Interior's $24.6M IT contract for system integration awarded to General Dynamics IT

Contract Overview

Contract Amount: $24,591,157 ($24.6M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of the Interior

Start Date: 2006-09-07

End Date: 2011-11-06

Contract Duration: 1,886 days

Daily Burn Rate: $13.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COMBINATION (TWO OR MORE)

Sector: IT

Official Description: GRANTS.GOV SYSTEM INTEGRATION SERVICES

Place of Performance

Location: FAIRFAX, FAIRFAX (CITY) County, VIRGINIA, 22030

State: Virginia Government Spending

Plain-Language Summary

Department of the Interior obligated $24.6 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: GRANTS.GOV SYSTEM INTEGRATION SERVICES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1886 days (over 5 years) indicates a long-term need for services. 3. The North American Industry Classification System (NAICS) code 541519 points to a broad range of computer-related services. 4. Awarded to General Dynamics Information Technology, Inc., a major federal contractor. 5. The contract was awarded as 'Other Computer Related Services', a broad category. 6. The contract was awarded under the Departmental Offices, suggesting it supports administrative or cross-agency functions.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables or performance metrics. The total value of $24.6 million over approximately five years averages to about $4.9 million annually. This figure needs to be compared against the scope and complexity of the 'GRANTS.GOV SYSTEM INTEGRATION SERVICES' to determine if it represents good value. Without more granular data on the services provided and their outcomes, a definitive assessment of value for money is difficult.

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 a bid. The presence of 5 bids suggests a moderate level of competition for this IT services contract. While multiple bidders are positive, the exact number doesn't inherently guarantee the most competitive pricing without knowing the bid amounts and the specific requirements of the solicitation.

Taxpayer Impact: Full and open competition generally benefits taxpayers by encouraging multiple vendors to offer their best pricing and solutions, potentially leading to cost savings and higher quality services.

Public Impact

Federal agencies utilizing the Grants.gov system will benefit from improved integration and functionality. The contract supports the delivery of essential IT services for managing federal grant programs. The geographic impact is national, as Grants.gov serves all federal agencies and grant applicants across the United States. Workforce implications include employment opportunities for IT professionals within General Dynamics Information Technology and potentially its subcontractors.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics makes it difficult to assess the true value and effectiveness of the system integration services.
The broad NAICS code (541519) could encompass a wide range of services, making it hard to pinpoint the exact nature and cost-effectiveness of the work performed.
The contract's duration (over 5 years) might lead to vendor lock-in if not managed carefully, potentially reducing future competition.
Limited information on the specific system integration challenges addressed by this contract hinders a thorough risk assessment.

Positive Signals

Awarded through full and open competition, which typically fosters competitive pricing and innovation.
The contract was awarded to a large, established IT services provider (General Dynamics IT), suggesting a degree of reliability and experience.
The long contract duration implies a sustained commitment to improving the Grants.gov system, potentially leading to long-term stability and enhancements.
The contract supports a critical federal function (grant management) through Grants.gov, indicating its importance to government operations.

Sector Analysis

This contract falls within the Information Technology (IT) sector, specifically focusing on system integration services. The IT services market for the federal government is substantial, with agencies consistently investing in modernizing their systems and improving data management. System integration is crucial for ensuring that disparate IT systems can communicate and function together seamlessly, which is vital for platforms like Grants.gov that connect multiple agencies and users. Comparable spending benchmarks would typically involve analyzing other large-scale IT integration contracts awarded to major federal IT vendors.

Small Business Impact

This contract does not appear to have been set aside for small businesses, as indicated by 'sb': false. General Dynamics Information Technology, Inc. is a large business. There is no explicit information provided regarding subcontracting plans for small businesses. Without specific subcontracting goals or reporting, the direct impact on the small business ecosystem is unclear, though large prime contracts often involve subcontracting opportunities.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant program officials within the Department of the Interior. The contract's performance would be monitored against the terms and conditions outlined in the award. Transparency is facilitated through contract award databases like FPDS-NG. Inspector General jurisdiction would apply if any fraud, waste, or abuse related to the contract were suspected or identified.

Related Government Programs

Grants.gov Program Management
Federal Grants Administration Systems
IT System Modernization Contracts
Department of the Interior IT Services
General Services Administration (GSA) IT Schedules

Risk Flags

Potential for technological obsolescence over the contract's 5+ year duration.
Risk of scope creep without stringent change control processes.
Dependency on a single large vendor could limit future flexibility.
Need for clear performance metrics to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $24.6 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. GRANTS.GOV SYSTEM INTEGRATION 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 the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $24.6 million.

What is the period of performance?

Start: 2006-09-07. End: 2011-11-06.

What specific system integration challenges did this contract aim to address for Grants.gov?

The provided data does not specify the exact system integration challenges addressed by this contract. However, system integration for a platform like Grants.gov typically involves ensuring seamless data flow between various federal agency grant systems, applicant portals, and internal databases. This could include issues related to data standardization, API development, middleware implementation, security protocols, and performance optimization to handle high volumes of transactions. The broad nature of 'Other Computer Related Services' suggests the scope could range from minor enhancements to major architectural overhauls, all aimed at improving the efficiency, reliability, and user experience of the Grants.gov platform for both grantors and recipients.

How does the $24.6 million contract value compare to similar IT system integration contracts for large federal platforms?

Comparing the $24.6 million value requires context on the specific deliverables and duration. This contract spans over five years (1886 days), averaging approximately $4.9 million annually. Large-scale IT system integration contracts for federal platforms can range significantly, from tens of millions to hundreds of millions of dollars, depending on complexity, scope, and the number of systems involved. For instance, contracts for enterprise resource planning (ERP) system implementations or major cloud migrations often exceed this amount. However, for ongoing system integration and maintenance of a specific platform like Grants.gov, this figure might be within a reasonable range, especially considering it was awarded through full and open competition. A more precise comparison would necessitate analyzing contracts with similar objectives, agency scope, and vendor capabilities.

What are the key risks associated with a five-year IT system integration contract of this magnitude?

Key risks for a five-year IT system integration contract of this magnitude include technological obsolescence, where the implemented solutions become outdated before the contract ends; scope creep, where project requirements expand beyond the original agreement, leading to cost overruns and delays; vendor lock-in, making it difficult to switch providers or adopt new technologies; performance deficiencies, where the contractor fails to meet service level agreements; and security vulnerabilities, which could compromise sensitive grant data. Additionally, changes in agency priorities or federal IT policies during the contract term can introduce uncertainty. Effective risk mitigation requires robust contract management, clear performance metrics, regular reviews, and contingency planning.

What was the historical spending pattern for Grants.gov system integration services prior to this contract?

The provided data does not include historical spending patterns for Grants.gov system integration services prior to this specific contract (awarded in 2006). To analyze historical spending, one would need to access historical contract databases (like FPDS-NG) and search for previous awards related to Grants.gov system integration or IT support for the platform. Understanding past investments would provide context on the evolution of the system, the consistency of funding, and whether this $24.6 million award represents an increase, decrease, or stable level of investment compared to previous periods. Without this historical data, it's difficult to assess trends or justify the current spending level based on past performance or needs.

How does General Dynamics Information Technology's track record influence the assessment of this contract's potential success?

General Dynamics Information Technology (GDIT) is a major federal IT contractor with extensive experience in providing a wide range of services to government agencies. Their track record includes managing large, complex IT projects, system integrations, and cybersecurity solutions. This experience suggests they possess the technical expertise, resources, and established processes necessary to successfully execute a contract of this nature. However, past performance is not a guarantee of future results. A thorough assessment would also consider GDIT's specific performance on similar system integration contracts, any past issues or disputes, and their ability to adapt to the evolving needs of the Grants.gov platform. The fact that they were awarded this contract through full and open competition implies their proposal met the government's technical and cost requirements.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: COMBINATION (TWO OR MORE) (2)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 3211 JERMANTOWN RD # 700, FAIRFAX, VA, 11

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $24,591,157

Exercised Options: $24,591,157

Current Obligation: $24,591,157

Parent Contract

Parent Award PIID: 26301D0074

IDV Type: IDC

Timeline