Navy Awards $306 Million IT Maintenance Contract to DynCorp International LLC

Contract Overview

Contract Amount: $306,312,693 ($306.3M)

Contractor: Dyncorp International LLC

Awarding Agency: Department of Defense

Start Date: 2017-08-18

End Date: 2023-08-31

Sector: IT

Official Description: IGF::OT::IGF NTWP O-LEVEL MAINTENANCE

Plain-Language Summary

This contract, valued at approximately $306.3 million, is for "IGF NTWP O-LEVEL MAINTENANCE" awarded to DynCorp International LLC by the Department of the Navy. The description suggests it pertains to "Information Technology" (IGF likely stands for Information Group Function) and "Network" (NTWP) operations and maintenance at the "O-Level," which typically refers to the lowest level of maintenance, often performed by the user or operator. This means the contract likely covers the day-to-day support, upkeep, and potentially minor repairs of IT systems, networks, and related equipment essential for the Navy's operations. Such services are critical for maintaining communication, data processing, and command and control capabilities, ensuring the Navy can function effectively. DynCorp International LLC is a well-established government contractor with extensive experience in aviation, logistics, and technical support services, including IT and network operations for defense agencies. Their track record suggests they possess the necessary expertise and infrastructure to handle large-scale maintenance contracts. The $306.3 million amount over a period of roughly six years (August 2017 to August 2023) averages to about $51 million per year. This figure, while substantial, needs to be assessed against the complexity and scale of the Navy's IT infrastructure. Without specific details on the scope of work, it's challenging to definitively label it as reasonable, but it falls within the expected range for large-scale, long-term IT maintenance for a major military branch. The competition type is not specified, which is a significant gap in transparency. If the contract was awarded through full and open competition, it implies multiple companies bid, potentially leading to better pricing for taxpayers. However, if it was sole-source or a limited competition, it raises questions about whether the government secured the best possible value. The duration of the contract (six years) is typical for complex maintenance and support services, allowing for stability and continuity. This contract is likely part of the broader Department of the Navy's ongoing efforts to maintain and modernize its vast IT infrastructure, which underpins all its operational and administrative functions. It's a crucial component of ensuring readiness and technological superiority.

Value Assessment

Rating: fair

The $306.3 million contract, spanning six years, averages to approximately $51 million annually. This amount is substantial and reflects the critical nature of maintaining large-scale IT and network infrastructure for the Department of the Navy. Without detailed scope of work or comparable contract data, it's difficult to definitively assess reasonableness. However, for comprehensive IT operations and maintenance across a major military branch, this annual figure is within a plausible range, though it warrants scrutiny for efficiency.

Cost Per Unit: Not applicable due to the broad nature of the service description.

Competition Analysis

Competition Level: unknown

The competition type is not specified, making it impossible to determine if the contract was awarded through full and open competition, a limited competition, or as a sole-source award. This lack of transparency is concerning for taxpayers, as competitive bidding typically drives down costs and ensures the government receives the best value.

Taxpayer Impact: An unknown competition level means taxpayers cannot be assured that the government explored all options to secure the most cost-effective solution. If the contract was not competitively bid, it could mean higher costs than necessary.

Public Impact

This contract, while seemingly technical, directly impacts national security and the effectiveness of the U.S. Navy. The "O-Level Maintenance" for IT and networks ensures that sailors have reliable communication systems, access to critical data, and functional command and control platforms. This is essential for everything from daily operations and training to deploying forces globally and responding to crises. Reliable IT infrastructure underpins intelligence gathering, logistics, navigation, and the operation of advanced naval assets like ships and aircraft. By ensuring these systems are maintained and operational, the contract contributes to the Navy's readiness and its ability to project power and protect U.S. interests. Ultimately, this spending supports the broader defense mission, which aims to safeguard the nation and its citizens.

Waste & Efficiency Indicators

Waste Risk Score: 60 / 10

Warning Flags

Positive Signals

Sector Analysis

Information Technology and Defense services represent a significant portion of federal spending. The Department of the Navy, like other branches of the DoD, relies heavily on advanced IT systems for all aspects of its operations. Spending in this sector is generally stable or increasing as the military continues to modernize and adapt to evolving technological landscapes and cyber threats. This contract is a component of that larger, ongoing investment in maintaining and upgrading critical defense IT infrastructure.

Small Business Impact

There is no information provided to indicate whether this contract included small business set-asides or subcontracting requirements. Large prime contracts like this often have provisions for small business participation, but this detail is not available here.

Oversight & Accountability

As a Department of the Navy contract, oversight would typically be managed by contracting officers and program managers within the Navy's acquisition and logistics commands. Performance would be monitored against contract deliverables and performance metrics. The Defense Contract Management Agency (DCMA) may also play a role in contract administration and oversight.

Related Government Programs

Risk Flags

Tags

it-maintenance, department-of-the-navy, defense-contracting, large-contract, long-term-service, network-operations, information-technology

Frequently Asked Questions

What is this federal contract actually paying for?

This contract pays for the day-to-day support, maintenance, and potentially minor repairs of the U.S. Navy's Information Technology (IT) systems and networks at the operational level. This includes ensuring that the hardware, software, and communication infrastructure used by sailors and naval personnel are functioning correctly, are up-to-date, and are secure. It's about keeping the essential digital backbone of the Navy running smoothly so that critical operations, communication, and data management can occur without interruption.

Is this a good use of taxpayer money?

The contract's value of $306.3 million over six years is substantial, averaging $51 million annually. Given the critical need for robust and reliable IT infrastructure for the U.S. Navy's global operations, this spending is likely necessary. However, without knowing the specifics of the services provided and the competitive bidding process, it's difficult to definitively state if it's a 'good' use of money. Ensuring competitive bidding and strong performance oversight are key to maximizing value.

Why was this contractor chosen?

The provided details do not specify the selection process. DynCorp International LLC is a large, experienced government contractor with a history of providing similar services to defense agencies. The Navy likely chose them based on their demonstrated capabilities, past performance, and potentially their bid price, assuming a competitive process. If it was a sole-source award, the justification for not opening it to competition would be required.

How does this contract amount compare to similar ones?

Comparing this $306.3 million contract requires access to detailed data on similar IT maintenance contracts for other naval fleets or large military branches. However, for a six-year, comprehensive IT and network maintenance program for a major military service like the Navy, the annual average of approximately $51 million is within a plausible range, reflecting the scale and complexity of the systems involved.

Could this money have been spent more effectively?

It's possible. The effectiveness of spending hinges heavily on the competition level and contract management. If the contract was not competitively bid, there's a higher chance that costs could have been reduced through a more open process. Additionally, stringent performance metrics and efficient service delivery by DynCorp International LLC are crucial to ensure the funds are used effectively to meet the Navy's IT maintenance needs.

Who benefits from this contract beyond the contractor?

Beyond DynCorp International LLC, the primary beneficiaries are the men and women of the U.S. Navy, who rely on functional IT and network systems for their daily operations, communication, and mission success. The broader public benefits from a more secure and capable Navy, which contributes to national defense and global stability. Effective IT maintenance ensures the Navy can operate efficiently and respond to threats.

Are there any red flags or concerns?

The most significant red flag is the unspecified competition type. A lack of transparency regarding how the contract was awarded raises concerns about whether taxpayers received the best possible value. Without this information, it's impossible to assess if the contract was awarded competitively or through a less transparent, potentially more expensive, sole-source process.

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