DoD's NLSC Program Support contract awarded to General Dynamics IT for over $22M

Contract Overview

Contract Amount: $22,124,878 ($22.1M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2012-04-13

End Date: 2015-09-14

Contract Duration: 1,249 days

Daily Burn Rate: $17.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: NLSC PROGRAM SUPPORT

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22030

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $22.1 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: NLSC PROGRAM SUPPORT Key points: 1. Contract value appears reasonable given the duration and scope of translation and interpretation services. 2. Full and open competition suggests a competitive bidding process, potentially leading to better pricing. 3. Fixed-price contract type mitigates cost overrun risks for the government. 4. Contract duration of over three years provides stability for service delivery. 5. Services support critical defense human resources functions, indicating a strategic need. 6. The contractor, General Dynamics Information Technology, is a large, established entity with significant federal contracting experience.

Value Assessment

Rating: good

The contract value of approximately $22.1 million over its 3-year period (plus extensions) for translation and interpretation services appears to be within a reasonable range for a large-scale federal program. Benchmarking against similar large language services contracts within the Department of Defense or other federal agencies would provide a more precise value-for-money assessment. However, the firm-fixed-price nature of the contract suggests that the government secured predictable costs, which is a positive indicator of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of three bidders suggests a moderate level of competition for this requirement. While more bidders could potentially drive prices lower, three offers generally provide a reasonable basis for price discovery and selection.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it encourages multiple companies to bid, which typically leads to more competitive pricing and better value for the government's investment.

Public Impact

Provides essential translation and interpretation services to the Defense Human Resources Activity. Supports military personnel and their families by facilitating communication across language barriers. Ensures effective operations for human resources functions within the Department of Defense. Impacts the efficiency and accuracy of critical HR processes, including personnel management and support services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if services are highly specialized and difficult to transition.
Reliance on a single contractor for critical communication services could pose a risk if performance degrades.

Positive Signals

Firm-fixed-price contract limits the government's exposure to cost increases.
Full and open competition suggests a robust selection process.
Contract duration provides continuity of essential services.
Contractor is a large, experienced federal IT provider.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically focusing on translation and interpretation. The market for these services within the federal government is substantial, driven by the need for multilingual support across various agencies, particularly in defense and intelligence. General Dynamics Information Technology is a major player in this space, competing with other large federal contractors.

Small Business Impact

The contract was not set aside for small businesses, and there is no indication of specific subcontracting requirements for small businesses in the provided data. This suggests that the primary award went to a large business, and opportunities for small businesses would likely be through subcontracting if General Dynamics Information Technology chooses to engage them.

Oversight & Accountability

The firm-fixed-price contract type provides a degree of cost control. Oversight would typically be managed through contract administration by the Defense Human Resources Activity, including performance monitoring and quality assurance. Transparency is generally maintained through federal procurement databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

Defense Language Interpretation and Translation Enterprise (DLITE)
General Services Administration (GSA) Language Services Contracts
Department of State Language Services

Risk Flags

Contract duration exceeds 3 years.
Contract awarded to a large business prime.
No explicit small business subcontracting noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.1 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. NLSC PROGRAM SUPPORT

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 (Defense Human Resources Activity).

What is the total obligated amount?

The obligated amount is $22.1 million.

What is the period of performance?

Start: 2012-04-13. End: 2015-09-14.

What is the historical spending trend for NLSC Program Support or similar translation services within the Department of Defense?

Historical spending data for the NLSC Program Support contract indicates a total award value of $22,124,878.32 over its period of performance. To assess trends, one would need to examine spending patterns for this specific contract across its duration (April 2012 to September 2015) and compare it to previous or subsequent contracts for similar services within the Defense Human Resources Activity or the broader Department of Defense. Analyzing annual spending within this contract would reveal if the usage of translation and interpretation services has remained consistent, increased, or decreased over time. Furthermore, comparing this spending to other federal agencies procuring similar services can provide context on the scale and cost-effectiveness of DoD's investment in language support.

How does the pricing of this contract compare to industry benchmarks for translation and interpretation services?

Directly comparing the pricing of this specific contract to industry benchmarks is challenging without detailed cost breakdowns or specific service rates (e.g., per word, per hour). However, the contract's firm-fixed-price nature suggests that the government negotiated a set price for the anticipated scope of work. Given that General Dynamics Information Technology is a large, established contractor, their pricing may reflect economies of scale but could also be higher than smaller, specialized providers. A comprehensive benchmark analysis would require access to detailed pricing data for similar government contracts and commercial language service providers, considering factors like service complexity, security requirements, and geographic coverage.

What are the key performance indicators (KPIs) used to evaluate the performance of General Dynamics Information Technology on this contract?

While specific KPIs are not detailed in the provided data, typical performance indicators for translation and interpretation contracts include accuracy rates, turnaround times for translation requests, interpreter availability and punctuality, adherence to security protocols, and overall client satisfaction. The Defense Human Resources Activity would likely have established metrics to measure the contractor's effectiveness in providing seamless communication support. Performance evaluations would assess whether the contractor met these standards, impacting future contract awards or renewals. Regular performance reviews and quality assurance checks are standard practice for such critical service contracts.

What is the potential impact of this contract on the small business ecosystem within the language services industry?

As this contract was awarded under full and open competition to a large business (General Dynamics Information Technology) and does not appear to have specific small business set-aside or subcontracting requirements explicitly stated, its direct positive impact on the small business ecosystem might be limited. Small businesses in the language services sector may not have directly benefited from prime contract awards. However, there could be indirect opportunities if the prime contractor utilizes small businesses for subcontracting, particularly for specialized language pairs or niche services. The overall effect depends on the prime contractor's subcontracting strategy and the competitive landscape for small language service providers seeking to partner with larger federal contractors.

Are there any known risks associated with General Dynamics Information Technology's performance on similar federal contracts?

Assessing risks associated with General Dynamics Information Technology (GDIT) requires a review of their broader federal contracting history, including past performance evaluations, any documented disputes, or contract terminations. GDIT is a large and experienced contractor, which generally implies a lower risk of performance failure due to inexperience. However, like any major contractor, they may have faced challenges on specific contracts related to scope changes, resource allocation, or meeting stringent performance metrics. A thorough risk assessment would involve examining CPARS (Contractor Performance Assessment Reporting System) data and any publicly available information regarding past performance issues or successes on comparable government contracts.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Other Professional, Scientific, and Technical Services › Translation and Interpretation Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: H9821012R0002

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

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: $22,157,504

Exercised Options: $22,157,504

Current Obligation: $22,124,878

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $123,344

Contract Characteristics

Commercial Item: COMMERCIAL ITEM

Cost or Pricing Data: NO

Timeline