NIAID Cyber Tech Infrastructure Support Services Contract Awarded to General Dynamics for $123.6M

Contract Overview

Contract Amount: $123,599,700 ($123.6M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of the Interior

Start Date: 2019-02-15

End Date: 2024-08-14

Contract Duration: 2,007 days

Daily Burn Rate: $61.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: NIAID OPERATIONS AND ENGINEERING BRANCH CYBER TECHNOLOGY INFRASTRUCTURE SUPPORT SERVICES

Place of Performance

Location: ROCKVILLE, MONTGOMERY County, MARYLAND, 20850

State: Maryland Government Spending

Plain-Language Summary

Department of the Interior obligated $123.6 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: NIAID OPERATIONS AND ENGINEERING BRANCH CYBER TECHNOLOGY INFRASTRUCTURE SUPPORT SERVICES Key points: 1. The contract is for Computer Systems Design Services, a critical area for government operations. 2. General Dynamics Information Technology, Inc. is the sole awardee, raising questions about competition. 3. The Time and Materials pricing structure could pose a risk for cost control. 4. The contract duration is substantial, spanning over 5 years, indicating a long-term need.

Value Assessment

Rating: fair

The contract's value of $123.6M over 5 years suggests a significant investment. Benchmarking against similar large-scale IT infrastructure support contracts is necessary to assess if this pricing is competitive, especially given the Time and Materials structure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is positive for price discovery. However, the award to a single entity, General Dynamics Information Technology, Inc., warrants scrutiny to ensure the competitive process yielded the best value.

Taxpayer Impact: The significant contract value means taxpayer funds are being utilized. Ensuring cost-effectiveness through robust oversight and competitive pricing is crucial for maximizing the value of this investment.

Public Impact

Ensures continued operation and security of critical cyber technology infrastructure for NIAID. Supports research and public health initiatives by providing essential IT services. Potential for job creation within the IT sector through this large contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials pricing can lead to cost overruns if not managed tightly.
Sole awardee may limit future competitive opportunities and innovation.
Long contract duration requires ongoing performance monitoring.

Positive Signals

Awarded under full and open competition.
Supports critical government IT infrastructure.
Significant contract value indicates a substantial need.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. Spending in this area is substantial across government agencies, supporting everything from basic operations to advanced research and development. Benchmarks for similar contracts would focus on cost per user, project success rates, and vendor performance metrics.

Small Business Impact

The data indicates this contract was not set aside for small businesses and the awardee is a large corporation. There is no indication of subcontracting opportunities for small businesses within this specific award notice.

Oversight & Accountability

The contract's long duration and significant value necessitate strong oversight from NIAID to ensure performance standards are met and costs remain controlled. Regular performance reviews and audits will be key to accountability.

Related Government Programs

Computer Systems Design Services
Department of the Interior Contracting
Departmental Offices Programs

Risk Flags

Potential for cost overruns due to Time and Materials pricing.
Lack of small business participation noted.
Long contract duration requires sustained oversight.
Single awardee may limit future competition.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $123.6 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. NIAID OPERATIONS AND ENGINEERING BRANCH CYBER TECHNOLOGY INFRASTRUCTURE SUPPORT SERVICES

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 the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $123.6 million.

What is the period of performance?

Start: 2019-02-15. End: 2024-08-14.

What specific metrics are used to evaluate the performance of General Dynamics Information Technology, Inc. under this contract, and how are these metrics tied to the Time and Materials pricing struct

Performance evaluation likely involves metrics such as system uptime, response times for support requests, successful implementation of upgrades, and adherence to security protocols. For Time and Materials contracts, value is ensured by closely monitoring labor hours, material costs, and ensuring that the work performed is necessary and efficient. Regular reporting and audits are crucial to validate these metrics and prevent cost creep.

Given the full and open competition, why was the contract awarded to a single entity, and what steps were taken to ensure this represented the best possible value and price discovery compared to multi

A single award under full and open competition can occur if one offeror demonstrates superior technical capabilities, a more comprehensive understanding of requirements, or a more advantageous price structure that outweighs potential benefits of multiple awards. Agencies typically conduct thorough evaluations against pre-defined criteria. Price discovery is achieved through the competitive bidding process itself, where the agency sets expectations for pricing based on market research and evaluates submitted proposals against these benchmarks.

How does the Time and Materials (T&M) pricing model for this substantial IT support contract mitigate risks of cost overruns and ensure that taxpayer funds are used efficiently for the intended scope

Mitigating T&M risks involves stringent contract management, including detailed statements of work, defined labor categories with capped rates, and strict oversight of hours worked and materials purchased. Agencies often implement 'level of effort' clauses or cost ceilings to control spending. Regular audits and performance reviews are essential to ensure that the work is necessary, efficient, and aligned with the contract's objectives, thereby safeguarding taxpayer funds.

Industry Classification

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

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 3

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 3150 FAIRVIEW PARK DR STE 100, FALLS CHURCH, VA, 22042

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

Financial Breakdown

Contract Ceiling: $175,803,922

Exercised Options: $172,419,559

Current Obligation: $123,599,700

Actual Outlays: $118,115,714

Subaward Activity

Number of Subawards: 18

Total Subaward Amount: $7,872,450

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HHSN316201200013W

IDV Type: GWAC

Timeline