DoD's $19M IT Consulting Contract Awarded to General Dynamics for Air Force Support

Contract Overview

Contract Amount: $19,074,848 ($19.1M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: Department of Defense

Start Date: 2009-02-01

End Date: 2012-08-31

Contract Duration: 1,307 days

Daily Burn Rate: $14.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: TIME AND MATERIALS

Sector: Other

Official Description: LABOR - A&AS BASE YEAR

Place of Performance

Location: DAYTON, GREENE County, OHIO, 45433

State: Ohio Government Spending

Plain-Language Summary

Department of Defense obligated $19.1 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: LABOR - A&AS BASE YEAR Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract is for administrative management and general management consulting services. 3. The duration of the contract is over 3 years, indicating a significant commitment. 4. The contract type is Time and Materials, which can pose cost control challenges. 5. The award was a delivery order, implying it's part of a larger contract vehicle. 6. The contractor, General Dynamics Information Technology, Inc., is a major player in the federal IT space.

Value Assessment

Rating: fair

The contract value of approximately $19 million over 3 years for IT consulting services appears moderate for a large federal agency like the Department of Defense. Benchmarking against similar Time and Materials contracts for administrative management consulting is challenging without more specific service details. However, the duration and scope suggest a need for specialized expertise. Further analysis would require comparing the hourly rates and total costs to industry standards for comparable services and contractor experience.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely solicited and evaluated. The presence of two bids suggests a degree of competition, but the exact number of bidders and the nature of the competition (e.g., bid protests, evaluation criteria) are not detailed here. A competitive process is generally expected to yield better pricing and value for the government.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it typically drives down costs through market forces and encourages a wider range of solutions.

Public Impact

The Department of the Air Force benefits from administrative management and general management consulting services. This contract supports the operational efficiency and strategic planning of Air Force programs. The services are likely delivered within the continental United States, given the contractor's location. The contract may indirectly impact the federal IT workforce by requiring specialized skills.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials contract type can lead to cost overruns if not closely monitored.
Limited information on the specific deliverables and performance metrics makes value assessment difficult.
The contractor's track record on similar large-scale IT consulting contracts warrants review.

Positive Signals

Awarded through full and open competition, indicating a robust bidding process.
General Dynamics is an established federal contractor with significant IT experience.
The contract duration suggests a stable, long-term need for these services.

Sector Analysis

This contract falls within the professional, scientific, and technical services sector, specifically administrative management and general management consulting. This sector is a significant component of federal spending, supporting a wide array of government functions. The IT consulting sub-sector is particularly dynamic, with agencies relying on external expertise for complex system management, modernization, and strategic planning. Comparable spending benchmarks would typically involve analyzing IT consulting contracts across various agencies for similar service scopes and durations.

Small Business Impact

The provided data indicates that small business participation was not a stated factor in this award (ss: false, sb: false). As this was a full and open competition, there is no specific small business set-aside. Subcontracting opportunities for small businesses may exist at the discretion of the prime contractor, General Dynamics Information Technology, Inc., but are not explicitly detailed in this award information. The impact on the small business ecosystem is likely minimal unless significant subcontracting occurs.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the program office within the Department of the Air Force. Performance monitoring, invoice review, and adherence to contract terms are standard oversight mechanisms. Transparency is generally facilitated through contract databases like FPDS, though detailed performance reports are often internal. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

IT Professional Services
Management and Consulting Services
Department of Defense IT Contracts
Air Force Support Services

Risk Flags

Time and Materials Pricing
Limited Competition (2 Bidders)
Consulting Services Scope Ambiguity

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.1 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. LABOR - A&AS BASE YEAR

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 Air Force).

What is the total obligated amount?

The obligated amount is $19.1 million.

What is the period of performance?

Start: 2009-02-01. End: 2012-08-31.

What is the specific nature of the administrative management and general management consulting services provided under this contract?

The contract specifies 'Administrative Management and General Management Consulting Services' (NAICS code 541611). While the exact deliverables are not detailed in the provided data, this typically encompasses a range of services aimed at improving organizational efficiency, strategic planning, process optimization, and management practices. For the Department of the Air Force, this could involve support for program management, resource allocation, policy development, organizational restructuring, or performance improvement initiatives within specific commands or functional areas. The Time and Materials (T&M) pricing structure suggests that the scope may have been less defined at the outset, allowing for flexibility in the types of tasks performed and the labor hours required, which is common in consulting engagements where the exact path to solutions evolves.

How does the $19 million contract value compare to similar IT consulting contracts for the Department of Defense?

The $19 million value over approximately 3.5 years (February 2009 to August 2012) for IT-related consulting services is a moderate-sized award within the Department of Defense. DoD frequently awards large, multi-billion dollar contracts for IT infrastructure, software development, and systems integration. However, for specific management consulting engagements focused on administrative or general management improvements, this value is within a common range. Benchmarking requires comparing it to contracts with similar NAICS codes (541611), duration, and specific service descriptions. Without more granular data on the scope of work and the specific Air Force programs supported, a precise value comparison is difficult, but it does not appear exceptionally high or low for its category.

What are the potential risks associated with a Time and Materials (T&M) contract for these services?

Time and Materials contracts, like the one awarded here, carry inherent risks primarily related to cost control. Unlike fixed-price contracts, T&M contracts reimburse the contractor for the actual cost of labor (at specified hourly rates) and materials. This structure can lead to cost overruns if the scope of work expands unexpectedly, if labor hours are not diligently tracked and managed, or if the contractor's efficiency is low. For the government, effective oversight is crucial to ensure that the hours billed are reasonable and directly related to the contract's objectives. Without robust monitoring and management, T&M contracts can become more expensive than initially anticipated, potentially offering less value for money compared to well-defined fixed-price arrangements.

What is General Dynamics Information Technology, Inc.'s track record with federal IT consulting contracts?

General Dynamics Information Technology, Inc. (GDIT) is a major federal contractor with extensive experience in providing IT and professional services across various government agencies, including the Department of Defense. They have a long history of managing complex IT projects, systems integration, cybersecurity, and management consulting. Their track record includes numerous large-scale contracts, indicating a capacity to handle significant scope and value. While specific performance metrics for this particular $19 million contract are not detailed, GDIT's overall presence and continued awards suggest a generally accepted level of performance and capability within the federal IT landscape. However, as with any large contractor, past performance reviews and specific contract outcomes would provide a more nuanced understanding.

How has federal spending on administrative management and general management consulting services evolved over time?

Federal spending on administrative management and general management consulting services (NAICS 541611) has generally trended upwards over the past two decades, reflecting the increasing complexity of government operations and the need for specialized external expertise. Agencies often engage consultants to improve efficiency, implement new technologies, manage large programs, and navigate regulatory changes. While specific figures fluctuate based on budget priorities and economic conditions, the overall demand for these services remains robust. The period around 2009-2012, when this contract was active, saw significant government spending related to economic stimulus and ongoing defense operations, which likely contributed to the demand for consulting services across various sectors, including IT and management.

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) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 3211 JERMANTOWN RD, FAIRFAX, VA, 22030

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $27,677,980

Exercised Options: $27,677,980

Current Obligation: $19,074,848

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: GS23F8049H

IDV Type: FSS

Timeline