NASA awards $15.5M for test operations support, with Sierra Lobo Inc. as the contractor

Contract Overview

Contract Amount: $15,484,182 ($15.5M)

Contractor: Sierra Lobo Inc

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2025-07-01

End Date: 2026-06-30

Contract Duration: 364 days

Daily Burn Rate: $42.5K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIXED PRICE LEVEL OF EFFORT

Sector: R&D

Official Description: TEST OPERATIONS CONTRACT COVERS TEST OPERATIONS SUPPORT FOR TEST CUSTOMERS, AS WELL AS THE OPERATION AND TECHNICAL SYSTEMS MAINTENANCE OF THE HIGH PRESSURE INDUSTRIAL WATER, HIGH PRESSURE GAS, AND CRYO PROPELLANT STORAGE SUPPORT AREAS.

Place of Performance

Location: STENNIS SPACE CENTER, HANCOCK County, MISSISSIPPI, 39529

State: Mississippi Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $15.5 million to SIERRA LOBO INC for work described as: TEST OPERATIONS CONTRACT COVERS TEST OPERATIONS SUPPORT FOR TEST CUSTOMERS, AS WELL AS THE OPERATION AND TECHNICAL SYSTEMS MAINTENANCE OF THE HIGH PRESSURE INDUSTRIAL WATER, HIGH PRESSURE GAS, AND CRYO PROPELLANT STORAGE SUPPORT AREAS. Key points: 1. Contract focuses on critical test operations and maintenance for specialized propellant storage areas. 2. The fixed-price level-of-effort contract type suggests a defined scope of work with payment tied to effort expended. 3. Competition was full and open after exclusion of sources, indicating a deliberate but not entirely unrestricted bidding process. 4. The contract duration of 364 days suggests a short-term operational need or a bridge to a larger requirement. 5. The North American Industry Classification System (NAICS) code 541712 points to research and development in physical and engineering sciences. 6. The contract's value is moderate within the context of large-scale aerospace R&D support services.

Value Assessment

Rating: good

The contract value of approximately $15.5 million for a one-year period appears reasonable for specialized test operations and maintenance services. Benchmarking against similar contracts for R&D support at NASA facilities would provide a more precise value-for-money assessment. The fixed-price level-of-effort structure aims to control costs while ensuring necessary services are rendered, but requires careful monitoring of effort expended to prevent overruns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be broad, specific sources may have been excluded for reasons not detailed in the provided data. The number of bids received (2) suggests a limited pool of interested and qualified contractors, which could impact price negotiation and potentially lead to higher costs compared to a fully open competition with numerous bidders.

Taxpayer Impact: The limited competition may mean taxpayers did not benefit from the most aggressive pricing achievable through a wider bidding process. However, the exclusion of sources might have been justified to ensure specialized capabilities were met.

Public Impact

The primary beneficiaries are NASA and its research and development programs requiring specialized test infrastructure. Services delivered include essential test operations support and technical systems maintenance for high-pressure industrial water, gas, and cryo propellant storage. The geographic impact is localized to the NASA facility where these test operations are conducted, likely in Mississippi given the state code. Workforce implications include employment for skilled technicians, engineers, and support staff involved in test operations and maintenance.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Aerospace and Defense R&D support sector, a niche area requiring highly specialized technical expertise and infrastructure. The market for such services is characterized by a limited number of highly qualified contractors capable of meeting stringent government requirements. Spending in this sector is often driven by long-term national security and scientific exploration objectives, with contracts typically being large and complex.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a primary consideration for this specific contract award. There is no indication of a small business set-aside or subcontracting requirements. This suggests the contract was awarded based on specialized capabilities rather than a focus on small business engagement, potentially limiting opportunities for small businesses in this particular procurement.

Oversight & Accountability

Oversight for this contract would typically fall under the purview of the National Aeronautics and Space Administration (NASA) contracting officers and program managers. Accountability measures are inherent in the fixed-price level-of-effort structure, requiring the contractor to justify expended effort. Transparency is generally maintained through contract award databases, though specific performance details may be less public. NASA's Office of Inspector General would have jurisdiction for audits and investigations if any irregularities were suspected.

Related Government Programs

Risk Flags

Tags

nasa, research-and-development, test-operations, aerospace, fixed-price-level-of-effort, limited-competition, mississippi, sierra-lobo-inc, engineering-services, facility-maintenance

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $15.5 million to SIERRA LOBO INC. TEST OPERATIONS CONTRACT COVERS TEST OPERATIONS SUPPORT FOR TEST CUSTOMERS, AS WELL AS THE OPERATION AND TECHNICAL SYSTEMS MAINTENANCE OF THE HIGH PRESSURE INDUSTRIAL WATER, HIGH PRESSURE GAS, AND CRYO PROPELLANT STORAGE SUPPORT AREAS.

Who is the contractor on this award?

The obligated recipient is SIERRA LOBO INC.

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 $15.5 million.

What is the period of performance?

Start: 2025-07-01. End: 2026-06-30.

What is the track record of Sierra Lobo Inc. with NASA and similar government contracts?

Sierra Lobo Inc. has a history of performing services for NASA and other government agencies, often in specialized areas related to aerospace engineering, testing, and research. Their past performance on similar contracts would be a key factor in NASA's decision to award this current contract. A review of their contract history would reveal their success in meeting performance requirements, managing costs, and adhering to schedules on previous engagements. This includes assessing any past performance issues, such as contract disputes, terminations, or negative past performance reviews, which could indicate potential risks for this current contract. Understanding their experience with high-pressure systems and propellant handling would be particularly relevant.

How does the $15.5 million contract value compare to similar test operations support contracts at NASA?

The $15.5 million contract value for a one-year duration for test operations support is within a moderate range for specialized NASA services. However, direct comparisons are difficult without knowing the exact scope, complexity, and specific technologies involved. Contracts for large-scale, long-term test facility operations or development of new testing capabilities can run into hundreds of millions of dollars. Conversely, smaller, more focused support tasks might be valued in the low millions. Benchmarking this contract against others for similar propellant storage maintenance and test support at other NASA centers or Department of Defense facilities would provide a clearer picture of its relative value and cost-effectiveness.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks include potential cost overruns due to the fixed-price level-of-effort structure if contractor effort is not efficiently managed, and performance failures in critical test operations that could impact NASA's R&D schedules. The 'after exclusion of sources' competition method also presents a risk of not achieving the best possible price. Mitigation strategies likely involve robust oversight by NASA contracting officers, detailed performance work statements, regular progress reviews, and potentially incentives or penalties tied to performance metrics. The limited number of bidders (2) also poses a risk of contractor dependency and potentially reduced innovation.

How effective is the 'Full and Open Competition After Exclusion of Sources' approach for this type of specialized service?

This competition approach is often used when specific, highly specialized capabilities are required that only a limited number of contractors possess. While it aims for broader competition than a sole-source award, excluding certain sources can limit the pool of potential bidders and may result in less competitive pricing than a truly unrestricted full and open competition. Its effectiveness hinges on the justification for excluding sources; if done appropriately to ensure necessary technical expertise, it can lead to a capable contractor. However, if exclusions are arbitrary, it can stifle competition and increase costs for taxpayers. The fact that only two bids were received suggests the exclusion criteria may have significantly narrowed the field.

What is the historical spending trend for test operations support at NASA, and how does this contract fit in?

Historical spending on test operations support at NASA fluctuates based on major program initiatives, facility upgrades, and research priorities. NASA consistently invests significant funds in maintaining and operating its unique testing infrastructure, which is crucial for aerospace development. This $15.5 million contract represents a specific, relatively short-term allocation for ongoing operational needs. It fits within the broader pattern of NASA's sustained investment in R&D infrastructure. Analyzing past years' spending on similar support services would reveal if this contract amount is consistent with historical levels or represents an increase or decrease, potentially indicating shifts in program focus or budget allocations.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTSpace R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: 80SSC024R0006

Offers Received: 2

Pricing Type: FIXED PRICE LEVEL OF EFFORT (B)

Evaluated Preference: NONE

Contractor Details

Address: 102 PINNACLE DR, FREMONT, OH, 43420

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $54,702,415

Exercised Options: $54,702,415

Current Obligation: $15,484,182

Actual Outlays: $9,212,427

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00Q14OADS616

IDV Type: IDC

Timeline

Start Date: 2025-07-01

Current End Date: 2026-06-30

Potential End Date: 2028-06-30 00:00:00

Last Modified: 2026-03-13

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