VA awards AT&T $25M for MPLS circuits, impacting wired telecommunications
Contract Overview
Contract Amount: $25,097,842 ($25.1M)
Contractor: AT&T Enterprises, LLC
Awarding Agency: Department of Veterans Affairs
Start Date: 2011-09-20
End Date: 2015-11-30
Contract Duration: 1,532 days
Daily Burn Rate: $16.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: MPLS CIRCUITS
Place of Performance
Location: KANSAS CITY, JACKSON County, MISSOURI, 64128, UNITED STATES OF AMERICA
State: Missouri Government Spending
Plain-Language Summary
Department of Veterans Affairs obligated $25.1 million to AT&T ENTERPRISES, LLC for work described as: MPLS CIRCUITS Key points: 1. Spending on MPLS circuits totals $25.1M over 4 years. 2. AT&T Enterprises, LLC is the sole awardee. 3. The contract falls under wired telecommunications carriers. 4. Awarded by the Department of Veterans Affairs.
Value Assessment
Rating: fair
The total award amount of $25.1M for MPLS circuits over approximately 4 years suggests a moderate per-year spend. Without specific unit pricing or comparison data, it's difficult to definitively assess if this represents excellent value. However, the duration and scope indicate a significant investment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically allows for the best price discovery. The fact that AT&T Enterprises, LLC was the awardee suggests they provided the most advantageous offer based on the established criteria.
Taxpayer Impact: Taxpayer funds are being utilized for essential telecommunications infrastructure to support VA operations. The competitive award process aims to ensure efficient use of these funds.
Public Impact
Ensures reliable network connectivity for VA services. Supports critical healthcare and administrative functions. Potential for service disruptions if network fails. Impacts veterans' access to VA digital resources.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of specific performance metrics in provided data.
- Potential vendor lock-in with long-term circuit contracts.
Positive Signals
- Awarded under full and open competition.
- Supports critical government functions.
Sector Analysis
The Department of Veterans Affairs relies heavily on robust telecommunications infrastructure. Spending on wired telecommunications, including services like MPLS circuits, is a significant component of their operational budget, ensuring connectivity for healthcare and administrative services nationwide.
Small Business Impact
The provided data does not indicate any specific set-asides for small businesses. The award to AT&T Enterprises, LLC, a large telecommunications provider, suggests that small businesses were not primary participants in this specific contract.
Oversight & Accountability
The Department of Veterans Affairs is responsible for overseeing this contract. Standard government procurement regulations and oversight mechanisms would apply to ensure compliance and performance.
Related Government Programs
- Wired Telecommunications Carriers
- Department of Veterans Affairs Contracting
- Department of Veterans Affairs Programs
Risk Flags
- Lack of detailed performance metrics.
- Potential for cost overruns if not managed effectively.
- Dependence on a single provider for critical infrastructure.
- Limited visibility into the competitive bidding process details.
Tags
wired-telecommunications-carriers, department-of-veterans-affairs, mo, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Veterans Affairs awarded $25.1 million to AT&T ENTERPRISES, LLC. MPLS CIRCUITS
Who is the contractor on this award?
The obligated recipient is AT&T ENTERPRISES, LLC.
Which agency awarded this contract?
Awarding agency: Department of Veterans Affairs (Department of Veterans Affairs).
What is the total obligated amount?
The obligated amount is $25.1 million.
What is the period of performance?
Start: 2011-09-20. End: 2015-11-30.
What specific performance metrics were established in the contract to ensure the quality and reliability of the MPLS circuits?
The provided data does not detail specific performance metrics. Typically, such contracts would include Service Level Agreements (SLAs) covering uptime, latency, jitter, and packet loss. These metrics are crucial for ensuring the VA receives reliable and high-quality telecommunications services essential for its operations.
What was the competitive landscape like for this MPLS circuit contract, and did AT&T's bid significantly undercut other offers?
While the contract was awarded under 'full and open competition,' the provided data does not reveal the number of bidders or the specifics of AT&T's bid relative to others. A significant price advantage would be a key factor in a competitive award, but without comparative data, its extent is unknown.
How does the cost of these MPLS circuits compare to industry benchmarks for similar services provided to large government agencies?
Benchmarking the cost of these MPLS circuits requires detailed unit pricing and service level information, which is not available in the provided data. Comparing the total award amount of $25.1M over 1532 days (approx. 4.2 years) to industry standards for similar government contracts would be necessary for a meaningful assessment.
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: 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: AT&T Inc. (UEI: 108024050)
Address: 1900 GALLOWS ROAD, VIENNA, VA, 22182
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $27,605,449
Exercised Options: $25,097,842
Current Obligation: $25,097,842
Parent Contract
Parent Award PIID: GS00T07NSD0007
IDV Type: IDC
Timeline
Start Date: 2011-09-20
Current End Date: 2015-11-30
Potential End Date: 2015-11-30 00:00:00
Last Modified: 2015-09-25
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