NASA's $28.6M guidance, navigation, and control systems engineering contract awarded to Draper Laboratory

Contract Overview

Contract Amount: $28,602,096 ($28.6M)

Contractor: THE Charles Stark Draper Laboratory, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2001-03-30

End Date: 2006-01-31

Contract Duration: 1,768 days

Daily Burn Rate: $16.2K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: GUIDANCE,NAVIGATION & CONTROL SYSTEMS ENGINEERING ANALYSIS

Place of Performance

Location: CAMBRIDGE, MIDDLESEX County, MASSACHUSETTS, 02139

State: Massachusetts Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $28.6 million to THE CHARLES STARK DRAPER LABORATORY, INC. for work described as: GUIDANCE,NAVIGATION & CONTROL SYSTEMS ENGINEERING ANALYSIS Key points: 1. Contract awarded on a cost-plus-fixed-fee basis, allowing for flexibility but requiring close oversight of costs. 2. The contract was not competed, raising questions about potential price discovery and value for money. 3. The duration of the contract (1768 days) suggests a long-term need for these specialized engineering services. 4. The award was made under the GSA Federal Supply Schedule, which can streamline procurement but may limit competition. 5. The specific services relate to critical guidance, navigation, and control systems, essential for aerospace missions.

Value Assessment

Rating: fair

Benchmarking the value of this specific contract is challenging without detailed cost breakdowns and comparisons to similar sole-source procurements for highly specialized engineering services. The cost-plus-fixed-fee structure means actual costs could vary, and the final value depends on efficient execution by the contractor. Given the lack of competition, it's difficult to definitively assess if the pricing represents optimal value for taxpayers.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not open to competitive bidding. This typically occurs when a specific contractor possesses unique capabilities or when urgency dictates a direct award. The lack of competition limits the government's ability to leverage market forces to achieve the best possible price and terms.

Taxpayer Impact: Sole-source awards can result in higher costs for taxpayers as there is no competitive pressure to drive down prices. It also bypasses opportunities to discover innovative solutions or cost efficiencies that might emerge from a competitive process.

Public Impact

The primary beneficiary is NASA, which receives critical engineering support for its space missions. Services delivered include analysis and engineering for guidance, navigation, and control systems, vital for spacecraft. The geographic impact is primarily within the aerospace sector, with potential benefits extending to national space exploration capabilities. Workforce implications include the employment of highly skilled engineers and technical specialists at The Charles Stark Draper Laboratory, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector, specifically supporting the aerospace industry's need for advanced guidance, navigation, and control (GNC) systems. The market for such specialized engineering expertise is often concentrated among a few highly capable firms. Comparable spending benchmarks are difficult to establish due to the unique nature of GNC systems and the sole-source award.

Small Business Impact

There is no indication that this contract included small business set-asides. As a sole-source award to a large, established contractor, it is unlikely to have direct subcontracting implications for small businesses unless The Charles Stark Draper Laboratory, Inc. voluntarily engages them for specific components or services.

Oversight & Accountability

Oversight for this contract would primarily fall under NASA's contracting officers and program managers. Given the cost-plus-fixed-fee structure, rigorous monitoring of expenditures and performance against milestones would be crucial. Transparency is limited by the sole-source nature and the proprietary aspects of GNC engineering. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Risk Flags

Tags

nasa, engineering-services, guidance-navigation-control, sole-source, cost-plus-fixed-fee, research-and-development, aerospace, gsa-schedule, draper-laboratory, massachusetts

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $28.6 million to THE CHARLES STARK DRAPER LABORATORY, INC.. GUIDANCE,NAVIGATION & CONTROL SYSTEMS ENGINEERING ANALYSIS

Who is the contractor on this award?

The obligated recipient is THE CHARLES STARK DRAPER LABORATORY, 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 $28.6 million.

What is the period of performance?

Start: 2001-03-30. End: 2006-01-31.

What is the specific expertise of The Charles Stark Draper Laboratory, Inc. in guidance, navigation, and control systems?

The Charles Stark Draper Laboratory, Inc. (Draper) is a renowned research and development organization with a long history of expertise in GNC systems. They have been instrumental in developing GNC technologies for numerous space missions, including ballistic missile guidance, spacecraft navigation, and autonomous systems. Their work often involves complex algorithms, sensor integration, and real-time control systems, making them a critical partner for agencies like NASA that require highly specialized and reliable GNC solutions for mission success. Their deep institutional knowledge and established track record in this niche field likely contributed to the sole-source award.

How does the cost-plus-fixed-fee (CPFF) contract type impact the overall cost and risk for NASA?

A Cost-Plus-Fixed-Fee (CPFF) contract type means that NASA reimburses the contractor for all allowable costs incurred, plus a predetermined fixed fee representing profit. This structure is often used when the scope of work is not precisely defined or when there is significant uncertainty in the cost of performance, as is common in advanced engineering and R&D. For NASA, this shifts some of the cost risk to the government, as the final price is not fixed upfront. However, it allows for flexibility to adapt to evolving technical requirements. Effective oversight is paramount to ensure costs remain reasonable and that the contractor exercises due diligence in managing expenses to achieve the project's objectives within the anticipated cost range.

What are the implications of a sole-source award for taxpayer value in this context?

Sole-source awards, by definition, bypass the competitive bidding process. This means that NASA did not solicit proposals from multiple vendors to compare technical approaches and pricing. While Draper may possess unique capabilities essential for this specific GNC engineering work, the absence of competition removes the downward price pressure that typically arises from market forces. Consequently, taxpayers may not be receiving the most cost-effective solution available. The justification for a sole-source award usually rests on the uniqueness of the contractor's capabilities or urgent needs, but it necessitates robust justification and oversight to ensure fair value is still obtained.

What is the historical spending pattern for similar GNC engineering services by NASA?

Analyzing historical spending patterns for similar GNC engineering services by NASA is complex due to the specialized nature of the work and the variety of contract types and award methods. NASA frequently engages in sole-source or limited-competition contracts for highly specialized R&D and engineering services where specific expertise is paramount, such as GNC systems. While specific dollar amounts for comparable contracts are not readily available without deeper database analysis, it is common for NASA to allocate significant funding to GNC development and support, reflecting the critical role these systems play in mission success across its diverse portfolio of space exploration and scientific endeavors.

What are the potential risks associated with the long duration of this contract?

The contract's duration of 1768 days (approximately 4.8 years) presents several potential risks. Firstly, technological advancements in GNC systems could outpace the contract's scope, potentially rendering some aspects obsolete or requiring costly modifications. Secondly, long-term cost escalation due to inflation or unforeseen project complexities could exceed initial estimates, even with a fixed fee component. Thirdly, maintaining consistent oversight and program management continuity over such an extended period can be challenging for the agency. Finally, the contractor's performance could degrade over time if not continuously monitored and incentivized.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SPECIAL STUDIES/ANALYSIS, NOT R&DSPECIAL STUDIES - NOT R and D

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 555 TECHNOLOGY SQ, CAMBRIDGE, MA, 90

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

Financial Breakdown

Contract Ceiling: $30,854,920

Exercised Options: $30,854,920

Current Obligation: $28,602,096

Timeline

Start Date: 2001-03-30

Current End Date: 2006-01-31

Potential End Date: 2006-01-31 00:00:00

Last Modified: 2012-10-31

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