Treasury's $1.55M Verizon Wireless Contract Awarded via Full and Open Competition
Contract Overview
Contract Amount: $1,552,743 ($1.6M)
Contractor: Cellco Partnership
Awarding Agency: Department of the Treasury
Start Date: 2021-11-01
End Date: 2026-10-31
Contract Duration: 1,825 days
Daily Burn Rate: $851/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: VERIZON WIRELESS SERVICES
Place of Performance
Location: BASKING RIDGE, SOMERSET County, NEW JERSEY, 07920
Plain-Language Summary
Department of the Treasury obligated $1.6 million to CELLCO PARTNERSHIP for work described as: VERIZON WIRELESS SERVICES Key points: 1. Contract Value: $1.55 million over 5 years. 2. Competition: Awarded under full and open competition. 3. Risk: Low risk identified due to established provider and fixed pricing. 4. Sector: Telecommunications services.
Value Assessment
Rating: good
The contract value of $1.55 million over five years appears reasonable for wireless telecommunications services. Benchmarking against similar government contracts for enterprise-level wireless solutions would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust price discovery process. This method typically leads to competitive pricing as multiple vendors had the opportunity to bid.
Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers, as it promotes market competition and can lead to cost savings.
Public Impact
Ensures reliable wireless communication for the Bureau of the Fiscal Service. Supports critical government operations through consistent connectivity. Provides a stable telecommunications solution for federal employees.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Positive Signals
- Full and open competition utilized.
- Firm fixed price contract type.
- Long-term contract provides stability.
Sector Analysis
This contract falls within the telecommunications sector, specifically wireless services. Government spending in this area is essential for maintaining communication infrastructure across various agencies.
Small Business Impact
The data does not indicate specific small business participation in this contract. Further analysis would be needed to determine if small businesses were involved as prime contractors or subcontractors.
Oversight & Accountability
The contract is managed by the Bureau of the Fiscal Service within the Department of the Treasury, indicating established oversight mechanisms for federal procurement.
Related Government Programs
- Wireless Telecommunications Carriers (except Satellite)
- Department of the Treasury Contracting
- Bureau of the Fiscal Service Programs
Risk Flags
- Potential vendor lock-in.
- Reliance on a single provider for critical services.
- Need for ongoing performance monitoring.
Tags
wireless-telecommunications-carriers-exc, department-of-the-treasury, nj, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of the Treasury awarded $1.6 million to CELLCO PARTNERSHIP. VERIZON WIRELESS SERVICES
Who is the contractor on this award?
The obligated recipient is CELLCO PARTNERSHIP.
Which agency awarded this contract?
Awarding agency: Department of the Treasury (Bureau of the Fiscal Service).
What is the total obligated amount?
The obligated amount is $1.6 million.
What is the period of performance?
Start: 2021-11-01. End: 2026-10-31.
What is the average per-unit cost for wireless services under this contract compared to industry benchmarks?
Without specific details on the number of lines, data plans, and features included, a precise per-unit cost comparison is difficult. However, the total contract value of $1.55 million over five years suggests an average annual spend of $310,000. This figure should be benchmarked against government-wide agreements or similar large-scale enterprise wireless contracts to assess its competitiveness.
What are the potential risks associated with relying on a single vendor for wireless services, even with full and open competition?
Even with full and open competition, relying on a single vendor can pose risks such as potential service disruptions, price increases upon contract renewal, or vendor lock-in if switching becomes difficult. However, the firm fixed price structure mitigates immediate price volatility. The agency should maintain contingency plans and monitor vendor performance closely.
How effectively does this contract enable the Bureau of the Fiscal Service to meet its operational communication needs?
The contract's duration and firm fixed price suggest a stable and predictable communication solution, likely enabling the Bureau to meet its operational needs effectively. The use of a well-established provider like Verizon Wireless implies a high degree of reliability. Continued monitoring of service quality and user satisfaction would confirm its effectiveness.
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 - END USER
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: RFQ-TGT-22-WIRELESS
Offers Received: 2
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: $1,648,992
Exercised Options: $1,648,992
Current Obligation: $1,552,743
Actual Outlays: $1,064,983
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Parent Contract
Parent Award PIID: 47QTCA20D00B5
IDV Type: FSS
Timeline
Start Date: 2021-11-01
Current End Date: 2026-10-31
Potential End Date: 2026-10-31 00:00:00
Last Modified: 2026-04-09
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