General Dynamics One Source LLC awarded $36M for Application and Eligibility Systems maintenance and operation
Contract Overview
Contract Amount: $36,045,955 ($36.0M)
Contractor: General Dynamics ONE Source LLC
Awarding Agency: Department of Education
Start Date: 2016-04-01
End Date: 2018-01-31
Contract Duration: 670 days
Daily Burn Rate: $53.8K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: IGF::CT::IGF THE INDEFINITE DELIVERY INDEFINITE QUANTITY CONTRACT IS TO PROVIDE OPERATION AND MAINTENANCE OF THE APPLICATION AND ELIGIBILITY SYSTEMS (AEDS)FOR CONTRACT YEAR TWO (CY2). TO ENSURE CONTINUING, COMPREHENSIVE, AND EFFECTIVE MAINTENANCE AND OPERATION OF THE AEDS AND TO SUPPORT THE ANNUAL DEVELOPMENT, SYSTEM ROLLOVER, AND REQUESTED ENHANCEMENTS FOR ALL COMPONENTS COMPRISING THE AEDS.
Place of Performance
Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22030
State: Virginia Government Spending
Plain-Language Summary
Department of Education obligated $36.0 million to GENERAL DYNAMICS ONE SOURCE LLC for work described as: IGF::CT::IGF THE INDEFINITE DELIVERY INDEFINITE QUANTITY CONTRACT IS TO PROVIDE OPERATION AND MAINTENANCE OF THE APPLICATION AND ELIGIBILITY SYSTEMS (AEDS)FOR CONTRACT YEAR TWO (CY2). TO ENSURE CONTINUING, COMPREHENSIVE, AND EFFECTIVE MAINTENANCE AND OPERATION OF THE AEDS AND TO… Key points: 1. Contract focuses on ongoing maintenance, operation, and enhancements for critical eligibility systems. 2. The contract is structured as a Firm Fixed Price Delivery Order, indicating predictable costs. 3. Performance period spans from April 2016 to January 2018, covering approximately two years. 4. The contract was awarded under full and open competition, suggesting a competitive bidding process. 5. The North American Industry Classification System (NAICS) code 541519 points to 'Other Computer Related Services'. 6. The contract's value is substantial, reflecting the importance of the systems it supports.
Value Assessment
Rating: good
The contract value of approximately $36 million over two years for system maintenance and operation appears reasonable given the critical nature of eligibility systems. Benchmarking against similar IT maintenance contracts would provide a more precise value-for-money assessment. The firm fixed-price structure helps control costs, but the absence of detailed performance metrics makes a definitive value assessment challenging without further data.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but this approach generally fosters price discovery and encourages competitive pricing. The agency sought the best value through a competitive process, which is a positive indicator for cost-effectiveness.
Taxpayer Impact: Full and open competition typically benefits taxpayers by driving down prices and ensuring the government receives competitive offers, leading to better value for public funds.
Public Impact
The primary beneficiaries are likely federal agencies relying on the Application and Eligibility Systems (AEDS) for their operations. Services delivered include operation, maintenance, and development of the AEDS. The geographic impact is national, as these systems likely support federal programs nationwide. Workforce implications may include IT professionals involved in system maintenance, development, and support.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for scope creep if enhancement requests are not carefully managed.
- Dependence on a single contractor for critical system operations could pose a risk if performance falters.
Positive Signals
- Awarded under full and open competition, suggesting a robust selection process.
- Firm Fixed Price contract type provides cost certainty for the government.
- Long-term focus on maintenance and operation indicates a commitment to system stability.
Sector Analysis
This contract falls within the IT services sector, specifically focusing on computer systems maintenance and operation. The market for such services is large and competitive, with numerous providers offering specialized solutions. The contract's value is moderate within the broader federal IT spending landscape, but significant for the specific systems it supports. Comparable spending benchmarks would involve analyzing other contracts for similar large-scale system maintenance and support.
Small Business Impact
The provided data does not indicate any specific small business set-aside provisions for this contract. Therefore, it is unlikely that small businesses were specifically targeted for this award. Subcontracting opportunities for small businesses may exist at the discretion of the prime contractor, General Dynamics One Source LLC, but are not explicitly detailed in the provided information. The impact on the small business ecosystem is therefore not directly quantifiable from this data.
Oversight & Accountability
Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of Education. Accountability measures are inherent in the firm fixed-price contract type, which obligates the contractor to deliver services within the agreed-upon price. Transparency is generally facilitated through contract award databases, though specific performance reports may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- Federal IT Modernization Programs
- Government Eligibility Systems
- Application Development and Maintenance Contracts
- IT Operations and Support Services
Risk Flags
- Potential for cost growth if scope of 'enhancements' is not strictly controlled.
- Risk of system performance degradation impacting critical government functions.
- Dependence on a single contractor for essential IT operations.
Tags
it-services, department-of-education, application-maintenance, eligibility-systems, firm-fixed-price, full-and-open-competition, delivery-order, operation-and-maintenance, computer-related-services, federal-contract, virginia
Frequently Asked Questions
What is this federal contract paying for?
Department of Education awarded $36.0 million to GENERAL DYNAMICS ONE SOURCE LLC. IGF::CT::IGF THE INDEFINITE DELIVERY INDEFINITE QUANTITY CONTRACT IS TO PROVIDE OPERATION AND MAINTENANCE OF THE APPLICATION AND ELIGIBILITY SYSTEMS (AEDS)FOR CONTRACT YEAR TWO (CY2). TO ENSURE CONTINUING, COMPREHENSIVE, AND EFFECTIVE MAINTENANCE AND OPERATION OF THE AEDS AND TO SUPPORT THE ANNUAL DEVELOPMENT, SYSTEM ROLLOVER, AND REQUESTED ENHANCEMENTS FOR ALL COMPONENTS COMPRISING THE AEDS.
Who is the contractor on this award?
The obligated recipient is GENERAL DYNAMICS ONE SOURCE LLC.
Which agency awarded this contract?
Awarding agency: Department of Education (Department of Education).
What is the total obligated amount?
The obligated amount is $36.0 million.
What is the period of performance?
Start: 2016-04-01. End: 2018-01-31.
What is the track record of General Dynamics One Source LLC with the Department of Education for similar IT services?
General Dynamics One Source LLC has a history of performing IT services for various government agencies, including the Department of Education. Their track record typically involves providing a range of IT support, from system maintenance to development and integration. Specific performance details for this particular contract (Application and Eligibility Systems) would require a deeper dive into past performance reviews and any associated award or incentive fees. However, being awarded a contract of this magnitude suggests a level of trust and demonstrated capability by the agency. Further analysis would involve examining past performance metrics, any documented issues or successes, and the overall relationship between the contractor and the Department of Education on prior engagements.
How does the $36 million contract value compare to similar IT maintenance contracts for eligibility systems?
The $36 million contract value for two years of operation and maintenance for the Application and Eligibility Systems (AEDS) needs to be benchmarked against comparable contracts. Without specific data on other agencies' spending for similar systems, a direct comparison is difficult. However, for large-scale, mission-critical IT systems that require continuous operation, maintenance, and development, this figure appears within a reasonable range. Factors influencing cost include the complexity of the systems, the number of users, the required uptime, and the scope of enhancements. A comprehensive analysis would involve identifying contracts with similar NAICS codes (e.g., 541519) and service scopes (operation, maintenance, development) awarded by agencies of comparable size and mission.
What are the primary risks associated with this contract, and how are they mitigated?
Key risks for this contract include potential cost overruns if the scope of 'enhancements' is not tightly managed, performance degradation of the critical eligibility systems, and vendor lock-in. Mitigation strategies likely involve robust contract management by the Department of Education, including clear definition and approval processes for any requested enhancements, performance monitoring against Service Level Agreements (SLAs), and contingency planning. The firm fixed-price nature of the contract helps mitigate cost overrun risks, provided the scope is well-defined. The full and open competition award process also suggests that the agency selected a vendor deemed capable of meeting performance expectations, reducing performance risk.
How effective has the Application and Eligibility Systems (AEDS) been in supporting the Department of Education's mission?
The effectiveness of the AEDS is crucial for the Department of Education's mission, which likely involves managing student financial aid, grants, or other eligibility-based programs. The continuous award of maintenance and operation contracts suggests the system is considered vital and functional. However, 'effectiveness' can be measured in various ways: system uptime, user satisfaction, processing accuracy, speed of eligibility determination, and its ability to adapt to changing program requirements. Without specific performance metrics or program outcome data tied directly to the AEDS, a definitive assessment of its effectiveness is challenging. The contract's focus on 'comprehensive and effective maintenance and operation' implies a baseline level of expected effectiveness.
What are the historical spending patterns for the Application and Eligibility Systems (AEDS) over the past five years?
Historical spending patterns for the AEDS would reveal the trend in investment for its operation, maintenance, and development. This contract, valued at approximately $36 million over two years (2016-2018), represents a significant but potentially stable annual expenditure. To understand the broader pattern, one would need to examine prior contracts for the AEDS, including their values, durations, and any modifications. Consistent spending suggests the system is a long-term asset requiring ongoing support. Fluctuations might indicate periods of major upgrades, system replacements, or changes in program scope. Analyzing spending trends helps in forecasting future IT budget needs and identifying potential areas for cost optimization or modernization.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Other Computer Related Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: TWO STEP
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: General Dynamics Corp (UEI: 001381284)
Address: 3211 JERMANTOWN ROAD, FAIRFAX, VA, 22030
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $36,045,955
Exercised Options: $36,045,955
Current Obligation: $36,045,955
Contract Characteristics
Multi-Year Contract: Yes
Commercial Item: COMMERCIAL ITEM
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: EDFSA15D0001
IDV Type: IDC
Timeline
Start Date: 2016-04-01
Current End Date: 2018-01-31
Potential End Date: 2018-01-31 00:00:00
Last Modified: 2021-02-17
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