Interior Dept. Spends $35M on Telecommunications Services with AT&T Technical Services

Contract Overview

Contract Amount: $34,991,313 ($35.0M)

Contractor: AT&T Technical Services Company, Inc

Awarding Agency: Department of the Interior

Start Date: 2003-06-15

End Date: 2013-11-23

Contract Duration: 3,814 days

Daily Burn Rate: $9.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20503

State: District of Columbia Government Spending

Plain-Language Summary

Department of the Interior obligated $35.0 million to AT&T TECHNICAL SERVICES COMPANY, INC for work described as: Key points: 1. Significant contract value of $34.99 million over 10 years. 2. AT&T Technical Services Company, Inc. secured this award. 3. The contract falls under 'Other Telecommunications' (NAICS 517910). 4. Awarded under full and open competition, suggesting market availability. 5. Firm Fixed Price contract type indicates predictable costs for the government.

Value Assessment

Rating: good

The $34.99 million award over 10 years averages to approximately $3.5 million annually. This appears reasonable for comprehensive telecommunications services, especially considering the duration and potential scope for a large agency like the Department of the Interior.

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 competitive pricing and allows the government to select the best value offering.

Taxpayer Impact: The use of full and open competition is a positive sign for taxpayer value, as it aims to secure competitive pricing and ensure the government receives the most advantageous terms.

Public Impact

Ensures critical telecommunications infrastructure for the Department of the Interior's operations. Supports agency-wide communication needs across various offices and potentially remote locations. Long-term contract provides stability and predictability for essential services. Potential for modernization and upgrades to telecommunications systems over the contract period.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Contract duration of 10 years may lead to technology obsolescence if not managed.
Lack of specific performance metrics makes it difficult to assess service quality.
No indication of small business participation.

Positive Signals

Firm Fixed Price contract provides cost certainty.
Full and open competition suggests a competitive bidding process.
Long-term award provides service stability.

Sector Analysis

The telecommunications sector is vital for government operations, providing essential communication networks. Spending benchmarks vary widely based on the specific services (e.g., data, voice, cloud) and scale. This $35 million over 10 years for the Department of the Interior suggests a substantial, agency-wide service agreement.

Small Business Impact

The data indicates that this contract was not awarded to a small business (sb: false). There is no specific information provided on subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The contract was awarded under full and open competition, which implies a structured procurement process. However, further details on performance monitoring and oversight mechanisms would be needed to fully assess accountability.

Related Government Programs

Other Telecommunications
Department of the Interior Contracting
Departmental Offices Programs

Risk Flags

Long contract duration (10 years) increases risk of technological obsolescence.
Lack of specific performance metrics makes quality assessment difficult.
No clear indication of small business subcontracting goals.
Broad service category ('Other Telecommunications') lacks specificity.
Potential for vendor lock-in over the extended period.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $35.0 million to AT&T TECHNICAL SERVICES COMPANY, INC. See the official description on USAspending.

Who is the contractor on this award?

The obligated recipient is AT&T TECHNICAL SERVICES COMPANY, INC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $35.0 million.

What is the period of performance?

Start: 2003-06-15. End: 2013-11-23.

What specific telecommunications services are included in this $35 million contract, and how do they align with the Department of the Interior's current and future needs?

The contract covers 'Other Telecommunications' (NAICS 517910), which is broad. Specific services could range from network infrastructure, data transmission, voice services, to managed network solutions. Understanding the detailed service catalog is crucial to assess if the $35 million investment effectively addresses the Department of the Interior's evolving operational requirements and technological advancements over the 10-year period.

Given the 10-year duration, what provisions are in place to mitigate the risk of technological obsolescence and ensure the Department of the Interior benefits from modern telecommunications solutions?

A 10-year contract term for telecommunications presents a significant risk of technological obsolescence. Without explicit clauses for technology refresh, upgrades, or performance-based incentives tied to adopting newer standards, the government might be locked into outdated systems. The contract's structure needs to clearly outline how AT&T will ensure the services remain current and effective throughout the decade.

How was the 'best value' determined in this full and open competition, and what metrics were used to evaluate AT&T's technical approach and pricing against competitors?

The award was made under 'FULL AND OPEN COMPETITION' with a 'FIRM FIXED PRICE' contract type. While this suggests a competitive process, the specific evaluation criteria for 'best value' are not detailed. Understanding how technical merit, past performance, and price were weighed against each other is essential to confirm that the government secured optimal value and that the selection was based on comprehensive assessment rather than solely on the lowest bid.

Industry Classification

NAICS: Information › Other Telecommunications › Other Telecommunications

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: AT&T Inc. (UEI: 108024050)

Address: 2355 DULLES CORNER BLVD # 100, HERNDON, VA, 11

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

Financial Breakdown

Contract Ceiling: $34,991,313

Exercised Options: $34,991,313

Current Obligation: $34,991,313

Timeline