DOJ's Bureau of Prisons awards $2.5M Verizon wireless contract for FY26, impacting Federal Prison System
Contract Overview
Contract Amount: $2,496 ($2.5K)
Contractor: Cellco Partnership
Awarding Agency: Department of Justice
Start Date: 2025-10-01
End Date: 2026-07-31
Contract Duration: 303 days
Daily Burn Rate: $8/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: WIRELESS SERVICES FCI BERLIN FY26 OF SERVICES VERIZON WIRELESS SERVICES FOR OCT-JANUARY
Place of Performance
Location: BASKING RIDGE, SOMERSET County, NEW JERSEY, 07920
Plain-Language Summary
Department of Justice obligated $2,495.95 to CELLCO PARTNERSHIP for work described as: WIRELESS SERVICES FCI BERLIN FY26 OF SERVICES VERIZON WIRELESS SERVICES FOR OCT-JANUARY Key points: 1. Spending on wireless services for federal prisons is a recurring need. 2. Verizon is a major provider in the wireless market, facing competition from AT&T and T-Mobile. 3. Potential risks include service disruptions, cost overruns, and vendor lock-in. 4. The IT sector, specifically telecommunications, is critical for government operations.
Value Assessment
Rating: fair
The contract value of $2.5M for a 10-month period appears reasonable given the scope of services for federal prisons. Benchmarking against similar government wireless contracts would provide a clearer picture of its competitiveness.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a limited competition approach. While efficient for smaller procurements, this method may not always yield the best price discovery compared to full and open competition.
Taxpayer Impact: Taxpayers are impacted through the funding of essential communication services for correctional facilities. The limited competition may result in a slightly higher cost than if a broader competition were pursued.
Public Impact
Ensures communication capabilities within federal correctional facilities. Supports operational efficiency and security through reliable wireless services. Provides connectivity for staff and potentially inmate communication programs.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition under SAP
- Potential for price increases in future renewals
- Dependence on a single vendor for critical services
Positive Signals
- Supports essential government functions
- Firm fixed price contract limits cost uncertainty
- Contract duration aligns with fiscal year needs
Sector Analysis
This contract falls within the Information Technology sector, specifically telecommunications services. Government spending on wireless services is substantial, with benchmarks varying based on agency size, user volume, and service level agreements.
Small Business Impact
The data does not indicate any specific provisions or set-asides for small businesses in this particular award. Larger telecommunications contracts often involve major providers, but subcontracting opportunities may exist.
Oversight & Accountability
The use of SAP suggests a streamlined procurement process. Oversight would focus on contract performance, adherence to service level agreements, and ensuring continued value for taxpayer dollars throughout the contract period.
Related Government Programs
- Wireless Telecommunications Carriers (except Satellite)
- Department of Justice Contracting
- Federal Prison System / Bureau of Prisons Programs
Risk Flags
- Limited competition may lead to higher costs.
- Potential for vendor lock-in with a single provider.
- Reliance on a single provider for critical infrastructure.
- Service disruptions could impact facility operations.
- Lack of small business participation noted.
Tags
wireless-telecommunications-carriers-exc, department-of-justice, nj, bpa-call, under-100k
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $2,495.95 to CELLCO PARTNERSHIP. WIRELESS SERVICES FCI BERLIN FY26 OF SERVICES VERIZON WIRELESS SERVICES FOR OCT-JANUARY
Who is the contractor on this award?
The obligated recipient is CELLCO PARTNERSHIP.
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Prison System / Bureau of Prisons).
What is the total obligated amount?
The obligated amount is $2,495.95.
What is the period of performance?
Start: 2025-10-01. End: 2026-07-31.
What is the specific breakdown of services included in this $2.5M contract and how do they align with the operational needs of the Federal Prison System?
The contract is for wireless telecommunications services. While the exact breakdown isn't detailed, it likely includes voice, data, and potentially mobile broadband for staff communications, security systems, and administrative functions within federal prisons. The duration of 10 months suggests it covers a specific operational period, ensuring continuity of essential communication infrastructure.
Given the limited competition, what measures are in place to mitigate the risk of inflated pricing or suboptimal service quality from Verizon?
The agency likely relies on pre-negotiated rates within the SAP framework and potentially historical pricing data. Oversight will monitor service performance against agreed-upon metrics. However, the inherent risk of limited competition means proactive vendor management and periodic market research are crucial to ensure fair pricing and quality.
How does this contract contribute to the overall effectiveness and security of federal prison operations?
Reliable wireless communication is vital for the effectiveness and security of federal prisons. It enables real-time coordination among staff, facilitates the use of electronic monitoring and security systems, and supports administrative tasks. This contract ensures that these critical communication channels remain operational, thereby contributing to the safe and efficient management of correctional facilities.
Industry Classification
NAICS: Information › Wired and Wireless Telecommunications Carriers › Wireless Telecommunications Carriers (except Satellite)
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - NETWORK
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Verizon Maryland LLC
Address: ONE 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: $2,496
Exercised Options: $2,496
Current Obligation: $2,496
Actual Outlays: $999
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 15JPSS21A00000293
IDV Type: BPA
Timeline
Start Date: 2025-10-01
Current End Date: 2026-07-31
Potential End Date: 2026-07-31 00:00:00
Last Modified: 2026-04-09
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