DoD Awards $365M Firm Fixed Price Contract for UCA First Order LRIP to General Dynamics

Contract Overview

Contract Amount: $365,005,999 ($365.0M)

Contractor: General Dynamics Mission Systems, Inc.

Awarding Agency: Department of Defense

Start Date: 2010-03-24

End Date: 2026-02-06

Contract Duration: 5,798 days

Daily Burn Rate: $63.0K/day

Competition Type: NOT COMPETED

Pricing Type: FIRM FIXED PRICE

Sector: IT

Official Description: UCA FIRST ORDER LRIP

Place of Performance

Location: ABERDEEN PROVING GROUND, HARFORD County, MARYLAND, 21005

State: Maryland Government Spending

Plain-Language Summary

Department of Defense obligated $365.0 million to GENERAL DYNAMICS MISSION SYSTEMS, INC. for work described as: UCA FIRST ORDER LRIP Key points: 1. Significant contract value of $365M for UCA First Order LRIP. 2. Sole-source award to General Dynamics Mission Systems, Inc. raises competition concerns. 3. Long contract duration (2010-2026) suggests potential for cost overruns or evolving needs. 4. No small business participation noted, impacting diversity goals. 5. The contract falls under the Telephone Apparatus Manufacturing sector.

Value Assessment

Rating: questionable

The contract is a firm fixed price type, which generally provides cost certainty. However, the lack of competition and long duration may obscure true market value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

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

Taxpayer Impact: The lack of competition likely results in a higher cost to taxpayers than if the contract had been awarded through a competitive bidding process.

Public Impact

Taxpayers may be overpaying due to the absence of competitive bidding. The long-term nature of the contract could lock the government into potentially outdated technology. Reliance on a single vendor for critical communication equipment poses a supply chain risk.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract is within the Telephone Apparatus Manufacturing sector (NAICS 334210). Spending in this sector can vary widely based on technological advancements and defense needs. Benchmarks are difficult without specific product details.

Small Business Impact

The data indicates no small business participation in this contract. This is a missed opportunity to support small businesses and promote economic diversity within the defense supply chain.

Oversight & Accountability

The sole-source nature of this award warrants scrutiny to ensure fair pricing and necessity. Further review of the justification for not competing the contract is recommended.

Related Government Programs

Risk Flags

Tags

telephone-apparatus-manufacturing, department-of-defense, md, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $365.0 million to GENERAL DYNAMICS MISSION SYSTEMS, INC.. UCA FIRST ORDER LRIP

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 (Department of the Army).

What is the total obligated amount?

The obligated amount is $365.0 million.

What is the period of performance?

Start: 2010-03-24. End: 2026-02-06.

What was the justification for awarding this contract on a sole-source basis, and what steps were taken to ensure fair and reasonable pricing?

The justification for a sole-source award typically involves unique capabilities, urgent needs, or lack of viable alternatives. Without access to the specific justification document, it's impossible to detail the steps taken. However, agencies are generally required to perform market research and price analyses to ensure the price is fair and reasonable, even in sole-source situations.

Given the long contract duration (2010-2026), what mechanisms are in place to manage technological obsolescence and ensure the equipment remains relevant?

Long-duration contracts often include provisions for technical refresh, upgrade paths, or periodic reviews of technology. The specific mechanisms would be detailed in the contract's statement of work and terms. Without the full contract, it's difficult to ascertain these details, but potential issues include the need for costly modifications or replacements if technology outpaces the contract's scope.

How does the $365M expenditure align with typical spending for similar telephone apparatus manufacturing contracts within the Department of Defense?

Determining alignment requires detailed benchmarking against comparable contracts, considering factors like quantity, specifications, and technological sophistication. A $365M contract is substantial, suggesting a large-scale or long-term requirement. Without specific product details and market data for this niche, a precise comparison is challenging, but it represents a significant investment in communication infrastructure.

Industry Classification

NAICS: ManufacturingCommunications Equipment ManufacturingTelephone Apparatus Manufacturing

Product/Service Code: COMM/DETECT/COHERENT RADIATION

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp

Address: 400 JOHN QUINCY ADAMS RD, TAUNTON, MA, 02780

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: $365,005,999

Exercised Options: $365,005,999

Current Obligation: $365,005,999

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: W15P7T10DC007

IDV Type: IDC

Timeline

Start Date: 2010-03-24

Current End Date: 2026-02-06

Potential End Date: 2026-02-06 00:00:00

Last Modified: 2026-01-07

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