USDA Awards $12.9M BPA for Wireless Services to Cellco Partnership

Contract Overview

Contract Amount: $12,900,000 ($12.9M)

Contractor: Cellco Partnership

Awarding Agency: Department of Agriculture

Start Date: 2026-01-01

End Date: 2029-06-29

Contract Duration: 1,275 days

Daily Burn Rate: $10.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: USDA WIRELESS SERVICES AND SERVICE ENABLED DEVICES BLANKET PURCHASE AGREEMENT VERIZON FUNDING

Place of Performance

Location: BASKING RIDGE, SOMERSET County, NEW JERSEY, 07920

State: New Jersey Government Spending

Plain-Language Summary

Department of Agriculture obligated $12.9 million to CELLCO PARTNERSHIP for work described as: USDA WIRELESS SERVICES AND SERVICE ENABLED DEVICES BLANKET PURCHASE AGREEMENT VERIZON FUNDING Key points: 1. The USDA has awarded a Blanket Purchase Agreement (BPA) valued at $12.9 million for wireless services and devices. 2. The contract is with Cellco Partnership (Verizon), a major player in the telecommunications sector. 3. The BPA is set to expire on June 29, 2029, indicating a medium-term commitment. 4. The primary sector for this spending is Information Technology, specifically wireless telecommunications.

Value Assessment

Rating: good

The BPA call award of $12.9 million appears reasonable for comprehensive wireless services over its duration. Benchmarking against similar large-scale government wireless contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method typically leads to better price discovery and value for the government.

Taxpayer Impact: The competitive nature of the award is expected to yield fair pricing, maximizing taxpayer value for essential wireless services.

Public Impact

Ensures USDA employees have access to critical wireless communication tools for daily operations. Supports the agency's mission by providing reliable mobile connectivity across various locations. The contract's duration allows for stable service planning and budgeting. Potential for future task orders to expand or modify services based on evolving agency needs.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific per-unit cost data makes detailed value assessment challenging.
Potential for vendor lock-in if services become deeply integrated.
Reliance on a single vendor for critical communication infrastructure.

Positive Signals

Awarded under full and open competition.
Long-term contract provides service stability.
Clear expiration date allows for future re-evaluation.

Sector Analysis

This spending falls within the Information Technology sector, specifically wireless telecommunications services. Government spending on wireless services is substantial, driven by the need for mobile communication for federal employees across various agencies and locations.

Small Business Impact

The contract was awarded to Cellco Partnership (Verizon), a large telecommunications provider. There is no explicit indication of small business participation or set-asides within the provided data, suggesting this is not a primary focus for this specific BPA.

Oversight & Accountability

The Office of the Chief Financial Officer is involved, indicating financial oversight. The BPA call mechanism allows for specific orders against the agreement, which should be tracked for compliance and budget adherence.

Related Government Programs

Wireless Telecommunications Carriers (except Satellite)
Department of Agriculture Contracting
Office of the Chief Financial Officer Programs

Risk Flags

Lack of detailed cost breakdown.
Potential for vendor lock-in.
Reliance on a single provider.
No explicit small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Agriculture awarded $12.9 million to CELLCO PARTNERSHIP. USDA WIRELESS SERVICES AND SERVICE ENABLED DEVICES BLANKET PURCHASE AGREEMENT VERIZON FUNDING

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 $12.9 million.

What is the period of performance?

Start: 2026-01-01. End: 2029-06-29.

What is the average per-user cost for wireless services under this BPA compared to industry benchmarks?

Without specific per-user data or detailed service plans, a precise comparison is difficult. However, given the scale and full and open competition, the pricing is likely competitive. Further analysis would require breakdown of services (data, voice, device costs) and user numbers to compare against government-wide or commercial benchmarks for similar service tiers.

What are the potential risks associated with relying on a single vendor for critical wireless communications?

Key risks include service disruptions due to vendor issues, lack of flexibility in adopting new technologies if the vendor lags, and potential price increases upon contract renewal if competition is less robust. Mitigation strategies could involve clear service level agreements (SLAs), regular performance reviews, and contingency planning for service continuity.

How effectively does this BPA support the USDA's operational needs and mission objectives?

This BPA likely ensures essential mobile communication capabilities for USDA personnel, crucial for field operations, data collection, and inter-agency coordination. The long duration suggests a strategic commitment to reliable service. Effectiveness can be further measured by tracking service uptime, user satisfaction, and the ability of the wireless services to support specific mission-critical applications.

Industry Classification

NAICS: Information › Wired and Wireless Telecommunications Carriers › Wireless Telecommunications Carriers (except Satellite)

Product/Service Code: IT AND TELECOM - END USER

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Verizon Maryland LLC

Address: 1 VERIZON WAY, BASKING RIDGE, NJ, 07920

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

Financial Breakdown

Contract Ceiling: $26,451,663

Exercised Options: $12,900,000

Current Obligation: $12,900,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 12314426A0003

IDV Type: BPA

Timeline