Velocity Performance Suite (zVPS) Software Maintenance

Limited / Sole Source Justification Posted

Solicitation number
205AE9-26-R-00004
Agency
Internal Revenue Service Department of the Treasury
Set-aside
No set-aside

Opportunity facts

NAICS code
541519 Other Computer Related Services
PSC
7B21 It And Telecom - Compute: Mainframe (Hardware And Perpetual License Software)
Place of performance
Lanham, Maryland, United States
Points of contact

Notice details come from SAM.gov. Updated .

About this opportunity

The Internal Revenue Service intends to award a sole-source contract to Velocity Software, Inc. for software licensing, maintenance, and support of the Velocity Performance Suite (zVPS) for 280 Integrated Facility for Linux licenses deployed across IBM mainframe systems at IRS Enterprise Computing Centers, with an estimated total value of $1,000,178.

The justification cites market research confirming that no alternative products from Broadcom, IntelliMagic, IBM, or Dynatrace meet the IRS's essential technical requirements for IBM z/VM, zLinux, SACS, CAPS, and z/TPF compatibility, HTTP server support for VM/CMS environments, and seamless z/Pro integration. The IRS established its initial Enterprise License Agreement with Velocity Software in 2016 for 40 IFL engines and expanded it in 2017, 2018, 2019, and 2020 to the current 280 licenses. The contract provides continuous software maintenance, access to updates and fixes, and vendor technical support. Period of performance is five years from July 18, 2026, through July 17, 2031, comprising one 12-month base period and four 12-month option periods, with an optional extension of up to six months available. Place of performance includes Enterprise Computing Center–Martinsburg, Martinsburg, West Virginia and Enterprise Computing Center–Memphis, Memphis, Tennessee. The current mainframe configuration comprises two IBM z16 systems and two IBM z15 systems across the two locations. The award was executed July 18, 2026.

Notice text

To support the IRS mission of delivering reliable, secure, and timely taxpayer services, the IRS continues to modernize and scale its enterprise computing infrastructure to meet increasing workload demands and peak filing-season volumes. In 2016, the IRS established an Enterprise License Agreement (ELA) with Velocity Software, Inc. to provide zVPS licensing and maintenance for forty (40) IFL engines, including coverage for legacy environments supporting SACS/CAPS and Linux migration workloads. The agreement was expanded in 2017, 2018, 2019, and 2020 to accommodate growth, resulting in a total of two hundred eighty (280) licensed IFL engines supporting the Linux Lifecycle Program and other mission-critical functions.

Today, the licensed IFL engines are distributed across four IBM mainframe Central Electronic Complexes (CECs) located at IRS enterprise computing centers in Martinsburg, West Virginia and Memphis, Tennessee. The current platform includes two IBM z16 systems and two IBM z15 systems (see Section 4.0 for the current configuration).

The Contractor shall provide software licensing, maintenance, and support services for a total of two hundred eighty (280) IFL licenses deployed across IRS mainframe platforms at the following sites:
• Enterprise Computing Center – Martinsburg (ECC-MTB), Martinsburg, West Virginia
• Enterprise Computing Center – Memphis (ECC-MEM), Memphis, Tennessee

The scope includes continuous software maintenance, access to updates and fixes, and vendor technical support for the zVPS product suite for the duration of the period of performance.

Awarded contract TBD to unknown vendor for unknown amount on 2026-07-18.

Attachments

Files attached to this notice, newest first
File Type Posted
SF 1013 - JA for FAR 13.5 Sole Source acquisitions 7.16.26..pdf PDF

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