NOAA Awards $15M Managed HPC Services Contract to Mississippi State University
Contract Overview
Contract Amount: $15,000,000 ($15.0M)
Contractor: Mississippi State University
Awarding Agency: Department of Commerce
Start Date: 2025-09-25
End Date: 2027-09-24
Contract Duration: 729 days
Daily Burn Rate: $20.6K/day
Competition Type: NOT COMPETED
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: HIGH PERFORMANCE COMPUTING AS A MANAGED SERVICE TO
Place of Performance
Location: STARKVILLE, OKTIBBEHA County, MISSISSIPPI, 39759
Plain-Language Summary
Department of Commerce obligated $15.0 million to MISSISSIPPI STATE UNIVERSITY for work described as: HIGH PERFORMANCE COMPUTING AS A MANAGED SERVICE TO Key points: 1. Contract awarded for High Performance Computing as a Managed Service. 2. Mississippi State University is the sole awardee. 3. The contract has a duration of approximately two years. 4. This award falls under Computer Facilities Management Services.
Value Assessment
Rating: fair
The contract value of $15 million for two years suggests a significant investment in HPC services. Without specific performance metrics or comparable contract data, it's difficult to definitively assess value. However, the fixed-price nature provides some cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
The contract was not competed, indicating a sole-source award. This limits price discovery and potentially reduces competitive pressure, which could lead to a higher price than if multiple vendors had bid.
Taxpayer Impact: The lack of competition may result in taxpayers paying more than necessary for these HPC services.
Public Impact
Supports critical NOAA research and weather forecasting capabilities. Leverages university expertise in high-performance computing. Ensures continuity of essential computational resources for scientific endeavors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Potential for overpayment due to sole-source award
Positive Signals
- Utilizes existing university infrastructure and expertise
- Fixed-price contract provides cost predictability
Sector Analysis
This contract falls within the IT and R&D sectors, specifically focusing on specialized computing infrastructure. Spending benchmarks for managed HPC services can vary widely based on scale and complexity, but $15 million over two years for a university-based solution is substantial.
Small Business Impact
The data indicates this contract was not awarded to a small business. There is no indication of subcontracting opportunities for small businesses within this award.
Oversight & Accountability
Oversight will be crucial to ensure Mississippi State University delivers the contracted HPC services effectively and within budget, especially given the sole-source nature of the award. The Department of Commerce's National Oceanic and Atmospheric Administration is responsible for monitoring performance.
Related Government Programs
- Computer Facilities Management Services
- Department of Commerce Contracting
- National Oceanic and Atmospheric Administration Programs
Risk Flags
- Sole-source award limits competition
- Potential for inflated pricing
- Lack of transparency in justification for sole-source
- No clear indication of small business participation
Tags
computer-facilities-management-services, department-of-commerce, ms, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Commerce awarded $15.0 million to MISSISSIPPI STATE UNIVERSITY. HIGH PERFORMANCE COMPUTING AS A MANAGED SERVICE TO
Who is the contractor on this award?
The obligated recipient is MISSISSIPPI STATE UNIVERSITY.
Which agency awarded this contract?
Awarding agency: Department of Commerce (National Oceanic and Atmospheric Administration).
What is the total obligated amount?
The obligated amount is $15.0 million.
What is the period of performance?
Start: 2025-09-25. End: 2027-09-24.
What specific HPC capabilities are being provided under this managed service agreement, and how do they align with NOAA's mission-critical requirements?
The contract specifies 'High Performance Computing as a Managed Service.' While the exact capabilities are not detailed, it implies the provision and management of advanced computing resources essential for NOAA's scientific research, data analysis, and modeling, likely including weather forecasting, climate studies, and environmental monitoring. The alignment with mission-critical needs is assumed given the agency and service type.
Given the sole-source nature, what justification was provided for not competing this requirement, and how was the price determined to be fair and reasonable?
The justification for a sole-source award is not provided in the data. Typically, such justifications might include unique capabilities, existing infrastructure integration, or urgent needs. The determination of a fair and reasonable price for sole-source contracts often relies on historical pricing, independent government cost estimates, or certified cost or pricing data from the contractor.
What performance metrics and service level agreements (SLAs) are in place to ensure the effectiveness and reliability of the managed HPC services provided by Mississippi State University?
Specific performance metrics and SLAs are not detailed in the provided data. However, for a managed service contract of this nature, it is expected that NOAA has established clear benchmarks for uptime, processing speed, data throughput, and response times. Effective oversight would involve regular reviews of these metrics to ensure the university is meeting its contractual obligations.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Facilities Management Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › IT AND TELECOM - COMPUTE
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 1305M425R0072
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 245 BARR AVE, MISSISSIPPI STATE, MS, 39762
Business Categories: Category Business, Educational Institution, Government, Higher Education, U.S. National Government, Not Designated a Small Business, Higher Education (Public), U.S. Regional/State Government
Financial Breakdown
Contract Ceiling: $15,000,000
Exercised Options: $15,000,000
Current Obligation: $15,000,000
Actual Outlays: $416,667
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 1305M425D0026
IDV Type: IDC
Timeline
Start Date: 2025-09-25
Current End Date: 2027-09-24
Potential End Date: 2027-09-24 00:00:00
Last Modified: 2025-12-22
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