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AUTHORIZATION TO ENTER INTO A CONTRACT WITH CELLCO PARTNERSHIP DBA VERIZON WIRELESS FOR CELLULAR BASED WIRELESS COMMUNICATIONS
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To the Honorable Board of Commissioners of the Chicago Park District:
I. Recommendation
Pursuant to Chapter XI, Section D.1.b.(2)(e) of the Code of the Chicago Park District, it is recommended that the General Superintendent and CEO or his designee enter into a contract with Cellco Partnership DBA Verizon Wireless (Verizon) to provide cellular based wireless communications.
II. Contract Information
Company: Cellco Partnership dba Verizon Wireless
One Verizon Way
Basking Ridge, NJ 07920-1097
Company Type: General Partnership
Majority Interest: Verizon Americas LLC: 44.017%
GTE WIreless LLC: 32.353%
Bell Atlantic Mobile Systems LLC: 23.630%
Contract Amount: Not-to-exceed $1,300,000 for the initial term
Contract Period: Three (3) years initial term with two (2) additional one (1) year extension options
Scope of Services: To provide cellular based wireless communications
Compliance Goals: The Minority and Women-Owned Business Enterprise (MBE/WBE) participation for this contract meets the compliance goals of 25% MBE participation and 5% WBE participation. The vendor proposes to utilize Illinois based MBE and WBE owned firms in an indirect capacity to achieve contract compliance.
III. Budget and Financial Information
Budget Classification: IT Operating
Fiscal Year: 2025-2027
Funding for successive fiscal years shall be allocated through the annual budget process
Source of Funds: 001.8230.8230.623015.00001.01.01.00001
IV. Procurement Information
Pursuant to Chapter XI, Section D.1.b.(2)(e) of the Code of the Chicago Park District, advertisement and competitive sealed bidding may be suspended if the public interest is better served and in cases where it is unlikely that multiple proposals would be submitted in response to requests for proposals. This contract’s pricing will be consistent with the State of Illinois pricing schedule. The Department of Information Technology conducted an internal solicitation from the cellular service providers that currently have contracts with Illinois or other city agencies and did an extensive evaluation of the cellular service providers. Verizon offered the best value in terms of pricing and services to meet the District’s needs. The Purchasing Department has accepted the response.
V. Explanation
The Department of Information Technology currently maintains 650 cellular phones and network data devices. This cellular-based wireless solution is vital to the day-to-day operation and communication of the Chicago Park District. This solution allows employees to make cellular phone calls, have access to email, Short Message Service (SMS), and Chicago Park District mobile applications as well as providing secured access to the internet. For remote sites that cannot be reached by a wired Internet Service Provider (ISP), the Verizon network data devices are used to extend connectivity to the Chicago Park District enterprise network. These network data devices have been deployed in the following parks:
• Abbott (Robert) Park
• Dooley (Thomas) Park
• Durkin (Martin) Park
• Gage (George) Park
• Hale (Nathan) Park
• Hamlin (Hannibal) Park
• Peterson Park Gymnastics
• Scottsdale Park
• Tom (Ping) Memorial Park
• Vittum (Harriet Elizabeth) Park
• White (Edward H.) Park
The Chicago Park District has been working with Verizon since February 2005. From 2011 to 2017 the Chicago Park District placed orders through a RFQ using the City of Chicago Contract with GSA-Federal Supply Schedule (GS-35F-0119P).
In 2018, the Chicago Park District placed orders using the Verizon Wireless and the State of Illinois, Department of Central Management Services Master Services Agreement Reference Number 15-9372, IPB Ref 22037605 (Master Contract Number CMS793372P) for Wireless/Cellular Services and Equipment. A change order was executed on Joint Purchase Master Contract (19-448DOIT-ADMIN-P-4622) extending the current contract term through 10/2/2026.
The State has an existing contract with Cellco Partnership dba Verizon Wireless for cellular based wireless communications. The terms, conditions, and rates negotiated by the State with Cellco Partnership dba Verizon Wireless will be extended to the District.
Verizon Wireless, a Delaware company is a major American multinational telecommunications company that provides wireless internet, television, and business services. There are six established reasons why we would like to continue our relationship with Verizon Wireless.
• Coverage - Offers strong and consistent 4G LTE and 5G coverage throughout the City of Chicago providing better in-building signal penetration to most state and local government-owned buildings
• Reliability - Uses a robust, reliable, and consistent overall network which is beneficial for users requiring a strong connection for work.
• Security - Offers an option to use a private network for the devices to directly connect to the Chicago Park District
• 5G Speed - Provides a 5G Ultra-Wideband (5G UW) network that can handle a high volume of users simultaneously without network congestion with speeds similar to fiber optic internet connection
• Support - Provides dedicated 24/7 technical support as well as on-demand emergency assistance during crisis situations
• Pricing - Offers pre-negotiated pricing by the State of Illinois including waived penalties and promotional smartphones and flip phones at zero cost
Cellco Partnership dba Verizon Wireless has not submitted a complete Economic Disclosure Statement (EDS). Cellco’s EDS discloses its organizational structure with respect to both control and ownership by providing the names and other pertinent information of several layers of upper-tier entities, culminating in Verizon Communications, Inc., a publicly-traded corporation. Cellco, however, has not provided EDSs for any of those intermediate upper-tier entities or Verizon Communications. Pursuant to the EDS rules recently promulgated by the General Counsel, Verizon Communications could provide its most recent comprehensive SEC filing(s) in lieu of an EDS but Cellco has not provided that filing(s) either.
VI. General Conditions
1. Conflicts: The agreement shall not be legally binding on the Chicago Park District if entered into in violation of the provisions of 50 ILCS 105, the Public Officer Prohibited Activities Act.
2. Ethics: The agreement shall contain a provision requiring compliance with Chapter III of the Code of the Chicago Park District (“Governmental Ethics”).
3. Contingent Liability: Any agreement lawfully entered into for a period of more than one year shall be executory only for the amounts for which the Park District may become liable in succeeding fiscal years pursuant to 70 ILCS 1505/17(i). The agreement shall contain a clause that any expenditure beyond the current fiscal year is subject to appropriation in the subsequent fiscal year budget.
4. Economic Disclosure Statement (“EDS”): Contractor has not submitted full and complete EDSs prior to introduction to the Board.