HHS Spends $63.7M on General Dynamics IT Consulting, Awarded via Full and Open Competition

Contract Overview

Contract Amount: $63,716,638 ($63.7M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Health and Human Services

Start Date: 2014-06-22

End Date: 2019-12-21

Contract Duration: 2,008 days

Daily Burn Rate: $31.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: IGF::OT::IGF

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22030

State: Virginia Government Spending

Plain-Language Summary

Department of Health and Human Services obligated $63.7 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: IGF::OT::IGF Key points: 1. Significant contract value of $63.7M awarded to a major IT services provider. 2. Full and open competition suggests a competitive bidding process. 3. Contract duration of over 5 years indicates a long-term need for services. 4. The sector is Administrative Management and General Management Consulting Services, a common area for federal outsourcing.

Value Assessment

Rating: good

The contract value of $63.7M over approximately 5.5 years suggests a reasonable annual spend. Without specific deliverables or comparable contracts, a precise pricing assessment is difficult, but the competition method may have driven favorable pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded using full and open competition, indicating that multiple vendors were allowed to bid. This method generally promotes price discovery and can lead to more competitive pricing for the government.

Taxpayer Impact: The use of full and open competition is a positive for taxpayers, as it aims to secure the best value through a competitive process.

Public Impact

Taxpayers benefit from a competitive bidding process for essential administrative and management consulting services. The long-term nature of the contract suggests ongoing reliance on external expertise for government operations. The specific services provided by General Dynamics Information Technology are crucial for the operational efficiency of the Office of the Assistant Secretary for Administration.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess value for money.
Potential for scope creep in long-term consulting contracts.
Dependence on a single contractor for critical administrative functions.

Positive Signals

Awarded through full and open competition, indicating a fair and competitive process.
Significant contract value suggests a substantial and important service requirement.
Contract duration aligns with the need for sustained support in administrative management.

Sector Analysis

This contract falls within the Administrative Management and General Management Consulting Services sector, a broad category encompassing strategic planning, organizational design, and operational efficiency improvements. Federal spending in this sector is common as agencies seek external expertise to optimize operations.

Small Business Impact

The data indicates this contract was awarded to General Dynamics Information Technology, Inc., a large business. There is no explicit indication of small business participation or subcontracting in the provided data.

Oversight & Accountability

The contract was awarded by the Department of Health and Human Services, Office of the Assistant Secretary for Administration. Oversight would typically involve program managers monitoring performance and adherence to contract terms. The 'VA' status might indicate a specific type of award or internal designation requiring further clarification.

Related Government Programs

Administrative Management and General Management Consulting Services
Department of Health and Human Services Contracting
Office of the Assistant Secretary for Administration Programs

Risk Flags

Lack of detailed service descriptions.
Absence of performance metrics.
Potential for contractor lock-in due to long duration.
Unclear 'VA' status designation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Health and Human Services awarded $63.7 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. IGF::OT::IGF

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 (Office of the Assistant Secretary for Administration).

What is the total obligated amount?

The obligated amount is $63.7 million.

What is the period of performance?

Start: 2014-06-22. End: 2019-12-21.

What specific administrative management and general management consulting services were provided under this contract, and how did they contribute to the agency's mission?

The provided data specifies the NAICS code 541611 for Administrative Management and General Management Consulting Services. However, it does not detail the specific services rendered. To assess value, a breakdown of deliverables, such as strategic planning support, process improvement initiatives, or organizational restructuring assistance, would be necessary. Understanding how these services directly supported the Office of the Assistant Secretary for Administration's objectives is key to evaluating their contribution.

Given the $63.7M value and 5.5-year duration, what were the key performance indicators (KPIs) used to measure the success and effectiveness of General Dynamics Information Technology's services?

The provided data does not include specific Key Performance Indicators (KPIs) or metrics used to evaluate the contractor's performance. Assessing effectiveness would require access to performance reports, client satisfaction surveys, and objective measures of service impact. Without these, it's challenging to definitively gauge the success of the consulting services beyond the fact that the contract was completed and potentially renewed or extended.

How did the 'full and open competition' process ensure the government received the best possible pricing and value for these consulting services compared to other contracting methods?

Full and open competition allows any interested and qualified vendor to submit a bid, fostering a competitive environment that typically drives down prices and encourages innovation. The government likely received multiple proposals, enabling comparison of technical approaches and costs. This process aims to ensure that the selected vendor offers the best value, balancing cost, technical capability, and past performance, thereby maximizing taxpayer return on investment.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 3211 JERMANTOWN RD, FAIRFAX, VA, 22030

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $63,716,638

Exercised Options: $63,716,638

Current Obligation: $63,716,638

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $709,408

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS23F8049H

IDV Type: FSS

Timeline