General Dynamics awarded $20.5M contract for Naval Research programmatic and engineering services

Contract Overview

Contract Amount: $20,479,558 ($20.5M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2023-07-06

End Date: 2027-09-11

Contract Duration: 1,528 days

Daily Burn Rate: $13.4K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 999

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: THIS EFFORT WILL PROVIDE PROGRAMMATIC AND ENGINEERING SERVICES REQUIRED TO EXECUTE THE FOLLOWING TASKS IN SUPPORT OF THE OFFICE OF NAVAL RESEARCH (ONR): PROGRAM MANAGEMENT, OPERATIONAL SECURITY PLANNING, AMPS REQUIREMENTS EXPANSION, AMPS ARCHITECTURA

Place of Performance

Location: MANASSAS, PRINCE WILLIAM County, VIRGINIA, 20110

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $20.5 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: THIS EFFORT WILL PROVIDE PROGRAMMATIC AND ENGINEERING SERVICES REQUIRED TO EXECUTE THE FOLLOWING TASKS IN SUPPORT OF THE OFFICE OF NAVAL RESEARCH (ONR): PROGRAM MANAGEMENT, OPERATIONAL SECURITY PLANNING, AMPS REQUIREMENTS EXPANSION, AMPS ARCHITECTURA Key points: 1. Contract focuses on program management, operational security, and requirements expansion for the Office of Naval Research. 2. The award is a definitive contract with a Cost Plus Fixed Fee pricing structure. 3. This contract supports research and development in physical, engineering, and life sciences. 4. The duration of the contract is approximately 4 years, ending in September 2027. 5. The contract was awarded under full and open competition, suggesting a competitive bidding process. 6. The primary service area is Virginia, indicating a geographic focus for the work.

Value Assessment

Rating: good

The contract value of $20.5 million over approximately four years appears reasonable for specialized programmatic and engineering support within the defense research sector. Benchmarking against similar contracts for R&D support services to agencies like ONR would provide a more precise value-for-money assessment. The Cost Plus Fixed Fee structure allows for flexibility in research but requires careful oversight to manage costs effectively.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. This approach generally fosters a competitive environment, which can lead to better pricing and innovation. The specific number of bidders is not provided, but the designation suggests a robust competition.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it typically drives down costs through market forces and encourages a wider range of solutions, potentially leading to more efficient use of public funds.

Public Impact

The Office of Naval Research (ONR) benefits from enhanced programmatic and engineering support, enabling the advancement of its research objectives. Services delivered include program management, operational security planning, and requirements expansion for key initiatives. The primary geographic impact is in Virginia, where the contractor will likely perform the majority of the work. The contract supports the defense research and development workforce, potentially involving specialized engineers and program managers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contracts can sometimes lead to cost overruns if not managed diligently.
  • The specific nature of R&D can introduce inherent risks and uncertainties in project outcomes.
  • Reliance on a single large contractor for critical support functions may pose a risk if performance falters.

Positive Signals

  • Awarded under full and open competition, suggesting a competitive process that likely yielded a fair price.
  • The contract supports the Office of Naval Research, a critical entity for technological advancement in naval capabilities.
  • The long-term nature of the contract (approx. 4 years) provides stability for planning and execution of research support.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for R&D support services to government agencies is substantial, driven by the need for innovation and technological advancement. Comparable spending benchmarks would involve analyzing other contracts awarded by ONR or similar defense research organizations for programmatic and engineering support.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses arising from a set-aside provision. However, the prime contractor, General Dynamics Mission Systems, Inc., may engage small businesses as subcontractors as part of their overall project execution strategy, depending on their internal policies and the specific needs of the contract.

Oversight & Accountability

Oversight for this contract will likely be managed by the Office of Naval Research, with specific program managers responsible for monitoring performance, cost, and adherence to contract terms. As a Department of Defense contract, it is subject to the oversight of the Defense Contract Audit Agency (DCAA) and potentially the Department of Defense Inspector General for audits and investigations. Transparency will depend on the reporting requirements stipulated in the contract and public disclosures.

Related Government Programs

  • Naval Research Programs
  • Defense R&D Support Services
  • Program Management Contracts
  • Engineering Services Contracts
  • Office of Naval Research Contracts

Risk Flags

  • Cost Overruns Risk (CPFF)
  • R&D Uncertainty
  • Contractor Performance Risk

Tags

research-and-development, department-of-defense, department-of-the-navy, office-of-naval-research, definitive-contract, cost-plus-fixed-fee, full-and-open-competition, program-management, engineering-services, virginia, general-dynamics-mission-systems

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $20.5 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. THIS EFFORT WILL PROVIDE PROGRAMMATIC AND ENGINEERING SERVICES REQUIRED TO EXECUTE THE FOLLOWING TASKS IN SUPPORT OF THE OFFICE OF NAVAL RESEARCH (ONR): PROGRAM MANAGEMENT, OPERATIONAL SECURITY PLANNING, AMPS REQUIREMENTS EXPANSION, AMPS ARCHITECTURA

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS MISSION SYSTEMS, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $20.5 million.

What is the period of performance?

Start: 2023-07-06. End: 2027-09-11.

What is General Dynamics Mission Systems, Inc.'s track record with the Department of the Navy and Office of Naval Research?

General Dynamics Mission Systems, Inc. has a significant history of contracting with the Department of Defense, including the Navy. Analyzing their past performance on similar R&D support, program management, and engineering services contracts with ONR and other naval commands would reveal their reliability, quality of work, and ability to manage complex projects. Past performance reviews, contract awards, and any documented disputes or terminations would provide a comprehensive picture of their capabilities and suitability for this specific effort. Their extensive experience in defense systems integration suggests a strong foundation for undertaking this role.

How does the $20.5 million value compare to similar R&D support contracts for naval research?

The $20.5 million contract value for approximately four years of programmatic and engineering services for the Office of Naval Research is within a typical range for specialized R&D support. Benchmarking against contracts awarded to other large defense contractors for similar services to ONR or other Department of the Navy research entities would provide a clearer comparison. Factors such as the scope of work, specific technical requirements, duration, and contract type (Cost Plus Fixed Fee) influence the overall value. Without specific comparable contract data, it's difficult to definitively state if this represents exceptional value, but it aligns with the general market for such specialized support.

What are the primary risks associated with this Cost Plus Fixed Fee (CPFF) contract structure for R&D?

The primary risks associated with a CPFF contract for R&D, like this one, revolve around cost control and contractor incentive. While CPFF allows for flexibility needed in research where scope can evolve, it places the financial risk of cost overruns primarily on the government. The contractor is reimbursed for allowable costs plus a fixed fee representing profit. The risk is that the contractor may have less incentive to control costs rigorously compared to fixed-price contracts, potentially leading to higher overall expenditures. Effective government oversight, detailed cost tracking, and clear performance metrics are crucial to mitigate these risks and ensure value for money.

How effective is the 'full and open competition' process in ensuring optimal outcomes for this type of R&D contract?

The 'full and open competition' process is generally considered the most effective method for ensuring optimal outcomes in government contracting, including for R&D. It maximizes the pool of potential offerors, fostering robust competition that can lead to innovative solutions and competitive pricing. For R&D, this broad competition can bring diverse perspectives and cutting-edge approaches to the table. The effectiveness hinges on the clarity of the solicitation, the evaluation criteria, and the government's ability to assess technical merit and management capability alongside price. A well-executed full and open competition increases the likelihood of selecting the best-value proposal for the government.

What is the historical spending trend for programmatic and engineering support services by the Office of Naval Research?

Historical spending by the Office of Naval Research (ONR) on programmatic and engineering support services has generally trended upwards, reflecting the increasing complexity and strategic importance of naval research and development. ONR consistently invests in acquiring specialized expertise to manage its diverse portfolio of scientific and technological projects. Analyzing past fiscal years would reveal fluctuations tied to budget allocations, specific program initiatives, and the overall defense spending climate. This $20.5 million award represents a portion of that ongoing investment, supporting critical functions that enable ONR to achieve its mission objectives.

What are the potential implications of the 'definitive contract' award type for long-term program stability?

A 'definitive contract' is a type of contract that contains all the essential elements of a final agreement, including a clear statement of work, price, and delivery schedule. For long-term program stability, this award type is generally positive. It signifies a firm commitment from the government to procure specific goods or services over a defined period, providing the contractor with a degree of certainty for resource allocation and planning. This stability is particularly beneficial for complex R&D efforts that require sustained support and investment, allowing both the government and the contractor to focus on achieving program goals without the uncertainty of repeated re-competition or scope adjustments.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Solicitation ID: N0001422SB001

Offers Received: 999

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 9500 INNOVATION DR, MANASSAS, VA, 20110

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,479,558

Exercised Options: $20,479,558

Current Obligation: $20,479,558

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $139,538

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-07-06

Current End Date: 2027-09-11

Potential End Date: 2027-09-11 00:00:00

Last Modified: 2025-09-30

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