DHS awards $24.5M for IT technical support, with General Dynamics Information Technology winning a significant portion

Contract Overview

Contract Amount: $24,541,925 ($24.5M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Homeland Security

Start Date: 2007-10-26

End Date: 2012-03-06

Contract Duration: 1,593 days

Daily Burn Rate: $15.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: TECHNICAL SUPPORT SERVICES

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $24.5 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: TECHNICAL SUPPORT SERVICES Key points: 1. Value for money appears fair given the contract duration and scope, though specific performance metrics are not detailed. 2. Competition was full and open, suggesting a competitive pricing environment. 3. Risk indicators are moderate, with a long contract duration potentially increasing cost overruns. 4. Performance context is for IT technical support, a critical but often complex service. 5. Sector positioning is within IT services, a large and competitive federal market. 6. The contract was awarded as a delivery order under a larger contract vehicle.

Value Assessment

Rating: fair

The total award of $24.5 million over approximately 4.3 years for technical support services suggests a moderate annual spend. Benchmarking against similar IT support contracts is difficult without more granular data on service levels and specific deliverables. However, the firm fixed-price nature of the contract provides some cost certainty for the government. The contract was awarded as a delivery order, implying it was part of a pre-competed larger vehicle, which can sometimes lead to better pricing.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit offers. The number of bidders is not specified, but the competitive nature of the award process generally leads to more favorable pricing for the government. This approach allows for a wider pool of potential contractors to vie for the work, fostering innovation and potentially driving down costs.

Taxpayer Impact: Full and open competition is beneficial for taxpayers as it maximizes the potential for cost savings through a robust bidding process and encourages a wider range of service providers to participate.

Public Impact

US Citizenship and Immigration Services (USCIS) benefits from enhanced IT technical support. Services delivered include computer facilities management and technical support. The geographic impact is primarily within the operational areas of USCIS, likely nationwide. Workforce implications include support for federal IT staff and potentially contractor personnel.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (over 4 years) could lead to scope creep or increased costs if not managed tightly.
Reliance on a single large contractor for critical IT support may pose risks if performance degrades.
Lack of detailed performance metrics in the provided data makes it hard to assess true value for money.

Positive Signals

Awarded under full and open competition, suggesting a competitive process.
Firm Fixed Price contract type provides cost certainty.
General Dynamics Information Technology is a large, established federal contractor with significant experience.

Sector Analysis

This contract falls within the Information Technology (IT) services sector, specifically focusing on computer facilities management and technical support. The federal IT services market is vast, with agencies consistently investing in maintaining and upgrading their technological infrastructure. This contract represents a portion of the Department of Homeland Security's broader IT spending, aimed at ensuring the operational continuity and efficiency of USCIS systems. Comparable spending benchmarks for similar technical support contracts vary widely based on scope and complexity.

Small Business Impact

The provided data indicates that this contract was not specifically set aside for small businesses, nor does it explicitly mention subcontracting goals for small businesses. As a large contract awarded to a major prime contractor, there may be opportunities for small businesses to participate as subcontractors. However, without specific subcontracting plans or set-aside provisions, the direct impact on the small business ecosystem is unclear and likely dependent on the prime contractor's procurement practices.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and program managers within U.S. Citizenship and Immigration Services. Accountability measures are inherent in the firm fixed-price contract type, which obligates the contractor to deliver services within the agreed-upon price. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

IT Infrastructure Support Services
Computer Systems Design Services
Information Technology Professional Services
Cloud Computing Services
Cybersecurity Services

Risk Flags

Long contract duration
Potential for technology obsolescence
Reliance on incumbent contractor

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $24.5 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. TECHNICAL 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 Homeland Security (U.S. Citizenship and Immigration Services).

What is the total obligated amount?

The obligated amount is $24.5 million.

What is the period of performance?

Start: 2007-10-26. End: 2012-03-06.

What is the historical spending trend for technical support services at U.S. Citizenship and Immigration Services?

Analyzing historical spending trends for technical support services at USCIS requires access to detailed procurement data over multiple fiscal years. While this specific contract award spans from 2007 to 2012, it represents only one data point. A comprehensive trend analysis would involve aggregating spending on similar contract vehicles and task orders awarded by USCIS for IT support, facilities management, and related services. Factors influencing these trends include evolving technological needs, budget allocations, and shifts in IT strategy. Without a broader dataset, it's challenging to establish a definitive historical pattern, but it's reasonable to assume that USCIS, like most federal agencies, has a consistent need for robust IT support to manage its complex immigration systems and data.

How does the per-unit cost of this contract compare to industry benchmarks for similar IT support services?

Determining a precise per-unit cost for comparison is challenging without knowing the specific services rendered and their quantities. The contract is for 'Computer Facilities Management Services' (NAICS 541513) and 'Technical Support Services,' which can encompass a wide range of activities, from help desk support to server maintenance and network management. The total award of $24.5 million over approximately 1593 days (about 4.3 years) yields an average annual value of roughly $5.7 million. To benchmark effectively, one would need to break down the services into specific labor categories (e.g., system administrators, network engineers, help desk technicians) and their associated rates, then compare these to market data from sources like the Bureau of Labor Statistics or private IT consulting firms. Given the firm fixed-price nature, the government aimed to lock in a total cost, but the underlying value-for-money depends heavily on the efficiency and effectiveness of the services provided by General Dynamics.

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

General Dynamics Information Technology (GDIT), now part of General Dynamics, has a long and extensive track record of providing IT support and services to various U.S. federal agencies, including the Department of Homeland Security. They have historically managed large, complex IT infrastructure projects and support contracts across defense, civilian, and intelligence communities. Their experience typically includes areas such as network operations, systems integration, cybersecurity, and end-user support. GDIT has often been a prime contractor on significant government-wide acquisition contracts (GWACs) and agency-specific vehicles, enabling them to compete for and win substantial awards like this one. Their performance on past contracts, while varied across specific projects, generally positions them as a capable provider of large-scale IT services.

What are the potential risks associated with a long-term (4+ year) IT support contract like this?

Long-term IT support contracts, such as this one spanning over four years, carry several potential risks. Technology evolves rapidly, and a contract established at the beginning of the period might not fully accommodate newer, more efficient, or cost-effective solutions that emerge later. There's a risk of vendor lock-in, where the agency becomes overly reliant on the incumbent contractor, making transitions difficult and potentially hindering the adoption of innovative technologies. Scope creep is another concern; if not managed meticulously, the definition of 'technical support' can expand over time, leading to costs exceeding initial projections, although the firm fixed-price nature here mitigates some of that risk. Furthermore, maintaining consistent service quality and performance over an extended period requires diligent oversight and contractor motivation, which can wane if not actively managed. Finally, the departure of key personnel from the contractor's side could disrupt service continuity.

How does the 'delivery order' award mechanism impact competition and pricing for this contract?

A delivery order is typically issued under a pre-existing, larger contract vehicle (like an IDIQ - Indefinite Delivery/Indefinite Quantity contract) that has already undergone a competitive bidding process. In this case, the base contract vehicle itself was competed, likely allowing multiple vendors to be awarded spots. When a specific need arises, agencies issue delivery orders against these vehicles. While the initial award of the vehicle was competitive, the competition for individual delivery orders can vary. Sometimes, orders are competed among the awardees of the base contract, or they might be assigned based on pre-defined terms. If this delivery order was awarded without further competition among multiple awardees of the base contract, it could represent a less competitive scenario for this specific task compared to a standalone, full-and-open competition. However, the initial competition for the base vehicle aims to establish fair pricing principles.

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: 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: Computer Sciences Corporation (UEI: 009581091)

Address: 4151 LAFAYETTE CENTER DR STE 700, CHANTILLY, VA, 20151

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $27,946,005

Exercised Options: $24,541,925

Current Obligation: $24,541,925

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSHQDC06D00021

IDV Type: IDC

Timeline