DoD Awards $42.9M for Tactical Airspace Integration Engineering Services to General Dynamics

Contract Overview

Contract Amount: $42,935,655 ($42.9M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2011-07-27

End Date: 2020-05-14

Contract Duration: 3,214 days

Daily Burn Rate: $13.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: Defense

Official Description: TACTICAL AIRSPACE INTEGRATION SYSTEM TO PROVIDE MISSION ESSENTIAL ENGINEERING SERVICES TO MAINTAIN CRITICAL CORE FUNCTIONALITY AND PROVIDE CAPABILITY ENHANCEMENTS PER VALIDATED AND APPROVED REQUIREMENTS.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

Department of Defense obligated $42.9 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: TACTICAL AIRSPACE INTEGRATION SYSTEM TO PROVIDE MISSION ESSENTIAL ENGINEERING SERVICES TO MAINTAIN CRITICAL CORE FUNCTIONALITY AND PROVIDE CAPABILITY ENHANCEMENTS PER VALIDATED AND APPROVED REQUIREMENTS. Key points: 1. Significant contract value for specialized engineering services. 2. Sole-source award limits competitive pricing and innovation. 3. Long contract duration (2011-2020) may indicate evolving needs or lack of market alternatives. 4. Focus on maintaining critical core functionality and enhancements.

Value Assessment

Rating: questionable

The contract value of $42.9M over its duration is substantial. Without competitive bidding, it's difficult to assess if this price represents fair market value for the engineering services provided.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This significantly limits price discovery and potentially leads to higher costs for taxpayers compared to a competitive process.

Taxpayer Impact: The lack of competition means taxpayers may be paying a premium for these essential engineering services.

Public Impact

Ensures continued operation of critical airspace systems. Potential for cost overruns due to lack of competition. Limited transparency on the specific enhancements delivered. Impacts the modernization of defense capabilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls under electronic component manufacturing, specifically related to defense systems. Spending in this sector can be high due to the specialized nature of the technology and national security requirements.

Small Business Impact

The data indicates this contract was not awarded to small businesses, suggesting a focus on large, established defense contractors for this specialized service.

Oversight & Accountability

The contract was managed by the Defense Contract Management Agency, which is responsible for overseeing contract performance and ensuring compliance. However, the sole-source nature limits the agency's ability to leverage competition for cost savings.

Related Government Programs

Risk Flags

Tags

other-electronic-component-manufacturing, department-of-defense, al, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $42.9 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. TACTICAL AIRSPACE INTEGRATION SYSTEM TO PROVIDE MISSION ESSENTIAL ENGINEERING SERVICES TO MAINTAIN CRITICAL CORE FUNCTIONALITY AND PROVIDE CAPABILITY ENHANCEMENTS PER VALIDATED AND APPROVED REQUIREMENTS.

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 (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $42.9 million.

What is the period of performance?

Start: 2011-07-27. End: 2020-05-14.

What specific engineering services were provided under this contract, and how did they directly contribute to mission-essential functions?

The contract aimed to provide engineering services for the Tactical Airspace Integration System, focusing on maintaining critical core functionality and implementing capability enhancements. These services were crucial for ensuring the system's operational readiness and adapting it to evolving validated requirements, thereby directly supporting mission-essential airspace management and control operations.

What were the primary justifications for awarding this contract on a sole-source basis, and were alternatives explored?

The justification for a sole-source award typically stems from a lack of available sources, unique capabilities held by a specific contractor, or urgent and compelling needs. Without further details, it's presumed General Dynamics Mission Systems possessed unique expertise or proprietary technology essential for the Tactical Airspace Integration System that could not be readily replicated by other firms.

How effectively did the Cost Plus Fixed Fee (CPFF) contract structure balance cost control with the need for critical system enhancements?

The CPFF structure aims to provide cost certainty while allowing for flexibility in scope. However, it can incentivize cost increases if not rigorously overseen. For critical enhancements, it allows the contractor to pursue necessary upgrades without immediate cost constraints, but requires strong government oversight to prevent unnecessary expenditures and ensure value for taxpayer money.

Industry Classification

NAICS: ManufacturingSemiconductor and Other Electronic Component ManufacturingOther Electronic Component Manufacturing

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

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Solicitation ID: W31P4Q10R0009

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 6000 TECHNOLOGY DR NW, HUNTSVILLE, AL, 35805

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

Financial Breakdown

Contract Ceiling: $43,178,921

Exercised Options: $43,178,921

Current Obligation: $42,935,655

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Timeline

Start Date: 2011-07-27

Current End Date: 2020-05-14

Potential End Date: 2020-05-14 00:00:00

Last Modified: 2023-01-27

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