Treasury's IRS awards $23.5M IT contract to General Dynamics for computer systems design

Contract Overview

Contract Amount: $23,499,378 ($23.5M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of the Treasury

Start Date: 2004-05-21

End Date: 2004-01-09

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: PRIME INTEGRATION SERVICES CONTRACTOR

Place of Performance

Location: LANHAM, PRINCE GEORGE'S County, MARYLAND, 20706

State: Maryland Government Spending

Plain-Language Summary

Department of the Treasury obligated $23.5 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: PRIME INTEGRATION SERVICES CONTRACTOR Key points: 1. Contract awarded to General Dynamics Information Technology, Inc. 2. Focuses on Computer Systems Design Services (NAICS 541512). 3. Awarded under Full and Open Competition. 4. Contract duration is 0 years, indicating a completed or short-term project. 5. The contract type is Cost Plus Fixed Fee.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type can lead to cost overruns if not managed carefully. Without specific performance data or comparison to similar contracts, assessing value is difficult.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a robust price discovery process. However, the Cost Plus Fixed Fee structure may still allow for costs to exceed initial expectations.

Taxpayer Impact: Taxpayer funds were used for this IT services contract. The effectiveness of the competition and contract management will determine the ultimate value for taxpayers.

Public Impact

IT services are crucial for government operations, impacting efficiency and data security. Competition ensures a range of vendors can bid, potentially leading to better pricing. The specific services provided by General Dynamics are not detailed, limiting public understanding of the impact. Contract duration of 0 years suggests this was a completed task order or a short-term engagement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type
  • Short or zero contract duration
  • Lack of detailed service description

Positive Signals

  • Full and open competition
  • Awarded to a known IT contractor

Sector Analysis

This contract falls within the IT sector, specifically computer systems design. Spending in this area is substantial across government agencies, with benchmarks varying widely based on service complexity and duration.

Small Business Impact

The contract was not awarded to a small business. There is no indication of subcontracting opportunities for small businesses within the provided data.

Oversight & Accountability

Oversight would focus on ensuring General Dynamics adhered to the fixed fee and managed costs effectively under the Cost Plus structure. The short duration may imply limited oversight was needed.

Related Government Programs

  • Computer Systems Design Services
  • Department of the Treasury Contracting
  • Internal Revenue Service Programs

Risk Flags

  • Cost Plus Fixed Fee structure can incentivize higher costs.
  • Lack of detailed scope of work.
  • Zero contract duration raises questions about project lifecycle.
  • No information on performance metrics or oversight.
  • No indication of small business participation.

Tags

computer-systems-design-services, department-of-the-treasury, md, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of the Treasury awarded $23.5 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. PRIME INTEGRATION SERVICES CONTRACTOR

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 the Treasury (Internal Revenue Service).

What is the total obligated amount?

The obligated amount is $23.5 million.

What is the period of performance?

Start: 2004-05-21. End: 2004-01-09.

What was the specific scope of work for this computer systems design contract, and how did it align with the IRS's mission?

The provided data does not detail the specific scope of work. Understanding the exact services rendered under the 'Computer Systems Design Services' category is crucial for assessing the contract's alignment with the IRS's operational needs and strategic objectives. Without this information, it's difficult to gauge the true value and necessity of the $23.5 million expenditure.

What were the key performance indicators (KPIs) for this contract, and how was General Dynamics' performance measured?

The data does not include information on Key Performance Indicators (KPIs) or performance measurement metrics. For a Cost Plus Fixed Fee contract, robust oversight and clearly defined performance standards are essential to mitigate risks associated with cost escalation and ensure the delivery of required services. The absence of this detail raises concerns about accountability.

Given the zero-year duration, was this contract a task order under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract, or a standalone, completed project?

The zero-year duration is unusual and suggests this might have been a completed project or a specific task order issued under a broader contract vehicle. If it was a standalone project, its short lifespan raises questions about the long-term impact or necessity. If it was a task order, understanding the parent contract would provide more context on the overall spending and competition.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Systems Design Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Contractor Details

Parent Company: Computer Sciences Corporation (UEI: 009581091)

Address: MARYLAND TECHNOLOGY CENTER, LANHAM, MD, 04

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $23,575,378

Exercised Options: $23,575,378

Current Obligation: $23,499,378

Parent Contract

Parent Award PIID: TIRNO99D00001

IDV Type: IDC

Timeline

Start Date: 2004-05-21

Current End Date: 2004-01-09

Potential End Date: 2004-01-09 00:00:00

Last Modified: 2015-02-16

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