FBI Awards $64.4M Verizon EIS Task Order for Wired Telecommunications Services
Contract Overview
Contract Amount: $64,380,735 ($64.4M)
Contractor: Verizon Business Network Services LLC
Awarding Agency: Department of Justice
Start Date: 2022-05-19
End Date: 2026-05-19
Contract Duration: 1,461 days
Daily Burn Rate: $44.1K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: FBI EIS TASK #1 AWARD UNDER GSA EIS CONTRACT
Place of Performance
Location: ASHBURN, LOUDOUN County, VIRGINIA, 20147
State: Virginia Government Spending
Plain-Language Summary
Department of Justice obligated $64.4 million to VERIZON BUSINESS NETWORK SERVICES LLC for work described as: FBI EIS TASK #1 AWARD UNDER GSA EIS CONTRACT Key points: 1. Significant award to Verizon Business Network Services LLC for telecommunications infrastructure. 2. Task order issued under the broader GSA EIS contract, indicating existing framework. 3. Competition method was 'Full and Open', suggesting a competitive bidding process. 4. The contract duration is over 3 years, impacting long-term service provision. 5. The award falls under the 'Wired Telecommunications Carriers' NAICS code.
Value Assessment
Rating: good
The award amount of $64.4M over approximately 4 years suggests a substantial investment in telecommunications infrastructure. Benchmarking against similar large-scale government telecommunications contracts would be necessary for a precise value assessment, but the firm fixed price structure provides cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically leads to more competitive pricing and better value for the government. The use of the GSA EIS contract framework likely streamlined the procurement process.
Taxpayer Impact: The competitive nature of the award is expected to yield fair market pricing, ensuring taxpayer funds are used efficiently for essential FBI telecommunications services.
Public Impact
Ensures continued reliable communication services for the FBI's critical operations. Supports the FBI's mission by providing necessary wired telecommunications infrastructure. The award contributes to the broader government's strategy for modernizing federal networks. Potential for service disruptions if performance issues arise during the contract term.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration of over 3 years.
- Potential for vendor lock-in with a single provider for this duration.
- Dependence on Verizon for critical FBI communication infrastructure.
Positive Signals
- Awarded under GSA EIS contract, leveraging existing agreements.
- Full and open competition likely resulted in competitive pricing.
- Firm fixed price contract provides budget predictability.
Sector Analysis
This award falls within the IT and Telecommunications sector, specifically Wired Telecommunications Carriers. Government spending in this area is substantial, driven by the need for secure and reliable communication networks for various agencies.
Small Business Impact
The data indicates this award was not set aside for small businesses (ss: false, sb: false). Therefore, the primary contractor, Verizon Business Network Services LLC, is likely a large business, and opportunities for small business subcontracting would depend on Verizon's own subcontracting plans.
Oversight & Accountability
As a task order under a GSA contract, it benefits from established oversight mechanisms. However, ongoing monitoring of performance, service levels, and adherence to the firm fixed price agreement by the FBI and GSA is crucial for accountability.
Related Government Programs
- Wired Telecommunications Carriers
- Department of Justice Contracting
- Federal Bureau of Investigation Programs
Risk Flags
- Long contract duration may limit flexibility for future technology adoption.
- Dependence on a single large vendor for critical infrastructure.
- Potential for scope creep if not managed tightly.
- Cybersecurity risks associated with wired telecommunications infrastructure.
Tags
wired-telecommunications-carriers, department-of-justice, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $64.4 million to VERIZON BUSINESS NETWORK SERVICES LLC. FBI EIS TASK #1 AWARD UNDER GSA EIS CONTRACT
Who is the contractor on this award?
The obligated recipient is VERIZON BUSINESS NETWORK SERVICES LLC.
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Bureau of Investigation).
What is the total obligated amount?
The obligated amount is $64.4 million.
What is the period of performance?
Start: 2022-05-19. End: 2026-05-19.
What specific services are included under this task order, and how do they align with the FBI's current and future operational needs?
The task order falls under NAICS code 517110 (Wired Telecommunications Carriers), suggesting services like broadband internet, dedicated lines, and potentially voice services. A detailed review of the task order's statement of work is needed to confirm alignment with the FBI's specific requirements for secure, high-bandwidth communication, data transmission, and operational support across its various divisions and field offices.
What are the key performance indicators (KPIs) for this contract, and what are the penalties for non-performance?
While the provided data specifies a firm fixed price contract, it does not detail the specific Key Performance Indicators (KPIs) or associated penalties. Typically, telecommunications contracts include metrics for uptime, latency, bandwidth availability, and response times. The FBI would need to ensure robust performance monitoring and clearly defined remedies for service failures to mitigate risks.
How does the pricing of this task order compare to industry benchmarks for similar services, considering the scale and security requirements?
The award amount of $64.4M over approximately 4 years represents a significant investment. Without access to the specific service details and negotiated rates, a direct comparison is difficult. However, given the 'Full and Open Competition' and the use of the GSA EIS contract, it is presumed that the pricing is competitive. A detailed cost-benefit analysis comparing this to commercial equivalents, adjusted for government-specific security and reliability demands, would provide a clearer picture of value.
Industry Classification
NAICS: Information › Wired and Wireless Telecommunications (except Satellite) › Wired Telecommunications Carriers
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - NETWORK
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Verizon Maryland LLC
Address: 22001 LOUDOUN COUNTY PKWY, ASHBURN, VA, 20147
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $305,530,991
Exercised Options: $65,530,991
Current Obligation: $64,380,735
Actual Outlays: $52,553,647
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: GS00Q17NSD3009
IDV Type: IDC
Timeline
Start Date: 2022-05-19
Current End Date: 2026-05-19
Potential End Date: 2033-05-19 00:00:00
Last Modified: 2026-04-09
More Contracts from Verizon Business Network Services LLC
- Centralized HHS EIS Requirement — $398.5M (Department of Health and Human Services)
- Enterprise Infrastructure Solutions (EIS) Program - SSA Data Network Services (ssanet) — $283.5M (Social Security Administration)
- THE Tfcceis Task Order IS to Transition the Existing Tfcc Services From the Networx Contract Onto the EIS Contract Vehicle in a Manner That Will Enable Continuity of an Enterprise Network of Toll Free Services for the IRS — $264.6M (Department of the Treasury)
- National Security and Emergency Preparedness (ns/Ep) Priority Service (PS) With Verizon Business Services — $205.1M (Department of Defense)
- Toll Free Contact Center (tfcc)-Verizon-Exercise Option Period 1 YR 3 — $192.8M (Department of the Treasury)
View all Verizon Business Network Services LLC federal contracts →
Other Department of Justice Contracts
- Contractor Owned and Operated Existing Correctional Facility for Approximately 3,500 LOW Security Male Inmates — $794.5M (Cornell Companies, Inc.)
- Detention Services - SAN Diego — $776.9M (THE GEO Group, Inc.)
- CO: Telly Renfroe Award of NEW Task Order Base Year Initial Funding — $616.4M (AT&T Enterprises, LLC)
- TAS 151060 - Services for the Management and Operation of a Contractor-Owned, Contractor-Operated, Correctional Facility for 2,567 Beds in Adams County, Mississippi — $574.3M (Corecivic, Inc.)
- Provide Services for the Management and Operation of a Correctional Facility in Accordance With Rfp-Pcc-0014 — $568.9M (Cornell Companies, Inc.)