DHS awards $134M for IT Operations and Maintenance to General Dynamics

Contract Overview

Contract Amount: $134,337,855 ($134.3M)

Contractor: General Dynamics ONE Source LLC

Awarding Agency: Department of Homeland Security

Start Date: 2011-05-01

End Date: 2015-03-14

Contract Duration: 1,413 days

Daily Burn Rate: $95.1K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: COST PLUS INCENTIVE FEE

Sector: IT

Official Description: INFORMATION TECHNOLOGY OPERATIONS AND MAINTENANCE END USER SERVICES

Place of Performance

Location: FAIRFAX, FAIRFAX County, VIRGINIA, 22030

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $134.3 million to GENERAL DYNAMICS ONE SOURCE LLC for work described as: INFORMATION TECHNOLOGY OPERATIONS AND MAINTENANCE END USER SERVICES Key points: 1. General Dynamics secured a significant contract for IT end-user services. 2. The contract was awarded under full and open competition. 3. Potential risks include vendor lock-in and cost overruns given the CPIF contract type. 4. The IT sector, particularly facilities management, is a key area of government spending.

Value Assessment

Rating: fair

The contract value of $134M over approximately 3.8 years suggests a substantial investment in IT services. Benchmarking against similar IT operations and maintenance contracts would be necessary to fully assess value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Awarded via full and open competition, this method generally promotes competitive pricing. However, the specific pricing structure (Cost Plus Incentive Fee) can lead to less predictable final costs.

Taxpayer Impact: Taxpayer funds are utilized for essential IT infrastructure and services, with the aim of achieving value through competition.

Public Impact

Ensures continued IT support for U.S. Citizenship and Immigration Services operations. Supports critical government functions through reliable end-user services. The contract's duration impacts long-term IT planning and resource allocation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the IT sector, specifically Computer Facilities Management Services. Government spending in this area is consistently high, driven by the need for robust and secure IT infrastructure.

Small Business Impact

The provided data does not indicate any specific subcontracting goals or participation by small businesses in this contract.

Oversight & Accountability

Oversight would focus on monitoring the CPIF structure to ensure cost control and adherence to performance standards by General Dynamics.

Related Government Programs

Risk Flags

Tags

computer-facilities-management-services, department-of-homeland-security, va, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $134.3 million to GENERAL DYNAMICS ONE SOURCE LLC. INFORMATION TECHNOLOGY OPERATIONS AND MAINTENANCE END USER SERVICES

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 Homeland Security (U.S. Citizenship and Immigration Services).

What is the total obligated amount?

The obligated amount is $134.3 million.

What is the period of performance?

Start: 2011-05-01. End: 2015-03-14.

What is the average per-unit cost for end-user IT services under this contract compared to industry benchmarks?

Without detailed breakdowns of services and quantities, calculating a precise per-unit cost is challenging. However, the total contract value of $134M over nearly four years suggests an average annual spend of approximately $35M. Benchmarking this against similar government or private sector contracts for large-scale IT operations and maintenance would reveal if this represents a competitive price point for the services rendered.

What are the key performance indicators (KPIs) and incentive structures within the Cost Plus Incentive Fee (CPIF) agreement?

The CPIF structure implies that both the contractor (General Dynamics) and the government share in cost savings or overruns based on pre-defined targets. Specific KPIs would likely relate to service uptime, response times, user satisfaction, and security compliance. Understanding these metrics and the exact incentive/disincentive clauses is crucial for assessing the government's ability to control costs and ensure effective service delivery.

How does the scope of 'End User Services' compare to similar IT support contracts within DHS or other agencies?

The scope of 'End User Services' can vary significantly. For this contract, it likely encompasses help desk support, hardware/software maintenance, network access, and potentially device management for a large user base within USCIS. Comparing this scope to other DHS or federal contracts for similar IT functions would help determine if the $134M award is commensurate with the breadth and depth of services provided.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesComputer Facilities Management Services

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: HSSCCG-11-R-00005

Offers Received: 4

Pricing Type: COST PLUS INCENTIVE FEE (V)

Evaluated Preference: NONE

Contractor Details

Parent Company: General Dynamics Corp (UEI: 001381284)

Address: 77 A STREET, NEEDHAM, MA, 02494

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $158,511,716

Exercised Options: $134,337,855

Current Obligation: $134,337,855

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: HSHQDC06D00024

IDV Type: IDC

Timeline

Start Date: 2011-05-01

Current End Date: 2015-03-14

Potential End Date: 2015-03-14 00:00:00

Last Modified: 2020-05-05

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