General Dynamics IT awarded $56.3M for USPTO computer systems design, a 2015 contract with a 2026 end date

Contract Overview

Contract Amount: $56,343,811 ($56.3M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Commerce

Start Date: 2020-12-23

End Date: 2026-06-30

Contract Duration: 2,015 days

Daily Burn Rate: $28.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 16

Pricing Type: LABOR HOURS

Sector: IT

Official Description: NWOW FOR ALL 6 TRADEMARK PRODUCT LINES

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Commerce obligated $56.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: NWOW FOR ALL 6 TRADEMARK PRODUCT LINES Key points: 1. Contract awarded for computer systems design services, indicating a need for ongoing IT infrastructure support. 2. The contract duration spans over a decade, suggesting a long-term strategic partnership. 3. Awarded under full and open competition, implying a robust bidding process. 4. The contract type is a delivery order, which allows for task-specific procurements against a larger contract. 5. The contractor, General Dynamics Information Technology, Inc., has a significant presence in federal IT services. 6. The contract's value is substantial, reflecting the complexity and scope of the services required by the USPTO.

Value Assessment

Rating: fair

The contract value of $56.3 million over its extended period appears reasonable for comprehensive computer systems design services. Benchmarking against similar large-scale IT support contracts for federal agencies suggests this falls within expected ranges. However, without specific details on the services delivered and the labor hours involved, a precise value-for-money assessment is challenging. The contract's longevity, originating from 2015 and extending to 2026, might indicate either consistent value or potential for cost creep if not actively managed.

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. This process generally fosters a competitive environment, encouraging multiple bidders to offer their best pricing and technical solutions. The fact that it was competed suggests that the government sought to leverage market competition to obtain the best value. The number of bidders is not specified, but the category implies a healthy level of interest.

Taxpayer Impact: Full and open competition is generally beneficial for taxpayers as it is expected to drive down prices and improve the quality of services received through market forces.

Public Impact

The U.S. Patent and Trademark Office (USPTO) benefits from enhanced and maintained computer systems, crucial for its intellectual property operations. Services delivered include computer systems design, supporting the core IT infrastructure of a vital government agency. The geographic impact is primarily within the USPTO's operational centers, likely concentrated in Washington D.C. and potentially other key locations. Workforce implications may include IT professionals employed by General Dynamics Information Technology, Inc., supporting the USPTO's mission.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Extended contract duration from 2015 to 2026 raises questions about initial scope and potential for scope creep or price adjustments over time.
Lack of specific performance metrics or detailed service breakdowns makes it difficult to fully assess the value delivered against the $56.3M award.
The contract's origin in 2015 means current technology and service needs might have evolved significantly, potentially impacting its continued relevance and cost-effectiveness.

Positive Signals

Awarded through full and open competition, suggesting a competitive process that should have yielded favorable terms.
General Dynamics Information Technology, Inc. is a large, established federal contractor with extensive experience in IT services, indicating a degree of reliability.
The contract supports the critical functions of the USPTO, ensuring the continuity of essential government operations.

Sector Analysis

The federal IT services market is vast and highly competitive, with agencies like the USPTO relying heavily on contractors for complex systems design and maintenance. This contract falls within the 'Computer Systems Design Services' NAICS code (541512), a segment characterized by significant government spending. Comparable spending benchmarks for similar IT modernization and support contracts within large federal agencies often run into tens or hundreds of millions of dollars, reflecting the scale of these endeavors. The USPTO's need for robust IT infrastructure to manage patent and trademark applications positions this contract as a key component of national innovation support.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary set-aside consideration for this contract. This suggests that the primary award was made without specific small business subcontracting goals mandated at the outset. While General Dynamics Information Technology, Inc. may engage small businesses in its supply chain, the contract structure itself does not appear to prioritize small business set-asides. This could mean fewer direct opportunities for small businesses to participate in this specific contract's execution.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officers and program managers within the Department of Commerce and the U.S. Patent and Trademark Office. Accountability measures are usually embedded in the contract's terms and conditions, including performance standards and delivery schedules. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected or identified within the contract's performance.

Related Government Programs

IT Modernization Programs
Enterprise IT Services
Computer Systems Design
Federal IT Infrastructure Support
Patent and Trademark Office Operations

Risk Flags

Long contract duration raises concerns about adaptability to evolving technology.
Lack of specific performance data makes value assessment difficult.
Potential for vendor lock-in due to long-term IT system dependency.

Frequently Asked Questions

What is this federal contract paying for?

Department of Commerce awarded $56.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. NWOW FOR ALL 6 TRADEMARK PRODUCT LINES

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 Commerce (U.S. Patent and Trademark Office).

What is the total obligated amount?

The obligated amount is $56.3 million.

What is the period of performance?

Start: 2020-12-23. End: 2026-06-30.

What is the specific nature of the 'NWOW FOR ALL 6 TRADEMARK PRODUCT LINES' mentioned in the data, and how does it relate to the computer systems design services?

The phrase 'NWOW FOR ALL 6 TRADEMARK PRODUCT LINES' appears to be an internal project or initiative identifier related to the USPTO's operations, likely signifying a 'New Way of Working' or a similar program focused on modernizing or optimizing their trademark-related product lines. The computer systems design services procured under this contract would logically support the IT infrastructure, software development, and system integration required to implement and sustain such an initiative. This could involve designing or upgrading databases, user interfaces, workflow management systems, or data analytics platforms that underpin the USPTO's trademark processing and management functions across its various product offerings.

How does the contract's original award date (2015) and extended end date (2026) impact the assessment of its current value and relevance?

The significant time span from 2015 to 2026 (over a decade) presents a dual-edged sword for value assessment. On one hand, it suggests the services provided are critical and have maintained relevance, potentially offering economies of scale and stability for the USPTO. On the other hand, technology evolves rapidly. The initial scope and technical solutions designed in 2015 might be outdated by 2026, potentially leading to inefficiencies or requiring costly workarounds if not actively managed and updated. Assessing current value requires understanding how the contract has adapted to technological advancements and changing USPTO needs throughout its lifecycle, rather than solely relying on the initial award value.

Given the contract's value and duration, what are the potential risks associated with vendor lock-in or over-reliance on General Dynamics Information Technology, Inc.?

A contract of this magnitude and duration, especially for critical IT systems, inherently carries risks of vendor lock-in. If the systems designed and implemented by General Dynamics IT are proprietary or deeply integrated, transitioning to another vendor in the future could be technically complex, time-consuming, and prohibitively expensive. This reliance can reduce the government's leverage in future negotiations. Furthermore, over-reliance might stifle internal government expertise development in these specific systems. Mitigating these risks requires clear exit strategies, robust documentation, and potentially incorporating requirements for open standards and knowledge transfer throughout the contract's life.

What performance metrics or key performance indicators (KPIs) would be most relevant for evaluating the success of this computer systems design contract?

For a computer systems design contract supporting USPTO trademark operations, relevant KPIs would focus on system availability, performance, security, and user satisfaction. Key metrics could include: System Uptime/Availability (e.g., percentage of time systems are operational), Mean Time Between Failures (MTBF) and Mean Time To Repair (MTTR) for critical components, Application Performance (e.g., response times for key user transactions), Security Incident Rate (number of breaches or vulnerabilities identified and remediated), User Satisfaction Scores (through surveys or feedback mechanisms), and successful completion of project milestones and deliverables within agreed timelines and budgets. Tracking these would provide a data-driven view of the contractor's performance.

How does this contract compare to other federal spending on IT services for intellectual property or similar regulatory agencies?

This $56.3 million contract for computer systems design services for the USPTO is substantial, reflecting the critical IT needs of a large, data-intensive agency. When compared to IT spending across federal agencies, it aligns with significant investments made by organizations like the IRS, Social Security Administration, or defense agencies for enterprise-wide IT modernization and support. For regulatory bodies focused on intellectual property, the USPTO's spending is likely commensurate with its unique mission complexity and the volume of data it manages. While specific comparable figures for similar agencies are hard to isolate without detailed analysis, this contract represents a significant, but not outlier, investment in essential IT infrastructure for a key government function.

Industry Classification

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

Product/Service Code: IT AND TELECOM - APLLICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 16

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 3211 JERMANTOWN RD, FAIRFAX, VA, 22030

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $104,013,032

Exercised Options: $56,343,811

Current Obligation: $56,343,811

Subaward Activity

Number of Subawards: 6

Total Subaward Amount: $34,340,249

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCK18D0003

IDV Type: GWAC

Timeline