GSA Awards $286M for EPA IT Infrastructure and Application Platforms to General Dynamics

Contract Overview

Contract Amount: $286,240,761 ($286.2M)

Contractor: General Dynamics Information Technology, Inc.

Awarding Agency: General Services Administration

Start Date: 2017-03-29

End Date: 2022-09-28

Contract Duration: 2,009 days

Daily Burn Rate: $142.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: IGF::OT::IGF THE PURPOSE OF THIS TO IS TO DEVELOP AND OPERATE EPA'S INFRASTRUCTURE AND APPLICATION PLATFORMS TO BE RELIABLE, SECURE, AND TECHNOLOGICALLY ADVANCED. THE SERVICES OBTAINED UNDER THIS TO SUPPORT THE ENTIRETY OF EPA AT ALL GEOGRAPHIC LOCATIONS AND NUMEROUS RESEARCH FACILITIES ACROSS THE UNITED STATES (US) AND THE WORLD.

Place of Performance

Location: DURHAM, DURHAM County, NORTH CAROLINA, 27713

State: North Carolina Government Spending

Plain-Language Summary

General Services Administration obligated $286.2 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC. for work described as: IGF::OT::IGF THE PURPOSE OF THIS TO IS TO DEVELOP AND OPERATE EPA'S INFRASTRUCTURE AND APPLICATION PLATFORMS TO BE RELIABLE, SECURE, AND TECHNOLOGICALLY ADVANCED. THE SERVICES OBTAINED UNDER THIS TO SUPPORT THE ENTIRETY OF EPA AT ALL GEOGRAPHIC LOCATIONS AND NUMEROUS RESEARCH FA… Key points: 1. The contract supports EPA's critical IT infrastructure across all U.S. and global locations. 2. General Dynamics Information Technology, Inc. is the sole awardee. 3. The contract type is Cost Plus Award Fee, indicating potential for performance-based incentives. 4. This represents a significant investment in maintaining and advancing EPA's technological capabilities.

Value Assessment

Rating: good

The contract value of $286.2 million over approximately 5 years appears reasonable for comprehensive IT infrastructure and application platform development and operation services for a large federal agency like the EPA. Benchmarking against similar large-scale IT service contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. However, the data indicates this is a Delivery Order (DO) against an existing contract, and the specific competition details for the underlying contract are not provided.

Taxpayer Impact: The use of full and open competition is generally beneficial for taxpayers, promoting competitive pricing. The final cost will depend on the contractor's performance and the award fee structure.

Public Impact

Ensures reliable and secure IT systems for the Environmental Protection Agency's operations. Supports numerous research facilities, potentially impacting environmental data collection and analysis. Modernizes EPA's technological infrastructure, which could lead to improved efficiency and effectiveness in its mission. Global reach of services implies support for international environmental initiatives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost Plus Award Fee contracts can sometimes lead to higher costs if not carefully managed.
Lack of specific details on the underlying contract's competition.
Potential for scope creep in large, long-term IT development and operation contracts.

Positive Signals

Awarded under full and open competition.
Supports critical agency functions across multiple locations.
Focus on reliability, security, and technological advancement.

Sector Analysis

This contract falls within the IT services sector, specifically computer systems design. The value of $286 million is substantial and reflects the complexity and scale of supporting a major federal agency's IT infrastructure. Benchmarks for similar large-scale IT modernization and operations contracts would be relevant.

Small Business Impact

The data indicates that small business participation was not a factor in this specific award (ss: false, sb: false). This suggests the prime contractor is a large business, and there is no explicit information on subcontracting plans to small businesses.

Oversight & Accountability

The contract is managed by the General Services Administration (GSA), a key federal agency for procurement. Oversight would involve monitoring performance against the Cost Plus Award Fee structure and ensuring adherence to security and reliability requirements.

Related Government Programs

Computer Systems Design Services
General Services Administration Contracting
Federal Acquisition Service Programs

Risk Flags

Potential for cost growth due to CPAF structure.
Lack of transparency on competition for the base contract.
Long duration of the contract could lead to technology obsolescence if not managed proactively.
Sole awardee may limit future competitive opportunities if performance issues arise.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $286.2 million to GENERAL DYNAMICS INFORMATION TECHNOLOGY, INC.. IGF::OT::IGF THE PURPOSE OF THIS TO IS TO DEVELOP AND OPERATE EPA'S INFRASTRUCTURE AND APPLICATION PLATFORMS TO BE RELIABLE, SECURE, AND TECHNOLOGICALLY ADVANCED. THE SERVICES OBTAINED UNDER THIS TO SUPPORT THE ENTIRETY OF EPA AT ALL GEOGRAPHIC LOCATIONS AND NUMEROUS RESEARCH FACILITIES ACROSS THE UNITED STATES (US) AND THE WORLD.

Who is the contractor on this award?

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

Which agency awarded this contract?

Awarding agency: General Services Administration (Federal Acquisition Service).

What is the total obligated amount?

The obligated amount is $286.2 million.

What is the period of performance?

Start: 2017-03-29. End: 2022-09-28.

What is the specific performance criteria tied to the 'Award Fee' component, and how does it incentivize cost-effectiveness and quality?

The 'Award Fee' component typically links a portion of the contractor's potential profit to achieving specific performance objectives outlined in the contract. These objectives often relate to service levels, system uptime, security compliance, and project milestones. The agency evaluates performance against these criteria and awards a fee accordingly. Effective design of these criteria is crucial to incentivize both high quality service delivery and cost control, ensuring taxpayer value.

How does the 'Cost Plus Award Fee' structure compare to other contract types in terms of managing risk and ensuring value for money for IT infrastructure development?

Cost Plus Award Fee (CPAF) contracts aim to balance flexibility with performance incentives. They allow for cost reimbursement plus a fee that includes a base amount and an award amount based on performance. This can be advantageous for complex IT projects where scope may evolve. However, it carries a higher risk of cost overruns compared to fixed-price contracts if performance metrics are not tightly defined and monitored. Careful oversight is essential to ensure value for money.

Given the broad scope of 'infrastructure and application platforms,' what are the key performance indicators (KPIs) used to measure the reliability and security of EPA's IT systems under this contract

Key Performance Indicators (KPIs) for such a contract would likely include system uptime percentages, mean time to repair (MTTR) for outages, incident response times, vulnerability remediation rates, and compliance with cybersecurity standards (e.g., NIST frameworks). Regular audits and performance reviews would assess the contractor's adherence to these KPIs, ensuring the reliability and security of EPA's critical IT infrastructure.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: GSCQF0B1733061

Offers Received: 5

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corporation

Address: 3150 FAIRVIEW PARK DR STE 100, FALLS CHURCH, VA, 22042

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

Financial Breakdown

Contract Ceiling: $323,658,774

Exercised Options: $309,719,751

Current Obligation: $286,240,761

Actual Outlays: $-140,838

Subaward Activity

Number of Subawards: 82

Total Subaward Amount: $34,137,497

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q09BGD0055

IDV Type: GWAC

Timeline