Here’s the aspect of FirstNet’s independence that should matter most to public-safety agencies, potential offerors
Given this, FirstNet officials deserve a lot of credit for structuring its procurement in a manner that should give the organization practical independence. A typically procurement approach would have left FirstNet in a state of constant uncertainty, because the $7 billion allocated by Congress is not nearly enough to build a nationwide network, much less meet public-safety requirements and make technological upgrades.
Instead, FirstNet opted for an objectives-based request for proposals (RFP) that deftly aligns incentives between key players and results in the contractor paying FirstNet—not the other way around—for 25 years. The bottom line: If FirstNet receives a qualifying proposal by the May 31 deadline, the organization should be positioned to meet its mandate to be a self-sustaining organization.
In addition, FirstNet yesterday released a blog by CEO Mike Poth that noted the organization would not have to close its doors during a federal-government shutdown—a circumstance that has occurred during the 2013 government shutdown, because FirstNet’s funds are not appropriated.
“Only FirstNet is authorized to utilize these funds [it collects from the contractor] and they are not subject to re-allocation from FirstNet for any other purposes,” Poth states in the blog. “These amounts will be used to pay FirstNet’s overhead costs, for reinvestment in the NPSBN, and, more generally, to support advances or enhancements in public safety communications.
“This means that FirstNet will continue to operate even in the case of a government-wide shutdown resulting from any delay in approving the annual appropriations bills and makes available a long-term funding stream to provide confidence to NPSBN stakeholders that the network will endure.“
So, FirstNet is immune to government shutdowns. This is a huge statement, for several reasons.
FirstNet’s broadband system needs to meet public-safety standards, which means it needs to be working and available at all times. First responders cannot afford a hiccup in the system for any reason, least of all because of a federal budget battle that results in a government shutdown. And FirstNet should not be eligible for use as a political football during a budget debate.
This provides a much-needed level of certainty to public-safety agencies that are considering whether to subscribe to the FirstNet system. Similarly, it should ease concerns that potential contractors may have about the issue as they prepare proposals in hopes of entering into a 25-year contract with FirstNet—bids that are due in six weeks.
Finally, it makes sense on several common-sense levels. Like military commitments, domestic public-safety agencies do not have the luxury of taking a day off, and that goes for their communications systems, as well. In addition, if first responders—and those that support them directly—are not considered “essential” personnel who are not furloughed during a government shutdown, it’s hard to imagine who would qualify.
But the most obvious reason FirstNet should not be affected by a government shutdown is that the organization would not depend on taxpayer money, according to the RFP. In addition, these regular payments from contractors will be deposited into a FirstNet account and not used as part of the U.S. Treasury’s general fund, according to a FirstNet spokesman.