DoD's $34.6M Engineering & Installation Contract Awarded to General Dynamics for USCENTCOM AOR

Contract Overview

Contract Amount: $34,626,797 ($34.6M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-04-26

End Date: 2014-07-06

Contract Duration: 1,167 days

Daily Burn Rate: $29.7K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: AFCENT&ARCENT ENGINEERING&INSTALLATION (E&I) SUPPORT IN USCENTCOM AOR

Plain-Language Summary

Department of Defense obligated $34.6 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: AFCENT&ARCENT ENGINEERING&INSTALLATION (E&I) SUPPORT IN USCENTCOM AOR Key points: 1. Contract awarded to General Dynamics Information Technology, Inc. for engineering and installation support. 2. The contract value is $34.6 million over a period of 1167 days. 3. This contract falls under the Engineering Services category. 4. The award was made under full and open competition. 5. No small business participation was reported for this contract.

Value Assessment

Rating: fair

The contract type is Cost Plus Fixed Fee, which can lead to cost overruns if not managed carefully. The awarded amount of $34.6 million for over three years of support needs to be benchmarked against similar engineering and installation contracts in the region.

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 estimates.

Taxpayer Impact: Taxpayer funds are being used for essential engineering and installation support in a critical operational area. The effectiveness of the competition and contract management will determine the ultimate value for taxpayers.

Public Impact

Ensures critical infrastructure and systems are maintained and upgraded in the USCENTCOM Area of Responsibility. Supports military operations by providing necessary engineering and installation services. The contract's duration of over three years indicates a long-term need for these services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contract type can incentivize higher costs.
No small business participation reported.
Potential for cost overruns due to contract type.

Positive Signals

Awarded under full and open competition.
Supports critical military operations in a key region.

Sector Analysis

This contract falls within the Engineering Services sector, specifically for infrastructure development and maintenance in a military operational environment. Benchmarks for similar contracts in the defense sector would be necessary for a precise comparison.

Small Business Impact

The contract data indicates that this award was not set aside for small businesses and no small business participation was reported. This suggests that larger, established contractors were deemed best suited for this requirement.

Oversight & Accountability

Oversight will be crucial to ensure that General Dynamics Information Technology, Inc. adheres to the contract's scope, manages costs effectively under the Cost Plus Fixed Fee structure, and delivers the required engineering and installation support within the specified timeframe.

Related Government Programs

Engineering Services
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Cost Plus Fixed Fee contract type may lead to cost overruns.
No small business participation.
Long contract duration (1167 days) requires sustained oversight.
Potential for scope creep in engineering and installation projects.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $34.6 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. AFCENT&ARCENT ENGINEERING&INSTALLATION (E&I) SUPPORT IN USCENTCOM AOR

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 (Department of the Navy).

What is the total obligated amount?

The obligated amount is $34.6 million.

What is the period of performance?

Start: 2011-04-26. End: 2014-07-06.

What was the basis for selecting a Cost Plus Fixed Fee contract type, and what measures are in place to control costs?

The selection of a Cost Plus Fixed Fee (CPFF) contract type is often used when the exact costs are difficult to estimate beforehand, common in complex engineering and installation projects. To control costs, the government typically implements rigorous oversight, detailed cost reporting requirements, and performance metrics. Regular audits and reviews of incurred costs against the fixed fee are essential to ensure the contractor remains within budget and that the fee is earned appropriately.

How does the lack of small business participation impact the overall competitiveness and innovation in this contract?

While this contract was awarded under full and open competition, the absence of small business participation might limit the infusion of innovative solutions or specialized expertise that smaller firms often bring. It could also mean that the market for these specific services is dominated by a few large contractors. Future solicitations could explore strategies to encourage small business teaming or set-asides for specific components of larger requirements to foster broader competition.

What is the expected impact of this engineering and installation support on the operational effectiveness of USCENTCOM forces?

The engineering and installation support is critical for maintaining and upgrading the infrastructure and systems necessary for USCENTCOM's operations. This includes ensuring reliable communication networks, functional facilities, and secure installations. Effective execution of this contract directly contributes to the operational readiness and effectiveness of forces operating within the USCENTCOM Area of Responsibility by providing a stable and advanced operational environment.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: N0002410R3416

Offers Received: 6

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 3211 JERMANTOWN RD, FAIRFAX, VA, 22030

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $66,488,901

Exercised Options: $66,488,901

Current Obligation: $34,626,797

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: N0017804D4012

IDV Type: IDC

Timeline