NASA awards $17.6M for Space Launch System support, extending contract to 2025
Contract Overview
Contract Amount: $17,620,816 ($17.6M)
Contractor: THE Aerospace Corporation
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2019-10-01
End Date: 2025-01-31
Contract Duration: 1,949 days
Daily Burn Rate: $9.0K/day
Competition Type: NOT COMPETED
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: NEW TASK ORDER FOR SUPPORT OF THE SPACE LAUNCH SYSTEM (SLS) SPACECRAFT/PAYLOAD INTEGRATION AND EVOLUTION OFFICE (SPIE)
Place of Performance
Location: EL SEGUNDO, LOS ANGELES County, CALIFORNIA, 90245
Plain-Language Summary
National Aeronautics and Space Administration obligated $17.6 million to THE AEROSPACE CORPORATION for work described as: NEW TASK ORDER FOR SUPPORT OF THE SPACE LAUNCH SYSTEM (SLS) SPACECRAFT/PAYLOAD INTEGRATION AND EVOLUTION OFFICE (SPIE) Key points: 1. Contract awarded to The Aerospace Corporation for critical SLS spacecraft/payload integration. 2. Significant funding allocated for research and development in physical, engineering, and life sciences. 3. Potential for long-term support and evolution of the Space Launch System. 4. Contract duration extends over 5 years, indicating sustained program needs.
Value Assessment
Rating: fair
The contract is a Cost Plus Fixed Fee type, which can lead to cost overruns if not managed carefully. Benchmarking against similar R&D contracts for complex aerospace projects is difficult without more detailed cost breakdowns.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, raising concerns about price discovery and potentially higher costs. Sole-source awards limit opportunities for other qualified contractors and may not reflect the best value available.
Taxpayer Impact: The lack of competition could result in taxpayers paying more than necessary for these R&D services.
Public Impact
Supports the development and integration of the Space Launch System, a key component of NASA's deep space exploration. Ensures continued progress on critical research and development in advanced physical, engineering, and life sciences. Impacts the future of space exploration by enabling the evolution of the SLS program. Potential for technological advancements stemming from the R&D activities.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Cost Plus Fixed Fee contract type
- Potential for cost overruns
Positive Signals
- Supports critical national space program
- Long-term contract duration
- Focus on R&D
Sector Analysis
This contract falls under the Research and Development in the Physical, Engineering, and Life Sciences sector, specifically related to aerospace. Spending in this area is often high due to the complexity and innovation required for space programs.
Small Business Impact
The contract was awarded to The Aerospace Corporation, a large entity, and there is no indication of small business subcontracting in the provided data. This suggests limited direct benefit to small businesses from this specific award.
Oversight & Accountability
As a sole-source award for a critical NASA program, this contract warrants close oversight to ensure cost control and adherence to project milestones. Regular reviews of performance and expenditures are essential for accountability.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
- National Aeronautics and Space Administration Contracting
- National Aeronautics and Space Administration Programs
Risk Flags
- Sole-source award lacks competition
- Cost Plus Fixed Fee structure risks overruns
- Limited transparency on R&D specifics
- No clear small business participation
Tags
research-and-development-in-the-physical, national-aeronautics-and-space-administr, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $17.6 million to THE AEROSPACE CORPORATION. NEW TASK ORDER FOR SUPPORT OF THE SPACE LAUNCH SYSTEM (SLS) SPACECRAFT/PAYLOAD INTEGRATION AND EVOLUTION OFFICE (SPIE)
Who is the contractor on this award?
The obligated recipient is THE AEROSPACE CORPORATION.
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 $17.6 million.
What is the period of performance?
Start: 2019-10-01. End: 2025-01-31.
What is the justification for the sole-source award, and what steps are being taken to ensure fair pricing?
The justification for a sole-source award typically involves unique capabilities or urgent needs. NASA should provide detailed documentation supporting this decision. To ensure fair pricing, independent cost estimates, robust negotiation strategies, and ongoing performance monitoring are crucial. Transparency regarding the rationale and pricing mechanisms is vital for public trust.
What are the specific R&D objectives and expected outcomes for this contract?
This contract supports the Space Launch System (SLS) Spacecraft/Payload Integration and Evolution (SPIE) office. The R&D objectives likely focus on enhancing the capabilities, reliability, and cost-effectiveness of the SLS for future missions. Expected outcomes could include improved payload integration processes, advanced spacecraft designs, and strategies for the long-term evolution of the SLS program to meet evolving exploration goals.
How will the Cost Plus Fixed Fee structure be managed to prevent cost overruns?
Managing a Cost Plus Fixed Fee (CPFF) contract requires stringent oversight. NASA must establish clear performance metrics and milestones, conduct regular audits of incurred costs, and maintain open communication with the contractor. Incentive clauses tied to cost savings or performance improvements can also be implemented. Proactive risk management and a thorough understanding of the contractor's cost structure are essential to mitigate potential overruns.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)
Product/Service Code: RESEARCH AND DEVELOPMENT › Space R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 2310 EAST EL SEGUNDO BLVD, EL SEGUNDO, CA, 90245
Business Categories: Category Business, Corporate Entity Tax Exempt, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $17,621,473
Exercised Options: $17,621,473
Current Obligation: $17,620,816
Actual Outlays: $17,605,248
Subaward Activity
Number of Subawards: 2
Total Subaward Amount: $54,532
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Parent Contract
Parent Award PIID: 80GSFC19D0011
IDV Type: IDC
Timeline
Start Date: 2019-10-01
Current End Date: 2025-01-31
Potential End Date: 2025-01-31 00:00:00
Last Modified: 2025-09-19
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- Provide Developmental Hardware and Test Articles, and Manufacture and Assemble Ares I Upper Stages. the Upper Stage (US) Element IS an Integral Part of the Ares I Launch Vehicle and Provides the Second Stage of Flight. the US Element IS Responsible for the Roll Control During the First Stage Burn and Separation; and Will Provide the Guidance and Navigation, Command and Data Handling, and Other Avionics Functions for the Ares I During ALL Phases of the Ascent Flight. the US Element IS a NEW Design That Emphasizes Safety, Operability, and Minimum Life Cycle Cost. the Overall Design, Development, Test and Evaluation (ddt&e), Production, and Sustaining Engineering Efforts Include Activities Performed by Three Organizations; the Nasa Design Team (NDT), the Upper Stage Production Contractor (uspc) and the Instrument Unit Production Contractor (iupc). for Clarity, the Uspc Will BE Referred to AS the Contractor Throughout This Document. Nasa IS Responsible for the Integration of the Primary Elements of the Ares I Launch Vehicle Including: the First Stage, US Including Instrument Unit (IU), and US Engine; and Will Also Integrate the Ares I Launch Vehicle AT the Launch Site. Nasa IS Responsible for the Ddt&e, Including Technical and Programmatic Integration of the US Subsystems and Government-Furnished Property. Nasa Will Lead the Effort to Develop the Requirements and Specifications of the US Element, the Development Plan and Testing Requirements, and ALL Design Documentation, Initial Manufacturing and Assembly Process Planning, Logistics Planning, and Operations Support Planning. Development, Qualification, and Acceptance Testing Will BE Conducted by Nasa and the Contractor to Satisfy Requirements and for Risk Mitigation. Nasa IS Responsible for the Overall Upper Stage Verification and Validation Process and Will Require Support From the Contractor. the Contractor IS Responsible for the Manufacture and Assembly of the Upper Stage Test Flight and Operational Upper Stage Units Including the Installation of Upper Stage Instrument Unit, the Government-Furnished US Engine, Booster Separation Motors, and Other Government-Furnished Property. a Description of the Nasa Managed and Performed Efforts IS Contained in the US Work Packages and Will BE Made Available to the Contractor to Ensure Their Understanding of the Roles and Responsibilities of the NDT, Iupc, and Contractor During the Design, Development, and Operation of the US Element. the US Conceptual Design Described in the Uso-Clv-Se-25704 US Design Definition Document (DDD) IS the Baseline Design for This Contract. the Contractors Early Role Will BE to Provide Producibility Engineering Support to Nasa VIA the Established US Office Structure and to Provide Inputs Into the Final Design Configuration, Specifications, and Standards. Nasa Will Transition the Manufacturing and Assembly, Logistics Support Infrastructure, Configuration Management, and the Sustaining Engineering Functions to the Contractor AT the KEY Points During the Development and Implementation of the Program Currently Planned to Occur NO Later Than 90 Days After the Completion of the Following Major Milestones: Manufacturing and Assembly US Preliminary Design Review (PDR) Logistics Support Infrastructure US PDR Configuration Management US Critical Design Review CDR) Sustaining Engineering US Design Certification Review (DCR) After the Completion of an Orderly Transition of Roles and Responsibilities to the Contractor, Nasa Will Assume an Insight Role Into the Contractors Production, Sustaining Engineering, and Operations Support of the Ares I US Test Program and Flight Hardware. After DCR, the Contractor Will BE Responsible for Sustaining Engineering PER SOW Section 4.7, AS Necessary to Maintain and Support the US Configuration and for Production and Operations Support — $10.5B (THE Boeing Company)
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