DHS awards $20.4M contract for telephone apparatus manufacturing to DTC Communications, Inc

Contract Overview

Contract Amount: $20,400,129 ($20.4M)

Contractor: DTC Communications, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2008-09-29

End Date: 2010-01-25

Contract Duration: 483 days

Daily Burn Rate: $42.2K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SPECTRUM RELOCATION PROJECT AAP # 54025

Place of Performance

Location: NASHUA, HILLSBOROUGH County, NEW HAMPSHIRE, 03063

State: New Hampshire Government Spending

Plain-Language Summary

Department of Homeland Security obligated $20.4 million to DTC COMMUNICATIONS, INC. for work described as: SPECTRUM RELOCATION PROJECT AAP # 54025 Key points: 1. The contract value of $20.4 million for telephone apparatus manufacturing appears to be a significant investment in communication infrastructure. 2. The competitive delivery order suggests a degree of market engagement, though the specific number of bidders is not detailed. 3. The fixed-price contract type offers cost certainty for the government, shifting performance risk to the contractor. 4. The duration of 483 days indicates a medium-term project requiring sustained delivery of goods or services. 5. The contract falls under the 'Telephone Apparatus Manufacturing' NAICS code, placing it within the telecommunications equipment sector. 6. The award to DTC Communications, Inc. represents a specific allocation of resources within the Department of Homeland Security's broader procurement activities.

Value Assessment

Rating: fair

Benchmarking the value of this $20.4 million contract for telephone apparatus manufacturing is challenging without more specific details on the exact nature of the apparatus and its intended use. However, the fixed-price nature of the contract provides some cost control for the government. Comparing it to similar contracts for specialized communication equipment would be necessary for a more precise value assessment. The duration of 483 days suggests a substantial project, and the total value needs to be evaluated against the quantity and complexity of the items delivered.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded as a 'COMPETITIVE DELIVERY ORDER,' indicating that it was competed under full and open competition. While the specific number of bids received is not provided, the designation suggests that multiple vendors had the opportunity to submit proposals. This competitive process is generally expected to yield a fair market price and encourage innovation from the participating companies.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by fostering price discovery and potentially leading to lower costs compared to non-competitive awards.

Public Impact

The primary beneficiaries are likely U.S. Immigration and Customs Enforcement (ICE) personnel who will utilize the telephone apparatus. The services delivered involve the manufacturing and provision of telephone apparatus, crucial for communication operations. The geographic impact is primarily within the operational areas of ICE, potentially nationwide depending on deployment. Workforce implications could include jobs in manufacturing, logistics, and installation related to the telephone equipment.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific details on the type and technical specifications of the telephone apparatus makes it difficult to assess if the chosen solution is the most cost-effective or technologically advanced.
The contract duration of 483 days, while not excessively long, could lead to potential obsolescence issues if the technology is rapidly evolving.
Without knowing the number of bidders, it's hard to definitively say if the competition was robust enough to secure the best possible pricing.
The contract is for 'Telephone Apparatus Manufacturing,' which could encompass a wide range of products; clarity on the specific items is needed for a full risk assessment.

Positive Signals

The award was made through a competitive process, suggesting that multiple vendors were considered, which typically leads to better value.
The firm fixed-price contract type provides cost certainty for the government, mitigating the risk of cost overruns.
The contract is managed by the Department of Homeland Security, an agency with significant experience in managing large-scale procurements.
The contract is for a specific, tangible product (telephone apparatus), which generally presents lower performance risk than complex service contracts.

Sector Analysis

The contract falls within the broader telecommunications equipment manufacturing sector. This sector is characterized by rapid technological advancements and global competition. The market size for specialized communication equipment for government agencies can be substantial, driven by national security and operational needs. This specific contract likely represents a niche within the larger industry, focusing on apparatus tailored for government use, potentially with specific security or durability requirements. Benchmarking against other government contracts for similar communication hardware would provide further context.

Small Business Impact

The provided data indicates that small business participation (sb) was false and that there was no small business set-aside (ss). This suggests that the contract was not specifically targeted towards small businesses. Consequently, the primary contractor, DTC Communications, Inc., is likely a larger entity. There is no information available regarding subcontracting plans, so the impact on the small business ecosystem is unclear and potentially limited unless the prime contractor voluntarily engages small businesses for support.

Oversight & Accountability

Oversight for this contract would primarily fall under the Department of Homeland Security's contracting and program management offices. As a delivery order under a larger contract vehicle, it would be subject to internal reviews and audits. The specific Inspector General for DHS would have jurisdiction to investigate any potential fraud, waste, or abuse related to this procurement. Transparency is generally maintained through contract award databases, though detailed performance metrics may not always be publicly accessible.

Related Government Programs

Department of Homeland Security Communications Equipment Procurement
Federal Telecommunications Apparatus Contracts
ICE Operational Technology Acquisition
Government Communication Systems

Risk Flags

Lack of specific product details
Limited competition data available
Potential for technology obsolescence over contract duration

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $20.4 million to DTC COMMUNICATIONS, INC.. SPECTRUM RELOCATION PROJECT AAP # 54025

Who is the contractor on this award?

The obligated recipient is DTC COMMUNICATIONS, INC..

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Immigration and Customs Enforcement).

What is the total obligated amount?

The obligated amount is $20.4 million.

What is the period of performance?

Start: 2008-09-29. End: 2010-01-25.

What specific type of telephone apparatus was procured under this contract, and what are its key technical specifications?

The provided data identifies the contract under NAICS code 334210 (Telephone Apparatus Manufacturing) and refers to it as 'SPECTRUM RELOCATION PROJECT AAP # 54025'. However, it does not specify the exact type of telephone apparatus. This could range from standard desk phones to specialized communication devices, potentially including features for secure communication, ruggedization, or specific network compatibility. Without further details, it's impossible to ascertain the precise technical specifications. Understanding these specifications is crucial for evaluating the contract's suitability for its intended purpose and for comparing its value against market alternatives.

How many bids were received for this competitive delivery order, and what was the range of proposed prices?

The contract is designated as 'COMPETITIVE DELIVERY ORDER,' indicating that it was subject to competition. However, the provided data does not include the number of bids received or the range of proposed prices. In a competitive procurement, knowing the number of bidders is essential for assessing the robustness of the competition. A higher number of bids generally suggests a more competitive environment, which can lead to better pricing and terms for the government. The absence of this information limits the ability to fully evaluate the price discovery achieved through the competition.

What is the historical spending pattern for similar telephone apparatus procurements by the Department of Homeland Security or U.S. Immigration and Customs Enforcement?

Analyzing historical spending patterns for similar procurements by DHS or ICE would provide valuable context for evaluating the $20.4 million SPECTRUM RELOCATION PROJECT AAP # 54025 contract. Without access to historical procurement data, it's difficult to determine if this award represents an increase or decrease in spending for such equipment, or if the pricing is consistent with previous acquisitions. Understanding past trends can help identify potential anomalies, assess the long-term investment in communication technology, and benchmark the current contract's value against established norms within the agency.

What is the track record of DTC Communications, Inc. in fulfilling government contracts, particularly those involving telecommunications equipment?

DTC Communications, Inc. was awarded this $20.4 million contract for telephone apparatus manufacturing. To assess their track record, one would need to examine their past performance on government contracts. This includes reviewing contract completion history, any instances of contract modifications, performance ratings, and any past disputes or terminations. A strong track record of successful delivery, adherence to schedule and budget, and positive performance reviews would indicate a lower risk associated with this current award. Conversely, a history of issues could raise concerns about the contractor's ability to meet the requirements of this contract.

How does the $20.4 million contract value compare to the overall budget or spending priorities of U.S. Immigration and Customs Enforcement for communication technology?

The $20.4 million awarded to DTC Communications, Inc. represents a significant investment in telephone apparatus. To contextualize this amount, it would be beneficial to compare it against the total budget allocated to U.S. Immigration and Customs Enforcement (ICE) for information technology or communication systems during the contract period (2008-2010). Understanding the proportion this contract represents of ICE's overall spending on similar technologies can indicate its strategic importance and whether it aligns with the agency's broader technology acquisition priorities. A large proportion might suggest a critical need, while a smaller one might indicate it's part of a larger, ongoing modernization effort.

Industry Classification

NAICS: Manufacturing › Communications Equipment Manufacturing › Telephone Apparatus Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: DTC Communications Inc. (UEI: 611639688)

Address: 486 AMHERST ST, NASHUA, NH, 03063

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $20,400,129

Exercised Options: $20,400,129

Current Obligation: $20,400,129

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSHQDC05D00006

IDV Type: IDC

Timeline