VA awards $84M+ for wireless services and devices across 50 states and territories

Contract Overview

Contract Amount: $84,161,107 ($84.2M)

Contractor: AT&T Mobility National Accounts LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2018-08-20

End Date: 2023-06-30

Contract Duration: 1,775 days

Daily Burn Rate: $47.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: THIS IS AN ACQUISITION FOR CELLULAR AND WIRELESS SERVICES AND DEVICES FOR THE DEPARTMENT OF VETERANS AFFAIRS (VA) THROUGHOUT THE FIFTY (50) UNITED STATES, DISTRICT OF COLUMBIA, PUERTO RICO, AND US VIRGIN ISLANDS, TO INCLUDE THE VA FACILITIES LISTED IN ATTACHMENT A, AS WELL AS OUTSIDE THE UNITED SATES ON A TEMPORARY BASIS. WIRELESS SERVICES INCLUDE, BUT ARE NOT LIMITED TO, VOICE, TEXT AND DATA SERVICES FOR VOICE PHONE DEVICES, SMARTPHONE DEVICES, AND MOBILE BROADBAND DEVICES. THE CONTRACTOR SHALL PROVIDE ALL LABOR, MANAGEMENT, TOOLS, MATERIAL, AND EQUIPMENT TO PERFORM ALL REQUIREMENTS DESCRIBED HEREIN. THE SCOPE OF THIS WORK SHALL INCLUDE THE INCORPORATION OF EMERGING TECHNOLOGIES OVER THE LIFE OF THE TASK ORDER. CURRENTLY, THE VA ENTERPRISE CONSISTS OF APPROXIMATELY 84,000 ACTIVATED MOBILE DEVICES.

Place of Performance

Location: HANOVER, ANNE ARUNDEL County, MARYLAND, 21076

State: Maryland Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $84.2 million to AT&T MOBILITY NATIONAL ACCOUNTS LLC for work described as: THIS IS AN ACQUISITION FOR CELLULAR AND WIRELESS SERVICES AND DEVICES FOR THE DEPARTMENT OF VETERANS AFFAIRS (VA) THROUGHOUT THE FIFTY (50) UNITED STATES, DISTRICT OF COLUMBIA, PUERTO RICO, AND US VIRGIN ISLANDS, TO INCLUDE THE VA FACILITIES LISTED IN ATTACHMENT A, AS WELL AS OUT… Key points: 1. Contract provides essential cellular and wireless services, including voice, text, and data, for approximately 84,000 VA users. 2. The scope includes the incorporation of emerging technologies, indicating a forward-looking approach to communication needs. 3. Services are delivered nationwide, covering all 50 United States, DC, Puerto Rico, and US Virgin Islands, plus temporary overseas locations. 4. The contract is a Firm Fixed Price (FFP) type, offering cost predictability for the VA. 5. This acquisition supports critical communication infrastructure for a large federal agency. 6. The duration of the contract is over 4 years, suggesting a long-term need for these services.

Value Assessment

Rating: good

The contract value of over $84 million for wireless services to support 84,000 users appears reasonable, averaging approximately $1,000 per user over the contract's duration. Benchmarking against commercial enterprise plans for similar large-scale deployments would provide a more precise value-for-money assessment. However, the inclusion of emerging technologies suggests potential for future cost efficiencies or enhanced capabilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is expected to drive favorable pricing and service terms for the government. The presence of multiple bidders generally leads to better price discovery and ensures the government receives competitive offers.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it typically results in lower prices and better quality services due to market forces.

Public Impact

Veterans Affairs (VA) personnel benefit from reliable communication services essential for patient care and administrative operations. The contract ensures the delivery of voice, text, and data services across a vast geographic area. Employees in remote or mobile roles within the VA will have access to necessary communication tools. The acquisition supports the VA's mission to provide healthcare and benefits to veterans nationwide.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if emerging technologies are heavily reliant on proprietary solutions.
Ensuring continuous service availability across all geographic locations, especially remote or less developed areas.
Managing the integration of new and emerging technologies without significant disruption to existing services.
Verifying that the 'per-user' cost remains competitive throughout the contract life, especially with fluctuating user numbers.

Positive Signals

Awarded under full and open competition, suggesting competitive pricing and robust vendor interest.
Inclusion of emerging technologies indicates a commitment to modernizing communication infrastructure.
Nationwide coverage ensures consistent service delivery for a geographically dispersed agency.
Firm Fixed Price contract type provides budget certainty for the VA.

Sector Analysis

The wireless telecommunications carriers sector is a mature and highly competitive market. This contract falls under NAICS code 517312 (Wireless Telecommunications Carriers (except Satellite)). Spending in this category by federal agencies is substantial, supporting a wide range of operational needs from basic communication to advanced data transmission. The VA's requirement for nationwide coverage and incorporation of emerging technologies aligns with industry trends towards 5G and IoT integration.

Small Business Impact

The provided data does not indicate any specific small business set-asides or subcontracting requirements for this contract. As it was awarded under full and open competition, it is possible that large telecommunications providers were the primary bidders. Further analysis would be needed to determine if small businesses were involved as subcontractors or if there were opportunities missed for small business participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of Veterans Affairs contracting officers and program managers. The firm fixed price nature of the contract provides a degree of financial oversight. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

General Services Administration (GSA) Schedule Contracts for telecommunications.
Department of Defense (DoD) Enterprise Mobility Program.
Other agency-specific wireless service procurements.

Risk Flags

Potential for cost increases if emerging technologies are not well-defined or managed.
Risk of service disruption in remote or geographically challenging areas.
Ensuring data security and privacy across a large, distributed user base.
Dependency on a single vendor for critical communication infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $84.2 million to AT&T MOBILITY NATIONAL ACCOUNTS LLC. THIS IS AN ACQUISITION FOR CELLULAR AND WIRELESS SERVICES AND DEVICES FOR THE DEPARTMENT OF VETERANS AFFAIRS (VA) THROUGHOUT THE FIFTY (50) UNITED STATES, DISTRICT OF COLUMBIA, PUERTO RICO, AND US VIRGIN ISLANDS, TO INCLUDE THE VA FACILITIES LISTED IN ATTACHMENT A, AS WELL AS OUTSIDE THE UNITED SATES ON A TEMPORARY BASIS. WIRELESS SERVICES INCLUDE, BUT ARE NOT LIMITED TO, VOICE, TEXT AND DATA SERVICES FOR VOICE PHONE DEVICES, SMARTPHONE DEVICES, AND MOBILE BROADBAND DEVICES. THE CONTRACTOR SHA

Who is the contractor on this award?

The obligated recipient is AT&T MOBILITY NATIONAL ACCOUNTS 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 $84.2 million.

What is the period of performance?

Start: 2018-08-20. End: 2023-06-30.

What is the historical spending trend for wireless services at the VA?

Analyzing historical spending data for wireless services at the VA is crucial for understanding the agency's evolving needs and cost management. While this specific contract is valued at over $84 million, a broader review of past VA telecommunications expenditures would reveal trends in user growth, technology adoption (e.g., shift from voice to data, adoption of smartphones), and price fluctuations. For instance, if previous contracts were significantly lower in value or scope, it might indicate an expansion of services or a price increase. Conversely, if spending has been consistently high, it suggests a stable, ongoing requirement. Understanding these patterns helps in evaluating the current contract's value and forecasting future budgetary needs for wireless communications.

How does the per-user cost of this VA contract compare to commercial enterprise rates?

A direct comparison of the per-user cost for this VA contract against commercial enterprise rates requires detailed knowledge of the specific services included (e.g., data allowances, international roaming, device subsidies) and the volume discounts typically negotiated by large corporations. The VA contract supports approximately 84,000 users over its duration, with a total value exceeding $84 million. This averages to roughly $1,000 per user over the contract period (approximately 4.7 years). Commercial enterprise rates can vary widely, but large-scale plans often secure lower per-unit costs. Without specific service level agreements and pricing breakdowns, it's challenging to definitively state if the VA is receiving a competitive rate. However, the full and open competition award suggests an effort to achieve market-based pricing.

What are the key performance indicators (KPIs) used to measure the success of this wireless services contract?

Key performance indicators (KPIs) for a contract of this nature would likely focus on service availability, network performance, customer support, and adherence to technological advancements. Specific KPIs might include: network uptime percentage (e.g., 99.9% availability), data throughput speeds, call completion rates, response times for technical support, and successful integration of new technologies as required. The contract's success would also be measured by user satisfaction surveys and the ability of the services to support the VA's critical mission functions without interruption. Regular performance reviews between the VA and AT&T Mobility would track these KPIs, with potential for service credits or penalties if targets are not met.

What is the track record of AT&T Mobility National Accounts LLC in providing similar large-scale government wireless services?

AT&T Mobility National Accounts LLC has a significant track record in providing large-scale wireless telecommunications services to both government and commercial clients. They are a major player in the U.S. telecommunications market and have held numerous federal contracts, including those with the Department of Defense and other civilian agencies, for wireless voice, data, and mobility solutions. Their experience typically includes managing complex deployments, ensuring nationwide coverage, and integrating advanced technologies. Past performance reviews and contract vehicles like the General Services Administration (GSA) schedules often provide insights into their ability to meet demanding service level agreements and manage large user bases effectively. This extensive experience suggests a strong capability to fulfill the VA's requirements.

What are the potential risks associated with incorporating 'emerging technologies' over the life of this contract?

Incorporating 'emerging technologies' into a long-term contract like this presents several potential risks. Firstly, there's the risk of technological obsolescence; the 'emerging' technology might be superseded by something newer and better before the contract ends, potentially leaving the VA with outdated solutions. Secondly, integration challenges are common, as new technologies may not seamlessly interface with existing legacy systems, leading to performance issues or increased support costs. Thirdly, cost overruns can occur if the implementation of these technologies proves more complex or expensive than initially anticipated. Finally, there's a risk related to vendor dependency; if the contractor is the sole provider of a specific emerging technology, the VA might face limited options for support or upgrades, potentially leading to higher costs or service disruptions if the vendor's strategy changes.

Industry Classification

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

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: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Tyto Athene, LLC

Address: 7229 PARKWAY DRIVE, HANOVER, MD, 21076

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

Financial Breakdown

Contract Ceiling: $84,161,107

Exercised Options: $84,161,107

Current Obligation: $84,161,107

Actual Outlays: $1,343,020

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0024418D0001

IDV Type: IDC

Timeline