VA awards $41.1M for ECMS AAMS software maintenance to support 4,990 users
Contract Overview
Contract Amount: $41,154,392 ($41.2M)
Contractor: Distributed Solutions, Inc
Awarding Agency: Department of Veterans Affairs
Start Date: 2017-10-01
End Date: 2023-04-03
Contract Duration: 2,010 days
Daily Burn Rate: $20.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: THIS AWARD IS FOR THE PROCUREMENT OF ECMS AUTOMATED ACQUISITION MANAGEMENT SOLUTION (AAMS) SOFTWARE MAINTENANCE TO SUPPORT 4,990 USERS WITHIN THE OFFICE OF ACQUISITION AND LOGISTICS. IGF::OT::IGF
Place of Performance
Location: FREDERICK, FREDERICK County, MARYLAND, 21704
State: Maryland Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $41.2 million to DISTRIBUTED SOLUTIONS, INC for work described as: THIS AWARD IS FOR THE PROCUREMENT OF ECMS AUTOMATED ACQUISITION MANAGEMENT SOLUTION (AAMS) SOFTWARE MAINTENANCE TO SUPPORT 4,990 USERS WITHIN THE OFFICE OF ACQUISITION AND LOGISTICS. IGF::OT::IGF Key points: 1. The Department of Veterans Affairs (VA) awarded a significant contract for essential software maintenance. 2. Distributed Solutions, Inc. is the sole contractor for this specific delivery order. 3. The contract covers a substantial user base, indicating widespread reliance on the system. 4. This award falls under the Computer and Software Stores category, highlighting IT infrastructure spending.
Value Assessment
Rating: good
The contract value of $41.1M over its period of performance appears reasonable for enterprise software maintenance supporting nearly 5,000 users. Benchmarking against similar large-scale software maintenance contracts would provide further clarity on its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a competitive bidding process. This method is generally expected to yield fair market prices.
Taxpayer Impact: Taxpayer funds are utilized for essential software maintenance, ensuring the continued operation of critical acquisition management systems.
Public Impact
Ensures continuity of operations for the VA's acquisition management processes. Supports nearly 5,000 users, impacting a large segment of VA personnel. Maintains the functionality of a key IT solution for the Department of Veterans Affairs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in if future renewals are not competitively bid.
- Reliance on a single vendor for critical software maintenance.
Positive Signals
- Awarded through full and open competition.
- Supports a large user base, indicating system importance.
- Firm Fixed Price contract type provides cost certainty.
Sector Analysis
This contract falls within the IT sector, specifically software maintenance and support. Spending benchmarks for enterprise software maintenance can vary widely based on the complexity and criticality of the system, but this award represents a substantial investment in maintaining operational capabilities.
Small Business Impact
The data indicates this contract was not awarded to a small business (sb: false). Therefore, there is no direct benefit to small businesses from this specific award.
Oversight & Accountability
The award was made by the Department of Veterans Affairs, which has established oversight mechanisms for its procurements. The firm fixed price contract type offers some level of cost control.
Related Government Programs
- Computer and Software Stores
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Potential for vendor lock-in.
- Reliance on a single vendor for critical software.
- Long contract duration.
- Lack of direct small business participation.
Tags
computer-and-software-stores, department-of-veterans-affairs, md, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $41.2 million to DISTRIBUTED SOLUTIONS, INC. THIS AWARD IS FOR THE PROCUREMENT OF ECMS AUTOMATED ACQUISITION MANAGEMENT SOLUTION (AAMS) SOFTWARE MAINTENANCE TO SUPPORT 4,990 USERS WITHIN THE OFFICE OF ACQUISITION AND LOGISTICS. IGF::OT::IGF
Who is the contractor on this award?
The obligated recipient is DISTRIBUTED SOLUTIONS, 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 $41.2 million.
What is the period of performance?
Start: 2017-10-01. End: 2023-04-03.
What is the specific functionality provided by the ECMS Automated Acquisition Management Solution (AAMS) software, and how critical is it to the VA's mission?
The ECMS AAMS software is crucial for managing the VA's acquisition processes, streamlining procurement activities, and ensuring compliance. Its criticality lies in enabling efficient and effective spending, supporting the acquisition of goods and services necessary for the VA's healthcare and benefits missions. Without it, procurement operations would likely face significant delays and inefficiencies.
What are the potential risks associated with relying on a single vendor for maintenance of such a critical system over a multi-year period?
Relying on a single vendor presents risks such as potential price increases in future renewals, reduced incentive for the vendor to innovate or provide superior service, and vulnerability if the vendor experiences financial difficulties or ceases operations. This can lead to vendor lock-in and limit the VA's flexibility in adopting newer technologies or seeking more cost-effective solutions.
How does the VA ensure the ongoing effectiveness and relevance of the AAMS software through this maintenance contract?
The VA likely ensures effectiveness by defining clear performance standards and service level agreements (SLAs) within the contract. Regular reviews of vendor performance, user feedback mechanisms, and potentially incorporating requirements for software updates and patches that address evolving needs and security threats contribute to maintaining the software's relevance and operational effectiveness.
Industry Classification
NAICS: Retail Trade › Electronics and Appliance Stores › Computer and Software Stores
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: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 433B CARLISLE DR, HERNDON, VA, 20170
Business Categories: Category Business, Small Business
Financial Breakdown
Contract Ceiling: $41,154,392
Exercised Options: $41,154,392
Current Obligation: $41,154,392
Actual Outlays: $4,942,684
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Parent Contract
Parent Award PIID: GS35F5370H
IDV Type: FSS
Timeline
Start Date: 2017-10-01
Current End Date: 2023-04-03
Potential End Date: 2023-04-03 00:00:00
Last Modified: 2024-02-05
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