DoD's $66.8M contract for electronics and communication equipment development awarded to General Dynamics Information Technology, Inc

Contract Overview

Contract Amount: $66,844,802 ($66.8M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2003-12-10

End Date: 2008-08-08

Contract Duration: 1,703 days

Daily Burn Rate: $39.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 14

Pricing Type: TIME AND MATERIALS

Sector: Defense

Official Description: 200403!001263!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB007 !A!N! !Y!0034 ! !20031210!20070130!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!27200!610!51!FALLS CHURCH !FALLS CHURCH (CITY) !VIRGINIA !+000000029550!N!N!000000000000!AC63!RDTE/ELECTRONICS&COMMUNICATION EQ-ADV TECH DEV !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !541710!E! !5!B!M! !A! !99990909!B! ! !A! !A!N!Y!2!014!B! !C!N!Z! ! !N!C!N! ! ! !C!C!A!A!000!A!C!N! ! ! ! ! ! !0001! !

Place of Performance

Location: EATONTOWN, MONMOUTH County, NEW JERSEY, 07724, UNITED STATES OF AMERICA

State: New Jersey Government Spending

Plain-Language Summary

Department of Defense obligated $66.8 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: 200403!001263!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB007 !A!N! !Y!0034 ! !20031210!20070130!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!27200!610!51!FALLS CHURCH !FALL… Key points: 1. Contract value of $66.8M for advanced technology development in electronics and communication equipment. 2. Awarded to General Dynamics Information Technology, Inc., a major defense contractor. 3. Contract duration of approximately 4.6 years, indicating a significant, long-term project. 4. Classified under Engineering Services (NAICS 541330), suggesting a focus on design and development. 5. Awarded under full and open competition, implying a robust bidding process. 6. The contract type is Time and Materials, which can carry cost risks if not managed carefully.

Value Assessment

Rating: fair

The total award amount of $66.8 million for a 4.6-year contract for advanced technology development in electronics and communication equipment appears substantial. Benchmarking this against similar R&D contracts for advanced electronics development is challenging without more specific details on the scope of work. However, the Time and Materials contract type suggests potential for cost overruns if not closely monitored, which warrants a 'fair' assessment of value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The presence of 14 bids suggests a healthy level of competition for this requirement. This competitive environment generally leads to better price discovery and potentially more favorable terms for the government.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by driving down costs and encouraging innovative solutions from a wider range of contractors.

Public Impact

The Department of Defense benefits from advancements in electronics and communication equipment, enhancing military capabilities. Services delivered include research, development, and advanced technology integration for defense systems. The contract's geographic impact is primarily within the United States, supporting domestic technological innovation. Workforce implications include employment for engineers, scientists, and technical specialists involved in R&D.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not managed diligently.
The specific technical deliverables and performance metrics are not detailed, making it hard to assess ultimate value.
Long-term contracts can sometimes lack flexibility to adapt to rapidly changing technological landscapes.

Positive Signals

Awarded through full and open competition, suggesting a competitive pricing environment.
General Dynamics Information Technology is a large, established contractor with significant experience in defense.
The contract focuses on advanced technology development, potentially yielding significant future capabilities for the DoD.

Sector Analysis

This contract falls within the broader Information Technology and Defense sectors, specifically focusing on the development of advanced electronics and communication equipment. The market for defense electronics is highly specialized, driven by government procurement and characterized by long development cycles and significant R&D investment. Comparable spending benchmarks would typically be found within other large-scale defense R&D contracts for similar technological advancements.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'ss: false'. There is no explicit information provided regarding subcontracting plans for small businesses. Therefore, the direct impact on the small business ecosystem from this specific award is likely minimal, though large prime contractors like General Dynamics may engage small businesses in their supply chain.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army contracting officers and program managers. The contract's Time and Materials nature necessitates close monitoring of labor hours and material costs to ensure accountability. Transparency is generally maintained through contract reporting requirements, though specific details of ongoing R&D may be sensitive.

Related Government Programs

Defense Research and Development
Electronics and Communication Equipment Procurement
Advanced Technology Development Contracts
Department of Defense IT Spending

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Scope definition clarity for advanced technology development.
Long contract duration may limit adaptability to rapid technological shifts.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $66.8 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. 200403!001263!2100!W15P7T!USA COMMUNICATIONS-ELECTRONICS !DAAB0703DB007 !A!N! !Y!0034 ! !20031210!20070130!043991108!043991108!009581091!N!COMPUTER SCIENCES CORPORATION !3160 FAIRVIEW PARK DRIVE !FALLS CHURCH !VA!22042!27200!610!51!FALLS CHURCH !FALLS CHURCH (CITY) !VIRGINIA !+000000029550!N!N!000000000000!AC63!RDTE/ELECTRONICS&COMMUNICATION EQ-ADV TECH DEV !A7 !ELECTRONICS AND COMMUNICATION EQUIP !000 !* !541710!E! !5!B!M! !A! !99990

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 Army).

What is the total obligated amount?

The obligated amount is $66.8 million.

What is the period of performance?

Start: 2003-12-10. End: 2008-08-08.

What is the specific nature of the 'advanced technology development' in electronics and communication equipment under this contract?

The provided data indicates the contract's purpose is 'RDTE/ELECTRONICS&COMMUNICATION EQ-ADV TECH DEV' and falls under the Product Service Code (PSC) '541710' (Electronic and Communication Equipment). While the specific technological advancements are not detailed in the summary data, this suggests a focus on research, development, testing, and evaluation (RDTE) of next-generation communication systems, electronic warfare capabilities, sensor technologies, or related hardware and software. The 'ADV TECH DEV' designation implies work beyond incremental improvements, likely involving novel concepts or prototypes aimed at future military applications.

How does the $66.8 million award compare to typical spending on similar advanced technology development contracts within the DoD?

Benchmarking the $66.8 million award requires comparing it to contracts with similar scope, duration, and technological focus within the defense R&D landscape. Contracts for advanced technology development can vary widely in cost, from tens of millions to billions of dollars, depending on the complexity and maturity of the technology. Given this contract's duration of approximately 4.6 years and its focus on advanced electronics and communication, $66.8 million appears to be a moderate to significant investment. However, without knowing the specific deliverables (e.g., prototype development vs. system integration), a precise comparison is difficult. It is within the range of many significant R&D efforts but not at the scale of major platform development.

What are the primary risks associated with a Time and Materials (T&M) contract of this magnitude and duration?

The primary risk with a Time and Materials (T&M) contract, especially one valued at $66.8 million over nearly five years, is the potential for cost overruns. Unlike fixed-price contracts, T&M contracts reimburse the contractor for direct labor hours at specified rates and for the actual cost of materials. If the scope of work is not tightly defined, or if project inefficiencies arise, the contractor could incur more hours or use more materials than initially anticipated, driving up the total cost to the government. Effective oversight, detailed tracking of labor and materials, and clear task definitions are crucial to mitigate these risks and ensure the government receives good value.

What does the number of bidders (14) suggest about the market for advanced electronics and communication R&D?

The fact that 14 bids were received for this contract suggests a competitive and relatively mature market for advanced electronics and communication research, development, and technology (RDTE). A higher number of bidders typically indicates that multiple companies possess the necessary technical expertise, resources, and experience to undertake such projects. This level of competition is beneficial for the government as it increases the likelihood of receiving competitive pricing, innovative solutions, and a wider range of technical approaches. It also suggests that the barriers to entry for qualified firms are not prohibitively high for this specific type of defense R&D.

What is General Dynamics Information Technology's track record with similar DoD contracts?

General Dynamics Information Technology (GDIT), now part of General Dynamics, has a long and extensive track record of performing complex IT and technology services for the Department of Defense and other federal agencies. They are a major defense contractor frequently awarded large-scale contracts for systems integration, C4ISR (Command, Control, Communications, Computers, Intelligence, Surveillance, and Reconnaissance), cybersecurity, and other advanced technology solutions. While specific performance details for every contract are not publicly available, GDIT's consistent presence and significant contract awards indicate a generally strong capability and experience base relevant to this electronics and communication equipment development contract.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 14

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: Computer Sciences Corporation (UEI: 009581091)

Address: 15 CHRISTOPHER WAY, EATONTOWN, NJ, 07724

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

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DAAB0703DB007

IDV Type: IDC

Timeline