NASA's $397M contract for space research support awarded to Teledyne Brown Engineering

Contract Overview

Contract Amount: $397,211,306 ($397.2M)

Contractor: Teledyne Brown Engineering, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2002-06-13

End Date: 2012-09-30

Contract Duration: 3,762 days

Daily Burn Rate: $105.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: SYSTEMS DEVELOPMENT&OPERATIONS SUPPORT A PRIMARY MISSION OF THE MARSHALL SPACE FLIGHT CENTER (MSFC) IS TO SUPPORT NASA'S HUMAN EXPLORATION AND DEVELOPMENT OF SPACE (HEDS) ENTERPRISE AND THE OFFICE OF BIOLOGICAL AND PHYSICAL RESEARCH (OBPR) ENTERPRISE WHO ARE WORKING TOGETHER TO FACILITATE LONG-TERM EXPLORATION OF SPACE. MSFC SERVES AS NASA'S LEAD CENTER FOR THE MATERIALS SCIENCE AND BIOTECHNOLOGY DISCIPLINES AND SERVES OTHER CUSTOMERS AND SPONSORS WITHIN THE AGENCY. THE PURPOSES OF THIS CONTRACT ARE TO FURTHER THE SCIENCE GOALS OF THE AGENCY BY 1) DEVELOPING, OPERATING AND MAINTAINING FACILITIES AND PAYLOADS ON THE INTERNATIONAL SPACE STATION (ISS) AND OTHER VEHICLES AND CARRIERS, 2) PROVIDING SCIENCE, TECHNICAL AND ENGINEERING SUPPORT TO INVESTIGATORS, AND 3) PROVIDING MANAGEMENT AND ADMINISTRATIVE SUPPORT TO MSAD. THE CONTRACTOR SHALL PROVIDE THE NECESSARY MANAGEMENT, PERSONNEL, AND EQUIPMENT/SUPPLIES (NOT OTHERWISE PROVIDED BY THE GOVERNMENT) REQUIRED TO PERFORM THE ENGINEERING, SCIENCE AND TECHNICAL TASKS BROADLY DEFINED IN THIS STATEMENT OF WORK (SOW) AND MORE SPECIFICALLY DESCRIBED IN THE TASK/DELIVERY ORDER (ORDER) AND TECHNICAL DIRECTIVES ISSUED BY THE GOVERNMENT. THE CONTRACTOR SHALL PROVIDE THE PLANNING, COORDINATION, TECHNICAL DIRECTION, AND SURVEILLANCE OF THE ACTIVITIES NECESSARY TO ASSURE DISCIPLINED PERFORMANCE OF WORK AND TIMELY APPLICATION OF RESOURCES FOR THE ACCOMPLISHMENT OF ALL ORDERS ISSUED UNDER THE CONTRACT APPROVED BY MSAD. THE CONTRACTOR SHALL ESTABLISH, IMPLEMENT, AND MAINTAIN A FINANCIAL REPORTING SYSTEM IN ACCORDANCE WITH THE NASA FAR SUPPLEMENT (NFS) 1852.242-73 AND NASA PROCEDURES AND GUIDELINES (NPG) 9501.2D. THE CONTRACTOR SHALL PROVIDE THE OVERALL MANAGEMENT EFFORT REQUIRED TO INTEGRATE TECHNICAL AND PROGRAMMATIC FUNCTIONS NECESSARY FOR ACHIEVEMENT OF THE OBJECTIVES OF THE CONTRACT. THE CONTRACTOR SHALL DEVELOP, SUBMIT, AND MAINTAIN DETAILED MASTER SCHEDULES BASED ON A LOGIC DRIVEN NETWORK THAT SUPPORTS APPLICABLE MSAD PROJECT AND ISS PROGRAM MANAGED MILESTONES. THE CONTRACTOR SHALL BE RESPONSIBLE FOR PROCUREMENT FUNCTIONS: THE CONTRACTOR SHALL CREATE, MAINTAIN AND SUBMIT IN THE FORMAT SPECIFIED BY MSAD, MISCELLANEOUS GRAPHICS, PRESENTATIONS AND REPORTS SUPPORTING THE PAYLOADS AND THE RESEARCH PROGRAM, AND THE MAJOR MSAD PROGRAM ACTIVITIES AND MILESTONES. THE CONTRACTOR SHALL DEFINE, DESIGN, DEVELOP, FABRICATE, ASSEMBLE, TEST, DELIVER, INTEGRATE AND OPERATE MICROGRAVITY SCIENCE PAYLOADS AND FACILITIES. THE CONTRACTOR SHALL DEFINE THE RESOURCES, STRUCTURE, APPROACH, AND PROCESSES REQUIRED TO COMPLETE THE FINAL DESIGN, DEVELOPMENT, FABRICATION, ASSEMBLY, TEST, INTEGRATION, OPERATION, MAINTENANCE, SUPPORT, AND RETIREMENT OF THE REQUIRED HARDWARE, SOFTWARE, AND ASSOCIATED INFRASTRUCTURE. THE CONTRACTOR SHALL SUPPORT OR CONDUCT TECHNICAL REVIEWS APPROPRIATE FOR INDIVIDUAL PAYLOAD DEVELOPMENT AND TO MEET THE REQUIREMENTS OF THE ORDER.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35805

State: Alabama Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $397.2 million to TELEDYNE BROWN ENGINEERING, INC. for work described as: SYSTEMS DEVELOPMENT&OPERATIONS SUPPORT A PRIMARY MISSION OF THE MARSHALL SPACE FLIGHT CENTER (MSFC) IS TO SUPPORT NASA'S HUMAN EXPLORATION AND DEVELOPMENT OF SPACE (HEDS) ENTERPRISE AND THE OFFICE OF BIOLOGICAL AND PHYSICAL RESEARCH (OBPR) ENTERPRISE WHO ARE WORKING TOGETHER TO F… Key points: 1. Contract supports critical NASA science goals for human exploration and space development. 2. Focus on developing, operating, and maintaining ISS facilities and payloads. 3. Provides essential science, technical, and engineering support to researchers. 4. Contractor has a long-standing relationship with NASA, spanning over a decade. 5. The contract type (Cost Plus Award Fee) allows for performance-based incentives. 6. Geographic concentration in Alabama suggests potential regional economic impact.

Value Assessment

Rating: good

The contract value of $397 million over approximately 10 years represents a significant investment in space research infrastructure and support. Benchmarking this against similar large-scale R&D contracts for space agencies is challenging due to the specialized nature of the work. However, the Cost Plus Award Fee structure suggests an attempt to incentivize performance and achieve value for money by rewarding successful outcomes. The duration and scope indicate a substantial commitment to the contractor's capabilities.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple bidders likely had the opportunity to submit proposals. This competitive process is generally expected to drive better pricing and innovation. The presence of multiple bidders suggests a healthy market for these specialized services, although specific details on the number of bidders are not provided.

Taxpayer Impact: Full and open competition is favorable for taxpayers as it increases the likelihood of obtaining services at competitive prices and encourages efficiency from the awarded contractor.

Public Impact

Benefits NASA's human exploration and biological/physical research enterprises. Delivers critical support for International Space Station (ISS) operations and payload development. Impacts scientific investigators by providing essential technical and engineering assistance. Workforce implications include specialized R&D and engineering roles, primarily in Alabama.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences related to space exploration. The market for specialized aerospace R&D support services is concentrated among a few key players with proven track records. NASA's spending in this area is crucial for maintaining its leadership in space science and technology, with comparable spending often seen in large-scale aerospace engineering and systems integration contracts.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). As a large prime contract awarded through full and open competition, it is likely that Teledyne Brown Engineering, Inc. may engage small businesses as subcontractors to fulfill specific aspects of the contract. However, without subcontracting plans or data, the direct impact on the small business ecosystem remains unclear, though large prime contracts often provide opportunities for specialized small business support.

Oversight & Accountability

Oversight for this contract would primarily reside with the National Aeronautics and Space Administration (NASA), specifically the Marshall Space Flight Center (MSFC). As a Cost Plus Award Fee contract, performance metrics and deliverables would be closely monitored to determine award fee payments. Transparency is generally maintained through NASA's contract reporting systems, and while specific IG jurisdiction isn't detailed, the NASA Office of Inspector General would have oversight over potential fraud, waste, or abuse.

Related Government Programs

Risk Flags

Tags

nasa, marshall-space-flight-center, teledyne-brown-engineering, research-and-development, space-exploration, international-space-station, cost-plus-award-fee, full-and-open-competition, systems-development, engineering-support, alabama, large-contract

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $397.2 million to TELEDYNE BROWN ENGINEERING, INC.. SYSTEMS DEVELOPMENT&OPERATIONS SUPPORT A PRIMARY MISSION OF THE MARSHALL SPACE FLIGHT CENTER (MSFC) IS TO SUPPORT NASA'S HUMAN EXPLORATION AND DEVELOPMENT OF SPACE (HEDS) ENTERPRISE AND THE OFFICE OF BIOLOGICAL AND PHYSICAL RESEARCH (OBPR) ENTERPRISE WHO ARE WORKING TOGETHER TO FACILITATE LONG-TERM EXPLORATION OF SPACE. MSFC SERVES AS NASA'S LEAD CENTER FOR THE MATERIALS SCIENCE AND BIOTECHNOLOGY DISCIPLINES AND SERVES OTHER CUSTOMERS AND SPONSORS WITHIN THE AGENCY. THE PURPOSES OF THIS CONTRAC

Who is the contractor on this award?

The obligated recipient is TELEDYNE BROWN ENGINEERING, 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 $397.2 million.

What is the period of performance?

Start: 2002-06-13. End: 2012-09-30.

What is Teledyne Brown Engineering's track record with NASA on similar contracts?

Teledyne Brown Engineering, Inc. has a substantial history of supporting NASA, particularly at the Marshall Space Flight Center. This contract, awarded in 2002 and ending in 2012, represents a significant, long-term engagement. Their work has historically involved complex engineering, scientific support, and operations for spaceflight missions and research. Given the duration and nature of this award, it suggests a strong, established relationship and a demonstrated capability to meet NASA's demanding requirements in space science and exploration support. Past performance is a critical factor in federal contracting, and a contract of this magnitude and duration implies a positive assessment of their prior work.

How does the value of this contract compare to other NASA R&D spending?

The $397 million awarded to Teledyne Brown Engineering over approximately 10 years places this contract within the upper tier of NASA's R&D and support service expenditures. NASA's overall budget fluctuates, but large prime contracts for mission-critical support, systems development, and research operations often reach hundreds of millions of dollars. This specific contract's value is substantial when considered against the agency's annual R&D appropriations. It reflects the significant investment required for maintaining and advancing capabilities for the International Space Station and future exploration endeavors, aligning with major program costs.

What are the primary risks associated with this type of contract?

The primary risks associated with this Cost Plus Award Fee (CPAF) contract include potential cost growth if performance targets are not met efficiently, leading to higher-than-expected fees, or conversely, if the award fee structure is not sufficiently tied to demonstrable value, taxpayers may not receive optimal returns. The long duration (over 10 years) also presents risks related to technological obsolescence, shifts in program priorities, and contractor performance degradation over time. Furthermore, reliance on a single contractor for critical mission support functions can create a vulnerability if the contractor faces financial instability or operational challenges.

How effective is this contract in achieving NASA's science goals?

The effectiveness of this contract is directly tied to its ability to facilitate NASA's science goals, which include developing, operating, and maintaining facilities and payloads on the ISS and providing crucial support to investigators. The contract's success would be measured by the reliability of ISS operations, the successful deployment and functioning of scientific payloads, and the quality of technical and engineering support provided to researchers. Given the contract's long duration and full-and-open competition award, it suggests NASA anticipated significant contributions to its scientific objectives. Performance metrics within the CPAF structure would directly assess this effectiveness.

What are the historical spending patterns for similar NASA support services?

NASA historically spends significant amounts on research and development support services, particularly those related to human spaceflight and the International Space Station. Contracts for operations, maintenance, engineering, and scientific support often span multiple years and involve substantial dollar values, frequently in the hundreds of millions. Spending patterns show a consistent need for specialized technical expertise and infrastructure management. Awards are typically made through competitive processes, though the specific contract types (like CPAF) and durations can vary based on program needs and risk assessments.

What is the significance of the 'Cost Plus Award Fee' contract type?

The Cost Plus Award Fee (CPAF) contract type is significant because it allows the government to reimburse the contractor for all allowable costs incurred, plus a base fee and an additional award fee. This award fee is contingent upon the contractor meeting or exceeding specific performance objectives defined in the contract. It aims to incentivize superior performance by providing financial rewards beyond the basic cost reimbursement and fixed fee. For NASA, this means they can encourage high levels of achievement in complex areas like space research support, while retaining oversight to ensure costs are reasonable and performance targets are met.

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: FULL AND OPEN COMPETITION

Offers Received: 2

Pricing Type: COST PLUS AWARD FEE (R)

Contractor Details

Parent Company: Teledyne Technologies Incorporated (UEI: 112358432)

Address: 300 SPARKMAN DRIVE, HUNTSVILLE, AL, 05

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $568,000,000

Exercised Options: $427,694,124

Current Obligation: $397,211,306

Contract Characteristics

Multi-Year Contract: Yes

Timeline

Start Date: 2002-06-13

Current End Date: 2012-09-30

Potential End Date: 2014-03-31 00:00:00

Last Modified: 2015-03-11

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