DoD's $14M Communications Infrastructure Support Contract Awarded to General Dynamics

Contract Overview

Contract Amount: $13,978,013 ($14.0M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2008-12-23

End Date: 2014-06-30

Contract Duration: 2,015 days

Daily Burn Rate: $6.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: SYSTEMS INTEGRATION - COMMUNICATIONS INFRASTRUCTURE SUPPORT

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22041

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $14.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: SYSTEMS INTEGRATION - COMMUNICATIONS INFRASTRUCTURE SUPPORT Key points: 1. Contract awarded to General Dynamics Information Technology, Inc. for $13.98M. 2. Full and open competition was utilized. 3. The contract duration spans from December 2008 to June 2014. 4. This falls under the Defense Information Systems Agency's purview. 5. The North American Industry Classification System (NAICS) code is 443120 (Computer and Software Stores).

Value Assessment

Rating: fair

The contract value of $13.98M over approximately 5.5 years suggests a moderate annual spend. Without specific per-unit data or comparison to similar systems integration contracts, a precise value assessment is difficult. However, the firm-fixed-price structure aims to control costs.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition is a positive indicator for price discovery. This method allows multiple vendors to bid, theoretically driving down costs and ensuring the government receives competitive pricing for the services rendered.

Taxpayer Impact: Full and open competition generally leads to better value for taxpayers by fostering a competitive bidding environment.

Public Impact

Ensures critical communications infrastructure support for the Department of Defense. Supports the Defense Information Systems Agency's operational needs. Provides a stable IT support framework for a significant period. The contract's duration suggests a long-term need for these services.

Waste & Efficiency Indicators

Waste Risk Score: 100 / 10

Warning Flags

  • NAICS code mismatch (443120 - Computer and Software Stores vs. Systems Integration)
  • Contract duration is lengthy, potentially leading to outdated technology or services.
  • Firm Fixed Price can lead to contractor profit if costs are lower than anticipated.

Positive Signals

  • Full and open competition utilized.
  • Contract awarded to a known entity in the defense sector.
  • Clear delivery order structure.

Sector Analysis

This contract falls within the IT services sector, specifically focusing on systems integration and communications infrastructure. Spending benchmarks for similar large-scale IT support contracts within the DoD can vary widely based on scope and complexity, but this $14M award over several years is substantial.

Small Business Impact

The data indicates this contract was not set aside for small businesses and was awarded to General Dynamics Information Technology, Inc., a large corporation. There is no indication of small business participation in this specific award.

Oversight & Accountability

The contract was awarded via a delivery order under a larger contract vehicle, suggesting it has undergone some level of prior review. Further oversight would involve monitoring performance and adherence to the firm-fixed-price terms throughout the contract's life.

Related Government Programs

  • Computer and Software Stores
  • Department of Defense Contracting
  • Defense Information Systems Agency Programs

Risk Flags

  • Potential NAICS code misclassification.
  • Long contract duration may lead to technology obsolescence.
  • Firm Fixed Price could lead to contractor windfalls or quality compromises.
  • No small business set-aside identified.

Tags

computer-and-software-stores, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $14.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. SYSTEMS INTEGRATION - COMMUNICATIONS INFRASTRUCTURE 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 Information Systems Agency).

What is the total obligated amount?

The obligated amount is $14.0 million.

What is the period of performance?

Start: 2008-12-23. End: 2014-06-30.

Is the NAICS code 443120 appropriate for 'Systems Integration - Communications Infrastructure Support'?

The NAICS code 443120, 'Computer and Software Stores,' appears to be a mismatch for a contract focused on 'Systems Integration - Communications Infrastructure Support.' Typically, services like systems integration fall under codes such as 541512 (Computer Systems Design Services) or 541690 (Other Scientific and Technical Consulting Services). This discrepancy warrants further investigation to ensure accurate classification and potentially identify other opportunities or risks.

What are the risks associated with a firm-fixed-price contract for long-term IT infrastructure support?

A firm-fixed-price (FFP) contract guarantees a set price regardless of the contractor's actual costs. For long-term IT infrastructure support, risks include the contractor potentially overpricing to cover unforeseen issues or, conversely, cutting corners on quality if costs escalate beyond their initial estimates. The government also risks paying a premium if the contractor's actual costs are significantly lower than the fixed price.

How effective is full and open competition in ensuring value for this type of IT support contract?

Full and open competition is generally effective in driving value for IT support contracts by allowing multiple vendors to compete, fostering innovation and potentially lowering prices. However, the effectiveness can be diminished if the solicitation requirements are poorly defined or if the evaluation criteria do not adequately assess technical capabilities alongside price. For complex systems integration, ensuring vendors understand the full scope is crucial.

Industry Classification

NAICS: Retail TradeElectronics and Appliance StoresComputer and Software Stores

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

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 3211 JERMANTOWN RD, FAIRFAX, VA, 22030

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $13,978,013

Exercised Options: $13,978,013

Current Obligation: $13,978,013

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS35F4357D

IDV Type: FSS

Timeline

Start Date: 2008-12-23

Current End Date: 2014-06-30

Potential End Date: 2014-06-30 00:00:00

Last Modified: 2021-12-07

More Contracts from General Dynamics Information Technology, Inc.

View all General Dynamics Information Technology, Inc. federal contracts →

Other Department of Defense Contracts

View all Department of Defense contracts →

Explore Related Government Spending