GSA awards $95M contract for Army Reserve voice communications infrastructure and support to A & T Systems, Inc

Contract Overview

Contract Amount: $95,030,789 ($95.0M)

Contractor: A & T Systems, Inc.

Awarding Agency: General Services Administration

Start Date: 2003-10-01

End Date: 2008-09-30

Contract Duration: 1,826 days

Daily Burn Rate: $52.0K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 50

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: SERVICE PROVIDER TO TAKE RESPONSIBILITY FOR ALL ARMY RESERVE VOICE COMMUNICATIONS INFRASTRUCTURE AND SUBSEQUENT LIFE CYCLE SUPPORT, MANAGE CURRENT VOICE COMMUNICATIONS TELECOM ACCOUNTS AND CIRCUITS (INCLUDING CONSOLIDATED BILLING SUPPORT) AND MANAGE DAY-TO-DAY MAINTENANCE ACTIVITIES (MOVES, ADDS, CHANGES).

Place of Performance

Location: ATLANTA, GEORGIA, 30330

State: Georgia Government Spending

Plain-Language Summary

General Services Administration obligated $95.0 million to A & T SYSTEMS, INC. for work described as: SERVICE PROVIDER TO TAKE RESPONSIBILITY FOR ALL ARMY RESERVE VOICE COMMUNICATIONS INFRASTRUCTURE AND SUBSEQUENT LIFE CYCLE SUPPORT, MANAGE CURRENT VOICE COMMUNICATIONS TELECOM ACCOUNTS AND CIRCUITS (INCLUDING CONSOLIDATED BILLING SUPPORT) AND MANAGE DAY-TO-DAY MAINTENANCE ACTIVIT… Key points: 1. Contract focuses on comprehensive lifecycle support for Army Reserve voice communications. 2. Includes management of telecom accounts, circuits, and consolidated billing. 3. Day-to-day maintenance, including moves, adds, and changes, is covered. 4. Contract duration spans five years, indicating a long-term need. 5. The award was made through a competitive delivery order process. 6. The service provider is responsible for all aspects of voice infrastructure.

Value Assessment

Rating: fair

The total contract value of $95 million over five years averages to $19 million annually. Benchmarking this against similar IT infrastructure and telecommunications support contracts is challenging without more specific details on the scope of services and the number of users supported. However, the contract type (Time and Materials) can sometimes lead to cost overruns if not closely managed. The value appears substantial, suggesting a significant operational requirement for the Army Reserve's voice communications.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This contract was awarded as a competitive delivery order, suggesting it was part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract vehicle. While competitive, the term 'limited competition' implies that not all potential offerors were considered, or that the pool of eligible contractors was restricted. The number of bids received (50) indicates a reasonable level of interest, which should have contributed to price discovery, but the specific nature of the IDIQ vehicle might have limited the overall market reach.

Taxpayer Impact: A competitive delivery order process, even if limited, generally offers better value to taxpayers than a sole-source award. The 50 bids suggest that the government received multiple proposals, allowing for some level of price negotiation and selection of the most advantageous offer.

Public Impact

The primary beneficiaries are the U.S. Army Reserve units relying on consistent and reliable voice communications. Services delivered include infrastructure maintenance, lifecycle support, account management, and circuit management. The geographic impact is likely nationwide, supporting Army Reserve operations across various locations. Workforce implications include the potential for A & T Systems, Inc. to employ personnel for service delivery and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost escalation if not managed rigorously.
Limited competition aspect of the delivery order may have restricted optimal price discovery.
Dependence on a single provider for critical voice infrastructure poses a risk if performance falters.

Positive Signals

Awarded through a competitive process, indicating multiple offers were considered.
The contract duration suggests a stable, long-term requirement being met.
The provider is responsible for comprehensive lifecycle support, potentially leading to efficiencies.

Sector Analysis

This contract falls within the telecommunications services sector, specifically focusing on wired telecommunications carriers. The market for managing and supporting enterprise voice communications infrastructure is substantial, driven by the ongoing need for reliable connectivity in government and commercial operations. Comparable spending benchmarks would typically involve analyzing contracts for similar managed network services, circuit management, and voice system support provided to large federal agencies. The $95 million value over five years places it as a significant contract within this niche.

Small Business Impact

The data indicates that small business participation was not a primary focus for this specific contract, as the awardee is A & T Systems, Inc., which is not explicitly identified as a small business in the provided data. There is no indication of small business set-asides or subcontracting requirements within the given information. This suggests that the primary contract was likely competed among larger entities capable of handling the scope and scale of the Army Reserve's voice communications needs.

Oversight & Accountability

Oversight for this contract would typically be managed by the General Services Administration (GSA) Federal Acquisition Service, which awarded the contract. Accountability measures would be embedded in the contract's performance work statement (PWS), with regular reviews and reporting requirements. Transparency is generally facilitated through contract award databases like FPDS, where basic details are published. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Army Reserve IT Support Contracts
Federal Telecommunications Services
Managed Network Services Contracts
DoD Communications Infrastructure
GSA Schedule Contracts

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Risk associated with limited competition impacting optimal price discovery.
Dependence on a single vendor for critical infrastructure.
Need for rigorous performance monitoring to ensure service quality.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $95.0 million to A & T SYSTEMS, INC.. SERVICE PROVIDER TO TAKE RESPONSIBILITY FOR ALL ARMY RESERVE VOICE COMMUNICATIONS INFRASTRUCTURE AND SUBSEQUENT LIFE CYCLE SUPPORT, MANAGE CURRENT VOICE COMMUNICATIONS TELECOM ACCOUNTS AND CIRCUITS (INCLUDING CONSOLIDATED BILLING SUPPORT) AND MANAGE DAY-TO-DAY MAINTENANCE ACTIVITIES (MOVES, ADDS, CHANGES).

Who is the contractor on this award?

The obligated recipient is A & T SYSTEMS, INC..

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $95.0 million.

What is the period of performance?

Start: 2003-10-01. End: 2008-09-30.

What is the specific nature of the 'limited competition' for this delivery order, and how did it impact pricing?

The term 'limited competition' for a delivery order typically means that the order was placed against an existing Indefinite Delivery/Indefinite Quantity (IDIQ) contract. While the IDIQ itself might have been competed broadly, the specific delivery order may have been competed among a subset of awardees or even awarded directly if the IDIQ terms allowed for it under certain conditions. The fact that 50 bids were received suggests a competitive process for this specific order, which should have allowed for price discovery. However, the exact pricing structure and whether it represents optimal value compared to a full and open competition for this specific requirement would depend on the terms of the underlying IDIQ and the specific evaluation criteria used for the delivery order.

How does the annual cost of this contract compare to similar managed voice communication services for other military branches or large federal agencies?

Direct comparison of the annual cost ($19 million average) is difficult without detailed scope information. However, for context, large federal agencies often spend tens to hundreds of millions annually on comprehensive IT and telecommunications managed services. For instance, contracts supporting enterprise voice and data networks for agencies like the Department of Defense (DoD) or the Department of Homeland Security (DHS) can range significantly based on user base, technology complexity, and service level agreements. The Army Reserve's requirement for voice infrastructure and lifecycle support, including circuit management, is a critical function, and the $19 million annual spend appears to be within a reasonable range for supporting a significant organizational component, assuming robust service delivery.

What are the key performance indicators (KPIs) used to measure the success of A & T Systems, Inc. in managing the Army Reserve's voice communications?

While specific KPIs are not detailed in the provided data, typical performance indicators for such a contract would likely include metrics related to network uptime and availability, call completion rates, mean time to repair (MTTR) for outages, response times for service requests (moves, adds, changes), accuracy of billing and account management, and adherence to security protocols. The contract's performance work statement (PWS) would outline these KPIs, and failure to meet them would likely trigger contractual remedies, potentially including financial penalties or termination. Regular performance reviews between GSA and A & T Systems, Inc. would assess adherence to these metrics.

What is the track record of A & T Systems, Inc. with federal government contracts, particularly in telecommunications and IT infrastructure support?

A & T Systems, Inc. has a history of performing federal government contracts. While the provided data doesn't detail their entire contract portfolio, their selection for this significant Army Reserve contract suggests they have demonstrated capability and past performance in relevant areas. Federal procurement databases would contain more granular information on their prior awards, including contract values, agencies served, and performance ratings. A thorough review of their contract history would reveal their experience with similar telecommunications services, infrastructure management, and lifecycle support, providing insight into their reliability and expertise.

What are the potential risks associated with relying on a single contractor for critical voice communications infrastructure and support?

The primary risks associated with relying on a single contractor for critical voice communications include vendor lock-in, potential for service degradation if the contractor's performance falters, and challenges in transitioning to a new provider if the relationship sours or the contract ends. There's also a risk related to the contractor's financial stability and operational capacity to meet evolving demands. For critical infrastructure like voice communications, any disruption can have significant operational impacts on the Army Reserve. Mitigation strategies often involve robust contract management, clear performance standards, and contingency planning for service continuity.

How has federal spending on telecommunications infrastructure and managed services evolved over the period of this contract (2003-2008) and beyond?

Federal spending on telecommunications infrastructure and managed services has generally increased over time, driven by technological advancements and the growing reliance on digital communication. During the 2003-2008 period, agencies were transitioning towards more integrated voice and data networks, often leveraging services like those procured under this contract. Post-2008, spending continued to grow, with a significant shift towards cloud-based services, unified communications, and cybersecurity enhancements. Agencies increasingly sought managed services to reduce internal IT burdens and leverage specialized expertise, leading to a robust market for telecommunications support contracts.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Offers Received: 50

Pricing Type: TIME AND MATERIALS (Y)

Contractor Details

Address: 12200 TECH ROAD, SILVER SPRING, MD, 08

Business Categories: Asian Pacific American Owned Business, Category Business, Minority Owned Business, Small Business

Financial Breakdown

Contract Ceiling: $95,030,789

Exercised Options: $95,030,789

Current Obligation: $95,030,789

Parent Contract

Parent Award PIID: GS00T03AHD0001

IDV Type: IDC

Timeline