Commerce Dept. Spends $42.8M on Verizon Cellular Services via BPA Call

Contract Overview

Contract Amount: $42,769 ($42.8K)

Contractor: Cellco Partnership

Awarding Agency: Department of Commerce

Start Date: 2022-09-04

End Date: 2024-03-03

Contract Duration: 546 days

Daily Burn Rate: $78/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: VERIZON CELLULAR SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20230

State: District of Columbia Government Spending

Plain-Language Summary

Department of Commerce obligated $42,768.76 to CELLCO PARTNERSHIP for work described as: VERIZON CELLULAR SERVICES Key points: 1. Significant spending on a major telecommunications provider. 2. Competition method was 'Full and Open', suggesting potential for price discovery. 3. Contract duration is substantial at 546 days. 4. No explicit small business participation noted.

Value Assessment

Rating: fair

The contract value of $42.8M over 546 days for cellular services is substantial. Benchmarking against similar government-wide contracts for Verizon services would be necessary to assess value, as pricing can vary significantly based on volume and specific service packages.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition' via a BPA Call. This method allows all responsible sources to submit offers, which generally promotes competitive pricing and ensures the government receives fair value.

Taxpayer Impact: Taxpayer funds are being used for essential communication services. The competitive award process aims to ensure efficient use of these funds.

Public Impact

Ensures critical communication infrastructure for the Department of Commerce. Supports agency operations across various departments and locations. Potential for cost savings through competitive bidding on a large-scale service.

Waste & Efficiency Indicators

Waste Risk Score: 78 / 10

Warning Flags

Positive Signals

Sector Analysis

The telecommunications sector is vital for government operations, providing essential connectivity. Spending benchmarks for wireless services vary widely based on data needs, user volume, and contract structure. This $42.8M expenditure represents a significant investment in communication capabilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses and does not explicitly mention small business participation. Further investigation may be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The use of a BPA Call suggests that a broader contract vehicle is in place, which may have undergone initial oversight. However, the specific call and its execution warrant review to ensure adherence to procurement regulations and value for money.

Related Government Programs

Risk Flags

Tags

wireless-telecommunications-carriers-exc, department-of-commerce, dc, bpa-call, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $42,768.76 to CELLCO PARTNERSHIP. VERIZON CELLULAR SERVICES

Who is the contractor on this award?

The obligated recipient is CELLCO PARTNERSHIP.

Which agency awarded this contract?

Awarding agency: Department of Commerce (Office of the Secretary).

What is the total obligated amount?

The obligated amount is $42,768.76.

What is the period of performance?

Start: 2022-09-04. End: 2024-03-03.

What specific cellular services are included in this $42.8M contract, and how do they align with the Department of Commerce's operational needs?

The contract likely covers a range of Verizon cellular services, potentially including voice, data, mobile hotspot, and possibly specialized plans for government use. Alignment with operational needs would depend on the specific requirements documented in the BPA call, such as device provisioning, data allowances, and geographic coverage necessary for Commerce Department personnel and functions.

Given the 'Full and Open Competition' award, what was the competitive landscape, and were there significant price differences between competing offers?

While awarded under full and open competition, the specific details of the bidding process, including the number of offers received and the price spread, are not provided. A competitive landscape analysis would require access to the solicitation and award documents to understand how Verizon's pricing compared to other potential bidders and if the chosen offer represented the best value.

How does the per-user or per-line cost compare to industry benchmarks or other government agency contracts for similar Verizon services?

Without specific details on the number of users/lines and the exact service packages included, a precise per-unit cost benchmark is difficult. However, comparing the average monthly cost per line against government-wide schedules (like GSA) or publicly available commercial plans for similar enterprise-level services would be the next step to assess cost-effectiveness.

Industry Classification

NAICS: InformationWired and Wireless Telecommunications CarriersWireless Telecommunications Carriers (except Satellite)

Product/Service Code: COMM/DETECT/COHERENT RADIATION

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: $42,769

Exercised Options: $42,769

Current Obligation: $42,769

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 1331L522A13ES0009

IDV Type: BPA

Timeline

Start Date: 2022-09-04

Current End Date: 2024-03-03

Potential End Date: 2024-03-03 00:00:00

Last Modified: 2026-04-02

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