United Parcel Service, Inc.

United Parcel Service, Inc. Government Sales Division, operating as UPS, is a large for-profit logistics and package delivery provider based in Atlanta, Georgia, that serves federal agencies as a prime contractor (100% of recent tracked awards) across domestic and international shipping, ground transportation, and freight services. UPS competes full-and-open without set-aside designations across its federal footprint, with a single exception: one February 2022 purchase order from the Bureau of Prisons designated as a Total Small Business set-aside, though this designation does not reflect UPS's standard posture.

UPS's federal customer base is heavily concentrated in the Department of Veterans Affairs, particularly the Veterans Health Administration regional networks. The top five customers by award count account for 12% of all tracked awards and include VA Veterans Benefits Administration (208 awards, $7.4 million combined potential value), VA Veterans Health Administration Veterans Integrated Service Network 10 (187 awards, $15.4 million), VA Veterans Health Administration Veterans Integrated Service Network 22 (182 awards, $24 million), Department of the Interior Bureau of Reclamation (187 awards, $484 thousand), and VA Veterans Health Administration Veterans Integrated Service Network 15 (168 awards). When measured by potential value, the concentration becomes more pronounced: VA Veterans Health Administration Veterans Integrated Service Network 15 dominates at $230.3 million combined potential value across 168 awards, followed by VA Veterans Health Administration Veterans Integrated Service Network 9 ($36.9 million), the Social Security Administration ($33.1 million), VA Veterans Health Administration Veterans Integrated Service Network 12 ($27.6 million), and VA Veterans Health Administration Veterans Integrated Service Network 22 ($24 million). These five customers represent 13% of combined potential value across the entire portfolio. Representative contract work includes a $10,634.36 firm fixed-price purchase order from the Bureau of Prisons United States Penitentiary Atlanta for fiscal year 2022 shipping services; multiple $12,000 purchase orders from the Federal Correctional Institution Jesup for UPS delivery services; a $65,000 delivery order from Federal Correctional Complex Petersburg for transportation and courier services; and recurring BPA calls from Federal Correctional Institutions for inmate property shipment and package delivery under the GSA Transportation, Delivery and Relocation Services Schedule.

UPS operates primarily through two major federal vehicles. The GSA Schedule 48 (Transportation, Delivery and Relocation Services) carries 10,293 task orders valued at $1.76 billion in combined potential value and dominates the contract vehicle structure. Additional significant vehicles include the Department of Homeland Security Indefinite Delivery Contract HSHQDC07D00001 (340 task orders, $13.6 million), a Blanket Purchase Agreement with the Department of Transportation for internal tracking of payments made against Department of Defense contracts (HTC71112AR001: 103 task orders, $26.7 million), the DLA Surface Small Package II vehicle for 2013–2017 (58 task orders, $24.8 million), and an earlier DOT Indefinite Delivery Contract (HTC71107A0002: 44 task orders, $6.3 million). The $160,002 Blanket Purchase Agreement with the Department of Transportation, awarded September 2022 with ultimate completion September 2023, provides payment tracking for UPS services procured under a Department of Defense mandatory best-in-class package delivery contract. A $2 million BPA with the Department of Health and Human Services, referenced in award summaries, covered ground transportation support including COVID-19 response shipments.

Activity has declined significantly over the past five years. From 2021 to 2025, tracked awards fell from 18 to 1 annually (2021: 18 awards; 2022: 14 awards; 2023: 5 awards; 2024: 4 awards; 2025: 1 award to date). The vendor's federal portfolio comprises 7,618 total awards with a combined potential value of $2.63 billion, of which $960.9 million (36%) has been obligated. The portfolio spans 398 distinct federal customer agencies, with the oldest tracked award dating to November 1987. UPS operates exclusively as a prime contractor in this tracking window; the two sub-awards listed represent federal grant sub-awards in which UPS provides cost share and vehicle replacement services to prime recipients. A Port Department of The City Of Oakland grant sub-award (April 2025) covers replacement of sixty UPS gasoline-powered Class 6 delivery trucks with zero-emission battery electric trucks and supporting charging infrastructure at three Bay Area logistics centers, with UPS providing $5.158 million in cost share. A Coalition For Sustainable Initiatives Inc. grant sub-award (October 2024) covers replacement of thirty-five terminal tractors and delivery trucks with battery electric alternatives.

UPS's capability footprint centers on couriers and express delivery services (6,692 awards under NAICS 492110), scheduled freight air transportation (524 awards), and general freight trucking (106 awards). The primary service codes reflect administrative mailing and distribution support (2,759 awards under PSC H245), courier and messenger services (2,183 awards under PSC H246), and motor freight transportation (588 awards). Work performed includes small-package ground delivery, inmate property shipment and mail services to federal correctional institutions, package tracking software licensing (UPS TrackPad 6.0 and 6.0 licensing to the Department of the Army), international freight services to the Bureau of Consular Affairs, and medical supply delivery to Department of Veterans Affairs regional networks. The parent company, United Parcel Service Inc., carries a broader federal prime footprint and grant-recipient posture beyond the Government Sales Division.