VA Awards $35.17M for Interactive Patient Care System, Full and Open Competition Used

Contract Overview

Contract Amount: $35,171,634 ($35.2M)

Contractor: Affigent, LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2012-09-29

End Date: 2018-11-15

Contract Duration: 2,238 days

Daily Burn Rate: $15.7K/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: OTHER FUNCTIONS, INTERACTIVE PATIENT CARE AND BROADCASTING SYSTEM FOR ALL VA MEDICAL CENTERS IN VISN 8. 2/5/16 CORRECTING FOR NAICS TO FLOW TO MOD - CW.

Place of Performance

Location: HERNDON, FAIRFAX County, VIRGINIA, 20171

State: Virginia Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $35.2 million to AFFIGENT, LLC for work described as: OTHER FUNCTIONS, INTERACTIVE PATIENT CARE AND BROADCASTING SYSTEM FOR ALL VA MEDICAL CENTERS IN VISN 8. 2/5/16 CORRECTING FOR NAICS TO FLOW TO MOD - CW. Key points: 1. The contract value of $35.17M over approximately 6 years indicates a significant investment in patient care technology. 2. Full and open competition was utilized, suggesting a competitive bidding process that likely drove price discovery. 3. The use of a Firm Fixed Price contract type mitigates cost overrun risks for the VA. 4. This spending falls under 'Other Computer Related Services', a broad category within the IT sector.

Value Assessment

Rating: good

The contract was awarded using full and open competition, which generally leads to competitive pricing. Benchmarking against similar IT service contracts for healthcare systems 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'. This method aims to maximize competition, which typically results in better pricing and value for the government.

Taxpayer Impact: The competitive nature of the award suggests taxpayers benefited from a fair market price for the interactive patient care system.

Public Impact

Veterans will benefit from improved interactive patient care systems across VISN 8 medical centers. The technology deployed could enhance communication between patients and healthcare providers. This investment supports the modernization of healthcare delivery within the VA system.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract duration of 2238 days (approx. 6 years) is substantial.
NAICS code 541519 is very broad, making direct cost comparisons difficult.

Positive Signals

Full and open competition utilized.
Firm Fixed Price contract type.
Awarded to Affigent, LLC, a single vendor.

Sector Analysis

This contract falls under IT services, specifically 'Other Computer Related Services'. Spending in this area can vary widely based on complexity and scope, but significant investments are common for modernizing healthcare IT infrastructure.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, small businesses likely did not have a direct role in fulfilling this specific contract.

Oversight & Accountability

The award was made by the Department of Veterans Affairs (AG and SA). Oversight would involve monitoring contract performance, adherence to terms, and delivery of the interactive patient care system as specified.

Related Government Programs

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

Risk Flags

Long contract duration (approx. 6 years).
Broad NAICS code (541519) limits specific cost analysis.
Potential for technological obsolescence.
Lack of small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $35.2 million to AFFIGENT, LLC. OTHER FUNCTIONS, INTERACTIVE PATIENT CARE AND BROADCASTING SYSTEM FOR ALL VA MEDICAL CENTERS IN VISN 8. 2/5/16 CORRECTING FOR NAICS TO FLOW TO MOD - CW.

Who is the contractor on this award?

The obligated recipient is AFFIGENT, 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 $35.2 million.

What is the period of performance?

Start: 2012-09-29. End: 2018-11-15.

What specific functionalities does the 'Interactive Patient Care and Broadcasting System' encompass, and how do these features directly improve patient outcomes or operational efficiency?

The provided data does not detail the specific functionalities of the system. Further analysis would require reviewing the contract's Statement of Work (SOW) to understand features like patient education modules, communication tools, entertainment options, or real-time data integration. Understanding these specifics is crucial to assess the system's true value beyond its cost.

Given the 6-year duration and the broad 'Other Computer Related Services' NAICS code, what are the potential risks associated with technological obsolescence or vendor lock-in?

A 6-year contract term carries a risk of technological obsolescence, especially in the fast-paced IT sector. The broad NAICS code also makes it harder to benchmark specific services. Vendor lock-in is a potential concern if the system is highly proprietary or if follow-on contracts are not competitively procured, potentially limiting future flexibility and cost-effectiveness.

How effectively did the 'Full and Open Competition After Exclusion of Sources' method ensure competitive pricing compared to other potential contracting approaches for this type of system?

This method, while aiming for competition, involves pre-qualifying sources before opening it further. Its effectiveness in ensuring competitive pricing depends on the number of qualified bidders and the rigor of the evaluation process. A comparison with contracts awarded under unrestricted full and open competition or other specialized IT procurement vehicles would be needed to definitively assess its pricing advantage.

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

Solicitation ID: VA24812R2165

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Nana Regional Corporation Inc (UEI: 079253761)

Address: 13873 PARK CENTER ROAD STE 127, HERNDON, VA, 20171

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, DoT Certified Disadvantaged Business Enterprise, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $49,853,576

Exercised Options: $35,177,712

Current Obligation: $35,171,634

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNG07DA19B

IDV Type: GWAC

Timeline