NASA's $25.6M contract for IV&V facility operations awarded to West Virginia University without competition
Contract Overview
Contract Amount: $25,571,285 ($25.6M)
Contractor: West Virginia University
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2003-10-01
End Date: 2008-09-29
Contract Duration: 1,825 days
Daily Burn Rate: $14.0K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST NO FEE
Sector: Other
Official Description: O & M SERVICES FOR THE IV & V FACILTY
Place of Performance
Location: MORGANTOWN, MONONGALIA County, WEST VIRGINIA, 26506
Plain-Language Summary
National Aeronautics and Space Administration obligated $25.6 million to WEST VIRGINIA UNIVERSITY for work described as: O & M SERVICES FOR THE IV & V FACILTY Key points: 1. The contract represents a significant investment in specialized support services for a critical facility. 2. The sole-source nature of the award raises questions about potential cost efficiencies and market alternatives. 3. Long contract duration suggests a need for stable, long-term operational support. 4. The geographic concentration in West Virginia may indicate specific regional capabilities or facility requirements. 5. The absence of a competitive process limits the ability to benchmark pricing against industry standards.
Value Assessment
Rating: questionable
Benchmarking the value for this contract is challenging due to its sole-source nature and the specialized services provided. Without competitive bids, it's difficult to assess if the $25.6 million over five years represents a fair market price. The contract type (Cost No Fee) suggests that costs were reimbursed, but the fee structure is not detailed. Further analysis would require understanding the specific operational requirements and comparing them to similar facilities or service providers, if available.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis to West Virginia University. The justification for this approach is not detailed in the provided data, but it implies that NASA determined WVU was the only entity capable of performing these specific O&M services for the IV&V facility. The lack of competition means there was no opportunity for multiple bidders to propose solutions, potentially leading to higher costs than if a competitive process had been employed.
Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive pressure. Without bids from other potential providers, NASA could not leverage market forces to secure the most cost-effective solution.
Public Impact
The primary beneficiary is NASA, which receives essential operations and maintenance for its IV&V facility. The services delivered ensure the continued functioning and support of critical independent verification and validation activities. The geographic impact is concentrated in West Virginia, where the IV&V facility and West Virginia University are located. The contract supports jobs and economic activity within the state, particularly at the university and potentially its subcontractors.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits price discovery and potential cost savings.
- Lack of competition may reduce incentives for contractor efficiency.
- Contract duration of five years without clear performance metrics could mask inefficiencies.
Positive Signals
- Long-term relationship with a known entity (WVU) may ensure continuity of operations.
- Specialized nature of IV&V facility operations might necessitate a unique provider.
- Focus on O&M services suggests a stable, predictable requirement.
Sector Analysis
This contract falls within the 'All Other Support Services' category, specifically related to the operation and maintenance of a specialized facility. The Independent Verification and Validation (IV&V) facility is crucial for ensuring the safety and reliability of complex systems, particularly in aerospace. While specific market size data for IV&V facility O&M is scarce, the broader government support services sector is substantial. This contract represents a significant, albeit niche, portion of NASA's spending on facility operations.
Small Business Impact
The data indicates that this contract was not set aside for small businesses (ss: false) and there is no specific information on small business subcontracting (sb: false). Therefore, the direct impact on the small business ecosystem appears minimal for this particular award. The primary contractor, West Virginia University, is an educational institution, not typically a small business. Any involvement of small businesses would likely be through subcontracting, which is not detailed here.
Oversight & Accountability
Oversight for this contract would primarily fall under NASA's contracting and program management offices. Given the sole-source nature, there might be heightened scrutiny to ensure the contractor is meeting all performance requirements and cost objectives. Transparency is limited by the lack of competitive bidding information. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- NASA IV&V Program
- Aerospace Support Services
- Government Facility Operations
- University Research Partnerships
Risk Flags
- Sole-source award
- Lack of competition
- Potential for cost overruns
- Limited transparency
Tags
nasa, operations-and-maintenance, facility-support, sole-source, west-virginia, it-support, aerospace, research-and-development, cost-plus-fixed-fee, large-contract
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $25.6 million to WEST VIRGINIA UNIVERSITY. O & M SERVICES FOR THE IV & V FACILTY
Who is the contractor on this award?
The obligated recipient is WEST VIRGINIA UNIVERSITY.
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 $25.6 million.
What is the period of performance?
Start: 2003-10-01. End: 2008-09-29.
What specific services are included under 'O & M SERVICES FOR THE IV & V FACILTY'?
The 'O & M SERVICES FOR THE IV & V FACILTY' contract likely encompasses a broad range of operational and maintenance activities essential for the functioning of NASA's Independent Verification and Validation (IV&V) facility. This typically includes routine maintenance of building systems (HVAC, electrical, plumbing), janitorial services, groundskeeping, security, and potentially specialized support for the IT infrastructure and unique equipment housed within the IV&V facility. It may also cover administrative support, personnel management, and ensuring compliance with safety and environmental regulations. The exact scope would be detailed in the contract's Statement of Work (SOW), which is not provided here but would define the specific tasks, deliverables, and performance standards required from West Virginia University.
Why was this contract awarded on a sole-source basis to West Virginia University?
The provided data indicates the contract was 'NOT COMPETED,' signifying a sole-source award. The specific justification for this sole-source determination by NASA is not included in the data. However, common reasons for sole-source contracts include situations where only one responsible source exists to meet the government's needs, or when there's a compelling urgency. For a specialized facility like NASA's IV&V, it's possible that West Virginia University possessed unique expertise, existing infrastructure, or a pre-established relationship directly tied to the facility's operations that made them the only viable option. Without further documentation (like a Justification for Other Than Full and Open Competition - JOFOC), the precise rationale remains speculative.
How does the $25.6 million cost compare to similar government facility operations contracts?
Direct comparison of the $25.6 million cost is difficult without knowing the specific scope, duration, and complexity of the IV&V facility's operations, and without competitive benchmarks. However, for context, large-scale government facility operations and maintenance contracts can range from millions to hundreds of millions of dollars annually, depending on the size and criticality of the facility. Contracts for large research facilities or major agency headquarters often involve significant O&M budgets. The five-year duration (2003-2008) for this contract suggests an average annual cost of approximately $5.1 million. This figure needs to be evaluated against the specific services rendered and the unique requirements of supporting NASA's IV&V mission.
What are the potential risks associated with a sole-source contract of this magnitude and duration?
Sole-source contracts, especially those of significant value and long duration like this $25.6 million, carry inherent risks. A primary risk is the potential for inflated costs due to the lack of competitive pressure; the contractor may have less incentive to control expenses or offer the most cost-effective solutions. Another risk is contractor complacency, where performance might degrade over time because there is no immediate threat of losing the contract to a competitor. Furthermore, without competition, NASA might miss out on innovative approaches or technologies that other firms could have offered. Ensuring robust oversight and clear performance metrics becomes even more critical to mitigate these risks.
What is the historical spending pattern for O&M services at the IV&V facility?
The provided data only details this single contract ($25.6 million from Oct 2003 to Sep 2008) for O&M services at the IV&V facility. It does not offer historical spending patterns for this specific service or facility prior to or after this period. To understand historical spending, one would need to access NASA's procurement databases for previous contracts related to the IV&V facility's operations and maintenance, as well as any subsequent contracts awarded after September 2008. This would reveal trends in contract values, durations, and whether the procurement method (competitive vs. sole-source) has changed over time.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Other Support Services › All Other Support Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Offers Received: 1
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Address: ONE WATERFRONT PLACE, MORGANTOWN, WV, 02
Business Categories: Category Business, Educational Institution, Government, Higher Education, Nonprofit Organization, Not Designated a Small Business, U.S. Regional/State Government
Financial Breakdown
Contract Ceiling: $26,674,261
Exercised Options: $26,674,261
Current Obligation: $25,571,285
Timeline
Start Date: 2003-10-01
Current End Date: 2008-09-29
Potential End Date: 2008-09-29 00:00:00
Last Modified: 2009-04-24
Other National Aeronautics and Space Administration Contracts
- International Space Station — $22.4B (THE Boeing Company)
- TAS::80 0124::TAS Design, Development, Test&evaluation of Project Orion — $15.5B (Lockheed Martin Corp)
- 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)
- Space Program Operations Contract (spoc) — $8.5B (United Space Alliance, LLC)
- Joint Us/Russian Human Space Flight Activities — $4.7B (Russia Space Agency)
View all National Aeronautics and Space Administration contracts →