DoD's $16M contract for USTRANSCOM IT support awarded to General Dynamics Information Technology

Contract Overview

Contract Amount: $15,970,273 ($16.0M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-02-19

End Date: 2015-04-30

Contract Duration: 2,261 days

Daily Burn Rate: $7.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: AUTOMATIC IDENTIFICATION TECHNOLOGY SUPPORT FOR USTRANSCOM.

Place of Performance

Location: SCOTT AFB, SAINT CLAIR County, ILLINOIS, 62225

State: Illinois Government Spending

Plain-Language Summary

Department of Defense obligated $16.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: AUTOMATIC IDENTIFICATION TECHNOLOGY SUPPORT FOR USTRANSCOM. Key points: 1. Value for money appears fair given the 6-year duration and fixed-price nature, though specific performance metrics are not detailed. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. Risk indicators are moderate, with a long contract duration and a single awardee for this specific delivery order. 4. Performance context is limited to the broad category of 'Other Computer Related Services'. 5. Sector positioning is within IT services supporting a major defense agency.

Value Assessment

Rating: fair

The total award of $15.97 million over approximately 6 years (2009-2015) for IT support services averages to roughly $2.66 million per year. This figure needs to be benchmarked against similar IT support contracts for defense agencies to determine true value. The firm-fixed-price contract type suggests that the contractor assumes most of the cost risk, which can be favorable for the government if managed effectively. However, without detailed performance metrics or comparison data, a definitive value assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 7 bidders suggests a healthy level of competition for this requirement. A competitive environment generally aids in price discovery and can lead to more favorable terms for the government.

Taxpayer Impact: The robust competition for this contract likely resulted in a more competitive price for taxpayers compared to a sole-source or limited competition scenario.

Public Impact

The primary beneficiary is the U.S. Transportation Command (USTRANSCOM), which receives essential IT support. Services delivered include 'Other Computer Related Services', crucial for the operational efficiency of USTRANSCOM. The geographic impact is centered around USTRANSCOM's operations, likely within Illinois where the contractor is based. Workforce implications include employment for IT professionals within General Dynamics Information Technology.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 6 years) can sometimes lead to scope creep or outdated technology if not managed proactively.
Lack of specific performance metrics in the provided data makes it difficult to assess the quality and effectiveness of the services rendered.
Reliance on a single awardee for this delivery order, despite multiple bidders, means ongoing performance monitoring is critical.

Positive Signals

Awarded under full and open competition, indicating a competitive process that typically benefits price.
Firm-fixed-price contract type shifts cost risk to the contractor, potentially saving taxpayer money on unforeseen expenses.
The contract supported a critical defense agency (USTRANSCOM), ensuring essential operational capabilities.

Sector Analysis

This contract falls within the broader IT services sector, specifically focusing on computer-related services. The IT services market for the federal government is substantial, with significant spending allocated to maintaining and upgrading complex systems. This contract represents a portion of the Department of Defense's overall IT expenditure, supporting the unique logistical and transportation command functions of USTRANSCOM. Comparable spending benchmarks would involve analyzing other IT support contracts awarded to large system integrators by defense agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). General Dynamics Information Technology is a large business. There is no explicit information on subcontracting plans for small businesses within this data snippet. Therefore, the direct impact on the small business ecosystem from this specific award is likely minimal, though large prime contractors often utilize small businesses for subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by USTRANSCOM contracting officers and program managers. As a Department of Defense contract, it would also be subject to oversight from the DoD Inspector General's office, particularly concerning performance, cost, and compliance. Transparency is generally facilitated through contract award databases like FPDS, where basic information is publicly available. Accountability measures would be tied to the contract's performance clauses and the firm-fixed-price structure.

Related Government Programs

USTRANSCOM IT Modernization Programs
DoD Enterprise IT Services
Defense Logistics Agency IT Support
Command and Control Systems Support

Risk Flags

Long contract duration
Limited performance metrics available
Broad service category

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. AUTOMATIC IDENTIFICATION TECHNOLOGY SUPPORT FOR USTRANSCOM.

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (USTRANSCOM).

What is the total obligated amount?

The obligated amount is $16.0 million.

What is the period of performance?

Start: 2009-02-19. End: 2015-04-30.

What was the specific nature of the 'Other Computer Related Services' provided under this contract?

The provided data categorizes the service under NAICS code 541519, 'Other Computer Related Services.' This broad category can encompass a wide range of IT support functions beyond standard software development or hardware maintenance. For this specific contract with USTRANSCOM, it likely included services such as IT systems integration, network management, cybersecurity support, help desk services, database administration, and potentially specialized software application support tailored to USTRANSCOM's unique mission requirements. Without access to the detailed contract statement of work (SOW), the precise scope remains general, but it was fundamental to the operational continuity and efficiency of the transportation command's IT infrastructure.

How does the average annual cost of $2.66 million compare to similar IT support contracts for defense agencies?

Benchmarking the average annual cost of $2.66 million requires comparison with similar IT support contracts awarded by other Department of Defense agencies or even within USTRANSCOM for different periods or service types. Factors influencing cost include the complexity of the systems supported, the level of service required (e.g., 24/7 support, specific security clearances), the number of users, and the specific technologies involved. Given that this was a firm-fixed-price contract awarded under full and open competition with multiple bidders, the price is likely competitive. However, without specific comparable contract data (e.g., contract value, duration, scope, number of bidders for similar services), it's difficult to definitively state whether $2.66 million per year represents excellent, fair, or questionable value. Generally, IT support for large, complex organizations like USTRANSCOM can range significantly, making direct comparisons challenging without detailed context.

What are the key performance indicators (KPIs) or service level agreements (SLAs) associated with this contract?

The provided summary data does not include specific Key Performance Indicators (KPIs) or Service Level Agreements (SLAs) for this contract. Typically, IT support contracts of this nature would include SLAs related to system uptime, response times for issue resolution, security compliance metrics, and user satisfaction. The firm-fixed-price nature suggests that the contractor is obligated to deliver the defined services, and penalties or incentives might be tied to meeting certain performance thresholds. However, the absence of this information in the summary prevents a detailed assessment of the contractor's performance obligations and the government's ability to measure the quality and effectiveness of the IT support provided.

What is General Dynamics Information Technology's track record with similar large-scale IT support contracts for the DoD?

General Dynamics Information Technology (GDIT), now part of General Dynamics, has a long and extensive history of providing large-scale IT support and services to the Department of Defense and other federal agencies. They are a major federal IT contractor known for handling complex systems integration, cloud services, cybersecurity, and mission support. GDIT has held numerous significant contracts with various DoD components, including the Army, Navy, and Air Force, covering a wide array of IT needs. Their track record generally indicates experience with large, complex programs and the capacity to manage substantial budgets and workforces. However, like any large contractor, specific contract performance can vary, and a detailed review of their past performance on contracts with similar scope and objectives to this USTRANSCOM award would be necessary for a comprehensive assessment.

Were there any notable risks or challenges encountered during the performance of this contract?

The provided summary data does not detail specific risks or challenges encountered during the performance of this contract. However, contracts of this duration (over 6 years) and scope within the dynamic IT field inherently carry potential risks. These could include technological obsolescence, cybersecurity threats, integration issues with evolving systems, changes in government requirements, or contractor performance issues. The firm-fixed-price structure places the onus on the contractor to manage these risks effectively. Without specific reports or contract close-out documentation, it's impossible to identify any actualized risks or challenges that may have impacted the contract's execution or outcome.

How has USTRANSCOM's reliance on external IT support evolved since this contract period (2009-2015)?

Since the 2009-2015 period of this contract, USTRANSCOM, like the broader DoD, has likely continued its trend towards modernizing IT infrastructure, embracing cloud computing, enhancing cybersecurity measures, and potentially consolidating IT services. The evolution would involve adapting to new technologies, addressing evolving cyber threats, and optimizing IT spending. It's probable that subsequent contracts would reflect these shifts, potentially focusing more on cloud migration, data analytics, AI integration, and advanced network security. The move towards more agile development andDevOps practices may also have influenced how IT support services are procured and delivered. Assessing this evolution would require examining USTRANSCOM's IT strategy documents and subsequent contract awards.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: HTC71108R0033

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Sterling Parent Inc. (UEI: 968838909)

Address: 4300 FAIR LAKES CT, FAIRFAX, VA, 22033

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $15,970,273

Exercised Options: $15,970,273

Current Obligation: $15,970,273

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: HTC71109D0004

IDV Type: IDC

Timeline