DOT's FAA awards $2.3M for Cisco switches to CDW Government LLC under full and open competition
Contract Overview
Contract Amount: $2,323,631 ($2.3M)
Contractor: CDW Government LLC
Awarding Agency: Department of Transportation
Start Date: 2026-01-28
End Date: 2026-04-30
Contract Duration: 92 days
Daily Burn Rate: $25.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: THIS IS A BNATCS - EIDS BULK ORDER PURCHASE OF CISCO SWITCHES.
Place of Performance
Location: INDEPENDENCE, JACKSON County, MISSOURI, 64056
State: Missouri Government Spending
Plain-Language Summary
Department of Transportation obligated $2.3 million to CDW GOVERNMENT LLC for work described as: THIS IS A BNATCS - EIDS BULK ORDER PURCHASE OF CISCO SWITCHES. Key points: 1. Spending focuses on IT hardware for network infrastructure. 2. CDW Government LLC is a known IT reseller. 3. The contract is a delivery order, indicating a specific need. 4. Fixed-price contract limits cost escalation risks.
Value Assessment
Rating: good
The award amount of $2.3M for 92 days seems reasonable for bulk Cisco switches. Benchmarking against similar large-scale network equipment purchases would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and value for the government.
Taxpayer Impact: The competitive award process is expected to yield a fair price, maximizing taxpayer value for essential IT equipment.
Public Impact
Ensures operational continuity for the Federal Aviation Administration's network. Supports critical infrastructure for air traffic control and related services. Procurement of standard IT equipment, unlikely to cause significant public disruption if delayed.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for vendor lock-in with Cisco hardware.
- Delivery timeline is relatively short, posing execution risk.
Positive Signals
- Awarded under full and open competition.
- Firm fixed-price contract provides cost certainty.
Sector Analysis
This purchase falls within the IT hardware sector, specifically networking equipment. Spending benchmarks for similar large-scale switch procurements by federal agencies can vary significantly based on quantity, model, and vendor.
Small Business Impact
The data indicates the award went to CDW Government LLC, a large reseller. There is no explicit information on small business participation in this specific delivery order, but CDW may utilize small business subcontractors.
Oversight & Accountability
The award is a delivery order under a larger contract vehicle. Oversight would typically involve monitoring delivery schedules, product quality, and adherence to contract terms by the FAA contracting officer.
Related Government Programs
- Electronic Computer Manufacturing
- Department of Transportation Contracting
- Federal Aviation Administration Programs
Risk Flags
- Short delivery period (92 days) may strain logistics.
- Reliance on a single vendor (Cisco) for critical network components.
- Lack of specific model/quantity details hinders granular cost analysis.
- Potential for higher per-unit costs if competition was not robustly leveraged.
Tags
electronic-computer-manufacturing, department-of-transportation, mo, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Transportation awarded $2.3 million to CDW GOVERNMENT LLC. THIS IS A BNATCS - EIDS BULK ORDER PURCHASE OF CISCO SWITCHES.
Who is the contractor on this award?
The obligated recipient is CDW GOVERNMENT LLC.
Which agency awarded this contract?
Awarding agency: Department of Transportation (Federal Aviation Administration).
What is the total obligated amount?
The obligated amount is $2.3 million.
What is the period of performance?
Start: 2026-01-28. End: 2026-04-30.
What is the specific model and quantity of Cisco switches being procured, and how does this impact the per-unit cost benchmark?
The provided data does not specify the exact Cisco switch models or quantities. This information is crucial for establishing an accurate per-unit cost benchmark. Without it, we can only assess the overall award value against typical large IT hardware procurements, which is less precise.
What are the potential risks associated with a short delivery window (92 days) for critical network hardware?
A short delivery window for critical network hardware like Cisco switches can pose risks such as supply chain disruptions, potential delays impacting operational readiness, and increased costs if expedited shipping or alternative sourcing is required. The FAA must have robust contingency plans to mitigate these risks.
How does the firm fixed-price contract structure ensure cost-effectiveness for this bulk purchase of networking equipment?
A firm fixed-price contract locks in the price regardless of the contractor's actual costs. This structure transfers cost risk to the contractor (CDW Government LLC) and provides the government (FAA) with cost certainty. It incentivizes the contractor to manage their costs efficiently to maximize profit.
Industry Classification
NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing
Product/Service Code: IT AND TELECOM - DATA CENTER
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
Address: 230 N MILWAUKEE AVE, VERNON HILLS, IL, 60061
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $2,323,631
Exercised Options: $2,323,631
Current Obligation: $2,323,631
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 692M1519D00007
IDV Type: IDC
Timeline
Start Date: 2026-01-28
Current End Date: 2026-04-30
Potential End Date: 2026-04-30 00:00:00
Last Modified: 2026-01-28
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