USDA's $110.8M FSSI Wireless Services BPA Call awarded to Cellco Partnership, expiring June 2024

Contract Overview

Contract Amount: $110,784,476 ($110.8M)

Contractor: Cellco Partnership

Awarding Agency: Department of Agriculture

Start Date: 2018-11-20

End Date: 2024-06-30

Contract Duration: 2,049 days

Daily Burn Rate: $54.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ENTERPRISE BPA CALL FOR FEDERAL STRATEGIC SOURCING INITIATIVE(FSSI) WIRELESS SERVICES&SERVICES ENABLED DEVICES (ESD).

Place of Performance

Location: KANSAS CITY, JACKSON County, MISSOURI, 64114

State: Missouri Government Spending

Plain-Language Summary

Department of Agriculture obligated $110.8 million to CELLCO PARTNERSHIP for work described as: ENTERPRISE BPA CALL FOR FEDERAL STRATEGIC SOURCING INITIATIVE(FSSI) WIRELESS SERVICES&SERVICES ENABLED DEVICES (ESD). Key points: 1. The contract supports the Federal Strategic Sourcing Initiative (FSSI) for wireless services and enabled devices. 2. Awarded under a BPA Call, indicating a pre-competed framework. 3. The contract's duration is substantial, spanning over 6 years. 4. The fixed-price contract type aims to provide cost certainty. 5. The total value suggests significant agency reliance on these services. 6. The contract is not set aside for small businesses.

Value Assessment

Rating: good

The total award amount of $110.8 million over approximately 6.7 years suggests a significant investment in wireless services. Benchmarking this against similar large-scale federal wireless contracts is challenging without specific service details. However, the firm-fixed-price structure generally indicates a commitment to predictable costs. The value-for-money assessment would depend on the specific services and devices procured under this BPA Call and their alignment with agency needs compared to market alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, likely leveraging an existing Blanket Purchase Agreement (BPA) Call. The presence of multiple bidders (3 indicated) suggests a competitive process was undertaken to secure the best value. The specific number of bids received within the BPA Call framework would provide further insight into the level of competition.

Taxpayer Impact: Full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to better pricing and service offerings, ensuring federal agencies are not locked into suboptimal arrangements.

Public Impact

Federal employees across the Department of Agriculture benefit from access to wireless services and enabled devices. Supports the operational needs of the Office of the Chief Financial Officer. Ensures connectivity and communication capabilities for agency operations. The geographic impact is likely nationwide, supporting dispersed federal workforces.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if not managed effectively post-BPA.
Reliance on a single vendor for a critical service could pose continuity risks.
Ensuring competitive pricing within the BPA call structure requires ongoing vigilance.

Positive Signals

Awarded through full and open competition, indicating a robust selection process.
Firm-fixed-price contract type provides cost predictability.
Supports a strategic sourcing initiative (FSSI), aiming for efficiency.

Sector Analysis

This contract falls within the telecommunications and IT services sector, specifically focusing on wireless communication solutions. The Federal Strategic Sourcing Initiative (FSSI) aims to consolidate and standardize common IT services across agencies to achieve economies of scale and improve acquisition efficiency. The market for enterprise wireless services is large and competitive, with numerous providers offering a range of devices and plans. This BPA Call likely represents a significant portion of the Department of Agriculture's spending in this category.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). Therefore, there are no direct subcontracting implications mandated by a small business set-aside. However, the prime contractor, Cellco Partnership (Verizon), may engage small businesses as subcontractors, though this is not explicitly detailed in the provided data. The absence of a set-aside means opportunities for small businesses are not guaranteed through this specific award.

Oversight & Accountability

Oversight for this contract would primarily reside with the Department of Agriculture's contracting officers and program managers. The firm-fixed-price nature simplifies some aspects of financial oversight. Transparency is facilitated by public contract databases. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse related to the contract's execution.

Related Government Programs

Federal Strategic Sourcing Initiative (FSSI)
Wireless Services Contracts
Enterprise Mobility Management
Telecommunications Services

Risk Flags

Potential for vendor lock-in
Cybersecurity and data privacy risks associated with mobile devices
Ensuring continued competitive pricing within BPA framework

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $110.8 million to CELLCO PARTNERSHIP. ENTERPRISE BPA CALL FOR FEDERAL STRATEGIC SOURCING INITIATIVE(FSSI) WIRELESS SERVICES&SERVICES ENABLED DEVICES (ESD).

Who is the contractor on this award?

The obligated recipient is CELLCO PARTNERSHIP.

Which agency awarded this contract?

Awarding agency: Department of Agriculture (Office of the Chief Financial Officer).

What is the total obligated amount?

The obligated amount is $110.8 million.

What is the period of performance?

Start: 2018-11-20. End: 2024-06-30.

What specific wireless services and enabled devices are covered under this BPA Call?

The provided data indicates the contract covers 'WIRELESS SERVICES & SERVICES ENABLED DEVICES (ESD)' under the Federal Strategic Sourcing Initiative (FSSI). However, the specific details of these services and devices are not itemized. Typically, this would encompass cellular voice and data plans, mobile device management (MDM) solutions, and potentially the procurement or leasing of smartphones, tablets, and other mobile hardware. The exact scope would be defined within the BPA Call's statement of work and subsequent task orders issued to Cellco Partnership.

How does the $110.8 million total award compare to historical federal spending on similar wireless services?

The $110.8 million total award for FSSI wireless services over approximately 6.7 years represents a substantial investment. To benchmark this effectively, one would need to compare it against aggregate federal spending on enterprise mobility and wireless services across similar agencies or the government as a whole. Agencies often consolidate wireless contracts through strategic sourcing vehicles like FSSI to achieve better rates than individual procurements. Without specific data on comparable contracts' scope and duration, a direct value-for-money comparison is difficult, but the scale suggests significant operational reliance and potential for negotiated savings through the FSSI program.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided summary data does not detail the specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this BPA Call. However, for enterprise wireless services contracts of this magnitude, common KPIs and SLAs typically include network uptime, data transmission speeds, call clarity, device provisioning times, customer support response times, and billing accuracy. These metrics are crucial for ensuring the reliability and efficiency of the wireless services provided to the Department of Agriculture and are usually stipulated in the contract's statement of work or task orders.

What is the track record of Cellco Partnership (Verizon) in fulfilling large federal wireless contracts?

Cellco Partnership, operating as Verizon Wireless, has a significant track record of fulfilling large federal wireless contracts. Verizon is a major telecommunications provider with extensive experience serving government agencies at federal, state, and local levels. They are known for their robust network infrastructure and a wide array of enterprise mobility solutions. Past performance on similar large-scale contracts would typically be evaluated during the procurement process, and their continued awards suggest a history of satisfactory performance in delivering reliable wireless services and devices to government entities.

Are there any specific risks identified with this contract, such as cybersecurity or data privacy concerns?

While the provided data does not explicitly list risks, large federal contracts involving wireless services and enabled devices inherently carry cybersecurity and data privacy risks. These can include potential vulnerabilities in mobile devices, unauthorized access to sensitive government data transmitted wirelessly, and compliance with federal data protection regulations (e.g., FISMA). The Department of Agriculture would have implemented security requirements and oversight mechanisms within the contract to mitigate these risks, likely including device security policies, encryption standards, and regular security audits.

How does this contract contribute to the broader goals of the Federal Strategic Sourcing Initiative (FSSI)?

This contract is a direct implementation of the Federal Strategic Sourcing Initiative (FSSI), specifically for wireless services and enabled devices. FSSI aims to reduce duplication, leverage buying power, and achieve cost savings by consolidating common commodity and service purchases across federal agencies. By awarding this BPA Call to Cellco Partnership under a full and open competition, the Department of Agriculture is participating in a government-wide effort to standardize and streamline wireless procurements, thereby contributing to overall federal IT efficiency and cost reduction goals.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

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: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Verizon Maryland LLC

Address: ONE VERIZON WY, BASKING RIDGE, NJ, 07920

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $142,467,864

Exercised Options: $142,467,864

Current Obligation: $110,784,476

Actual Outlays: $110,482,370

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS00Q13NSA3003

IDV Type: BPA

Timeline