Social Security Administration awards $150M+ BPA Call for AWS Contact Center services, with 789 days duration

Contract Overview

Contract Amount: $150,377,391 ($150.4M)

Contractor: Four Points Technology, L.L.C.

Awarding Agency: Social Security Administration

Start Date: 2024-08-01

End Date: 2026-09-29

Contract Duration: 789 days

Daily Burn Rate: $190.6K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CALL ORDER FOR AMAZON WEB SERVICES (AWS) CONNECT FOR CONTACT CENTER AS A SERVICE (CCAAS) - BLANKET PURCHASE AGREEMENT 28321321A00040003

Place of Performance

Location: BALTIMORE, BALTIMORE CITY County, MARYLAND, 21235

State: Maryland Government Spending

Plain-Language Summary

Social Security Administration obligated $150.4 million to FOUR POINTS TECHNOLOGY, L.L.C. for work described as: CALL ORDER FOR AMAZON WEB SERVICES (AWS) CONNECT FOR CONTACT CENTER AS A SERVICE (CCAAS) - BLANKET PURCHASE AGREEMENT 28321321A00040003 Key points: 1. Value for money assessed through competitive bidding and market benchmarking. 2. Competition dynamics indicate a robust market for cloud-based contact center solutions. 3. Risk indicators include contract duration and reliance on a single cloud provider. 4. Performance context is critical for ensuring service continuity and user satisfaction. 5. Sector positioning highlights the government's increasing adoption of cloud services for critical functions.

Value Assessment

Rating: good

The contract value of over $150 million for a 789-day period suggests a significant investment in cloud-based contact center services. Benchmarking against similar government contracts for CCAAS would be necessary for a precise value-for-money assessment. However, the use of a Blanket Purchase Agreement (BPA) Call Order implies that pricing was likely negotiated under a pre-existing master agreement, potentially offering favorable rates. The firm-fixed-price structure provides cost certainty for the agency.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the 'full and open' designation suggests a competitive process. This level of competition is generally expected to drive better pricing and service offerings as vendors vie for the contract.

Taxpayer Impact: A full and open competition ensures that taxpayer dollars are used efficiently by fostering a competitive environment that can lead to lower prices and higher quality services.

Public Impact

Benefits citizens by improving the efficiency and responsiveness of the Social Security Administration's contact center operations. Delivers essential contact center as a service (CCAAS) capabilities, likely including voice, chat, and other communication channels. Geographic impact is national, supporting SSA's nationwide service delivery. Workforce implications may involve training or redeployment of existing staff to manage and utilize the new CCAAS platform.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential vendor lock-in with a single cloud provider for critical infrastructure.
Reliance on a third-party for core contact center functionality could introduce operational risks.
The duration of the contract (789 days) may limit flexibility to adopt newer technologies if they emerge rapidly.

Positive Signals

Leverages a leading cloud provider (AWS) for scalability and reliability.
The BPA Call Order structure suggests a pre-negotiated framework, potentially leading to streamlined procurement.
Firm-fixed-price contract type provides budget predictability for the agency.

Sector Analysis

This contract falls within the broader Information Technology sector, specifically focusing on cloud computing and contact center solutions. The government's spending in this area has been steadily increasing as agencies migrate services to the cloud for enhanced flexibility, scalability, and cost-efficiency. Comparable spending benchmarks would involve looking at other large-scale CCAAS procurements across federal agencies, which often run into tens or hundreds of millions of dollars.

Small Business Impact

The provided data does not indicate any specific small business set-aside or subcontracting requirements for this BPA Call Order. As it is a call order against a larger BPA, the small business implications would depend on the terms of the original BPA and any subsequent subcontracting plans by the prime contractor, Four Points Technology, L.L.C. Further analysis would be needed to determine the extent of small business participation.

Oversight & Accountability

Oversight for this contract would primarily reside with the Social Security Administration's contracting officers and program managers. The firm-fixed-price nature of the award provides a degree of accountability for cost. Transparency is facilitated by the public nature of federal contract awards, though detailed performance metrics and operational oversight details are typically internal. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Cloud Computing Services
Contact Center Solutions
IT Services
Blanket Purchase Agreements
Amazon Web Services (AWS) Contracts

Risk Flags

Potential vendor lock-in with AWS
Reliance on a single cloud provider for critical services
Contract duration may limit agility

Frequently Asked Questions

What is this federal contract paying for?

Social Security Administration awarded $150.4 million to FOUR POINTS TECHNOLOGY, L.L.C.. CALL ORDER FOR AMAZON WEB SERVICES (AWS) CONNECT FOR CONTACT CENTER AS A SERVICE (CCAAS) - BLANKET PURCHASE AGREEMENT 28321321A00040003

Who is the contractor on this award?

The obligated recipient is FOUR POINTS TECHNOLOGY, L.L.C..

Which agency awarded this contract?

Awarding agency: Social Security Administration (Social Security Administration).

What is the total obligated amount?

The obligated amount is $150.4 million.

What is the period of performance?

Start: 2024-08-01. End: 2026-09-29.

What is the historical spending pattern for contact center services at the Social Security Administration?

Analyzing historical spending on contact center services by the Social Security Administration (SSA) is crucial for understanding the context of this $150M+ award. While specific historical dollar amounts are not provided in the current data, agencies typically spend significant sums on maintaining and upgrading their citizen-facing communication channels. This often includes legacy call center technologies, outsourced services, and increasingly, cloud-based solutions. A review of past SSA budgets and contract awards related to customer service and communication infrastructure would reveal trends in technology adoption, vendor relationships, and overall investment in contact center capabilities. Understanding this history helps assess whether the current BPA Call Order represents a strategic shift towards modern cloud solutions, an expansion of existing capabilities, or a consolidation of services, and whether the current investment aligns with or deviates from historical spending patterns.

How does the per-unit cost of this CCAAS contract compare to similar government or commercial offerings?

A detailed comparison of the per-unit cost for this Amazon Web Services (AWS) Connect CCAAS contract against similar offerings is essential for evaluating value for money. This would involve benchmarking the cost per agent hour, per call, or per interaction against other government agencies that have procured similar services, as well as against commercial rates offered by AWS or its competitors. Factors such as the specific features utilized (e.g., voice, chat, AI integration), service level agreements (SLAs), and the overall volume of usage will influence per-unit costs. Without specific usage data and detailed pricing breakdowns, a precise comparison is challenging. However, the fact that this is a call order under a BPA suggests that pricing may have been negotiated under a master agreement, potentially offering competitive rates. Further analysis would require access to the underlying BPA pricing and usage projections.

What are the key performance indicators (KPIs) and service level agreements (SLAs) associated with this contract?

The key performance indicators (KPIs) and service level agreements (SLAs) are critical for assessing the performance and effectiveness of this $150M+ AWS Connect CCAAS contract. While not detailed in the provided summary data, typical KPIs for contact center services include average handle time (AHT), first call resolution (FCR), customer satisfaction (CSAT) scores, agent occupancy, and abandonment rates. SLAs would define the expected performance levels for these metrics, often with associated penalties for non-compliance. For a cloud-based CCAAS solution, SLAs would also likely cover system uptime, response times for technical support, and data security. The Social Security Administration would need to actively monitor these KPIs and SLAs to ensure that the contractor, Four Points Technology, L.L.C., is delivering the contracted services effectively and that the investment is yielding the desired improvements in contact center operations and citizen service.

What is the track record of Four Points Technology, L.L.C. in delivering large-scale IT and cloud services to the federal government?

The track record of Four Points Technology, L.L.C. in delivering large-scale IT and cloud services to the federal government is a significant factor in assessing the risk and potential success of this contract. As a prime contractor, their experience with managing complex cloud deployments, ensuring cybersecurity compliance, and meeting stringent government requirements is paramount. Researching their past performance on similar contracts, including their ability to manage budgets, adhere to schedules, and satisfy client needs, would provide valuable insights. This includes examining past performance evaluations, any reported issues or disputes, and their overall reputation within the federal IT contracting community. A strong track record suggests a higher likelihood of successful contract execution, while a history of challenges might indicate potential risks that the SSA needs to proactively manage.

What are the potential risks associated with relying on a single cloud provider (AWS) for critical contact center functions?

Relying on a single cloud provider, such as Amazon Web Services (AWS), for critical contact center functions presents several potential risks. These include vendor lock-in, where migrating away from AWS in the future could be technically complex and costly. There's also the risk of service disruptions or outages originating from AWS, which could directly impact the SSA's ability to serve the public. Security vulnerabilities within the AWS platform, though generally robust, could also pose a threat. Furthermore, changes in AWS's pricing structure or service offerings could affect the long-term cost-effectiveness of the contract. While AWS is a leading provider with high reliability, the concentration of critical services on one platform necessitates robust contingency planning, strong contract management, and continuous monitoring of the provider's performance and security posture by the SSA.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 13221 WOODLAND PARK RD, HERNDON, VA, 20171

Business Categories: Category Business, Limited Liability Corporation, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $150,377,391

Exercised Options: $150,377,391

Current Obligation: $150,377,391

Actual Outlays: $91,245,037

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 28321321A00040003

IDV Type: BPA

Timeline