NASA awards $29.9M task order to Inuteq for advanced computing services, highlighting IT infrastructure needs

Contract Overview

Contract Amount: $29,889,284 ($29.9M)

Contractor: Inuteq, LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2020-07-01

End Date: 2021-06-30

Contract Duration: 364 days

Daily Burn Rate: $82.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS AWARD FEE

Sector: IT

Official Description: NASA ADVANCED COMPUTING SERVICES (NACS) IDIQ PROCUREMENT SERVICES TASK ORDER

Place of Performance

Location: MOUNTAIN VIEW, SANTA CLARA County, CALIFORNIA, 94035

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $29.9 million to INUTEQ, LLC for work described as: NASA ADVANCED COMPUTING SERVICES (NACS) IDIQ PROCUREMENT SERVICES TASK ORDER Key points: 1. The contract value represents a significant investment in specialized IT services for NASA's advanced computing initiatives. 2. Competition dynamics for this IT services contract are crucial for ensuring cost-effectiveness and access to cutting-edge solutions. 3. Performance risk is moderate, given the specialized nature of advanced computing and the need for reliable infrastructure. 4. This award falls within the broader context of federal IT spending, supporting critical research and development functions. 5. The sector positioning is within IT services, specifically focusing on computing facilities management. 6. The contract type (Cost Plus Award Fee) suggests a focus on performance incentives and managing complex service delivery.

Value Assessment

Rating: good

Benchmarking this specific task order against similar NASA IT contracts is challenging without granular cost breakdowns. However, the total award amount of $29.9 million for a one-year period for advanced computing services appears within a reasonable range for specialized federal IT procurements. The Cost Plus Award Fee structure allows for flexibility and incentivizes performance, which can lead to good value if managed effectively. Further analysis would require comparing the specific services rendered against industry standards and the awarded fee structure.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. This competitive process is designed to foster price discovery and ensure that the government receives the best value. The number of bidders is not specified, but the full and open nature suggests a robust competitive environment, which is generally favorable for cost control.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices through market forces and encouraging a wider pool of qualified contractors to offer their services, leading to potentially better deals.

Public Impact

This contract directly benefits NASA's research and development efforts by providing essential advanced computing infrastructure. The services delivered will support complex scientific simulations, data analysis, and modeling crucial for space exploration and aeronautics. The geographic impact is primarily at NASA facilities where these computing services are utilized, likely concentrated in key research centers. Workforce implications may include the need for specialized IT personnel to manage and operate the advanced computing systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The federal IT services market is vast and highly competitive, with significant spending allocated to cloud computing, data analytics, and high-performance computing. NASA's need for advanced computing services places this contract within a specialized segment focused on supporting complex scientific research and development. Comparable spending benchmarks would involve looking at other agencies' investments in supercomputing, data centers, and specialized IT infrastructure for R&D purposes, which can range from tens to hundreds of millions of dollars annually.

Small Business Impact

This contract was awarded under full and open competition and does not indicate any specific small business set-aside. Therefore, the direct impact on small businesses through this specific award is likely minimal unless Inuteq, LLC, the prime contractor, engages in subcontracting with small businesses. The absence of a set-aside suggests the primary focus was on securing the most capable large-scale provider for these specialized services.

Oversight & Accountability

Oversight for this contract would typically be managed by NASA's contracting officers and program managers, who are responsible for monitoring performance, costs, and adherence to contract terms. The Cost Plus Award Fee structure necessitates close monitoring of performance metrics to determine award fee payments. Transparency is generally maintained through contract award databases and reporting requirements, though specific operational details may be sensitive. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

nasa, it-services, advanced-computing, computer-facilities-management, cost-plus-award-fee, full-and-open-competition, delivery-order, california, research-and-development, information-technology

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $29.9 million to INUTEQ, LLC. NASA ADVANCED COMPUTING SERVICES (NACS) IDIQ PROCUREMENT SERVICES TASK ORDER

Who is the contractor on this award?

The obligated recipient is INUTEQ, LLC.

Which agency awarded this contract?

Awarding agency: National Aeronautics and Space Administration (National Aeronautics and Space Administration).

What is the total obligated amount?

The obligated amount is $29.9 million.

What is the period of performance?

Start: 2020-07-01. End: 2021-06-30.

What is the track record of Inuteq, LLC in providing advanced computing services to federal agencies?

Information regarding Inuteq, LLC's specific track record in advanced computing services for federal agencies is not detailed in the provided data. A comprehensive assessment would require reviewing past performance evaluations, contract history, and client references. Federal procurement databases and agency performance reports would be the primary sources for this information. Without this data, it's difficult to definitively assess their experience and reliability in this specialized domain. However, securing a contract of this magnitude from NASA suggests a level of capability and qualification that has been recognized by the agency during the procurement process.

How does the $29.9 million award compare to NASA's historical spending on advanced computing services?

To compare this $29.9 million award to NASA's historical spending on advanced computing services, one would need access to NASA's budget allocations and contract awards for similar IT infrastructure and high-performance computing over previous fiscal years. Advanced computing needs can fluctuate based on research priorities and technological advancements. A single task order of this size represents a significant investment for a one-year period, but its proportion within NASA's overall IT budget and its trend relative to past investments would require a deeper dive into historical financial data. It is plausible that this award reflects an increased or sustained investment in critical computing capabilities.

What are the primary risks associated with this Cost Plus Award Fee (CPAF) contract structure for advanced computing?

The primary risks associated with a Cost Plus Award Fee (CPAF) contract for advanced computing services include potential cost overruns if the contractor's costs exceed projections, and the possibility of the government paying higher fees than anticipated if performance targets are met or exceeded. For advanced computing, risks also involve the rapid pace of technological change, where the contracted solutions might become outdated quickly, or unforeseen technical complexities that drive up costs. Ensuring that the award fee criteria are clearly defined, measurable, and aligned with NASA's objectives is critical to mitigating risks and ensuring value. Effective oversight is paramount to manage these inherent risks.

How does the 'Computer Facilities Management Services' classification (NAICS 541513) align with the 'Advanced Computing Services' described?

The NAICS code 541513, 'Computer Facilities Management Services,' broadly covers the management and operation of clients' computer systems and/or data processing facilities. This aligns well with 'Advanced Computing Services' as it encompasses the infrastructure, maintenance, and operational support required for high-performance computing environments. Advanced computing often relies on sophisticated data centers and complex IT infrastructure that necessitate expert management. Therefore, this classification is appropriate for a contract focused on ensuring the availability, reliability, and performance of NASA's advanced computing resources, including hardware, software, and network operations.

What are the implications of this contract being a Delivery Order under an IDIQ procurement?

This contract being a Delivery Order under an Indefinite Delivery Indefinite Quantity (IDIQ) procurement signifies that NASA has established a broader contract vehicle with Inuteq, LLC, allowing for the issuance of multiple task or delivery orders over a specified period. The IDIQ structure provides flexibility for NASA to procure specific services as needed, while the Delivery Order specifies the exact scope, quantity, and delivery timeline for this particular requirement. This approach is common for IT services, enabling agencies to adapt to evolving needs and leverage pre-negotiated terms and pricing, potentially streamlining future procurements and ensuring access to specialized capabilities.

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: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Arctic Slope Regional Corporation

Address: 7000 MUIRKIRK MEADOWS DR STE 100, BELTSVILLE, MD, 20705

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Not Designated a Small Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $31,352,124

Exercised Options: $31,352,124

Current Obligation: $29,889,284

Actual Outlays: $14,264,319

Subaward Activity

Number of Subawards: 22

Total Subaward Amount: $21,379,829

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 80ARC018D0010

IDV Type: IDC

Timeline

Start Date: 2020-07-01

Current End Date: 2021-06-30

Potential End Date: 2021-06-30 00:00:00

Last Modified: 2025-09-08

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