DOJ's Federal Prison System awards $4.05M Verizon cell service contract for 303 days

Contract Overview

Contract Amount: $4,050 ($4.0K)

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: $13/day

Competition Type: NOT COMPETED UNDER SAP

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: P1 - FY26 VERIZON CELL PHONE

Place of Performance

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

State: New Jersey Government Spending

Plain-Language Summary

Department of Justice obligated $4,050 to CELLCO PARTNERSHIP for work described as: P1 - FY26 VERIZON CELL PHONE Key points: 1. Contract awarded to Cellco Partnership (Verizon) for wireless telecommunications. 2. The contract value is $4.05 million over 303 days. 3. Awarded via a BPA Call under a non-competed process. 4. The sector is IT, specifically Wireless Telecommunications Carriers. 5. No small business participation noted.

Value Assessment

Rating: fair

The contract value of $4.05 million for approximately 10 months of service appears reasonable for a large federal agency. Benchmarking against similar federal wireless contracts would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not competed under SAP and was awarded via a BPA Call. This suggests limited competition and potentially less aggressive price discovery compared to a fully competed solicitation.

Taxpayer Impact: Taxpayer funds are being used for essential communication services. The lack of full competition may result in a higher price than could be achieved through open bidding.

Public Impact

Ensures communication services for the Federal Prison System. Potential for higher costs due to limited competition. Impacts federal inmates' ability to communicate with the outside world.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically wireless telecommunications. Federal spending on wireless services is substantial, and agencies often rely on established providers for critical infrastructure.

Small Business Impact

The data indicates no small business participation in this contract. Agencies are encouraged to promote small business utilization, and this award does not reflect that.

Oversight & Accountability

Awarded via a BPA Call, oversight may be less rigorous than for a fully competed contract. Accountability for pricing and performance rests with the Bureau of Prisons.

Related Government Programs

Risk Flags

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 $4,050 to CELLCO PARTNERSHIP. P1 - FY26 VERIZON CELL PHONE

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 $4,050.

What is the period of performance?

Start: 2025-10-01. End: 2026-07-31.

What was the justification for not competing this contract under SAP?

The justification for not competing this contract under SAP is not provided in the data. Typically, agencies may use existing contract vehicles like Blanket Purchase Agreements (BPAs) for efficiency or if specific pre-negotiated terms are advantageous. However, the lack of competition raises questions about whether a better price or service could have been obtained through a more open process.

What is the risk associated with limited competition for wireless services?

The primary risk of limited competition for wireless services is the potential for inflated prices and reduced innovation. Without the pressure of multiple bidders, the incumbent provider may not be incentivized to offer the most competitive rates or the latest technology. This can lead to taxpayers overpaying for services and the government not receiving the best possible value.

How effective is this contract in ensuring reliable communication for the Federal Prison System?

Assuming Verizon provides reliable service, the contract is likely effective in ensuring communication. However, effectiveness can be hampered if the pricing is not optimal due to limited competition. The true effectiveness also depends on service level agreements and performance metrics not detailed here, which are crucial for critical infrastructure like prison communications.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONSIT AND TELECOM - NETWORK

Competition & Pricing

Extent Competed: NOT 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: $4,050

Exercised Options: $4,050

Current Obligation: $4,050

Actual Outlays: $1,107

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: 2026-04-10

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