DoD's $50M Directed Energy Research Contract Awarded to General Dynamics Information Technology

Contract Overview

Contract Amount: $50,069,171 ($50.1M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-08-30

End Date: 2026-05-31

Contract Duration: 2,466 days

Daily Burn Rate: $20.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: BIOEFFECTS RESEARCH OF DIRECTED ENERGY EFFECTS (BRDEE)

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $50.1 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: BIOEFFECTS RESEARCH OF DIRECTED ENERGY EFFECTS (BRDEE) Key points: 1. Contract focuses on critical research and development in directed energy effects. 2. General Dynamics Information Technology, a large established firm, secured this award. 3. The contract duration is substantial, spanning over 2400 days. 4. This award falls under the R&D sector, specifically physical, engineering, and life sciences. 5. The contract type is Cost Plus Fixed Fee, indicating potential for cost overruns. 6. The award value is significant, reflecting the complexity and importance of the research.

Value Assessment

Rating: fair

Benchmarking the value of this Cost Plus Fixed Fee contract is challenging without detailed cost breakdowns. However, the $50 million award over approximately 6.8 years suggests a significant investment in specialized R&D. Comparing it to similar directed energy research contracts would provide better context on pricing and value for money. The fixed fee component offers some cost control, but the cost-plus nature inherently carries risk.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. The presence of 3 bidders suggests a reasonable level of competition for this specialized R&D requirement. This competitive process is generally expected to yield a fair price and encourage innovation.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the best value for this critical defense research, potentially leading to more cost-effective outcomes.

Public Impact

This contract supports the Department of Defense's research into directed energy technologies. The research is expected to advance scientific understanding and potential applications of directed energy. The primary beneficiaries are the military services seeking to enhance their technological capabilities. The contract is likely to involve highly skilled scientists, engineers, and researchers. Geographic impact is concentrated where General Dynamics Information Technology conducts its research operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can lead to higher overall costs if not managed diligently.
The long duration of the contract may present challenges in adapting to rapidly evolving technological landscapes.
Reliance on a single large contractor for such a critical R&D area could limit future flexibility.

Positive Signals

Awarded through full and open competition, ensuring a broad pool of potential offerors.
The contract supports critical national security research and development objectives.
General Dynamics Information Technology is a well-established contractor with a track record in complex government projects.

Sector Analysis

This contract falls within the Research and Development sector, specifically NAICS code 541715, which covers R&D in physical, engineering, and life sciences. The directed energy field is a rapidly evolving area within defense technology, with significant government investment. Comparable spending benchmarks would involve looking at other large-scale R&D contracts awarded by DoD and other agencies in advanced technology areas.

Small Business Impact

This contract does not appear to have a small business set-aside. Given the specialized nature of directed energy research and the prime contractor's size, subcontracting opportunities for small businesses may exist, but are not explicitly mandated by a set-aside. The impact on the small business ecosystem would depend on the specific subcontracting plans developed by General Dynamics Information Technology.

Oversight & Accountability

Oversight for this contract will likely be managed by the contracting officer and program managers within the Department of the Air Force. Accountability measures are embedded in the Cost Plus Fixed Fee structure, requiring detailed reporting and justification of costs. Transparency is facilitated through contract award databases, though specific research progress details may be sensitive. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Directed Energy Weapons Research
Advanced Technology Development
Department of Defense Research and Development Programs
Aerospace and Defense R&D

Risk Flags

Cost Plus Fixed Fee contract type carries inherent cost overrun risks.
Long contract duration may lead to technological obsolescence in a fast-moving R&D field.
Potential for scope creep in research-oriented contracts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $50.1 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. BIOEFFECTS RESEARCH OF DIRECTED ENERGY EFFECTS (BRDEE)

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 Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $50.1 million.

What is the period of performance?

Start: 2019-08-30. End: 2026-05-31.

What is the historical spending pattern for directed energy research within the Department of Defense?

Historical spending on directed energy research within the Department of Defense has been substantial and has seen fluctuations based on strategic priorities and technological advancements. While specific figures for 'Directed Energy Effects' research are not readily available in the public domain without deeper analysis, the DoD consistently invests billions annually in R&D across various advanced technology areas, including directed energy. This investment is driven by the perceived need to maintain a technological edge and develop countermeasures against emerging threats. Trends indicate a growing emphasis on directed energy for both offensive and defensive applications, suggesting a sustained or increasing allocation of resources in this domain over the past decade.

How does the competition level for this contract compare to similar R&D awards in the defense sector?

The competition level for this contract, with 3 bidders through full and open competition, is moderately competitive for a specialized R&D requirement. While more bidders are always preferable for price discovery, 3 offers suggest that the requirement was well-defined and attracted qualified participants. In the broader defense R&D sector, highly specialized or cutting-edge research areas can sometimes see fewer bidders due to the unique expertise required. Conversely, more general R&D contracts might attract a larger pool. This level of competition is not uncommon for significant, technically demanding research projects.

What are the potential risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D?

Cost Plus Fixed Fee (CPFF) contracts, while offering flexibility for R&D where exact costs are uncertain, carry inherent risks. The primary risk for the government is that the contractor may not be incentivized to control costs rigorously, as the government bears the majority of the cost risk. If the contractor's actual costs exceed estimates, the government pays them, plus the fixed fee. This can lead to the contract exceeding its ceiling if not closely monitored. For the contractor, the risk lies in underestimating costs, which could erode their profit margin represented by the fixed fee. Effective oversight, detailed cost reporting, and strong program management are crucial to mitigate these risks.

What is General Dynamics Information Technology's track record with similar large-scale R&D contracts?

General Dynamics Information Technology (GDIT), now part of General Dynamics, has a substantial track record in managing and executing large-scale, complex IT and R&D contracts for various government agencies, including the Department of Defense. They have experience in areas such as C4ISR, cybersecurity, cloud computing, and advanced research support. While specific details on their past directed energy R&D contracts are not immediately public, their overall portfolio indicates a capability to handle significant research efforts requiring specialized technical expertise and project management. Their history suggests they are a capable contractor for this type of work, though performance on individual contracts can vary.

How does the duration of this contract (2466 days) impact its effectiveness and value?

The extended duration of this contract, approximately 6.8 years, presents both potential benefits and risks for R&D effectiveness and value. On the positive side, it allows for long-term research objectives to be pursued without the disruption of frequent re-competition, fostering continuity and deeper exploration. It also provides stability for the research team and allows for the development of complex, multi-phase projects. However, a long duration in a rapidly evolving field like directed energy carries the risk of technological obsolescence or shifts in strategic priorities. The contract's value could be diminished if the research outcomes become outdated or less relevant by its conclusion. Flexibility within the contract to adapt to new findings or pivot research directions would be key to maximizing its long-term value.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENT › OTHER RESEARCH/DEVELOPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

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: $50,968,001

Exercised Options: $50,968,001

Current Obligation: $50,069,171

Actual Outlays: $471,898

Subaward Activity

Number of Subawards: 25

Total Subaward Amount: $8,647,139

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline