Agriculture's $2.7M Mail Management Contract Awarded to Pitney Bowes Under Full and Open Competition
Contract Overview
Contract Amount: $2,695,943 ($2.7M)
Contractor: Pitney Bowes Inc.
Awarding Agency: Department of Agriculture
Start Date: 2026-03-31
End Date: 2027-03-30
Contract Duration: 364 days
Daily Burn Rate: $7.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: MAIL MANAGEMENT PROCESSING EQUIPMENT AND SOFTWARE, WHICH INCLUDES MAINTENANCE/METER SERVICES AND DATA RETRIEVAL AND REPORTING. MAINTENANCE SERVICES IS DEFINED AS TECHNICAL SUPPORT FOR ALL SYSTEMS AS WELL AS ON-SITE SERVICE SUPPORT FOR THE MEDIUM-SIZE
Place of Performance
Location: SHELTON, NAUGATUCK VLY County, CONNECTICUT, 06484
Plain-Language Summary
Department of Agriculture obligated $2.7 million to PITNEY BOWES INC. for work described as: MAIL MANAGEMENT PROCESSING EQUIPMENT AND SOFTWARE, WHICH INCLUDES MAINTENANCE/METER SERVICES AND DATA RETRIEVAL AND REPORTING. MAINTENANCE SERVICES IS DEFINED AS TECHNICAL SUPPORT FOR ALL SYSTEMS AS WELL AS ON-SITE SERVICE SUPPORT FOR THE MEDIUM-SIZE Key points: 1. Contract focuses on mail processing equipment, software, maintenance, and data retrieval. 2. Pitney Bowes, a known provider, secured the award. 3. The contract runs for one year, with a total value of $2.7 million. 4. This falls under 'All Other Business Support Services' NAICS code.
Value Assessment
Rating: good
The contract value of $2.7 million for a one-year term appears reasonable for mail management solutions, especially considering the inclusion of equipment, software, and comprehensive maintenance services. Benchmarking against similar contracts for enterprise-level mailroom operations would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is expected to drive fair pricing and ensure the government receives value for its investment in mail management solutions.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential mail processing services.
Public Impact
Ensures efficient mail processing for the Department of Agriculture's Office of the Chief Financial Officer. Supports critical functions through reliable equipment, software, and maintenance. Provides data retrieval and reporting capabilities for financial operations. Potential for improved mail handling efficiency and cost savings.
Waste & Efficiency Indicators
Waste Risk Score: 74 / 10
Warning Flags
- Potential for vendor lock-in with proprietary equipment/software.
- Reliance on a single vendor for maintenance and support.
Positive Signals
- Awarded through full and open competition.
- Includes comprehensive maintenance and support.
- Clear scope of work for mail management.
Sector Analysis
The 'All Other Business Support Services' sector encompasses a wide range of services. Spending in this area can vary significantly based on agency needs, but mail management is a common operational requirement for large organizations.
Small Business Impact
The data indicates this contract was not awarded to a small business (sb: false). Larger contracts for specialized services like mail management often go to established, larger companies with the necessary infrastructure and expertise.
Oversight & Accountability
The award was a Delivery Order under an existing contract, suggesting it has likely undergone some level of review. Further oversight would involve monitoring performance against contract requirements and ensuring adherence to terms.
Related Government Programs
- All Other Business Support Services
- Department of Agriculture Contracting
- Office of the Chief Financial Officer Programs
Risk Flags
- Potential for increased costs upon contract renewal.
- Dependence on vendor for critical mail operations.
- Risk of service disruptions if maintenance is inadequate.
- Limited flexibility if agency needs evolve beyond contract scope.
Tags
all-other-business-support-services, department-of-agriculture, ct, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Agriculture awarded $2.7 million to PITNEY BOWES INC.. MAIL MANAGEMENT PROCESSING EQUIPMENT AND SOFTWARE, WHICH INCLUDES MAINTENANCE/METER SERVICES AND DATA RETRIEVAL AND REPORTING. MAINTENANCE SERVICES IS DEFINED AS TECHNICAL SUPPORT FOR ALL SYSTEMS AS WELL AS ON-SITE SERVICE SUPPORT FOR THE MEDIUM-SIZE
Who is the contractor on this award?
The obligated recipient is PITNEY BOWES INC..
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 $2.7 million.
What is the period of performance?
Start: 2026-03-31. End: 2027-03-30.
What is the specific breakdown of costs for equipment, software, and maintenance within the $2.7 million contract?
The provided data does not detail the cost breakdown. A full analysis would require access to the contract's line-item details. Understanding this allocation is crucial for assessing if the pricing for each component is competitive and aligns with market rates for mail management solutions.
Are there any performance metrics or service level agreements (SLAs) defined in the contract to ensure service quality?
The data does not specify performance metrics or SLAs. Effective oversight would necessitate clear SLAs for maintenance response times, system uptime, and data reporting accuracy to ensure the vendor meets expectations and the agency receives the intended value.
What is the process for evaluating the effectiveness of the mail management services post-award?
The contract's effectiveness evaluation process is not detailed. Typically, agencies would track mail volume processed, equipment uptime, maintenance resolution times, and user satisfaction. Regular performance reviews with the vendor would be essential to gauge effectiveness and address any issues.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Business Support Services › All Other Business Support Services
Product/Service Code: OFFICE MACH/TEXT PROCESS/VISIB REC
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 27 WATERVIEW DR, SHELTON, CT, 06484
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $8,087,830
Exercised Options: $2,695,943
Current Obligation: $2,695,943
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 47QSMA21D08R3
IDV Type: FSS
Timeline
Start Date: 2026-03-31
Current End Date: 2027-03-30
Potential End Date: 2029-03-30 00:00:00
Last Modified: 2026-04-03
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