VA awards $18.9M FFRDC support contract to MITRE Corporation for design transformation

Contract Overview

Contract Amount: $18,868,649 ($18.9M)

Contractor: THE Mitre Corporation

Awarding Agency: Department of Veterans Affairs

Start Date: 2013-01-16

End Date: 2015-01-14

Contract Duration: 728 days

Daily Burn Rate: $25.9K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: IGF::CL::IGF IGF::CT::IGF. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER (FFRDC) SUPPORT TO THE OFFICE OF ARCHITECTURE, STRATEGY, AND DESIGN TRANSFORMATION.

Place of Performance

Location: MC LEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $18.9 million to THE MITRE CORPORATION for work described as: IGF::CL::IGF IGF::CT::IGF. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER (FFRDC) SUPPORT TO THE OFFICE OF ARCHITECTURE, STRATEGY, AND DESIGN TRANSFORMATION. Key points: 1. Contract awarded to a Federally Funded Research and Development Center (FFRDC), known for specialized expertise. 2. The contract value of $18.9M over two years suggests a significant scope of work. 3. No competition was utilized, raising questions about potential price discovery. 4. The sector is professional, scientific, and technical services, supporting strategic design transformation.

Value Assessment

Rating: fair

The contract is a Cost Plus Fixed Fee (CPFF) type, which can lead to cost overruns if not managed carefully. Benchmarking is difficult without specific deliverables and comparable FFRDC contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and potentially reduces the incentive for the contractor to offer the most competitive pricing.

Taxpayer Impact: Taxpayer funds are used for this contract. The lack of competition means there's a risk of paying a premium compared to a competitively bid contract.

Public Impact

Supports the Department of Veterans Affairs' Office of Architecture, Strategy, and Design Transformation. FFRDC support ensures access to specialized, objective technical advice. The contract duration of two years allows for sustained strategic development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of competition
Cost Plus Fixed Fee contract type

Positive Signals

Award to an FFRDC for specialized expertise
Supports strategic transformation initiatives

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically supporting strategic design and transformation within the VA. FFRDC support is common in government for complex, long-term technical challenges.

Small Business Impact

This contract was awarded to The MITRE Corporation, a large FFRDC, and does not appear to involve small business participation.

Oversight & Accountability

The VA's internal oversight mechanisms are crucial for managing the CPFF contract and ensuring the value derived from the FFRDC's support aligns with the strategic goals.

Related Government Programs

All Other Professional, Scientific, and Technical Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Sole-source award limits competition.
CPFF contract type carries inherent cost overrun risk.
Lack of clear performance metrics for FFRDC support.
Potential for scope creep without stringent oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $18.9 million to THE MITRE CORPORATION. IGF::CL::IGF IGF::CT::IGF. FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER (FFRDC) SUPPORT TO THE OFFICE OF ARCHITECTURE, STRATEGY, AND DESIGN TRANSFORMATION.

Who is the contractor on this award?

The obligated recipient is THE MITRE CORPORATION.

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 $18.9 million.

What is the period of performance?

Start: 2013-01-16. End: 2015-01-14.

What specific design transformation initiatives are being supported by this FFRDC contract, and what are the expected outcomes?

The contract supports the VA's Office of Architecture, Strategy, and Design Transformation. Specific initiatives likely include modernizing VA systems, improving user experience, and streamlining internal processes. Expected outcomes would involve enhanced operational efficiency, better service delivery to veterans, and a more agile organizational structure capable of adapting to future needs.

Given the sole-source nature, how does the VA ensure the cost-plus-fixed-fee structure remains efficient and avoids unnecessary expenses?

The VA must implement rigorous oversight and performance monitoring. This includes detailed review of cost proposals, regular audits of expenditures, and clear performance metrics tied to the fixed fee. Establishing a strong working relationship with MITRE to ensure transparency and accountability is also critical to managing costs effectively.

What is the long-term strategic value of relying on an FFRDC for design transformation compared to other contracting vehicles?

FFRDCs like MITRE offer a unique blend of technical expertise, objectivity, and long-term commitment, free from commercial profit motives. This makes them ideal for complex, strategic challenges requiring sustained, unbiased advice. While potentially more expensive upfront than some alternatives, their ability to provide integrated solutions and foster innovation can yield greater long-term strategic value and reduce systemic risks.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › All Other Professional, Scientific, and Technical Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 7515 COLSHIRE DR, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $20,225,391

Exercised Options: $18,868,649

Current Obligation: $18,868,649

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: VA791P0042

IDV Type: IDC

Timeline