solutions. The award contributes to the IT services sector and the companies involved.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in the provided data.
Potential for vendor lock-in with enterprise software.
The 'Other Computer Related Services' NAICS code is very broad.

Positive Signals

Full and open competition utilized.
Firm fixed-price contract type.
Long-term need for software indicates strategic IT planning.

Sector Analysis

The IT sector, particularly enterprise software licensing, is characterized by significant investment and evolving technologies. This contract falls within the typical spending patterns for government agencies requiring robust IT infrastructure and services.

Small Business Impact

The data indicates this contract was awarded to Merlin International, Inc. and does not specify any small business participation. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The use of a delivery order under a larger contract framework suggests a structured procurement process. Oversight would typically involve contract management by the VA to ensure deliverables meet requirements and stay within budget.

Related Government Programs

Other Computer Related Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Broad NAICS code may obscure specific service costs.
Limited detail on specific software functionalities licensed.
No explicit mention of performance metrics for effectiveness.
Potential for vendor lock-in with enterprise software solutions.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $27.7 million to MERLIN INTERNATIONAL, INC.. IGF::OT::IGF _ TASK ORDER AWARD FOR IBM P8 FILENET ENTERPRISE LICENSES

Who is the contractor on this award?

The obligated recipient is MERLIN INTERNATIONAL, 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 $27.7 million.

What is the period of performance?

Start: 2013-07-01. End: 2017-06-30.

What specific IBM Filenet functionalities are being licensed, and how do they align with the VA's current and future operational needs?

The provided data does not detail the specific Filenet functionalities. Understanding the exact modules and features licensed is crucial to assess if the $27.7M investment directly supports critical VA functions, such as document management, workflow automation, or records archiving. Without this, it's difficult to fully gauge the strategic value beyond general IT infrastructure.

What was the competitive landscape like for this specific IBM Filenet enterprise license requirement, and were there any incumbent providers?

The award states 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' implying multiple vendors were considered and excluded before Merlin International, Inc. was selected. However, the data doesn't reveal the number of bidders or if an incumbent held previous contracts for these licenses. This lack of detail makes it hard to assess the intensity of competition and potential price advantages gained.

How will the effectiveness of these IBM Filenet licenses be measured to ensure the VA achieves its intended IT and operational goals?

The provided data lacks information on performance metrics or key performance indicators (KPIs) established for this contract. Measuring effectiveness would typically involve tracking system uptime, user adoption rates, processing efficiency improvements, and successful integration with other VA systems. Without defined metrics, it's challenging to assess if the $27.7M investment is yielding the expected operational benefits and value for the VA.

Industry Classification

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

Product/Service Code: INFORMATION TECHNOLOGY EQUIPMENT (INCLD FIRMWARE) SOFTWARE,SUPPLIES& SUPPORT 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: 4 B INVERNESS COURT ESTE 100, ENGLEWOOD, CO, 80112

Business Categories: 8(a) Program Participant, Category Business, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $27,700,000

Exercised Options: $27,700,000

Current Obligation: $27,700,000

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $19,278,348

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNG07DA23B

IDV Type: GWAC

Timeline