DoD's $153M R&D Contract for Submarine Digital Systems Awarded to General Dynamics Mission Systems

Contract Overview

Contract Amount: $10,215,908 ($10.2M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2002-11-08

End Date: 2008-09-30

Contract Duration: 2,153 days

Daily Burn Rate: $4.7K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: 200304!030432!1700!BZ006 !NAVAL SEA SYSTEMS COMMAND !N0002403C6100 !A!N! !N! !20021108!20071108!153245857!116187758!001381284!N!DIGITAL SYSTEM RESOURCES, INC !12450 FAIR LAKES CIRCLE, S!FAIRFAX !VA!22033!26496!600!51!FAIRFAX !FAIRFAX (CITY) !VIRGINIA !+000002535000!N!N!000047514124!1904!SUBMARINES !A7 !ELECTRONICS AND COMMUNICATION !2000!NOT DISCERNABLE OR CLASSIFIED !541710!E! !3! ! ! ! ! !99990909!B! ! !N!Z!D!N!U!1!001!N!5A!Z!Y!Z! ! !N!B!N!N! ! !Z! !A!A!000!D!B!N! ! ! ! ! ! !0001! !

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $10.2 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: 200304!030432!1700!BZ006 !NAVAL SEA SYSTEMS COMMAND !N0002403C6100 !A!N! !N! !20021108!20071108!153245857!116187758!001381284!N!DIGITAL SYSTEM RESOURCES, INC !12450 FAIR LAKES CIRCLE, S!FAIRFAX !VA!22033!26496!600!51!FAIRFAX !FAIRF… Key points: 1. The contract, valued at $153.2 million, focuses on research and development for submarine digital systems. 2. Awarded to General Dynamics Mission Systems, Inc., this contract highlights a significant investment in defense technology. 3. The 'NOT COMPETED' status raises questions about the procurement process and potential missed opportunities for other vendors. 4. The sector is Research and Development, specifically within the Defense industry, indicating a focus on advanced technological capabilities.

Value Assessment

Rating: questionable

The contract value of $153.2 million for R&D in submarine digital systems appears substantial. Without specific benchmarks for similar R&D contracts in this specialized area, a direct pricing assessment is difficult. However, the lack of competition could suggest a premium was paid.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was awarded on a sole-source basis ('NOT COMPETED'), indicating that only one vendor was considered. This limits price discovery and may not result in the most cost-effective solution for the government.

Taxpayer Impact: The lack of competition in awarding this significant contract may lead to higher costs for taxpayers compared to a competitively bid contract.

Public Impact

Enhances critical submarine capabilities through advanced digital systems. Supports national security by investing in cutting-edge defense technology. Potential for job creation within the defense technology sector. Raises concerns about the fairness and efficiency of the procurement process.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Potential for overpricing due to sole-source award
  • Limited transparency in the procurement process

Positive Signals

  • Investment in advanced defense technology
  • Focus on critical submarine systems
  • Potential for technological advancement

Sector Analysis

This contract falls within the Research and Development sector, specifically for the Department of Defense. Spending in this area is crucial for maintaining technological superiority but requires careful oversight to ensure value for money, especially in sole-source procurements.

Small Business Impact

The contract was awarded to a large business, General Dynamics Mission Systems, Inc. There is no indication of subcontracting opportunities for small businesses within the provided data, suggesting limited direct impact on the small business sector for this specific award.

Oversight & Accountability

The 'NOT COMPETED' designation warrants further oversight to ensure the justification for a sole-source award was robust and that the pricing is fair and reasonable. Accountability for the procurement decision rests with the Department of Defense.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences
  • Department of Defense Contracting
  • Defense Contract Management Agency Programs

Risk Flags

  • Lack of competitive bidding
  • Potential for inflated costs
  • Limited transparency in award process
  • No clear indication of small business participation

Tags

research-and-development-in-the-physical, department-of-defense, va, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $10.2 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. 200304!030432!1700!BZ006 !NAVAL SEA SYSTEMS COMMAND !N0002403C6100 !A!N! !N! !20021108!20071108!153245857!116187758!001381284!N!DIGITAL SYSTEM RESOURCES, INC !12450 FAIR LAKES CIRCLE, S!FAIRFAX !VA!22033!26496!600!51!FAIRFAX !FAIRFAX (CITY) !VIRGINIA !+000002535000!N!N!000047514124!1904!SUBMARINES !A7 !ELECTRONICS AND COMMUNICATION !2000!NOT DISCERNABLE OR CLASSIFIED !541710!E! !3! ! ! ! ! !99990909!B

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 (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $10.2 million.

What is the period of performance?

Start: 2002-11-08. End: 2008-09-30.

What was the specific justification for awarding this contract on a sole-source basis, and were alternative solutions or vendors considered?

The justification for a sole-source award typically involves unique capabilities, proprietary technology, or urgent needs that only one vendor can meet. Without access to the specific justification documentation, it's impossible to confirm the rationale. However, the 'NOT COMPETED' status suggests that a formal competitive process was bypassed, raising questions about whether other qualified vendors were overlooked or if the requirements were narrowly defined to favor a single source.

How does the contract's pricing compare to industry benchmarks for similar R&D efforts in submarine technology, given the lack of competition?

Benchmarking this contract's pricing is challenging due to its specialized nature and the absence of competitive bids. Sole-source contracts often lack the downward price pressure inherent in competitive bidding. While General Dynamics is a major defense contractor, the $153.2 million value for R&D without competition raises concerns about potential overpricing. Independent cost analysis or comparison with historical sole-source R&D contracts in similar defense domains would be necessary for a more definitive assessment.

What are the expected technological advancements or capabilities resulting from this $153.2 million investment in submarine digital systems?

This significant investment is expected to yield advancements in submarine operational capabilities, potentially including enhanced command and control, improved sensor processing, more robust communication systems, and greater data integration. The focus on 'digital systems' suggests modernization efforts aimed at increasing efficiency, survivability, and mission effectiveness in complex underwater environments. Specific outcomes would depend on the detailed technical objectives outlined in the contract.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: SHIPS, SMALL CRAFT, PONTOON, DOCKS

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 12450 FAIR LAKES CIR STE 800, FAIRFAX, VA, 22033

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2002-11-08

Current End Date: 2008-09-30

Potential End Date: 2008-09-30 00:00:00

Last Modified: 2018-02-06

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