DOE Awards $38.3M for CBS O&M Systems Support to General Dynamics IT

Contract Overview

Contract Amount: $38,291,026 ($38.3M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Energy

Start Date: 2020-08-19

End Date: 2028-01-21

Contract Duration: 2,711 days

Daily Burn Rate: $14.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: THE CONTRACTOR SHALL PROVIDE MANAGEMENT AND SUBJECT MATTER EXPERTISE TO SUPPORT THE OPERATION OF THE CBS O&M SYSTEMS, REVIEW TECHNICAL EMERGING BUSINESS AND INFRASTRUCTURE CHANGES/REQUIREMENTS RELATED TO DOE ENTERPRISE ARCHITECTURE OR OTHER IMPRO

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Energy obligated $38.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: THE CONTRACTOR SHALL PROVIDE MANAGEMENT AND SUBJECT MATTER EXPERTISE TO SUPPORT THE OPERATION OF THE CBS O&M SYSTEMS, REVIEW TECHNICAL EMERGING BUSINESS AND INFRASTRUCTURE CHANGES/REQUIREMENTS RELATED TO DOE ENTERPRISE ARCHITECTURE OR OTHER IMPRO Key points: 1. Contract focuses on management and expertise for critical DOE operational systems. 2. General Dynamics IT, a large established firm, is the sole awardee. 3. The contract's Time and Materials (T&M) pricing structure presents potential cost escalation risks. 4. Spending falls under 'Other Computer Related Services', a broad IT category.

Value Assessment

Rating: fair

The contract is a Time and Materials (T&M) award, which generally offers less price certainty than fixed-price contracts. Without clear performance metrics or cost ceilings, assessing value against similar T&M contracts is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating a competitive bidding process. However, the specific award mechanism (BPA Call) might influence the breadth of competition and price discovery.

Taxpayer Impact: The T&M nature of the contract poses a risk to taxpayers if not closely managed, as costs can increase based on hours worked and material used.

Public Impact

Ensures continuity of critical Department of Energy operational systems. Supports the integration of emerging business and infrastructure changes. Leverages expertise in enterprise architecture for system improvements. Potential for cost overruns due to T&M contract type.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT services sector, specifically 'Other Computer Related Services'. Spending benchmarks for similar IT operations and maintenance contracts vary widely based on system complexity and scope.

Small Business Impact

The contract was awarded to General Dynamics Information Technology, Inc., a large business. There is no indication that small businesses were involved in this specific award, suggesting limited opportunities for them.

Oversight & Accountability

Oversight will be crucial to manage the Time and Materials aspect of this contract, ensuring efficient resource utilization and preventing cost creep. The Department of Energy's contracting office is responsible for monitoring performance and expenditures.

Related Government Programs

Risk Flags

Tags

other-computer-related-services, department-of-energy, va, bpa-call, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Energy awarded $38.3 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. THE CONTRACTOR SHALL PROVIDE MANAGEMENT AND SUBJECT MATTER EXPERTISE TO SUPPORT THE OPERATION OF THE CBS O&M SYSTEMS, REVIEW TECHNICAL EMERGING BUSINESS AND INFRASTRUCTURE CHANGES/REQUIREMENTS RELATED TO DOE ENTERPRISE ARCHITECTURE OR OTHER IMPRO

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 Energy (Department of Energy).

What is the total obligated amount?

The obligated amount is $38.3 million.

What is the period of performance?

Start: 2020-08-19. End: 2028-01-21.

What specific metrics will be used to evaluate the contractor's performance and ensure value for money under this T&M contract?

The contract details do not explicitly state performance metrics. Effective oversight would require the Department of Energy to establish clear Key Performance Indicators (KPIs) related to system uptime, response times, and successful implementation of changes. Regular reviews of contractor hours and resource allocation are also essential to ensure efficiency and prevent unnecessary costs.

How will the Department of Energy mitigate the risk of cost overruns associated with the Time and Materials contract type?

Mitigation strategies should include rigorous monitoring of labor hours and material costs, establishing clear not-to-exceed limits for specific tasks or phases, and implementing strong project management controls. Regular audits and performance reviews can help identify inefficiencies early. The agency should also consider transitioning to fixed-price elements for well-defined tasks where possible.

What is the expected impact of this contract on the modernization and efficiency of the DOE's CBS O&M systems?

The contract aims to provide essential management and expertise to maintain and potentially improve the CBS O&M systems. The contractor's subject matter expertise is expected to support the integration of new technologies and infrastructure changes, contributing to modernization. However, the actual impact on efficiency will depend on the contractor's execution and the agency's oversight.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 3150 FAIRVIEW PARK DR, 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: $53,515,079

Exercised Options: $52,222,468

Current Obligation: $38,291,026

Actual Outlays: $34,536,986

Subaward Activity

Number of Subawards: 11

Total Subaward Amount: $13,068,537

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 89303020ACF000009

IDV Type: BPA

Timeline

Start Date: 2020-08-19

Current End Date: 2028-01-21

Potential End Date: 2028-01-21 00:00:00

Last Modified: 2026-03-31

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