EPA awards $58.8M for Water Security Services to General Dynamics Information Technology

Contract Overview

Contract Amount: $58,846,818 ($58.8M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Environmental Protection Agency

Start Date: 2005-08-01

End Date: 2010-11-30

Contract Duration: 1,947 days

Daily Burn Rate: $30.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: WATER SECURITY SERVICES

Place of Performance

Location: CHANTILLY, FAIRFAX County, VIRGINIA, 20151

State: Virginia Government Spending

Plain-Language Summary

Environmental Protection Agency obligated $58.8 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: WATER SECURITY SERVICES Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract duration of 1947 days indicates a long-term need for these services. 3. The primary service category is Administrative Management and General Management Consulting Services. 4. The contract was awarded by the Environmental Protection Agency (EPA). 5. The contract type is Cost Plus Fixed Fee, which can shift some risk to the government. 6. No small business set-aside was utilized for this contract.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific performance metrics or comparable contract data. The Cost Plus Fixed Fee (CPFF) structure means the final cost could exceed initial estimates, depending on the contractor's efficiency and the scope of work. While the total award amount is substantial, its value is contingent on the successful delivery of critical water security services.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 5 bids suggests a reasonable level of competition for this requirement. A competitive process generally helps in achieving fair market prices and encourages contractors to offer their best value.

Taxpayer Impact: Taxpayers benefit from a competitive process that aims to secure the most cost-effective solution for essential water security services.

Public Impact

The Environmental Protection Agency (EPA) is the primary beneficiary, receiving critical water security services. These services likely contribute to the protection and management of national water resources. The contract's geographic impact is national, given the EPA's mandate. The workforce implications involve skilled consultants and analysts in administrative and management services.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Fixed Fee contracts can lead to cost overruns if not managed carefully.
Long contract durations may require ongoing monitoring to ensure continued relevance and efficiency.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
Multiple bids received suggest market interest and potential for competitive pricing.
The contract addresses a critical area of national infrastructure: water security.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative and management consulting. This sector is vital for government operations, providing expertise that agencies may not possess internally. The market for such services is large and competitive, with many firms offering specialized consulting capabilities. The EPA's spending in this area reflects the complexity of managing and securing national water resources.

Small Business Impact

This contract was not awarded as a small business set-aside, and there is no indication of specific subcontracting requirements for small businesses in the provided data. Therefore, the direct impact on the small business ecosystem for this particular award appears limited, though larger prime contractors may engage small businesses for specialized support.

Oversight & Accountability

Oversight for this contract would typically be managed by the Environmental Protection Agency's contracting officers and program managers. Accountability measures are inherent in the CPFF contract type, requiring detailed reporting and justification of costs. Transparency is generally maintained through contract award databases, though specific performance details may be internal.

Related Government Programs

Environmental Consulting Services
Management and Administrative Support
National Water Resource Management Programs
Homeland Security Contracts

Risk Flags

Cost Plus Fixed Fee contract type carries inherent cost overrun risk.
Long contract duration requires sustained oversight to ensure continued relevance and efficiency.

Frequently Asked Questions

What is this federal contract paying for?

Environmental Protection Agency awarded $58.8 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. WATER SECURITY SERVICES

Who is the contractor on this award?

The obligated recipient is GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC..

Which agency awarded this contract?

Awarding agency: Environmental Protection Agency (Environmental Protection Agency).

What is the total obligated amount?

The obligated amount is $58.8 million.

What is the period of performance?

Start: 2005-08-01. End: 2010-11-30.

What specific water security services were provided under this contract?

The provided data indicates the contract was for 'WATER SECURITY SERVICES' under the NAICS code 541611 (Administrative Management and General Management Consulting Services). While the specific deliverables are not detailed, these services likely encompassed strategic planning, risk assessment, policy development, and management consulting related to ensuring the security and resilience of water infrastructure and resources. This could include advising on threat mitigation, emergency preparedness, regulatory compliance, and operational efficiency for water systems across the nation, supporting the EPA's mission to protect human health and the environment.

How does the $58.8 million award compare to similar EPA contracts for consulting services?

Comparing the $58.8 million award requires context on the typical scale and duration of EPA consulting contracts. Given the contract's duration of 1947 days (over 5 years), the annual value averages around $12 million. This figure is substantial but not necessarily extraordinary for a large federal agency like the EPA engaging in long-term, critical service provision. Without access to a comprehensive database of EPA's consulting expenditures and contract sizes, a precise benchmark is difficult. However, the award suggests a significant, long-term commitment to addressing water security challenges through expert consultation.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract structure for these services?

The primary risk with a Cost Plus Fixed Fee (CPFF) contract is that the government may end up paying more than anticipated if the contractor's costs are higher than projected. While the 'fixed fee' provides the contractor with a guaranteed profit margin, the 'cost plus' element means the government bears the burden of actual allowable costs incurred. This structure can incentivize contractors to incur costs without as much pressure to control them as in a fixed-price contract. Effective government oversight, detailed cost tracking, and clear definition of allowable costs are crucial to mitigate the risk of cost overruns and ensure value for money.

What is the track record of General Dynamics Information Technology, Inc. with EPA contracts?

General Dynamics Information Technology, Inc. (GDIT) has a significant history of contracting with various U.S. government agencies, including the EPA. While this specific data point focuses on one contract, GDIT is a large, established federal contractor known for providing a wide range of IT, consulting, and professional services. Their track record with the EPA would typically involve numerous contracts across different program areas. A thorough assessment would require reviewing their performance history on past EPA contracts, including any past performance evaluations, awards, or disputes, to gauge their reliability and effectiveness in delivering services to the agency.

How has EPA spending on water security services evolved over time?

The provided data pertains to a single contract awarded in 2005 and ending in 2010. To understand the evolution of EPA spending on water security services, a broader analysis of historical budgets and contract awards would be necessary. This would involve examining spending trends before, during, and after this contract period, looking at the number and value of contracts awarded for similar services. Factors such as legislative changes, emerging threats, technological advancements, and shifts in national priorities would influence these spending patterns over time.

What does the level of competition (5 bidders) imply about the market for water security consulting?

The fact that five bids were received for this contract suggests a moderately competitive market for water security consulting services relevant to the EPA's needs. This level of competition indicates that there are multiple capable firms interested in and qualified for this type of work. It implies that the EPA was able to attract a reasonable number of potential offerors, which generally contributes to better price discovery and potentially more innovative solutions. However, it's also important to consider the size and capabilities of these bidders; a market with many small, specialized firms might offer different dynamics than one dominated by a few large players.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Management, Scientific, and Technical Consulting Services › Administrative Management and General Management Consulting Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: PRCI0510237

Offers Received: 5

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Computer Sciences Corporation (UEI: 009581091)

Address: 15000 CONFERENCE CENTER DRIVE, CHANTILLY, VA, 90

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $92,575,947

Exercised Options: $67,733,386

Current Obligation: $58,846,818

Timeline