DoD's $197M contract with GDIT for IT services awarded via full and open competition
Contract Overview
Contract Amount: $19,691,515 ($19.7M)
Contractor: General Dynamics Information Technology Inc.
Awarding Agency: Department of Defense
Start Date: 1995-06-15
End Date: 2009-10-19
Contract Duration: 5,240 days
Daily Burn Rate: $3.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS FIXED FEE
Sector: IT
Place of Performance
Location: FALLS CHURCH, FAIRFAX County, VIRGINIA, 22042
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $19.7 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY INC. for work described as: Key points: 1. The contract value of $196.9M over its lifetime indicates significant investment in IT services. 2. Awarded under full and open competition, suggesting a competitive bidding process. 3. The long duration (1995-2009) may raise questions about adaptability to evolving technology. 4. The Cost Plus Fixed Fee (CPFF) contract type can incentivize cost overruns if not managed closely.
Value Assessment
Rating: fair
The contract value of $196.9M over 14 years suggests a substantial investment. Without specific unit costs or comparable contracts, a precise pricing assessment is difficult, but the duration and CPFF structure warrant scrutiny for potential cost inefficiencies.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded using full and open competition, which typically fosters competitive pricing. However, the long performance period and CPFF structure could allow for price escalation over time if not rigorously managed.
Taxpayer Impact: While competition aims for fair pricing, the extended duration and CPFF structure may have led to higher costs than a fixed-price contract might have achieved, impacting taxpayer value.
Public Impact
Long-term IT service contracts can impact agency agility and adoption of new technologies. The use of Cost Plus Fixed Fee contracts requires robust oversight to control costs. The significant dollar amount highlights the substantial resources allocated to this specific IT service.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long contract duration (14 years)
- Cost Plus Fixed Fee pricing structure
- Lack of small business participation
Positive Signals
- Awarded via full and open competition
- Significant contract value awarded
Sector Analysis
This contract falls within the Information Technology sector, specifically for IT services. Defense IT spending is substantial, and benchmarks vary widely based on service type, duration, and competition.
Small Business Impact
The data indicates that small businesses were not involved in this contract, as 'sb' is false. This suggests the prime contractor did not subcontract to small businesses or that the contract was not set aside for them.
Oversight & Accountability
The long duration of this contract necessitates strong oversight to ensure performance, manage costs under the CPFF structure, and adapt to technological changes. The 'no' field (2) might relate to specific oversight mechanisms or reports.
Related Government Programs
- Department of Defense Contracting
- Defense Contract Management Agency Programs
Risk Flags
- Long contract duration potentially hindering modernization
- Cost Plus Fixed Fee structure risks cost overruns
- Lack of small business participation noted
- Limited detail on specific services and oversight effectiveness
Tags
department-of-defense, va, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $19.7 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY INC.. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is GENERAL DYNAMICS INFORMATION TECHNOLOGY 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 $19.7 million.
What is the period of performance?
Start: 1995-06-15. End: 2009-10-19.
What specific IT services were provided under this contract, and how did their scope evolve over the 14-year period?
The provided data does not detail the specific IT services rendered. Given the contract's length (1995-2009), it likely encompassed a range of services such as system maintenance, network support, software development, or IT infrastructure management. The evolution of these services would depend on the agency's changing technological needs and strategic goals during that era.
How effectively did the Cost Plus Fixed Fee structure control costs and incentivize efficiency over the contract's 14-year lifespan?
The CPFF structure allows for costs to be reimbursed plus a fixed fee, which can be advantageous for projects with uncertain costs. However, it can also incentivize contractors to increase costs to maximize their fee if the base is not well-defined or if oversight is lax. Without detailed cost performance reports, it's difficult to assess the efficiency achieved over this long period.
What was the impact of awarding a 14-year IT contract via full and open competition on technological modernization within the Department of Defense?
A 14-year IT contract, even if competitively awarded, could potentially slow technological modernization if it locks the agency into specific systems or vendors. While full and open competition aims for the best value, the long-term commitment might have limited the DoD's flexibility to adopt newer, potentially more advanced technologies that emerged during the contract's term.
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Offers Received: 2
Pricing Type: COST PLUS FIXED FEE (U)
Contractor Details
Parent Company: Csra LLC
Address: 3170 FAIRVIEW PARK DR, FALLS CHURCH, VA, 22042
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 1995-06-15
Current End Date: 2009-10-19
Potential End Date: 2009-10-19 00:00:00
Last Modified: 2023-08-16
More Contracts from General Dynamics Information Technology Inc.
- Global Security Engineering&supply Chain Services — $1.5B (Department of State)
- THE Purpose of This Action IS to Establish a NEW Contract With General Dynamics Information Technology for Global Supply Chain Management, Logistics and Technology Development Services to Support the Department of State. the Initial Funding Associated With This Contract IS $22,304,578.00. the Overall Contract Value IS $2,200,000,000.00 — $1.2B (Department of State)
- Cloud Products&tools (CPT) — $902.0M (Department of Health and Human Services)
- Beneficiary Contact Center Operations — $879.1M (Department of Health and Human Services)
- Award of Task Order 47qfca210051-Nawcad Wolf Ship and AIR C5isr Systems Support — $832.3M (General Services Administration)
View all General Dynamics Information Technology Inc. federal contracts →
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)