VA Awards $36.4M Wireless Device Contract to Verizon Connect Fleet USA LLC

Contract Overview

Contract Amount: $36,431 ($36.4K)

Contractor: Verizon Connect Fleet USA LLC

Awarding Agency: Department of Veterans Affairs

Start Date: 2023-05-01

End Date: 2027-04-30

Contract Duration: 1,460 days

Daily Burn Rate: $25/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: IGF:CT:IGF:WIRELESS DEVICES

Place of Performance

Location: CLEVELAND, CUYAHOGA County, OHIO, 44106

State: Ohio Government Spending

Plain-Language Summary

Department of Veterans Affairs obligated $36,431.24 to VERIZON CONNECT FLEET USA LLC for work described as: IGF:CT:IGF:WIRELESS DEVICES Key points: 1. Contract awarded to a single, established provider. 2. Focus on fleet management and wireless device services. 3. Potential for cost savings through bulk purchasing. 4. Long-term contract duration suggests ongoing need.

Value Assessment

Rating: good

The contract value of $36.4 million over approximately 4 years appears reasonable for fleet management and wireless device services. Benchmarking against similar government contracts for telematics and device management would provide a more precise assessment.

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 generally leads to better pricing and service offerings for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary services.

Public Impact

Improved tracking and management of government vehicle fleets. Enhanced communication and operational efficiency for VA personnel. Potential for reduced fuel costs and optimized routing. Ensures reliable wireless connectivity for critical operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Vendor lock-in potential
Reliance on a single provider for critical services

Positive Signals

Competitive bidding process
Firm fixed price contract

Sector Analysis

This contract falls within the IT services sector, specifically related to custom computer programming and telematics. Government spending in this area is substantial, driven by the need for efficient fleet management and data services across agencies.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the vendor is Verizon Connect Fleet USA LLC. Future opportunities may exist for small businesses in supporting roles or through subcontracting.

Oversight & Accountability

The Department of Veterans Affairs is responsible for overseeing this contract. Standard government oversight mechanisms, including performance reviews and audits, should be in place to ensure compliance and value.

Related Government Programs

Custom Computer Programming Services
Department of Veterans Affairs Contracting
Department of Veterans Affairs Programs

Risk Flags

Potential for vendor lock-in
Reliance on a single provider
Long contract duration may limit future flexibility
Need for robust performance monitoring

Frequently Asked Questions

What is this federal contract paying for?

Department of Veterans Affairs awarded $36,431.24 to VERIZON CONNECT FLEET USA LLC. IGF:CT:IGF:WIRELESS DEVICES

Who is the contractor on this award?

The obligated recipient is VERIZON CONNECT FLEET USA 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 $36,431.24.

What is the period of performance?

Start: 2023-05-01. End: 2027-04-30.

What specific performance metrics are included in the contract to ensure the effectiveness of the wireless devices and fleet management services?

The contract details should specify key performance indicators (KPIs) related to device uptime, data transmission reliability, fleet utilization rates, and response times for technical support. Regular performance reviews by the VA contracting officer's representative will assess adherence to these metrics, ensuring the services meet operational needs and justify the investment.

Are there provisions for price adjustments or renegotiation if market rates for wireless devices or services significantly change during the contract period?

Given the firm fixed price structure, significant price adjustments are unlikely unless explicitly stipulated in the contract for unforeseen circumstances or major scope changes. The contract's duration suggests the initial pricing was determined based on projected market conditions. Any renegotiation would likely require a formal modification process.

How does this contract align with the VA's broader IT modernization and fleet management strategies?

This contract likely supports the VA's strategy to modernize its fleet operations through advanced telematics and wireless connectivity. It enables better data collection for vehicle maintenance, driver behavior monitoring, and overall operational efficiency, contributing to cost savings and improved service delivery to veterans.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Verizon Maryland LLC

Address: 5055 N POINT PKWY, ALPHARETTA, GA, 30022

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

Financial Breakdown

Contract Ceiling: $36,431

Exercised Options: $36,431

Current Obligation: $36,431

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 47QTCA22D00DD

IDV Type: FSS

Timeline