NASA's Messenger Discovery Project awarded $46.2M for Mercury exploration, a sole-source R&D contract

Contract Overview

Contract Amount: $46,218,856 ($46.2M)

Contractor: Carnegie Institution of Washington

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2000-01-04

End Date: 2017-09-30

Contract Duration: 6,479 days

Daily Burn Rate: $7.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 999

Pricing Type: COST NO FEE

Sector: R&D

Official Description: MESSENGER DISCOVERY PROJECT ( PIS TO MANAGE PROJECT TO ORBIT AND EXPLORE PLANET MERCURY)

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20015

State: District of Columbia Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $46.2 million to CARNEGIE INSTITUTION OF WASHINGTON for work described as: MESSENGER DISCOVERY PROJECT ( PIS TO MANAGE PROJECT TO ORBIT AND EXPLORE PLANET MERCURY) Key points: 1. The contract's value of $46.2 million over its duration represents a significant investment in planetary science. 2. As a sole-source award, the absence of competition may have implications for price optimization. 3. The contract's long duration (over 17 years) suggests a complex, multi-phase research and development effort. 4. The 'Research and Development in the Physical, Engineering, and Life Sciences' NAICS code indicates a focus on scientific advancement. 5. The 'Cost No Fee' contract type suggests that the government reimburses allowable costs but does not pay a fixed fee, shifting some risk to the contractor. 6. The contractor, Carnegie Institution of Washington, is a well-established research institution, potentially indicating specialized expertise.

Value Assessment

Rating: fair

Benchmarking the value of this specific R&D contract is challenging due to its unique scientific objectives and the 'Cost No Fee' structure. However, the total award of $46.2 million over nearly 18 years averages to approximately $2.57 million per year. This figure needs to be considered within the context of highly specialized scientific missions, which often involve substantial upfront investment in research, development, and specialized personnel. Without comparable sole-source R&D contracts for planetary exploration missions, a direct value-for-money assessment is difficult, but the long-term commitment suggests a perceived necessity for this specific research.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning that NASA did not conduct a competitive bidding process. This typically occurs when a specific entity possesses unique capabilities, intellectual property, or is the only responsible source capable of fulfilling the requirement. The lack of competition means that price discovery through market forces was absent, and the government relied on negotiation and cost-reimbursement mechanisms to manage the contract's financial aspects.

Taxpayer Impact: For taxpayers, a sole-source award means that the potential for cost savings through competitive bidding was foregone. While justified by unique capabilities, it necessitates rigorous oversight to ensure fair pricing and efficient use of funds.

Public Impact

The primary beneficiaries are the scientific community and the public, through advancements in our understanding of Mercury and planetary science. The contract directly funded the Messenger mission, which orbited and explored the planet Mercury. The geographic impact is global, contributing to humanity's collective knowledge of the solar system. The workforce implications include employment for scientists, engineers, technicians, and support staff involved in the mission's research and development.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical sciences and space exploration. The market for such specialized R&D is often characterized by a limited number of highly qualified institutions and companies. NASA's investment in planetary science missions like Messenger is a key component of its scientific endeavors, contributing to a broader landscape of space exploration funding that includes both government agencies and private sector involvement in related technologies.

Small Business Impact

This contract does not appear to have involved small business set-asides. As a sole-source award to a large research institution, the direct impact on small businesses is likely minimal, unless they were involved as subcontractors. The focus on specialized scientific research often necessitates partnerships with established entities with proven track records and extensive resources.

Oversight & Accountability

Oversight for this contract would have been managed by NASA's contracting officers and program managers. Given the 'Cost No Fee' structure, rigorous monitoring of incurred costs and adherence to the research scope would be critical. Transparency is generally maintained through contract reporting requirements and public dissemination of scientific findings. The Inspector General's office would have jurisdiction for audits and investigations if any irregularities were suspected.

Related Government Programs

Risk Flags

Tags

nasa, research-and-development, space-exploration, planetary-science, sole-source, cost-reimbursement, definitive-contract, carnegie-institution-of-washington, district-of-columbia, science, r-and-d

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $46.2 million to CARNEGIE INSTITUTION OF WASHINGTON. MESSENGER DISCOVERY PROJECT ( PIS TO MANAGE PROJECT TO ORBIT AND EXPLORE PLANET MERCURY)

Who is the contractor on this award?

The obligated recipient is CARNEGIE INSTITUTION OF WASHINGTON.

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 $46.2 million.

What is the period of performance?

Start: 2000-01-04. End: 2017-09-30.

What was the primary objective of the Messenger Discovery Project?

The primary objective of the Messenger Discovery Project was to orbit and explore the planet Mercury. This involved designing, building, and operating a spacecraft equipped with scientific instruments to gather data about Mercury's composition, geology, magnetic field, and atmosphere. The mission aimed to significantly advance our understanding of the innermost planet in our solar system, which had been historically less explored than other planets due to the challenges of reaching and orbiting it.

How does the 'Cost No Fee' contract type affect risk and incentive for the contractor?

Under a 'Cost No Fee' (CNF) contract, the government agrees to reimburse the contractor for all allowable costs incurred in performing the contract, but does not pay any fixed fee. This structure places a significant portion of the financial risk on the contractor, as they will not receive any profit beyond cost recovery. The incentive for the contractor is primarily to successfully complete the project within the defined scope and to manage costs effectively to avoid exceeding the allocated budget, as any overruns would directly impact their bottom line. It is often used for research and development efforts where the final costs are difficult to predict.

What is the significance of the Carnegie Institution of Washington as the contractor?

The Carnegie Institution of Washington is a renowned private, nonprofit research institution founded in 1902. It has a long history of conducting fundamental research across various scientific disciplines, including astronomy, earth and planetary sciences, and biology. Awarding the contract to such an institution suggests that NASA sought highly specialized expertise and a proven track record in scientific research and mission development. Their involvement indicates a focus on scientific rigor and innovation rather than purely on engineering or manufacturing capabilities.

What are the potential challenges of managing a sole-source contract over a long duration?

Managing a sole-source contract over a long duration, like the Messenger Discovery Project (nearly 18 years), presents several challenges. Firstly, ensuring continued value for money requires robust oversight and periodic reviews to confirm that the pricing remains fair and that the scope is still aligned with evolving scientific understanding or technological advancements. Secondly, maintaining contractor performance and motivation over an extended period can be difficult without the competitive pressure inherent in other contract types. Thirdly, changes in government priorities or budget constraints could necessitate contract modifications or termination, which can be complex with long-term sole-source agreements. Finally, ensuring accountability and preventing scope creep requires diligent program management.

How does the NAICS code 541710 (Research and Development in the Physical, Engineering, and Life Sciences) inform our understanding of this contract?

The NAICS code 541710 signifies that this contract is fundamentally about conducting research and development activities within the physical sciences (like physics and astronomy), engineering, and life sciences. For the Messenger Discovery Project, this code specifically points to the scientific investigation and technological innovation required for a complex space mission. It implies that the contract's primary purpose was not the procurement of a standard product or service, but rather the pursuit of new knowledge and the development of novel solutions related to space exploration and planetary science, involving significant scientific inquiry and experimentation.

Industry Classification

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

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

Competition & Pricing

Extent Competed: NOT COMPETED

Offers Received: 999

Pricing Type: COST NO FEE (S)

Contractor Details

Address: 1530 P ST NW, WASHINGTON, DC, 20005

Business Categories: Category Business, Nonprofit Organization, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $47,614,250

Exercised Options: $47,614,250

Current Obligation: $46,218,856

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2000-01-04

Current End Date: 2017-09-30

Potential End Date: 2017-09-30 00:00:00

Last Modified: 2022-04-08

Other National Aeronautics and Space Administration Contracts

View all National Aeronautics and Space Administration contracts →

Explore Related Government Spending