DoD Awards $12.3M for System Design and Prototype Delivery to General Dynamics

Contract Overview

Contract Amount: $12,267,840 ($12.3M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-06-27

End Date: 2026-09-30

Contract Duration: 1,556 days

Daily Burn Rate: $7.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: FIXED PRICE INCENTIVE

Sector: Defense

Official Description: SYSTEM DESIGN AND PROTOTYPE DELIVERY

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22033

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $12.3 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: SYSTEM DESIGN AND PROTOTYPE DELIVERY Key points: 1. General Dynamics Mission Systems secured a significant contract for system design and prototyping. 2. The contract falls under the Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing sector. 3. The fixed-price incentive contract structure aims to balance cost control with performance. 4. The award is for a duration of 1556 days, indicating a substantial project timeline.

Value Assessment

Rating: good

The award amount of $12.3 million for system design and prototype delivery appears reasonable given the complexity and duration of the project. Benchmarking against similar R&D and system integration contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple vendors have the opportunity to bid.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down costs through market forces.

Public Impact

Enhances national defense capabilities through advanced system design and prototyping. Supports technological advancement in navigation and guidance systems for the Navy. Potential for follow-on production contracts based on prototype success.

Waste & Efficiency Indicators

Waste Risk Score: 78 / 10

Warning Flags

  • Fixed Price Incentive contract can lead to cost overruns if not managed carefully.
  • Long project duration increases risk of scope creep or technological obsolescence.

Positive Signals

  • Awarded under full and open competition.
  • Significant investment in critical defense technology.
  • Experienced contractor, General Dynamics Mission Systems.

Sector Analysis

This contract falls within the defense sector, specifically focusing on advanced system design and prototyping for naval applications. Spending in this area is crucial for maintaining technological superiority and operational effectiveness.

Small Business Impact

The data does not indicate any specific set-asides for small businesses. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The Department of the Navy is the awarding agency, implying established oversight mechanisms. However, the long duration of the contract necessitates continuous monitoring to ensure performance and cost control.

Related Government Programs

  • Search, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Potential for cost overruns in Fixed Price Incentive contract.
  • Long contract duration increases risk of obsolescence or scope creep.
  • Lack of specific performance metrics provided.
  • Unclear small business participation.

Tags

search-detection-navigation-guidance-aer, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.3 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. SYSTEM DESIGN AND PROTOTYPE DELIVERY

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 $12.3 million.

What is the period of performance?

Start: 2022-06-27. End: 2026-09-30.

What are the specific performance metrics tied to the incentive portion of the contract?

The specific performance metrics for the incentive portion are not detailed in the provided data. Typically, these would relate to technical performance, delivery schedules, or quality standards. Understanding these metrics is crucial for assessing the contract's value and ensuring the government receives the desired outcomes.

What is the potential for cost overrun given the fixed-price incentive structure?

Fixed-price incentive contracts share cost savings or overruns between the government and the contractor. While designed to incentivize efficiency, there's a risk of cost overruns if the contractor's initial estimates are inaccurate or if unforeseen technical challenges arise. Robust oversight is key to mitigating this risk.

How does this prototype development align with the Navy's long-term strategic technology roadmap?

The alignment with the Navy's strategic roadmap is not explicitly stated. However, contracts for search, detection, and navigation systems are generally critical for maintaining operational readiness and advancing capabilities. Further review of Navy acquisition strategies would clarify the strategic fit.

Industry Classification

NAICS: ManufacturingNavigational, Measuring, Electromedical, and Control Instruments ManufacturingSearch, Detection, Navigation, Guidance, Aeronautical, and Nautical System and Instrument Manufacturing

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0002419R6316

Offers Received: 3

Pricing Type: FIXED PRICE INCENTIVE (L)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

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

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

Financial Breakdown

Contract Ceiling: $41,232,933

Exercised Options: $13,648,696

Current Obligation: $12,267,840

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $5,569,380

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0002420D6331

IDV Type: IDC

Timeline

Start Date: 2022-06-27

Current End Date: 2026-09-30

Potential End Date: 2026-09-30 00:00:00

Last Modified: 2025-09-22

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