Smithsonian Institution awards $416K for dark fiber, highlighting IT infrastructure needs

Contract Overview

Contract Amount: $416,000 ($416.0K)

Contractor: Zayo Group LLC

Awarding Agency: Smithsonian Institution

Start Date: 2025-03-12

End Date: 2026-04-11

Contract Duration: 395 days

Daily Burn Rate: $1.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: INCREMENTAL FUNDS FOR DARK FIBER CONNECTIONS.

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20001

State: District of Columbia Government Spending

Plain-Language Summary

Smithsonian Institution obligated $416,000 to ZAYO GROUP LLC for work described as: INCREMENTAL FUNDS FOR DARK FIBER CONNECTIONS. Key points: 1. Contract focuses on essential IT infrastructure, supporting data transmission. 2. Competition was full and open, suggesting a potentially competitive bidding process. 3. The contract duration of 395 days indicates a medium-term need for these services. 4. Fixed-price contract type helps manage cost certainty for the agency. 5. The award to Zayo Group LLC places it within the telecommunications services sector. 6. This award represents a small portion of overall federal IT spending.

Value Assessment

Rating: good

The contract value of $416,000 for dark fiber connections appears reasonable for a one-year term. Benchmarking against similar federal contracts for dark fiber services indicates that pricing can vary significantly based on bandwidth, route diversity, and service level agreements. Without specific details on the technical requirements, a precise value-for-money assessment is challenging. However, the fixed-price nature of the contract provides cost predictability.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. With three bids received, the competition level suggests a moderate level of interest from potential vendors. This process is generally expected to yield competitive pricing and encourage vendors to offer their best terms.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it increases the likelihood of obtaining services at market-competitive rates, preventing potential overspending.

Public Impact

The Smithsonian Institution benefits from enhanced IT infrastructure, enabling better data management and operational efficiency. Services delivered include the provision of dark fiber connections, crucial for high-speed data transmission. The geographic impact is primarily within the District of Columbia, where the Smithsonian's facilities are located. This contract supports the IT workforce by engaging telecommunications service providers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Awarded under full and open competition, indicating a robust bidding process.
Fixed-price contract type provides cost certainty.
The contractor, Zayo Group LLC, is a known entity in the telecommunications sector.

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on telecommunications infrastructure. The market for dark fiber services is competitive, with several major providers offering solutions to government agencies. Federal spending on IT infrastructure, including network connectivity, is substantial, driven by the need for secure, high-capacity data transmission to support agency operations and digital services.

Small Business Impact

This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses. The award went to Zayo Group LLC, a large telecommunications provider. This means the direct economic impact on the small business ecosystem from this specific award is minimal, though Zayo may engage small businesses in its broader supply chain.

Oversight & Accountability

The contract is a definitive contract awarded by the Smithsonian Institution, which is subject to standard federal procurement regulations and oversight. The fixed-price nature of the contract helps in managing costs. Transparency is maintained through federal contract databases where such awards are reported. Oversight would typically involve contract performance monitoring by the Smithsonian's contracting officer.

Related Government Programs

Federal Telecommunications Services
IT Infrastructure Modernization
Network Connectivity Services

Risk Flags

Potential for service disruption
Vendor lock-in risk
Performance variability based on specific route and SLAs

Frequently Asked Questions

What is this federal contract paying for?

Smithsonian Institution awarded $416,000 to ZAYO GROUP LLC. INCREMENTAL FUNDS FOR DARK FIBER CONNECTIONS.

Who is the contractor on this award?

The obligated recipient is ZAYO GROUP LLC.

Which agency awarded this contract?

Awarding agency: Smithsonian Institution (Smithsonian Institution).

What is the total obligated amount?

The obligated amount is $416,000.

What is the period of performance?

Start: 2025-03-12. End: 2026-04-11.

What is the specific performance period and delivery timeline for these dark fiber connections?

The contract has a performance start date of March 12, 2025, and an end date of April 11, 2026, providing a service period of approximately 13 months (395 days). This timeline suggests a defined project or operational need for the dark fiber connections within this specific window. The agency will likely require the service to be fully operational by the start date and maintained through the end date, with potential for extensions if specified in the contract terms.

How does the awarded amount of $416,000 compare to typical federal spending on similar dark fiber services?

The awarded amount of $416,000 for dark fiber connections over approximately 13 months is on the lower end for federal contracts, especially in high-cost areas like Washington D.C. Federal contracts for dark fiber can range from tens of thousands to millions of dollars annually, depending heavily on the length of the fiber, bandwidth, service level agreements (SLAs), and geographic scope. This specific award suggests a relatively limited scope, perhaps for a few key connections or a shorter route, compared to large-scale network build-outs.

What are the key risks associated with this dark fiber contract for the Smithsonian Institution?

Key risks include potential service disruptions if the fiber is damaged, leading to connectivity issues for critical Smithsonian systems. Vendor lock-in could be a concern if alternative providers are not readily available or cost-prohibitive to switch to. Performance issues related to meeting the specified bandwidth or latency requirements could also arise, impacting the effectiveness of the IT infrastructure. Ensuring the security of the data transmitted over the dark fiber is another critical risk that needs continuous monitoring and robust security protocols.

What is Zayo Group LLC's track record with federal government contracts, particularly for IT infrastructure?

Zayo Group LLC has a significant track record of securing federal contracts, primarily within the telecommunications and IT infrastructure space. They are a major provider of fiber optic bandwidth and connectivity services. Their past awards often involve providing dark fiber, wavelength services, and Ethernet connectivity to various federal agencies. While specific performance details for each contract are not publicly detailed, their consistent presence in federal contracting suggests a capability to meet agency requirements, though like any large contractor, they may have faced performance reviews or disputes on specific projects.

What does the 'Computer Systems Design Services' NAICS code (541512) imply for this dark fiber contract?

The NAICS code 541512, 'Computer Systems Design Services,' is somewhat broad and can encompass a range of IT-related services. For a dark fiber contract, it suggests that the service might be part of a larger IT systems integration or design project where the dark fiber is a critical component for connecting systems. While the core service is providing the physical fiber infrastructure, the classification might indicate that the vendor is also involved in the design or integration of the network systems that will utilize this fiber, ensuring it meets the specific design requirements of the Smithsonian's IT infrastructure.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1805 29TH ST UNIT 2050, BOULDER, CO, 80301

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $416,000

Exercised Options: $416,000

Current Obligation: $416,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline