PDS Says GSA’s Delay in Awarding Telecom Contract Costing GovGuam Thousands

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Guam – Pacific Data Systems is frustrated with delays in the awarding of a telecom contract by GSA.

In a release, the company accuses GSA of  failing “in its obligations under Guam law” to make a timely award for telecom services. The bids were opened on December 9th and the evaluation process should have been completed within 3 weeks, but it has now been 3 months.

PDS says that the delay is costing GovGuam  tens of thousands of dollars.

According to their release, PDS says “based upon the bid prices announced at the public opening … the Government of Guam can expect to save 40 to 60 percent on their existing telecom costs.”

The release concludes that “PDS questions GSA’s commitment to living up to its mandate … to embrace and embody the very best practices when it comes to competitive procurement.”

 

READ Pacfic Data Systems release in FULL below:

Tuesday Pacific Data Systems(PDS) formally requested GSA make an award decision in IFB 064-11, a comprehensive GSA procurement for telecommunications services covering all line agencies of the Government of Guam (see attached PDS letter to GSA). This GSA procurement was originally announced in June 2011 with bid opening occurring on December 9, 2011.

Reasonably, GSA should have completed its evaluation of the Bid Responses and made a contract award with in two to three weeks of bid opening.

However, it is now more than three months since the bid opening and GSA has failed in its obligations under Guam law to make a timely award to any bidder under this procurement. GSA’s continuing delay in making an award serves only to perpetuate a situation,lasting several years,in which the Government of Guam has been paying far too much for telecom services.

Based upon the bid prices announced at the public opening on December 9th , and savings estimates made in a telecom assessment performed by the University of Hawaii in June of 2011 the Government of Guam can expect to save 40 to 60 percent on their existing telecom costs today. These savings have been calculated by the Government’s own independent consultant to be worth up to $900,000 per year (over $5 million in savings over
the 5 to 7 year term of the contract) while at the same time expanding the service capabilities available to government agencies using new technology to deliver comprehensive communications capabilities.

Pacific Data Systems supports the position that an open and fair competitive environment can and does yield significant savings to the Government of Guam. This has been proven over and over again by competitive telecom procurements that have already been done by various GovGuam agencies and departments over the past several years. These agencies include GPA, GWA, GDOE, GHURA, Guam Retirement Fund, Guam Housing Corporation, GEDA, Office of the Public Auditor, Judiciary of Guam, and the Alternate Public Defender. Collectively these agencies have already saved GovGuam millions of dollars through the competitive procurement of telecom services.

By law, the local telecommunications services industry was made open and competitive in late 2004 with the enactment of the Guam  Telecommunications Act (copy attached). GTA’s monopoly officially came to an end in early 2005 when the Government of Guam sold GovGuam’s telephone operations to private investors.

Subsequently, PDS and other telecommunications providers; IT&E and MCV, were granted authority by the Guam Public Utilities Commission to provide local telecom services in competition with the new GTA. The Attorney General of Guam on February, 16, 2011, issued a memorandum to all Government of Guam Agencies and Departments (copy attached) reminding them of their legal obligations to competitively procure telecommunications services according to Guam Procurement Law.

The General Services Administration (GSA) is the main procurement authority for the line agencies and departments of the Government of Guam. As such, GSA has a mandate to embrace and embody the very best practices when it comes to competitive procurement. In the case of moving promptly to insure the line agencies and departments of the Government realize maximum savings through the competitive procurement of telecom services however, PDS questions GSA’s commitment to living up to its mandate.

About PDS

PDS is a local company with over 43 years of technological leadership and know how. PDS specializes in combining the latest in telecommunications technology and services to provide innovative cost saving product and service solutions to meet the needs of the Government of Guam and local companies alike.