AXIENT LLC's $18.4M R&D contract for Rocket Systems Launch Program STS3 awarded by GSA

Contract Overview

Contract Amount: $18,406,258 ($18.4M)

Contractor: Axient LLC

Awarding Agency: General Services Administration

Start Date: 2021-03-29

End Date: 2026-06-30

Contract Duration: 1,919 days

Daily Burn Rate: $9.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 5

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: ROCKET SYSTEMS LAUNCH PROGRAM STS3

Place of Performance

Location: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245

State: California Government Spending

Plain-Language Summary

General Services Administration obligated $18.4 million to AXIENT LLC for work described as: ROCKET SYSTEMS LAUNCH PROGRAM STS3 Key points: 1. Contract awarded for Research and Development in Physical, Engineering, and Life Sciences. 2. The contract has a duration of 1919 days, indicating a long-term project. 3. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. The award was made under full and open competition after exclusion of sources. 5. The contract is a delivery order under a larger contract vehicle. 6. The contractor, AXIENT LLC, is positioned within the R&D sector.

Value Assessment

Rating: good

The contract value of $18.4 million over approximately 5 years represents a significant investment in rocket systems research and development. Benchmarking this against similar R&D contracts in the aerospace and defense sector would be necessary for a precise value-for-money assessment. However, the firm-fixed-price structure suggests an effort to control costs and ensure predictable spending.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'full and open competition after exclusion of sources.' This indicates that while the competition was open, specific sources may have been excluded based on predefined criteria. The number of bidders is not specified, but the 'full and open' nature suggests a competitive process aimed at achieving fair market prices.

Taxpayer Impact: A competitive award process, even with exclusions, generally benefits taxpayers by encouraging multiple vendors to offer their best pricing and technical solutions, leading to potentially lower costs and higher quality outcomes.

Public Impact

This contract supports advancements in rocket systems technology, potentially benefiting national security and space exploration initiatives. The services delivered are research and development, focusing on physical, engineering, and life sciences related to rocket systems. The contract is associated with California (SN: CALIFORNIA), suggesting a geographic concentration of R&D activities or contractor presence. The contract's impact on the workforce would likely be in specialized R&D roles within the aerospace and defense industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep in long-term R&D projects if not managed tightly.
Reliance on a single delivery order under a potentially larger contract vehicle could limit flexibility if program needs evolve significantly.

Positive Signals

Firm Fixed Price contract structure provides cost certainty for the government.
Awarded through a competitive process, suggesting potential for good value.
Long contract duration (1919 days) allows for sustained R&D efforts.

Sector Analysis

The contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. This is a critical area for the aerospace and defense industry, driving innovation in propulsion, materials, and system integration for rocket technologies. Spending in this sector is often characterized by long development cycles and high technical risk, with government contracts being a primary funding source for cutting-edge research.

Small Business Impact

The provided data indicates that small business participation (SB: false) and set-asides (SS: false) were not factors in this specific award. Therefore, this contract does not appear to directly benefit small businesses through set-asides. Subcontracting opportunities for small businesses would depend on AXIENT LLC's internal policies and the specific needs of the R&D program, which are not detailed here.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting agency (General Services Administration - GSA) and the program office responsible for the Rocket Systems Launch Program. Accountability measures are inherent in the Firm Fixed Price contract type, requiring the contractor to deliver specified outcomes within budget. Transparency is facilitated through contract award databases, though detailed R&D progress reports may be considered sensitive.

Related Government Programs

NASA Launch Services Program
Space Force Launch Capabilities
DoD Advanced Rocketry Research

Risk Flags

Long-term R&D project with inherent technical uncertainties.
Competition method 'after exclusion of sources' warrants understanding of exclusion criteria.
Delivery order under a larger contract vehicle; full scope and oversight depend on parent contract.

Frequently Asked Questions

What is this federal contract paying for?

General Services Administration awarded $18.4 million to AXIENT LLC. ROCKET SYSTEMS LAUNCH PROGRAM STS3

Who is the contractor on this award?

The obligated recipient is AXIENT LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $18.4 million.

What is the period of performance?

Start: 2021-03-29. End: 2026-06-30.

What is the track record of AXIENT LLC in performing similar R&D contracts for the government?

AXIENT LLC has a history of performing government contracts, particularly within the aerospace and defense sectors. While specific details on their R&D performance for rocket systems require deeper analysis of past contract performance reports (e.g., CPARS), their presence as a contractor suggests they possess the necessary technical capabilities and security clearances. Further investigation into their past performance on similar projects, including any awards, penalties, or significant issues, would provide a clearer picture of their reliability and expertise in this specialized field. Examining their financial stability and capacity to handle large-scale R&D projects is also crucial for assessing their overall track record.

How does the awarded value of $18.4 million compare to similar R&D contracts for rocket systems?

The $18.4 million value for this 5-year R&D contract for rocket systems is substantial but needs to be benchmarked against comparable government procurements. The aerospace R&D sector often involves high costs due to specialized expertise, materials, and testing requirements. Contracts for developing new rocket technologies, propulsion systems, or launch support infrastructure can range from millions to billions of dollars depending on the scope and technological maturity. Without specific details on the 'Rocket Systems Launch Program STS3' objectives and deliverables, a direct comparison is difficult. However, this value suggests a significant, multi-faceted research effort rather than a small-scale feasibility study.

What are the primary risks associated with this specific R&D contract?

The primary risks associated with this R&D contract include technical risk (unforeseen challenges in achieving desired rocket system performance), schedule risk (delays in research milestones impacting subsequent phases), and cost risk (potential for cost overruns despite the fixed-price nature, if scope changes or unforeseen technical hurdles arise). Contractor performance risk is also a factor, dependent on AXIENT LLC's execution capabilities. Furthermore, the 'exclusion of sources' in the competition might indicate a risk that not all potentially innovative solutions were considered, although this is often done for specific technical or security reasons. The long duration increases the potential for evolving requirements or technological obsolescence.

How effective is the Firm Fixed Price (FFP) contract type in managing costs for this type of R&D?

The Firm Fixed Price (FFP) contract type is generally considered effective for managing costs when the scope of work is well-defined and technical risks are understood, which can be challenging in R&D. For this contract, FFP shifts the primary cost risk to AXIENT LLC, incentivizing them to control expenses and deliver within the agreed price. However, R&D inherently involves uncertainty. If significant unforeseen technical challenges arise that necessitate changes to the scope or approach, contract modifications (and potentially cost increases) might be required, or the contractor might face losses. The effectiveness hinges on how accurately the initial scope and potential challenges were assessed during contract formulation.

What are the historical spending patterns for 'Rocket Systems Launch Program STS3' or similar programs?

Historical spending data for 'Rocket Systems Launch Program STS3' specifically is not detailed in the provided information. However, government spending on rocket systems and launch programs is a consistent and significant area of investment, driven by national security, space exploration, and commercial launch support. Agencies like NASA, the Department of Defense (including the Space Force), and others allocate substantial budgets annually to R&D, procurement, and operations of launch vehicles and related technologies. Analyzing past budgets for programs with similar objectives (e.g., development of new launch capabilities, advanced propulsion research) would reveal trends in funding levels, contract durations, and the types of contractors typically engaged.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 47QFPA21R0004

Offers Received: 5

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1400 CRYSTAL DR STE 200, ARLINGTON, VA, 22202

Business Categories: Category Business, Limited Liability Corporation, Partnership or Limited Liability Partnership, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $23,247,168

Exercised Options: $22,461,306

Current Obligation: $18,406,258

Actual Outlays: $-654

Subaward Activity

Number of Subawards: 4

Total Subaward Amount: $3,976,624

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS609

IDV Type: IDC

Timeline