DoD Awards $7.5M for MUOS Ground System Sustainment to General Dynamics

Contract Overview

Contract Amount: $7,509,063 ($7.5M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2020-11-08

End Date: 2026-01-21

Contract Duration: 1,900 days

Daily Burn Rate: $4.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: LABOR - MUOS GROUND SYSTEM SUSTAINMENT

Place of Performance

Location: SCOTTSDALE, MARICOPA County, ARIZONA, 85257

State: Arizona Government Spending

Plain-Language Summary

Department of Defense obligated $7.5 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: LABOR - MUOS GROUND SYSTEM SUSTAINMENT Key points: 1. Contract awarded to General Dynamics Mission Systems, Inc. for sustainment of the MUOS Ground System. 2. The contract value is $7,509,062.66, with an estimated completion date of January 21, 2026. 3. This award falls under Engineering Services (NAICS 541330). 4. The contract was awarded using Full and Open Competition after Exclusion of Sources. 5. The contract type is Firm Fixed Price.

Value Assessment

Rating: fair

The contract value of $7.5M for sustainment services appears reasonable for a specialized ground system. Benchmarking against similar complex system sustainment contracts would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition after Exclusion of Sources,' indicating a competitive process was initiated, but specific sources may have been excluded. This method aims for competitive pricing while potentially narrowing the field.

Taxpayer Impact: The competitive nature of the award suggests efforts to secure fair pricing, minimizing unnecessary taxpayer expenditure for this critical system sustainment.

Public Impact

Ensures continued operation and maintenance of the Mobile User Objective System (MUOS) ground infrastructure. Supports secure satellite communications for military personnel. Potential impact on readiness and operational effectiveness of communication systems. General Dynamics Mission Systems, Inc. is a key contractor in defense communications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Exclusion of sources in competition may limit price discovery.
  • Long contract duration (2020-2026) could lead to cost overruns if not managed effectively.

Positive Signals

  • Firm Fixed Price contract type provides cost certainty.
  • Awarded to a known entity with expertise in the field.

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting defense communications infrastructure. Spending benchmarks for sustainment of complex ground systems can vary widely based on system criticality and technology.

Small Business Impact

The data indicates this contract was not awarded to small businesses (sb: false). Further analysis would be needed to determine if subcontracting opportunities were made available to small businesses.

Oversight & Accountability

The Department of the Air Force is responsible for oversight of this contract. Robust oversight is crucial to ensure performance, manage costs, and verify the necessity of any source exclusions.

Related Government Programs

  • Engineering Services
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Potential for limited competition due to source exclusion.
  • Long-term sustainment contract may be subject to scope creep or cost increases.
  • Dependence on a single contractor for critical system sustainment.
  • Lack of transparency regarding specific reasons for source exclusion.

Tags

engineering-services, department-of-defense, az, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $7.5 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. LABOR - MUOS GROUND SYSTEM SUSTAINMENT

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 Air Force).

What is the total obligated amount?

The obligated amount is $7.5 million.

What is the period of performance?

Start: 2020-11-08. End: 2026-01-21.

What specific technical capabilities does the MUOS ground system provide, and how critical is its sustainment to ongoing military operations?

The MUOS ground system is integral to the Mobile User Objective System, providing global, secure, and reliable voice and data communications for U.S. military forces. Its sustainment is critical for maintaining command and control, situational awareness, and operational effectiveness, especially in remote or contested environments where traditional communication methods may be unreliable.

What were the specific reasons for excluding certain sources in the 'Full and Open Competition after Exclusion of Sources' process, and did this exclusion impact the final price?

The specific reasons for excluding sources are not detailed in the provided data. Typically, exclusions are based on factors like proprietary technology, unique capabilities, or national security concerns. Understanding these reasons is vital to assess if the exclusion potentially limited competition and influenced the final price paid by taxpayers.

How does the per-unit cost of sustaining the MUOS ground system compare to similar satellite ground system sustainment contracts, and what is the projected return on investment?

Benchmarking the per-unit cost requires access to comparable contract data, which is not provided. The projected return on investment is also difficult to quantify without detailed operational benefits and cost-saving metrics. A thorough analysis would involve comparing sustainment costs against the operational value and potential costs of system failure or degradation.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0003918R0146

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Wico Limited

Address: 8201 E MCDOWELL ROAD, SCOTTSDALE, AZ, 85257

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

Financial Breakdown

Contract Ceiling: $7,509,063

Exercised Options: $7,509,063

Current Obligation: $7,509,063

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0003920D0146

IDV Type: IDC

Timeline

Start Date: 2020-11-08

Current End Date: 2026-01-21

Potential End Date: 2026-01-21 00:00:00

Last Modified: 2025-12-18

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