DHS awards $80.5M for identity services, with General Dynamics leading IT support

Contract Overview

Contract Amount: $80,523,838 ($80.5M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2020-09-21

End Date: 2025-11-16

Contract Duration: 1,882 days

Daily Burn Rate: $42.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: OBIMS MISSION IS TO PROVIDE ENDURING IDENTITY SERVICES TO DHS AND ITS MISSION PARTNERS THAT ADVANCE INFORMED DECISION MAKING BY PRODUCING ACCURATE, TIMELY, AND HIGH ASSURANCE BIOMETRIC IDENTITY INFORMATION AND ANALYSIS.

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22209

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $80.5 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: OBIMS MISSION IS TO PROVIDE ENDURING IDENTITY SERVICES TO DHS AND ITS MISSION PARTNERS THAT ADVANCE INFORMED DECISION MAKING BY PRODUCING ACCURATE, TIMELY, AND HIGH ASSURANCE BIOMETRIC IDENTITY INFORMATION AND ANALYSIS. Key points: 1. Contract focuses on providing enduring identity services to DHS and partners. 2. The primary goal is to advance informed decision-making through biometric identity information. 3. This contract supports the Office of Procurement Operations within DHS. 4. Services are categorized under Computer Systems Design, indicating a focus on IT infrastructure and support. 5. The contract duration spans over 1800 days, suggesting a long-term need for these services. 6. General Dynamics Information Technology, Inc. is the primary contractor for this award.

Value Assessment

Rating: good

The contract value of $80.5 million over approximately five years appears reasonable for comprehensive identity services. Benchmarking against similar large-scale IT support contracts within DHS or other federal agencies would provide a more precise value-for-money assessment. The Time and Materials pricing structure, while common for evolving IT needs, warrants careful monitoring to ensure costs remain aligned with project scope and deliverables. Without specific performance metrics or comparison data, a definitive value assessment is challenging, but the scale suggests a significant investment in critical infrastructure.

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 offers. The presence of 6 bids suggests a healthy level of competition for this significant IT services contract. A competitive bidding process generally leads to better price discovery and potentially more favorable terms for the government, as contractors vie to win the award.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for the government's investment in essential identity services.

Public Impact

The primary beneficiaries are the Department of Homeland Security (DHS) and its mission partners, who will receive enhanced identity services. Services delivered include accurate, timely, and high-assurance biometric identity information and analysis. The contract supports informed decision-making across various DHS operations. Geographic impact is likely nationwide, given DHS's broad mission. Workforce implications may include support roles for IT professionals and biometric specialists.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns due to Time and Materials pricing if not closely managed.
Dependence on a single large contractor for critical identity services.
Risk of scope creep if requirements are not clearly defined and controlled.
Ensuring data security and privacy for sensitive biometric information is paramount.
Integration challenges with existing or future DHS IT systems.

Positive Signals

Awarded through full and open competition, suggesting a robust selection process.
General Dynamics has a significant track record in federal IT services.
The contract duration indicates a stable, long-term commitment to identity services.
Focus on high-assurance biometric data supports critical national security missions.
The contract aims to improve decision-making through advanced identity analysis.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a critical component of the broader IT services market. This sector is characterized by a high demand for specialized expertise in areas like data management, system integration, and cybersecurity. The federal government is a major consumer of these services, particularly agencies like DHS that manage vast amounts of sensitive data and require robust IT infrastructure. Comparable spending benchmarks for large IT support contracts within federal agencies often range in the tens to hundreds of millions of dollars, depending on the scope and duration.

Small Business Impact

This contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses in the provided data. The primary contractor, General Dynamics Information Technology, Inc., is a large entity. This suggests that opportunities for small businesses may be limited to specific, smaller sub-tasks if they arise, or through indirect contributions. Further analysis of the subcontracting plan, if available, would be necessary to fully assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officers and program managers within the DHS Office of Procurement Operations. Accountability measures are typically embedded in the contract's performance work statement, with defined deliverables and service level agreements. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise concerning the contract's execution.

Related Government Programs

DHS Biometric Identity Management (IDENT) System
Federal Biometric Identity Services
DHS IT Modernization Programs
Large-Scale IT Support Contracts
Identity and Access Management Solutions

Risk Flags

Potential for cost overruns due to T&M pricing.
Long contract duration may lead to technological obsolescence.
Dependence on a single contractor for critical identity services.
Ensuring robust data security and privacy for biometric information.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $80.5 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. OBIMS MISSION IS TO PROVIDE ENDURING IDENTITY SERVICES TO DHS AND ITS MISSION PARTNERS THAT ADVANCE INFORMED DECISION MAKING BY PRODUCING ACCURATE, TIMELY, AND HIGH ASSURANCE BIOMETRIC IDENTITY INFORMATION AND ANALYSIS.

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 (Office of Procurement Operations).

What is the total obligated amount?

The obligated amount is $80.5 million.

What is the period of performance?

Start: 2020-09-21. End: 2025-11-16.

What is the historical spending trend for identity services within DHS?

Historical spending on identity services within DHS has shown a consistent upward trend, driven by the increasing need for robust biometric identification and data management capabilities across its various components. Agencies like Customs and Border Protection (CBP) and Immigration and Customs Enforcement (ICE) are significant users of such services for border security and law enforcement. While specific figures for 'identity services' as a distinct category can be complex to isolate due to integration with broader IT infrastructure and security programs, overall IT spending by DHS has been in the billions annually. Contracts for biometric systems, identity management platforms, and related support services represent a substantial portion of this. For instance, previous awards for biometric data systems and identity solutions have often been in the tens to hundreds of millions of dollars, reflecting the scale and criticality of these functions. The current $80.5 million award for OBIMS aligns with this pattern of significant investment in maintaining and enhancing DHS's identity capabilities.

How does the pricing structure (Time and Materials) compare to other federal IT contracts of similar scope?

Time and Materials (T&M) pricing is a common contract type used by the federal government, particularly for IT services where the scope of work may evolve or is not fully defined at the outset. Compared to fixed-price contracts, T&M offers flexibility but carries a higher risk of cost overruns if not managed diligently. For large-scale IT support contracts like this OBIMS award, T&M is often chosen to accommodate changing technical requirements, unforeseen issues, and the need for rapid response. However, agencies are encouraged to use T&M judiciously and convert to a fixed-price approach once the scope becomes clearer. Benchmarking against similar large IT support contracts reveals that T&M is prevalent, but its effectiveness hinges on robust oversight, detailed labor category rates, and strict controls on hours expended. Agencies often supplement T&M with cost ceilings and CLINs (Contract Line Item Numbers) to manage expenditures.

What are the key performance indicators (KPIs) used to measure the success of this contract?

While the specific Key Performance Indicators (KPIs) for the OBIMS contract are not detailed in the provided data, typical KPIs for such IT services contracts within DHS would focus on several critical areas. These often include system availability and uptime (e.g., 99.9% availability for critical identity services), response times for identity data retrieval and analysis, accuracy rates for biometric matching, and data processing throughput. Security compliance metrics, such as adherence to NIST standards and successful completion of security audits, are also paramount. Furthermore, contractor performance is often evaluated based on meeting delivery schedules for system enhancements or updates, adherence to budget, and overall customer satisfaction as reported by DHS stakeholders. The effectiveness of the 'high assurance' aspect of the identity information would likely be measured through metrics related to the reliability and trustworthiness of the data provided for decision-making.

What is General Dynamics Information Technology's track record with DHS for similar services?

General Dynamics Information Technology (GDIT) has a substantial and long-standing track record of providing IT services to the Department of Homeland Security (DHS) across various components and mission areas. They have been involved in numerous large-scale contracts supporting critical infrastructure, cybersecurity, data management, and mission support systems. GDIT has previously held contracts related to identity management, biometric systems, and enterprise IT services within DHS, demonstrating their familiarity with the agency's complex environment and requirements. Their experience often includes managing large, complex IT programs, integrating diverse systems, and ensuring high levels of security and reliability. While specific performance details of past contracts are not provided here, GDIT's consistent presence as a prime contractor on significant DHS awards suggests a generally positive working relationship and a demonstrated capability to meet the agency's demanding needs for mission-critical IT solutions.

What are the potential risks associated with the long duration (1882 days) of this contract?

The long duration of 1882 days (approximately 5 years) for this contract presents several potential risks. Firstly, technology evolves rapidly in the IT sector; a system or approach implemented at the beginning of the contract may become outdated or less efficient by its end, requiring significant adaptation or modernization efforts. Secondly, long-term contracts can lead to contractor complacency if not managed with rigorous oversight, potentially impacting service quality or innovation. Thirdly, there's a risk of vendor lock-in, making it difficult and costly to switch providers if performance issues arise or if a better technological solution emerges. Finally, economic uncertainties over a five-year period could impact budget stability, potentially leading to funding challenges or scope adjustments. Mitigating these risks requires proactive contract management, regular performance reviews, incorporating flexibility for technological advancements, and maintaining competitive pressure where possible.

How does this contract contribute to DHS's overall mission of advancing informed decision-making?

This contract directly supports DHS's mission of advancing informed decision-making by ensuring the provision of accurate, timely, and high-assurance biometric identity information and analysis. In critical areas such as border security, law enforcement, counter-terrorism, and immigration services, accurate identity verification and management are fundamental. The OBIMS contract aims to provide the foundational identity services that enable DHS personnel to make faster, more reliable decisions based on verified individual identities. This includes identifying individuals who may pose a security risk, verifying legitimate travelers, and ensuring efficient processing of immigration cases. By enhancing the quality and accessibility of biometric identity data, the contract empowers DHS components to operate more effectively and securely, ultimately contributing to national security and public safety.

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

Solicitation ID: 70RCSA20Q00000101

Offers Received: 6

Pricing Type: TIME AND MATERIALS (Y)

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: $82,465,528

Exercised Options: $82,465,528

Current Obligation: $80,523,838

Actual Outlays: $50,070,284

Subaward Activity

Number of Subawards: 13

Total Subaward Amount: $21,746,116

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 47QTCK18D0003

IDV Type: GWAC

Timeline