FDA awards $29M for IT services to General Dynamics under ICT21 contract

Contract Overview

Contract Amount: $29,024,072 ($29.0M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2009-09-19

End Date: 2015-01-28

Contract Duration: 1,957 days

Daily Burn Rate: $14.8K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: FDA EMAIL - TASK ORDER UNDER ICT21 CONTRACT

Place of Performance

Location: SILVER SPRING, MONTGOMERY County, MARYLAND, 20993

State: Maryland Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $29.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: FDA EMAIL - TASK ORDER UNDER ICT21 CONTRACT Key points: 1. Significant contract value of $29 million awarded. 2. General Dynamics Information Technology, Inc. is the sole awardee. 3. Risk is moderate due to long duration and fixed-price nature. 4. IT services sector, specifically computer facilities management.

Value Assessment

Rating: fair

The contract value of $29 million over approximately 6 years suggests a moderate annual spend. Benchmarking against similar IT facilities management contracts would be necessary to fully assess pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

This was a delivery order under an existing contract (ICT21). While the original ICT21 contract may have been competitive, this specific order's competition level is limited to the existing awardees. Price discovery is dependent on the original solicitation's competitiveness.

Taxpayer Impact: Taxpayer funds are being used for essential IT support services. The value is significant, necessitating careful oversight to ensure cost-effectiveness.

Public Impact

Ensures continued operation of critical FDA IT infrastructure. Supports the Food and Drug Administration's mission to protect public health. Long-term commitment may indicate stable service provision.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (approx. 6 years)
Potential for scope creep over time
Reliance on a single vendor for critical services

Positive Signals

Fixed-price contract can control costs if scope is well-defined
Established vendor likely has institutional knowledge

Sector Analysis

This contract falls within the Information Technology sector, specifically focusing on computer facilities management services. Spending in this area is crucial for government operations, with benchmarks varying widely based on service scope and complexity.

Small Business Impact

The data does not indicate any specific set-aside for small businesses. This appears to be a large contract awarded to a major IT provider, with no direct benefit to small businesses evident from the provided information.

Oversight & Accountability

As a delivery order under a larger contract, oversight may be embedded within the parent contract's framework. However, the long duration warrants consistent monitoring of performance and costs by the FDA.

Related Government Programs

Computer Facilities Management Services
Department of Health and Human Services Contracting
Food and Drug Administration Programs

Risk Flags

Long contract duration increases risk of vendor lock-in and potential cost overruns if not managed.
Sole awardee for this task order limits flexibility and potential for competitive pricing adjustments.
Lack of specific performance metrics in the provided data hinders effective oversight.
Potential for scope creep over the 6-year period without strict change control.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $29.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. FDA EMAIL - TASK ORDER UNDER ICT21 CONTRACT

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 Health and Human Services (Food and Drug Administration).

What is the total obligated amount?

The obligated amount is $29.0 million.

What is the period of performance?

Start: 2009-09-19. End: 2015-01-28.

What was the original competition strategy for the ICT21 contract, and how did it influence the pricing of this delivery order?

The original competition strategy for the ICT21 contract is not detailed here. However, if ICT21 was a highly competitive vehicle, the pricing for this delivery order should reflect that competitive pressure. If competition was limited or less robust, the pricing might be less advantageous for the government. Further investigation into the ICT21 solicitation and award process is needed.

What are the key performance indicators (KPIs) for this contract, and how is General Dynamics' performance being measured?

The provided data does not specify the key performance indicators (KPIs) or the measurement methods for General Dynamics' performance. Effective oversight requires clearly defined KPIs related to uptime, response times, security, and user satisfaction, with regular performance reviews to ensure service delivery meets expectations.

How does the annual cost of this contract compare to industry benchmarks for similar IT facilities management services?

Without specific details on the services provided (e.g., number of servers managed, network complexity, specific software support), a direct comparison to industry benchmarks is difficult. The annual spend of approximately $4.8 million ($29M / 6 years) needs to be evaluated against the scope of work and the specific services rendered to determine cost-effectiveness.

Industry Classification

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

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

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 6799 KENNEDY RD STE J, WARRENTON, VA, 20187

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $29,381,811

Exercised Options: $29,024,072

Current Obligation: $29,024,072

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HHSF223200850017I

IDV Type: IDC

Timeline