DoD's $16M IT support contract awarded to General Dynamics Information Technology, Inc. for 4 years

Contract Overview

Contract Amount: $16,025,742 ($16.0M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2021-07-28

End Date: 2025-07-28

Contract Duration: 1,461 days

Daily Burn Rate: $11.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TRAVEL MAINTENANCE SUPPORT SERVICES

Place of Performance

Location: BOLLING AFB, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20032

State: District of Columbia Government Spending

Plain-Language Summary

Department of Defense obligated $16.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: TRAVEL MAINTENANCE SUPPORT SERVICES Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is a firm-fixed-price delivery order, providing cost certainty for the government. 3. Duration of 1461 days (4 years) indicates a long-term need for these services. 4. The North American Industry Classification System (NAICS) code 541519 suggests a broad range of IT services. 5. The contract is a delivery order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 6. The awardee, General Dynamics Information Technology, Inc., is a large, established government contractor. 7. The contract is located in Washington D.C., a common hub for federal IT services.

Value Assessment

Rating: good

The contract value of approximately $16 million over four years averages to $4 million annually. Without specific benchmarks for 'TRAVEL MAINTENANCE SUPPORT SERVICES' under NAICS 541519, a direct value-for-money assessment is challenging. However, given the award to a large, experienced contractor through full and open competition, it suggests a potentially competitive price was achieved. Further analysis would require comparing this rate to similar contracts for comparable IT support services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that all responsible sources were permitted to submit bids. The number of bidders is not specified, but this method generally fosters robust price discovery and encourages competitive pricing. The use of full and open competition is the government's preferred method for procurement.

Taxpayer Impact: A full and open competition typically results in better pricing for taxpayers by allowing a wide range of vendors to compete, driving down costs through market forces.

Public Impact

The Department of Defense benefits from sustained IT maintenance and support services. This contract ensures the operational readiness of critical IT infrastructure within the Defense sector. The services provided likely support various defense missions and administrative functions. The geographic impact is primarily within Washington D.C., where the contract is managed and potentially where services are delivered. The contract supports the workforce of General Dynamics Information Technology, Inc., potentially including IT specialists and technicians.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for vendor lock-in if the services are highly specialized and difficult to transition.
Reliance on a single large contractor could limit future flexibility in service delivery models.
The broad NAICS code may obscure the specific nature of the 'travel maintenance support services,' making detailed performance monitoring more complex.

Positive Signals

Award to an established contractor with a track record in government IT services.
Firm-fixed-price contract provides budget predictability.
Long-term duration suggests a stable and ongoing requirement, allowing for efficient service planning.
Full and open competition indicates a potentially competitive pricing environment.

Sector Analysis

The IT services sector for the federal government is vast and highly competitive. Contracts under NAICS code 541519, 'Other Computer Related Services,' encompass a wide array of offerings, from custom software development to IT support and consulting. The Department of Defense is a major consumer of these services, with significant spending allocated to maintaining and modernizing its complex IT infrastructure. Benchmarking this contract's value would require comparing its annual cost against similar IT support contracts awarded by DoD or other large federal agencies.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). General Dynamics Information Technology, Inc. is a large business. While there is no direct small business set-aside, the prime contractor may engage small businesses as subcontractors to fulfill specific aspects of the contract, depending on subcontracting plans and opportunities within the scope of 'TRAVEL MAINTENANCE SUPPORT SERVICES'. The absence of a set-aside means the primary competition was not focused on small business participation.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the contracting officer's representative (COR) within the Defense Information Systems Agency (DISA). As a delivery order under a larger IDIQ, oversight mechanisms are likely integrated into the parent contract's framework. Transparency is generally provided through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Defense Information Systems Agency (DISA) IT Support Contracts
Department of Defense IT Services
General IT Support Services Contracts
Federal IT Maintenance Contracts

Risk Flags

Potential for technology obsolescence over the contract duration.
Risk of service quality degradation if performance is not rigorously monitored.
Dependence on a single large contractor may limit future flexibility.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $16.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. TRAVEL MAINTENANCE SUPPORT SERVICES

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 $16.0 million.

What is the period of performance?

Start: 2021-07-28. End: 2025-07-28.

What is the specific nature of the 'TRAVEL MAINTENANCE SUPPORT SERVICES' covered under this contract?

The provided data indicates the contract falls under NAICS code 541519, 'Other Computer Related Services.' However, the specific description 'TRAVEL MAINTENANCE SUPPORT SERVICES' is broad. It could encompass a range of activities including maintenance of IT equipment, potentially including travel for on-site support, software maintenance, network support, or other IT-related services that require travel. Without further details from the contract's statement of work (SOW), it is difficult to ascertain the precise services. Typically, such a description would be elaborated upon in the contract's SOW, detailing the scope, deliverables, and performance standards. The 'TRAVEL' aspect might imply on-site support requirements across various locations or maintenance activities that necessitate personnel movement.

How does the annual cost of this contract compare to similar IT support contracts within the Department of Defense?

The contract's total value is approximately $16 million over four years, averaging $4 million per year. To benchmark this effectively, one would need to compare it against other DoD contracts for similar IT support services, particularly those awarded under the same or comparable NAICS codes (e.g., 541519) and with similar contract types (e.g., Firm Fixed Price Delivery Orders). Factors such as the scope of services, geographic coverage, service level agreements (SLAs), and the specific technologies supported would need to be aligned for a meaningful comparison. Without access to a comprehensive database of comparable contracts and their specific performance metrics, a precise value-for-money assessment relative to peers is challenging. However, the award through full and open competition suggests a degree of market validation.

What is General Dynamics Information Technology, Inc.'s track record with similar federal IT support contracts?

General Dynamics Information Technology, Inc. (GDIT) is a major federal IT contractor with extensive experience supporting various government agencies, including the Department of Defense. They have a long history of managing large-scale IT service contracts, encompassing areas like network operations, cybersecurity, cloud services, and end-user support. Their track record typically involves managing complex projects, adhering to strict security protocols, and delivering services across diverse environments. Performance reviews and past performance evaluations for GDIT on similar DoD contracts would provide a more granular view of their reliability, technical capabilities, and ability to meet contractual obligations. Agencies often consider past performance as a key factor in award decisions.

What are the potential risks associated with a four-year contract for IT maintenance and support services?

A four-year contract for IT maintenance and support services carries several potential risks. Firstly, technology evolves rapidly; a four-year commitment might lock the government into older technologies or service models, potentially hindering innovation or requiring costly workarounds. Secondly, vendor performance can degrade over time, or the contractor's strategic priorities might shift, impacting service quality. Thirdly, the firm-fixed-price nature, while providing cost certainty, could lead to the contractor cutting corners on service quality if not adequately monitored. Lastly, the long duration could make it difficult to adapt the contract scope to changing mission requirements without significant modification, potentially leading to scope creep or disputes.

How has federal spending on 'Other Computer Related Services' (NAICS 541519) trended in recent years, particularly within the Department of Defense?

Federal spending on 'Other Computer Related Services' (NAICS 541519) has generally shown an upward trend over the past decade, driven by the increasing digitization of government operations and the need for advanced IT solutions. The Department of Defense, being the largest federal agency, is a significant contributor to this spending. DoD's requirements often involve complex systems integration, cybersecurity, data analytics, and cloud migration, all of which fall under this NAICS code. Factors such as modernization initiatives, evolving threats, and the push for greater efficiency continue to fuel demand. Analyzing historical spending data for NAICS 541519 within DoD would reveal specific growth rates and highlight key areas of investment, such as maintenance, support, and specialized IT consulting.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services

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

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

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: $18,653,546

Exercised Options: $16,173,582

Current Obligation: $16,025,742

Actual Outlays: $7,951,626

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Parent Contract

Parent Award PIID: GS35F080CA

IDV Type: FSS

Timeline