NIEHS awards $56M for IT solutions to General Dynamics, highlighting need for robust computer systems design

Contract Overview

Contract Amount: $55,973,989 ($56.0M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2008-05-28

End Date: 2013-09-20

Contract Duration: 1,941 days

Daily Burn Rate: $28.8K/day

Competition Type: COMPETITIVE DELIVERY ORDER

Number of Offers Received: 4

Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY)

Sector: IT

Official Description: NIEHS NEW ENTERPRISE INFORMATION TECHNOLOGY (IT) SOLUTION

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27703

State: North Carolina Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $56.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: NIEHS NEW ENTERPRISE INFORMATION TECHNOLOGY (IT) SOLUTION Key points: 1. Contract awarded through a competitive delivery order, suggesting a degree of market vetting. 2. The duration of the contract (over 5 years) indicates a long-term need for these IT services. 3. Focus on Computer Systems Design Services points to critical infrastructure support for NIH research. 4. The award amount suggests a significant investment in maintaining and upgrading IT capabilities. 5. The contract's 'OTHER' procurement type warrants further investigation into its specific classification. 6. The absence of small business set-aside flags potential missed opportunities for smaller IT firms.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without more specific details on the services rendered. However, the $56 million award over approximately five years suggests a substantial, ongoing investment in IT infrastructure. Comparing this to similar large-scale IT system design contracts within the federal government would provide a clearer picture of its cost-effectiveness. The pricing structure and specific deliverables would be key to a definitive value assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: unknown

This contract was awarded as a competitive delivery order, indicating that multiple vendors likely had the opportunity to bid. The presence of 4 bids suggests a moderate level of competition for this specific task order. While competitive, the exact nature of the competition (e.g., number of proposals received, evaluation criteria) is not detailed, which limits a full assessment of its effectiveness in driving down costs.

Taxpayer Impact: A competitive award process generally benefits taxpayers by fostering price discovery and encouraging vendors to offer competitive pricing. This approach helps ensure that federal agencies receive services at reasonable market rates.

Public Impact

The National Institutes of Health (NIH) benefits from enhanced IT infrastructure and support. Researchers and staff at NIEHS gain access to improved computer systems and design services. The contract supports the operational efficiency of a key federal health research agency. Workforce implications include potential employment for IT professionals in system design and support roles.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of transparency on specific performance metrics and outcomes.
Potential for cost overruns if scope creep occurs without adequate oversight.
Dependence on a single contractor for critical IT infrastructure over an extended period.

Positive Signals

Awarded through a competitive process, indicating some level of market validation.
Long contract duration suggests a stable and predictable IT support environment.
Focus on system design implies alignment with strategic IT modernization goals.

Sector Analysis

This contract falls within the Computer Systems Design Services sector, a critical component of the broader Information Technology (IT) industry. This sector involves designing, developing, and implementing IT solutions for organizations. The federal government is a significant consumer of these services, relying on them to maintain and modernize its vast IT infrastructure. Comparable spending benchmarks would involve looking at other large IT system design contracts awarded by agencies like HHS, DOD, or GSA.

Small Business Impact

The contract data indicates that this was not a small business set-aside, and the prime contractor is a large business. There is no explicit information regarding subcontracting plans for small businesses. This suggests that opportunities for small businesses to participate in this contract may be limited unless they are part of a larger subcontracting effort by General Dynamics Information Technology, Inc.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Institutes of Health (NIH) contracting officers and program managers. Accountability measures would be defined within the contract's terms and conditions, including performance standards and reporting requirements. Transparency is facilitated through federal procurement databases, but detailed performance reports and specific oversight activities are not publicly available.

Related Government Programs

NIH IT Modernization Efforts
HHS Enterprise IT Services
Federal Civilian Agency IT Procurement
Computer Systems Design and Related Services

Risk Flags

Long contract duration may increase risk of technological obsolescence.
Lack of specific performance metrics in summary data hinders detailed oversight.
Potential for cost overruns if not managed tightly.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $56.0 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. NIEHS NEW ENTERPRISE INFORMATION TECHNOLOGY (IT) SOLUTION

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 (National Institutes of Health).

What is the total obligated amount?

The obligated amount is $56.0 million.

What is the period of performance?

Start: 2008-05-28. End: 2013-09-20.

What specific IT systems or infrastructure were designed or improved under this contract?

The provided data does not specify the exact IT systems or infrastructure that were designed or improved under this contract. The contract is broadly categorized under 'Computer Systems Design Services' for the National Institute of Environmental Health Sciences (NIEHS). To understand the specific impact, one would need to consult the contract's Statement of Work (SOW) or related documentation. This would detail the scope of services, such as network design, software development, system integration, or hardware implementation, and identify the specific NIEHS programs or operations these IT solutions supported.

How does the $56 million award compare to typical IT spending for similar federal health research agencies?

Comparing the $56 million award to typical IT spending for similar federal health research agencies requires access to broader government IT spending data and agency-specific IT budgets. However, for a contract spanning over five years, this amount represents a significant investment, averaging around $10-11 million annually. This level of spending is consistent with the substantial IT needs of major research institutions like NIEHS, which require robust infrastructure for data management, analysis, and research collaboration. Benchmarking against agencies like the National Science Foundation (NSF) or other institutes within NIH could provide a more precise comparison, considering their similar research-intensive missions and reliance on advanced IT capabilities.

What were the key performance indicators (KPIs) used to evaluate General Dynamics Information Technology, Inc.'s performance on this contract?

The provided data does not include the specific Key Performance Indicators (KPIs) used to evaluate General Dynamics Information Technology, Inc.'s performance. Typically, federal contracts include a Performance Work Statement (PWS) or Statement of Work (SOW) that outlines measurable performance standards. These might include metrics related to system uptime, response times for technical support, successful implementation of new IT solutions, adherence to project timelines, and cybersecurity compliance. Without access to the contract's PWS or performance reports, a detailed assessment of their performance against specific KPIs is not possible.

Were there any identified risks or challenges associated with this contract, and how were they mitigated?

The available data does not explicitly detail the risks or challenges encountered during the performance of this contract. However, common risks in large IT system design contracts include scope creep, technological obsolescence, cybersecurity threats, integration issues with existing systems, and contractor performance issues. Mitigation strategies typically involve robust contract management, clear definition of requirements, regular progress reviews, contingency planning, and strong communication channels between the agency and the contractor. Further investigation into contract performance reports or agency risk assessments would be needed to identify specific issues and mitigation efforts for this particular award.

What is the historical spending trend for NIEHS IT services, and how does this contract fit into that pattern?

The provided data focuses on a single contract award from 2008-2013. To understand the historical spending trend for NIEHS IT services, one would need to analyze spending data over a longer period, looking at multiple contracts and task orders related to IT. This specific $56 million contract represents a significant portion of IT investment during its performance period. Without a broader dataset, it's difficult to definitively state how it fits into the overall pattern, but its size suggests it was a major initiative likely aimed at modernizing or significantly upgrading critical IT infrastructure for the agency.

Industry Classification

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

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

Competition & Pricing

Extent Competed: COMPETITIVE DELIVERY ORDER

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: OTHER (APPLIES TO AWARDS WHERE NONE OF THE ABOVE APPLY) (3)

Evaluated Preference: NONE

Contractor Details

Parent Company: Csra LLC (UEI: 080011988)

Address: 4300 FAIR LAKES CT, FAIRFAX, VA, 22033

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

Financial Breakdown

Contract Ceiling: $84,649,882

Exercised Options: $57,936,110

Current Obligation: $55,973,989

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: 263010050

IDV Type: IDC

Timeline