DoD's $52M Administrative Management Contract with General Dynamics: A 2004 Award

Contract Overview

Contract Amount: $52,239,859 ($52.2M)

Contractor: General Dynamics Information Technology Inc.

Awarding Agency: Department of Defense

Start Date: 2004-05-12

End Date: 2007-01-31

Contract Duration: 994 days

Daily Burn Rate: $52.6K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Place of Performance

Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $52.2 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY INC. for work described as: Key points: 1. The contract value is substantial at over $52 million. 2. General Dynamics Information Technology Inc. is the sole awardee. 3. The contract was awarded in 2004 and is now expired. 4. The sector is administrative management and general management consulting services.

Value Assessment

Rating: questionable

The contract was a Cost Plus Fixed Fee type, which can lead to cost overruns if not managed tightly. Without current benchmarks, assessing the value for money is difficult, especially given the contract's age.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This was a sole-source award, meaning there was no competition. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: Sole-source awards can result in higher costs compared to competitive procurements, impacting taxpayer value.

Public Impact

Taxpayers may have paid a premium due to the lack of competition. The long duration (994 days) and cost-plus structure warrant scrutiny for efficiency. The administrative management services provided are crucial for agency operations but their specific impact is not detailed.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award
  • Cost-plus contract type
  • Expired contract, difficult to assess current value

Positive Signals

  • Awarded to a known large contractor
  • Contract served a specific administrative function

Sector Analysis

This contract falls under administrative management and general management consulting services, a broad category supporting government operations. Benchmarks for this sector vary widely based on the specific services rendered.

Small Business Impact

The awardee is General Dynamics Information Technology Inc., a large business. There is no indication that small businesses were involved in this specific contract.

Oversight & Accountability

The contract was awarded in 2004 and expired in 2007. Oversight effectiveness would depend on the agency's management during the contract period, which is not detailed here.

Related Government Programs

  • Administrative Management and General Management Consulting Services
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Sole-source award limits competition and potentially increases cost.
  • Cost-plus contract type can lead to cost overruns.
  • Lack of detailed service description hinders value assessment.
  • Contract is expired, making current performance and value difficult to gauge.

Tags

administrative-management-and-general-ma, department-of-defense, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $52.2 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY INC.. See the official description on USAspending.

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 Contract Management Agency).

What is the total obligated amount?

The obligated amount is $52.2 million.

What is the period of performance?

Start: 2004-05-12. End: 2007-01-31.

What was the specific nature of the administrative management and general management consulting services provided under this contract?

The data indicates the contract was for 'Administrative Management and General Management Consulting Services' (NAICS 541611). However, the specific tasks, deliverables, and the precise nature of the consulting provided are not detailed in the provided data. This lack of specificity makes it challenging to fully assess the value or effectiveness of the services rendered.

What was the justification for awarding this contract on a sole-source basis?

The provided data states the contract was 'NOT COMPETED' and is a 'SOLE-SOURCE' award. Typically, sole-source awards require a justification, such as unique capabilities, urgent need, or lack of other responsible sources. Without this justification, it's difficult to ascertain if the government received the best possible value or if competition was genuinely not feasible.

How did the Cost Plus Fixed Fee structure impact the final cost and efficiency of the services?

Cost Plus Fixed Fee (CPFF) contracts reimburse the contractor for allowable costs plus a fixed fee representing profit. While CPFF can be useful for research and development or when cost uncertainty is high, it carries a risk of cost overruns if not meticulously managed. The final cost could exceed initial estimates, and efficiency might be less prioritized compared to fixed-price contracts.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesManagement, Scientific, and Technical Consulting ServicesAdministrative Management and General Management Consulting Services

Product/Service Code: RESEARCH AND DEVELOPMENTDEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: General Dynamics Corporation

Address: 3170 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

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2004-05-12

Current End Date: 2007-01-31

Potential End Date: 2007-01-31 00:00:00

Last Modified: 2023-01-27

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