FTS Networx Public Forum Strategy

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GSA FTS Network Services Conference

• FTS Networx Public ForumStrategy
• Karl Krumbholz
• Networx Program Manager

Smarter Solutions
www.gsa.gov
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Program History

• Third in a series of major competitive full
  service telecommunications acquisition programs
• Leverage the volume of government requirements
• Provide the lowest prices in the
  telecommunications marketplace
• FTS 2001 provides eight-year pricing that has
  saved over 1.6 billion to date
• Agencies today carry 3-5 times more traffic at
  30 less cost on FTS2001 than at contract award
• Non-mandatory Networx Program is being developed
  in close partnership with Federal Agencies
  through the Interagency Management Council (IMC)

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FTS Networx Relationships
FTS Commissioner Sandra Bates
GSA Legal Office
Assistant Commissioner Regional Services Margaret
Binns
Assistant Commissioner Service Development/Deliver
y John Johnson
Assistant Commissioner Acquisition Keith Sandridge
Legal Officer Michelle Harrell
Contracting Officer Jack Braun
Networx Program Manager Karl Krumbholz
Technical/Pricing Requirement Fred Schobert
Operations Planning Debbie Hren
Business Acquisition Larry Shafer
Billing Ordering James Clatterbuck
Contractor support Mitretek
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FTS Networx Progress
Agency requirements
Agency Concurrence
FTS Research and Strategy Development
Initial Networx Strategy
RFI
Stakeholder Feedback
Stakeholder Feedback Program Revision
Revised Networx Strategy
Draft RFP
Complete Draft RFP
Industry Response
Evaluations and Negotiations
FTS Networx Awards
Issue RFP
Proposals Received
Agency Fair Consideration
Transition Complete
Agency Vendor Selected
Transition
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IMC/FTS Networx Relationship
Interagency Management Council (IMC)Jan Lilja
(Chair) Department of Agriculture
FTS CommissionerSandra Bates
AC For Service Development and Delivery John
Johnson
Program Information
Networx Project Teams
Program Direction
FTS Networx Program Manager Karl Krumbholz
Strategy Working Group
Technical Requirements Working Group
Transition Working Group
Operations Planning Working Group
Operations Planning
Technical Requirements
Transition
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FTS Networx Program Goals

• Service continuity
• Highly competitive prices
• Full service vendors
• High quality service

• Alternative sources
• Operations support
• Billing
• Transition support
• Inventories
• Performance based contracts

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FTS Networx Strategy Update

• Networx RFI released for industry comment in
  October of 2003
• FTS conducted an extensive review of industry
  suggestions to improve the acquisition .. We
  Heard You,.and we made changes.
• Specifically, we readdressed the following
• Entry criteria
• Number and timing of acquisitions
• Billing and Ordering
• Use of Multiple Award Schedules
• We conducted extensive research and analysis in
  developing our revised strategy
• Revised Strategy does not sacrifice agency goals

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Entry Criteria

• Concern Do the entrance criteria restrict
  competition to traditional long distance
  companies only?
• Revised Strategy
• Changed requirement from service to all wire
  centers nationwide, to only those required to
  serve Government Customers - Reduced pricing
  requirement by 70
• Redefined Switched Voice requirement to
  voice, thereby providing opportunities for
  alternate technologies

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Number of Acquisitions

• Concerns
• 1. Does the second acquisition contain enough
  business? Will it be awarded?
• 2. Will phasing preclude the opportunity for
  transition business?
• 3. Can you better defined the second
  acquisition?
• Revised Strategy
• Two Acquisitions
• Universal (Full Service)
• Enterprise (Expanded Service)
• Simultaneous awards
• Clearly defined entry Criteria for both Networx
  Universal and Enterprise

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Networx Strategy - Universal

• Designed to meet the needs of Agencies for
  Continuity and Full Service
• Provides for all services to all locations
  currently served by FTS2001 nationwide service
  and geographic continuity
• Most services will be mandatory to bid
• Length of contract 4 years with 3, 2 year
  options
• MRGs Small relative to FTS2001
• Small business strategy still being developed
• Number of awards Multiple The number of
  awards will depend on the quality of the offers
  received

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Networx Strategy - Enterprise

• Awarded at the same time as Universal
• Designed to meet the needs of Agencies for
  alternative sources
• Requires offerors bid to a specified nationwide
  profile of locations to which offerors must
  deliver IP service at the T3 level.
• Some services will be mandatory to bid, most will
  not.
• Length of contract 4 years with 3, 2 year
  options
• MRGs Small relative to Enterprise
• Small business strategy still being developed
• Number of awards Multiple The number of
  awards will depend on the quality of the offers
  received

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Billing and Ordering

• Concerns
• Are the number of billing and ordering
  elements and the suggested formats excessive?
• Revised Strategy
• Reduced set of elements to agencies but will be
  more acceptable to industry, having agreed that
• There are no billing and ordering commercial
  standards
• Government requires certain unique elements in
  order to meet fiduciary and mission requirements

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Use of Schedules

• Concern Are Multiple Award Schedules an
  alternative to competed Government wide
  acquisitions?
• Revised Strategy
• FTS Networx and Multiple Award Schedules are
  complementary and each can be used as Agency
  customers desire
• The two contracting alternatives represent
  different approaches commonly used by Government
  to acquire services
• FTS and FSS are working together to expand
  service on the Multiple Award Schedules
• Other GSA contracts

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FTS Full Service Options

• Universal
• Continuity
• Full Service

E- Government
Embedded Security
Comprehensive End-to-End Solutions

• Enterprise
• Expanded Choice
• New technology

• Existing Contracts
• Multiple Award Schedules
• GWACs

Federal Enterprise Architecture
New Business Processes
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Simultaneous Acquisitions
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Strategy vs. Program Goals
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Source Selection Process

• To get business, offerors must win a Networx
  Contract and an agency order
• Agencies will evaluate awardees on each
  acquisition to determine which acquisition or
  acquisitions they want to use to compete
  follow-on services
• Universal Only
• Enterprise Only
• Universal and Enterprise separately
• Agencies conduct fair opportunity process
• Current services may be transitioned to either
  contract and to one or more vendor

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FTS Networx Schedule

• Networx Draft RFPs Released November 1,
  2004
• Networx Final RFPs Released April 1, 2005
• Networx Awards April 2006

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Summary

• What has changed?
• Nine month gap eliminated
• Ubiquity now continuity, 70 reduction in
  mandatory wire center pricing
• Billing requirements refined
• Switched Voice now Voice Service
• Second procurement, Enterprise, now fully defined
  
• What has not?
• Networx is a comprehensive program designed to
  provide agencies the best value and most advanced
  technologies available.

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For more information regarding this
presentation Contact Karl Krumbholz
Networx Program Manager 703 306-6601
Smarter Solutions
www.gsa.gov