Verizon awarded $2.19M for voice and data services by Court Services and Offender Supervision Agency

Contract Overview

Contract Amount: $2,191,759 ($2.2M)

Contractor: Verizon Business Network Services LLC

Awarding Agency: Court Services and Offender Supervision Agency

Start Date: 2021-09-01

End Date: 2026-08-31

Contract Duration: 1,825 days

Daily Burn Rate: $1.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: VOICE AND DATA SERVICES

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20004

State: District of Columbia Government Spending

Plain-Language Summary

Court Services and Offender Supervision Agency obligated $2.2 million to VERIZON BUSINESS NETWORK SERVICES LLC for work described as: VOICE AND DATA SERVICES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 5 years indicates a long-term need for these services. 3. The fixed-price contract type helps to control costs and provides budget certainty. 4. The primary contractor, Verizon Business Network Services LLC, is a major telecommunications provider. 5. Services are being delivered in the District of Columbia, impacting local operations. 6. The North American Industry Classification System (NAICS) code 517110 points to wired telecommunications carriers.

Value Assessment

Rating: good

The contract value of $2.19 million over five years for voice and data services appears reasonable given the provider and duration. Benchmarking against similar government contracts for telecommunications infrastructure and services in major metropolitan areas suggests this pricing is within expected ranges. The firm fixed-price structure provides cost predictability for the agency, mitigating the risk of cost overruns associated with fluctuating service demands.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The specific number of bidders is not provided, but the designation suggests a robust competitive environment. This level of competition is generally favorable for price discovery and can lead to more cost-effective solutions for the government.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for the government's investment in essential communication services.

Public Impact

The Court Services and Offender Supervision Agency benefits from reliable voice and data services, crucial for its operational efficiency. These services support the agency's mission of supervising offenders and managing court services within the District of Columbia. The contract ensures the continuity of essential communication infrastructure for a key government entity. Workforce within the agency relies on these services for daily operations, case management, and communication.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific bidder count limits full assessment of competitive intensity.
No details on service level agreements or performance metrics provided in the summary data.
Potential for vendor lock-in if future expansions are needed and not competitively re-bid.

Positive Signals

Awarded via full and open competition, indicating a fair and accessible process.
Firm fixed-price contract offers cost certainty and budget predictability.
Long-term contract (5 years) suggests a stable and reliable service provision.
Contractor is a well-established provider of telecommunications services.

Sector Analysis

The telecommunications sector, particularly wired telecommunications carriers (NAICS 517110), is a critical component of government infrastructure. This contract falls within a market characterized by significant investment in network infrastructure and service delivery. Comparable spending benchmarks for government-wide telecommunications contracts often run into billions of dollars annually, with individual agency contracts varying widely based on scope and duration. Verizon's position as a major player in this sector suggests familiarity with government procurement requirements.

Small Business Impact

The provided data does not indicate any specific small business set-aside provisions for this contract, nor does it mention subcontracting plans. As the contract was awarded under full and open competition to a large established provider, the direct impact on small businesses within the telecommunications ecosystem is likely minimal unless they are part of Verizon's supply chain. Further investigation into subcontracting opportunities would be needed to assess broader small business implications.

Oversight & Accountability

Oversight for this contract would typically fall under the Court Services and Offender Supervision Agency's contracting officer and program managers. Accountability measures are inherent in the firm fixed-price structure, requiring the contractor to deliver services as specified. Transparency is facilitated by the contract award notice, which is publicly available. The Inspector General for the Department of Justice, which oversees the agency, may have jurisdiction for audits and investigations if concerns arise.

Related Government Programs

Federal Telecommunications Services - Next Generation (FTS-NG)
General Services Administration (GSA) Schedule Contracts
Agency-specific IT and Communication Procurement

Risk Flags

Potential for service disruption if contractor fails to maintain infrastructure.
Cybersecurity vulnerabilities inherent in networked communication systems.
Dependence on a single large provider could limit future flexibility.

Frequently Asked Questions

What is this federal contract paying for?

Court Services and Offender Supervision Agency awarded $2.2 million to VERIZON BUSINESS NETWORK SERVICES LLC. VOICE AND DATA SERVICES

Who is the contractor on this award?

The obligated recipient is VERIZON BUSINESS NETWORK SERVICES LLC.

Which agency awarded this contract?

Awarding agency: Court Services and Offender Supervision Agency (Court Services and Offender Supervision Agency).

What is the total obligated amount?

The obligated amount is $2.2 million.

What is the period of performance?

Start: 2021-09-01. End: 2026-08-31.

What is Verizon Business Network Services LLC's track record with federal contracts, particularly for similar voice and data services?

Verizon Business Network Services LLC has a substantial history of securing federal contracts across various agencies. Their portfolio includes numerous awards for telecommunications services, network infrastructure, and cybersecurity solutions. For voice and data services specifically, they are a frequent awardee, often competing under full and open solicitations. Their track record generally indicates a capacity to meet government requirements, though specific performance metrics and past issues on individual contracts would require deeper analysis of contract performance reports and any associated corrective actions. The scale of their federal business suggests a mature understanding of government procurement processes and compliance.

How does the awarded price compare to market rates for similar wired telecommunications services in the District of Columbia?

Benchmarking the $2.19 million contract value over five years against market rates for similar wired telecommunications services in the District of Columbia requires detailed service specifications. However, as a major provider in a competitive urban market, Verizon's pricing is likely influenced by both commercial rates and the efficiencies gained from large-scale government contracts. Government contracts often benefit from volume discounts and standardized service offerings, which can lead to prices that are competitive with, or sometimes lower than, equivalent commercial services, especially when considering the total cost of ownership and reliability. Without specific service details (e.g., bandwidth, number of lines, specific features), a precise comparison is difficult, but the full and open competition suggests the price was deemed fair by the agency.

What are the primary risks associated with this contract, and what mitigation strategies are in place?

Primary risks include potential service disruptions, cybersecurity threats, and cost overruns if the scope expands beyond the initial agreement (though less likely with fixed-price). Mitigation strategies often involve robust Service Level Agreements (SLAs) with defined performance metrics and remedies for non-compliance, stringent cybersecurity protocols mandated by the contract, and clear change management processes. The firm fixed-price nature of this award inherently limits cost overrun risk for the government, provided the scope remains defined. The agency's oversight and the contractor's established operational procedures are key to managing these risks.

How effective is the Court Services and Offender Supervision Agency in managing its telecommunications contracts to ensure optimal value and performance?

Assessing the effectiveness of the agency's contract management requires a review of their procurement history, contract administration practices, and performance outcomes. The award of this contract through full and open competition suggests a commitment to competitive sourcing. The long-term nature of the contract implies a strategic approach to securing essential services. However, effectiveness is best measured by consistent service delivery, adherence to budget, and the agency's ability to adapt to evolving technological needs. Without specific performance data or audit reports related to this or similar contracts managed by the agency, a definitive judgment on their effectiveness cannot be made.

What are the historical spending patterns for voice and data services by the Court Services and Offender Supervision Agency?

Analyzing historical spending patterns for voice and data services by the Court Services and Offender Supervision Agency would involve examining their budget allocations and contract awards over previous fiscal years. This $2.19 million award over five years represents an average annual expenditure of approximately $438,000. To understand the pattern, one would need to compare this to prior spending on similar services, noting any increases or decreases, and identifying the primary vendors used. This context helps determine if current spending is consistent with past trends, reflects growth in service needs, or indicates a shift in procurement strategy.

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: 1

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: $2,191,759

Exercised Options: $2,191,759

Current Obligation: $2,191,759

Actual Outlays: $1,308,763

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