DoD's $28.1M R&D Contract for Operational Sustainment Support Awarded to General Dynamics

Contract Overview

Contract Amount: $28,124,709 ($28.1M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2019-01-15

End Date: 2023-01-14

Contract Duration: 1,460 days

Daily Burn Rate: $19.3K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: OPERATIONAL SUSTAINMENT SUPPORT FY19-20 IGF::OT::IGF FOR OTHER FUNCTIONS

Place of Performance

Location: MANASSAS, PRINCE WILLIAM County, VIRGINIA, 20110

State: Virginia Government Spending

Plain-Language Summary

Department of Defense obligated $28.1 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: OPERATIONAL SUSTAINMENT SUPPORT FY19-20 IGF::OT::IGF FOR OTHER FUNCTIONS Key points: 1. General Dynamics Mission Systems, Inc. secured a significant contract for operational sustainment support. 2. The contract falls under Research and Development in Physical, Engineering, and Life Sciences. 3. Awarded as a Delivery Order, it indicates a specific need within the Department of the Navy. 4. The contract's 'NOT AVAILABLE FOR COMPETITION' status raises questions about market competition and potential cost efficiencies.

Value Assessment

Rating: questionable

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. Without comparable contract data, it's difficult to assess if the $28.1M price is competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was not available for competition, suggesting a sole-source or limited competition award. This limits price discovery and potentially leads to higher costs for taxpayers.

Taxpayer Impact: The lack of competition may result in taxpayers paying a premium for these sustainment services.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The Department of the Navy is receiving critical operational sustainment support. The contract duration of 1460 days (4 years) indicates a long-term need for these services. Research and Development in specialized fields are being funded.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Cost Plus Fixed Fee contract type
  • Potential for cost overruns

Positive Signals

  • Long-term sustainment support secured
  • Supports critical R&D functions

Sector Analysis

This contract falls under the Research and Development sector, specifically NAICS code 541712. Spending in this sector is crucial for technological advancement but requires careful oversight to ensure value for money, especially when competition is limited.

Small Business Impact

There is no indication in the provided data whether small businesses were involved in this contract, either as prime contractors or subcontractors. Further investigation would be needed to determine small business participation.

Oversight & Accountability

The 'NOT AVAILABLE FOR COMPETITION' status warrants close oversight to ensure the government is receiving fair value and that the justification for limited competition is sound. Regular performance reviews and cost audits are essential.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Lack of competitive bidding
  • Cost Plus Fixed Fee contract type
  • Potential for cost overruns
  • Limited transparency on specific R&D deliverables
  • Long contract duration without clear performance benchmarks

Tags

research-and-development-in-the-physical, department-of-defense, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $28.1 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. OPERATIONAL SUSTAINMENT SUPPORT FY19-20 IGF::OT::IGF FOR OTHER FUNCTIONS

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 $28.1 million.

What is the period of performance?

Start: 2019-01-15. End: 2023-01-14.

What is the specific justification for awarding this contract without competition, and what steps are being taken to ensure fair pricing?

The justification for awarding this contract without competition needs to be thoroughly documented and reviewed by oversight bodies. Agencies should provide detailed reasoning, such as unique capabilities or urgent needs. To ensure fair pricing, the government should conduct market research to establish a price range, negotiate aggressively, and implement robust cost controls and performance metrics throughout the contract lifecycle.

What are the potential risks associated with a Cost Plus Fixed Fee contract in a non-competitive environment?

A Cost Plus Fixed Fee (CPFF) contract in a non-competitive environment presents significant risks. The contractor has less incentive to control costs, as the government covers allowable expenses plus a fixed fee. Without competition, there's no market pressure to drive efficiency. This combination can lead to cost overruns, reduced value for taxpayer money, and potentially inflated prices if oversight is not rigorous.

How does this contract contribute to the Department of the Navy's overall research and development objectives and operational readiness?

This contract supports the Department of the Navy's operational sustainment through research and development in physical, engineering, and life sciences. The specific R&D activities funded likely aim to improve existing systems, develop new technologies, or enhance the longevity and effectiveness of critical assets. Understanding the precise nature of the R&D and its alignment with strategic goals is key to assessing its contribution to readiness.

Industry Classification

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

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

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: N0003915R9017

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: $28,124,709

Exercised Options: $28,124,709

Current Obligation: $28,124,709

Actual Outlays: $7,576,524

Subaward Activity

Number of Subawards: 2

Total Subaward Amount: $6,158,711

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0003916D0006

IDV Type: IDC

Timeline

Start Date: 2019-01-15

Current End Date: 2023-01-14

Potential End Date: 2023-01-14 00:00:00

Last Modified: 2025-09-29

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