NLRB awards $4.7M for SD-WAN services to Verizon Business Network Services LLC

Contract Overview

Contract Amount: $4,745,796 ($4.7M)

Contractor: Verizon Business Network Services LLC

Awarding Agency: National Labor Relations Board

Start Date: 2019-10-30

End Date: 2024-08-31

Contract Duration: 1,767 days

Daily Burn Rate: $2.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SD-WAN

Place of Performance

Location: ASHBURN, LOUDOUN County, VIRGINIA, 20147

State: Virginia Government Spending

Plain-Language Summary

National Labor Relations Board obligated $4.7 million to VERIZON BUSINESS NETWORK SERVICES LLC for work described as: SD-WAN Key points: 1. The contract is for SD-WAN services, a critical technology for modern networks. 2. Verizon Business Network Services LLC is a major player in the telecommunications sector. 3. The contract was awarded under full and open competition, suggesting a competitive bidding process. 4. The total value of the contract is approximately $4.7 million over its duration.

Value Assessment

Rating: good

The contract value of $4.7 million for SD-WAN services over nearly five years appears reasonable given the scope and provider. Benchmarking against similar large-scale network deployments suggests this pricing is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and ensures the government receives competitive pricing.

Taxpayer Impact: The competitive award process likely resulted in a fair price, maximizing the value of taxpayer funds spent on essential network infrastructure.

Public Impact

Ensures reliable and secure network connectivity for the National Labor Relations Board. Supports the agency's mission by providing modern telecommunications infrastructure. Leverages advanced SD-WAN technology for improved network performance and management.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics in provided data.
Potential for vendor lock-in with long-term contracts.
Reliance on a single vendor for critical network services.

Positive Signals

Awarded through full and open competition.
Utilizes modern SD-WAN technology.
Long contract duration provides stability.

Sector Analysis

The telecommunications sector, particularly for network services like SD-WAN, is highly competitive. Spending benchmarks vary widely based on scale, complexity, and specific service level agreements. This contract falls within a typical range for government agency network modernization.

Small Business Impact

The contract was awarded to Verizon Business Network Services LLC, a large prime contractor. There is no indication in the provided data whether small businesses were involved as subcontractors, which is a common practice in large IT procurements.

Oversight & Accountability

The National Labor Relations Board is responsible for overseeing this contract. Standard government procurement oversight processes should be in place to ensure performance and adherence to contract terms.

Related Government Programs

Wired Telecommunications Carriers
National Labor Relations Board Contracting
National Labor Relations Board Programs

Risk Flags

Lack of detailed performance metrics.
Potential for vendor lock-in.
No explicit mention of small business subcontracting.
Reliance on a single vendor for critical infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

National Labor Relations Board awarded $4.7 million to VERIZON BUSINESS NETWORK SERVICES LLC. SD-WAN

Who is the contractor on this award?

The obligated recipient is VERIZON BUSINESS NETWORK SERVICES LLC.

Which agency awarded this contract?

Awarding agency: National Labor Relations Board (National Labor Relations Board).

What is the total obligated amount?

The obligated amount is $4.7 million.

What is the period of performance?

Start: 2019-10-30. End: 2024-08-31.

What specific SD-WAN features and capabilities are included in this contract, and how do they align with the NLRB's current and future needs?

The provided data does not detail the specific SD-WAN features. A comprehensive analysis would require reviewing the contract's Statement of Work (SOW) to understand the included functionalities, such as network segmentation, traffic prioritization, security overlays, and cloud connectivity. Understanding these specifics is crucial to assess if the chosen solution adequately supports the NLRB's operational requirements and future scalability.

What are the key performance indicators (KPIs) for this SD-WAN service, and how will Verizon's performance be measured and evaluated?

The data lacks information on specific KPIs. Effective oversight necessitates clearly defined metrics for network uptime, latency, packet loss, and bandwidth utilization. The NLRB should have a robust performance management plan to track Verizon's adherence to these KPIs, with defined remedies for underperformance to ensure service quality and taxpayer value.

How does the pricing structure compare to industry benchmarks for similar SD-WAN deployments of this scale and duration?

While the overall contract value of $4.7 million over 1767 days (approx. 4.8 years) appears reasonable, a detailed pricing assessment requires comparing per-unit costs for bandwidth, hardware, software licenses, and managed services against industry averages. Without a breakdown of these components, it's difficult to definitively state if the pricing is optimal, though the full and open competition suggests a competitive outcome.

Industry Classification

NAICS: Information › Wired and Wireless Telecommunications (except Satellite) › Wired Telecommunications Carriers

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 5

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: $4,745,796

Exercised Options: $4,745,796

Current Obligation: $4,745,796

Actual Outlays: $4,171,400

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