FEMA awards $81.3M call center support contract to General Dynamics Information Technology

Contract Overview

Contract Amount: $81,335,189 ($81.3M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2021-09-03

End Date: 2022-04-30

Contract Duration: 239 days

Daily Burn Rate: $340.3K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: LABOR HOURS

Sector: Other

Official Description: PURPOSE OF SOLICITATION TO ESTABLISH A CALL ORDER FOR TURNKEY CALL CENTER SUPPORT & TEMPORARY CALL AGENTS

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $81.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: PURPOSE OF SOLICITATION TO ESTABLISH A CALL ORDER FOR TURNKEY CALL CENTER SUPPORT & TEMPORARY CALL AGENTS Key points: 1. Contract provides essential call center services and temporary agents for FEMA. 2. Awarded under a full and open competition, suggesting broad market engagement. 3. The contract duration of 239 days indicates a need for immediate or short-term support. 4. Task order was issued against an existing BPA, potentially streamlining the acquisition process. 5. The use of labor hours pricing suggests flexibility in resource allocation. 6. No small business set-aside was applied, which may limit opportunities for smaller firms.

Value Assessment

Rating: good

The contract value of $81.3 million for approximately 8 months of service appears reasonable for comprehensive call center support. Benchmarking against similar large-scale call center contracts would provide a more precise value-for-money assessment. The use of labor hours, while flexible, can sometimes lead to cost overruns if not managed tightly, but it is a common pricing structure for services requiring adaptable staffing levels.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit offers. The specific number of bidders is not provided, but the 'full and open' designation generally implies a competitive process designed to solicit a range of proposals. This approach is intended to foster price discovery and ensure the government receives competitive pricing.

Taxpayer Impact: A full and open competition typically benefits taxpayers by driving down costs through robust market participation and encouraging innovative solutions from a wider pool of vendors.

Public Impact

Citizens and residents seeking assistance from FEMA will benefit from enhanced call center operations. The contract supports critical disaster response and recovery communication efforts. Services are likely to be delivered nationwide, wherever FEMA requires call center support. Temporary call agents will be employed, providing workforce opportunities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost creep with labor hour pricing if not closely monitored.
Lack of small business participation may limit broader economic impact.
Dependence on a single awardee for critical call center functions.

Positive Signals

Awarded through a competitive process, suggesting potential for good value.
Supports a critical government function (FEMA), indicating mission alignment.
General Dynamics Information Technology is an established government contractor with relevant experience.

Sector Analysis

The IT services sector, particularly custom computer programming and call center support, is a significant area of federal spending. This contract fits within the broader category of IT support services, which are essential for agencies like FEMA to manage communications and operations, especially during emergencies. Comparable spending benchmarks for large-scale call center operations can vary widely based on scope, duration, and complexity, but an $81 million award for an 8-month period suggests a substantial operational requirement.

Small Business Impact

The contract was not set aside for small businesses, and the data indicates no small business participation (ss: false, sb: false). This means that opportunities for small businesses to directly compete or subcontract on this specific award were not mandated. While General Dynamics Information Technology may engage small businesses as subcontractors, the primary award does not directly contribute to the government's small business contracting goals.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the Federal Emergency Management Agency (FEMA) contracting officers and program managers. Performance metrics and service level agreements (SLAs) would be established to ensure the contractor meets requirements. Transparency is generally maintained through contract award databases like FPDS. Inspector General oversight may be involved if specific concerns regarding waste, fraud, or abuse arise.

Related Government Programs

FEMA Disaster Relief Fund
IT Support Services Contracts
Call Center Operations
Emergency Communications

Risk Flags

Potential for cost overruns due to labor hour pricing.
Limited visibility into specific number of bidders for full and open competition.
No explicit small business participation requirement.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $81.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. PURPOSE OF SOLICITATION TO ESTABLISH A CALL ORDER FOR TURNKEY CALL CENTER SUPPORT & TEMPORARY CALL AGENTS

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 Homeland Security (Federal Emergency Management Agency).

What is the total obligated amount?

The obligated amount is $81.3 million.

What is the period of performance?

Start: 2021-09-03. End: 2022-04-30.

What is the historical spending pattern for FEMA call center support services?

Analyzing FEMA's historical spending on call center support reveals a consistent need for these services, particularly during and after declared disasters. While specific figures for past call center contracts are not detailed here, FEMA's overall budget allocation for operational support and IT services has been substantial. Trends indicate an increasing reliance on robust communication infrastructure to manage public inquiries and provide timely information. Past contracts may have varied in scope, duration, and pricing models, with some potentially awarded through different competitive mechanisms or to different prime contractors. Understanding these patterns helps contextualize the current $81.3 million award as part of a larger, ongoing requirement for effective public engagement.

How does General Dynamics Information Technology's performance on similar contracts compare?

General Dynamics Information Technology (GDIT) has a significant track record as a government contractor, including extensive experience in IT support and call center operations for various federal agencies. While specific performance metrics for this particular FEMA contract are not yet available due to its recent award, GDIT's broader history suggests a capacity to handle large-scale service delivery. Past performance evaluations on similar contracts would be a key factor in the government's decision-making process. Agencies typically review a contractor's history of meeting deadlines, quality standards, and budget adherence. GDIT's established presence in the federal IT landscape indicates they are generally considered a capable provider, though individual contract performance can vary.

What are the key performance indicators (KPIs) for this call center support contract?

Key Performance Indicators (KPIs) for this call center support contract would likely focus on service efficiency, quality, and responsiveness. Common metrics include average speed of answer (ASA), call abandonment rate, first call resolution (FCR), customer satisfaction scores (CSAT), and agent adherence to schedule. For FEMA, specific KPIs might also relate to the accuracy and timeliness of information provided to callers, especially during disaster events. The contract likely specifies these KPIs, along with associated service level agreements (SLAs) and potential financial incentives or penalties tied to performance outcomes. Effective monitoring of these KPIs is crucial for ensuring the contractor delivers the required level of support.

What is the risk associated with the labor hours pricing model for this contract?

The primary risk associated with a labor hours pricing model is the potential for cost overruns if the contractor's labor effort exceeds initial estimates or if labor rates are higher than anticipated. Unlike fixed-price contracts, where the contractor assumes more risk for cost control, labor hours shifts some of that risk to the government. To mitigate this, robust oversight, detailed tracking of hours worked, and clear task definitions are essential. The government must actively manage the scope of work and ensure that the hours billed are reasonable and directly related to the contract's objectives. The duration of this contract (239 days) and its BPA call order nature suggest a need for flexibility, which labor hours can provide, but diligent management is key.

How does this contract align with FEMA's overall mission and strategic goals?

This contract directly aligns with FEMA's core mission of supporting citizens and first responders before, during, and after disasters. Effective call center support is critical for disseminating information, coordinating response efforts, processing applications for assistance, and addressing public inquiries. By establishing a robust call center capability, FEMA enhances its ability to communicate with affected populations, manage the influx of requests, and facilitate the delivery of aid. The contract's focus on 'turnkey call center support & temporary call agents' indicates a need for scalable and responsive operational capacity, which is essential for FEMA's dynamic and often unpredictable operational environment.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 70FBTX21Q00000013

Pricing Type: LABOR HOURS (Z)

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: $82,235,189

Exercised Options: $82,235,189

Current Obligation: $81,335,189

Subaward Activity

Number of Subawards: 41

Total Subaward Amount: $131,801,755

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: 70FBTX21A00000001

IDV Type: BPA

Timeline