GSA Awards $832M Engineering Services Task Order to General Dynamics for C5ISR Systems Support

Contract Overview

Contract Amount: $832,284,111 ($832.3M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: General Services Administration

Start Date: 2021-07-01

End Date: 2026-06-30

Contract Duration: 1,825 days

Daily Burn Rate: $456.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: Defense

Official Description: AWARD OF TASK ORDER 47QFCA210051-NAWCAD WOLF SHIP AND AIR C5ISR SYSTEMS SUPPORT

Place of Performance

Location: SAINT INIGOES, SAINT MARYS County, MARYLAND, 20684

State: Maryland Government Spending

Plain-Language Summary

General Services Administration obligated $832.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: AWARD OF TASK ORDER 47QFCA210051-NAWCAD WOLF SHIP AND AIR C5ISR SYSTEMS SUPPORT Key points: 1. Significant award for C5ISR systems support, indicating demand in defense electronics. 2. General Dynamics Information Technology, Inc. is a major player in this sector. 3. Potential risk associated with long-term cost-plus contracts requiring close oversight. 4. The Engineering Services sector sees substantial government investment.

Value Assessment

Rating: good

The contract type is Cost Plus Award Fee, which allows for performance-based incentives. The total award value is substantial, and its reasonableness will depend on the specific deliverables and market rates for similar engineering services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for critical defense systems support.

Public Impact

Supports advanced military communication, command, control, and intelligence systems. Enhances readiness and operational capabilities for naval forces. Contributes to the technological superiority of U.S. defense assets.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contract type can lead to cost overruns if not managed tightly.
Long contract duration (5 years) increases exposure to potential scope creep or changing requirements.
Sole contractor for this specific task order might limit future competitive opportunities if not structured carefully.

Positive Signals

Awarded under full and open competition, indicating a robust selection process.
Supports critical national defense infrastructure.
Includes performance incentives through the Award Fee structure.

Sector Analysis

This award falls within the Engineering Services sector, which is crucial for developing and maintaining complex defense systems. Government spending in this area is consistently high, driven by modernization and operational needs.

Small Business Impact

The awardee, General Dynamics Information Technology, Inc., is a large business. There is no indication of small business participation in this specific task order award, which could be an area for future consideration.

Oversight & Accountability

The Cost Plus Award Fee structure necessitates strong oversight from the General Services Administration (GSA) to ensure performance targets are met and costs are controlled effectively. Regular reviews and audits will be critical.

Related Government Programs

Engineering Services
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Potential for cost overruns due to CPAF structure.
Long-term contract duration increases risk of scope creep.
Lack of explicit small business subcontracting noted.
Dependence on a single large contractor for critical systems support.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $832.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. AWARD OF TASK ORDER 47QFCA210051-NAWCAD WOLF SHIP AND AIR C5ISR SYSTEMS SUPPORT

Who is the contractor on this award?

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

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $832.3 million.

What is the period of performance?

Start: 2021-07-01. End: 2026-06-30.

How does the performance of General Dynamics on this task order compare to industry benchmarks for similar C5ISR system support contracts?

Assessing performance against industry benchmarks requires detailed analysis of key performance indicators (KPIs) outlined in the contract, such as system uptime, response times, and successful integration of upgrades. Comparing these metrics to publicly available data or industry reports on similar contracts awarded to other large defense contractors will reveal if the government is receiving competitive value and if General Dynamics is meeting or exceeding expected service levels.

What are the primary risks associated with the Cost Plus Award Fee (CPAF) structure for this long-term task order, and how are they being mitigated?

The primary risks of CPAF include potential for cost overruns if the award fee criteria are too easily met or if contractor inefficiencies are not penalized, and the administrative burden of defining and measuring performance. Mitigation strategies likely involve clearly defined, objective, and measurable award fee criteria tied to critical mission outcomes, robust government oversight to monitor costs and performance, and regular performance reviews to ensure alignment with contract objectives.

To what extent does this task order contribute to the overall modernization and effectiveness of the NAWCAD's C5ISR capabilities?

This task order is crucial as it directly funds the support and potential enhancement of Wolf Ship and Air C5ISR systems. Its contribution to modernization and effectiveness hinges on the successful execution of engineering services, including maintenance, upgrades, and integration of new technologies. Effective support ensures these systems remain operational, secure, and capable of meeting evolving mission requirements, thereby directly bolstering NAWCAD's overall C5ISR posture.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: MODIFICATION OF EQUIPMENT › MODIFICATION OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QFCA21R0060

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

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: $878,554,043

Exercised Options: $878,554,043

Current Obligation: $832,284,111

Actual Outlays: $-22,866

Subaward Activity

Number of Subawards: 279

Total Subaward Amount: $260,522,127

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADU317

IDV Type: IDC

Timeline