VA awards $26.9M for network equipment refresh, impacting IT infrastructure

Contract Overview

Contract Amount: $26,919,788 ($26.9M)

Contractor: ALL Points Logistics, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2013-09-27

End Date: 2014-11-11

Contract Duration: 410 days

Daily Burn Rate: $65.7K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: COMMODITIES ENTERPRISE CONTRACT - 2013 LIFECYCLE NETWORKS REFRESH PROCUREMENT OF NETWORK EQUIPMENT (ROUTERS, SWITCHES AND CONNECTORS) FOR OFFICE OF INFORMATION TECHNOLOGY, SERVICE DELIVERY AND ENGINEERING.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $26.9 million to ALL POINTS LOGISTICS, LLC for work described as: COMMODITIES ENTERPRISE CONTRACT - 2013 LIFECYCLE NETWORKS REFRESH PROCUREMENT OF NETWORK EQUIPMENT (ROUTERS, SWITCHES AND CONNECTORS) FOR OFFICE OF INFORMATION TECHNOLOGY, SERVICE DELIVERY AND ENGINEERING. Key points: 1. The contract focuses on essential network hardware for the VA's IT operations. 2. Competition was full and open, suggesting potential for competitive pricing. 3. The contract value is significant, requiring careful monitoring of its execution. 4. This procurement falls under IT services, a critical area for government operations.

Value Assessment

Rating: good

The contract value of $26.9M for network equipment appears reasonable given the scope of a lifecycle refresh. Benchmarking against similar large-scale network hardware procurements would provide a more definitive assessment of its pricing.

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 a robust process to solicit bids. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely receiving fair value for the funds expended on essential IT infrastructure.

Public Impact

Ensures continued operation and modernization of the VA's IT network. Supports the delivery of services to veterans through reliable technology. Potential for improved network performance and security. Impacts the IT hardware market through a significant procurement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically network equipment procurement. Spending benchmarks for similar network refreshes vary widely based on agency size and technological requirements, but $26.9M is a substantial investment.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the 'sb' field is false. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The Department of Veterans Affairs is responsible for oversight of this contract. Standard procurement regulations and contract management practices would apply to ensure accountability and performance.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-veterans-affairs, al, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $26.9 million to ALL POINTS LOGISTICS, LLC. COMMODITIES ENTERPRISE CONTRACT - 2013 LIFECYCLE NETWORKS REFRESH PROCUREMENT OF NETWORK EQUIPMENT (ROUTERS, SWITCHES AND CONNECTORS) FOR OFFICE OF INFORMATION TECHNOLOGY, SERVICE DELIVERY AND ENGINEERING.

Who is the contractor on this award?

The obligated recipient is ALL POINTS LOGISTICS, LLC.

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 $26.9 million.

What is the period of performance?

Start: 2013-09-27. End: 2014-11-11.

What was the specific impact of excluding sources on the final price and competition?

Excluding sources in a 'full and open' competition typically means that while the competition was broad, certain pre-qualified vendors or specific technologies might have been favored or required. This can sometimes limit the breadth of competition but may be justified by specific technical needs. The impact on price depends on whether the excluded sources represented significant competitive alternatives. Without knowing which sources were excluded and why, it's difficult to definitively assess the price impact.

How does the $26.9M cost compare to the expected lifespan and performance improvements of the network refresh?

The $26.9M cost for a network equipment refresh needs to be evaluated against the expected benefits, such as enhanced speed, reliability, and security, over the equipment's useful life. A short contract duration (410 days) suggests this might be an initial phase or a specific refresh cycle. A comprehensive cost-benefit analysis, including projected operational efficiencies and reduced downtime, is necessary to determine if the investment provides good value.

What are the long-term implications for the VA's IT infrastructure given this procurement?

This procurement signifies a commitment to modernizing the VA's core network infrastructure. The refresh should improve operational capabilities and support for veteran services. However, the relatively short contract duration and lack of explicit mention of future-proofing or advanced cybersecurity features warrant attention to ensure sustained technological relevance and security against evolving threats.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesOther 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: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5000 BRADFORD DRIVE SUITE 3B, HUNTSVILLE, AL, 05

Business Categories: American Indian Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $26,919,788

Exercised Options: $26,919,788

Current Obligation: $26,919,788

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA11813D1003

IDV Type: IDC

Timeline

Start Date: 2013-09-27

Current End Date: 2014-11-11

Potential End Date: 2014-11-11 00:00:00

Last Modified: 2014-07-28

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