NASA's $13M contract for robotic control systems awarded to S & K Technologies, Inc. without competition

Contract Overview

Contract Amount: $12,997,078 ($13.0M)

Contractor: S & K Technologies, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2002-06-28

End Date: 2007-06-30

Contract Duration: 1,828 days

Daily Burn Rate: $7.1K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS FIXED FEE

Sector: IT

Official Description: INTELLIGENT ROBOTIC&CONTROL SYSTEMS SERVICES

Place of Performance

Location: SAINT IGNATIUS, LAKE County, MONTANA, 59865

State: Montana Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $13.0 million to S & K TECHNOLOGIES, INC. for work described as: INTELLIGENT ROBOTIC&CONTROL SYSTEMS SERVICES Key points: 1. Contract awarded on a cost-plus-fixed-fee basis, which can lead to cost overruns if not managed carefully. 2. The lack of competition raises concerns about potential overpayment and limited innovation. 3. The contract duration of 1828 days (approx. 5 years) suggests a long-term need for these specialized services. 4. The primary service code (541511) indicates custom computer programming, suggesting a focus on software development. 5. Awarded by NASA, indicating a high-tech and potentially complex requirement. 6. The contract was not competed, suggesting potential sole-source justifications or a lack of market availability.

Value Assessment

Rating: questionable

Without a competitive bidding process, it is difficult to benchmark the value for money. The cost-plus-fixed-fee structure, while allowing for flexibility, can be less cost-effective than fixed-price contracts if not rigorously overseen. Comparing this to similar custom computer programming services for aerospace applications would be necessary to assess if the pricing is within a reasonable range. The absence of competition limits the ability to determine if taxpayers received the best possible price.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded as 'NOT COMPETED,' indicating a sole-source or limited competition scenario. The specific reasons for this approach are not detailed in the provided data. Typically, sole-source awards occur when only one vendor possesses the necessary unique capabilities, or in emergency situations. The lack of multiple bidders means that NASA did not benefit from the price discovery and innovation that typically arises from a competitive procurement process.

Taxpayer Impact: The absence of competition means taxpayers may not have received the most cost-effective solution. Without bids from other qualified vendors, there is a risk that the price paid was higher than it would have been in a competitive environment.

Public Impact

This contract directly benefits NASA by providing essential intelligent robotic and control systems services, likely for space exploration or research missions. The services delivered are custom computer programming, suggesting the development of specialized software for robotic operations. The geographic impact is primarily within NASA facilities, though the ultimate beneficiaries are the public through advancements in space science and technology. Workforce implications include the employment of skilled programmers and engineers at S & K Technologies, Inc.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls within the Information Technology (IT) sector, specifically custom computer programming services. This area is characterized by rapid innovation and a need for specialized expertise. The market for such services is large and diverse, with many companies capable of providing software development. However, for highly specialized applications like intelligent robotic and control systems for aerospace, the pool of qualified contractors may be smaller, potentially justifying limited competition in some cases. Benchmarking would involve comparing costs for similar custom software development projects within the aerospace and defense industries.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false) and that small business participation was not a specific requirement (sb: false). Therefore, this contract does not appear to have direct implications for small business subcontracting or set-aside goals. The focus was likely on acquiring specialized technical capabilities from a prime contractor, rather than fostering small business engagement.

Oversight & Accountability

Oversight for this contract would primarily fall under NASA's contracting officers and program managers. Accountability measures would be tied to the terms of the Cost Plus Fixed Fee (CPFF) contract, requiring detailed reporting on costs and progress. Transparency is limited due to the sole-source nature of the award; the justification for not competing the contract would be a key area for review. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.

Related Government Programs

Risk Flags

Tags

nasa, it-services, custom-computer-programming, robotics, control-systems, definitive-contract, cost-plus-fixed-fee, sole-source, s-and-k-technologies-inc, federal-spending, aerospace, montana

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $13.0 million to S & K TECHNOLOGIES, INC.. INTELLIGENT ROBOTIC&CONTROL SYSTEMS SERVICES

Who is the contractor on this award?

The obligated recipient is S & K TECHNOLOGIES, 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 $13.0 million.

What is the period of performance?

Start: 2002-06-28. End: 2007-06-30.

What was the specific justification for awarding this contract on a sole-source basis?

The provided data indicates the contract was 'NOT COMPETED' (ct: NOT COMPETED), signifying a sole-source or limited competition award. However, the specific justification for this approach is not detailed. Typically, sole-source awards are made when a unique capability is required that only one vendor can provide, or in cases of urgent need. Without further documentation, it is impossible to ascertain the precise rationale. This lack of transparency is a concern, as competitive bidding is generally preferred to ensure fair pricing and maximize value for taxpayers. Further investigation into NASA's procurement records would be necessary to uncover the detailed justification.

How does the Cost Plus Fixed Fee (CPFF) pricing structure compare to other contract types for similar services?

Cost Plus Fixed Fee (CPFF) contracts are often used when the scope of work is not precisely defined or is expected to evolve, as is common in research and development or complex system integration. The contractor is reimbursed for allowable costs plus a fixed fee representing profit. While this structure offers flexibility, it carries a higher risk of cost overruns compared to fixed-price contracts, as the government bears the brunt of cost uncertainties. For custom computer programming services, fixed-price or cost-plus-incentive-fee contracts might offer better cost control if performance metrics can be clearly defined. The CPFF structure here suggests NASA prioritized flexibility and access to specialized expertise over strict cost certainty at the outset.

What is the typical cost range for custom computer programming services like those provided under this contract?

Determining a precise 'typical' cost range for custom computer programming services, especially for specialized areas like intelligent robotic and control systems for NASA, is challenging without more specific details on the scope of work, required expertise, and project complexity. General industry benchmarks for custom software development can vary widely based on developer location, skill set, and project duration. However, given the specialized nature and the fact that this was a sole-source award to S & K Technologies, Inc. by NASA, the costs are likely at the higher end of the spectrum. Without competitive bids or detailed project breakdowns, it's difficult to establish a direct comparison or benchmark for this specific contract's value.

What is S & K Technologies, Inc.'s track record with NASA and similar government contracts?

The provided data indicates that S & K Technologies, Inc. was awarded this definitive contract by NASA. To assess their track record, one would need to examine their past performance history with NASA and other federal agencies. This includes reviewing past contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or contract terminations. A company's history of delivering complex IT solutions, particularly in the aerospace domain, would be a key indicator of their capability and reliability for this type of specialized work.

How has NASA's spending on intelligent robotic and control systems evolved over time?

Analyzing NASA's historical spending on intelligent robotic and control systems would require access to broader procurement data beyond this single contract. This would involve aggregating spending across relevant service codes (like 541511) and contract types related to robotics, automation, and control systems over multiple fiscal years. Trends could reveal whether NASA's investment in this area is increasing, decreasing, or remaining stable, and whether this contract represents a significant portion of that spending. Understanding these patterns provides context for the current contract's significance and NASA's strategic priorities in robotics.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesComputer Systems Design and Related ServicesCustom Computer Programming Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

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

Parent Company: Confederated Salish & Kootenai Tribes (UEI: 071409460)

Address: 56 OLD HWY 93 N, SAINT IGNATIUS, MT, 59865

Business Categories: 8(a) Program Participant, American Indian Owned Business, Category Business, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Small Disadvantaged Business, Special Designations

Financial Breakdown

Contract Ceiling: $13,002,061

Exercised Options: $13,002,061

Current Obligation: $12,997,078

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2002-06-28

Current End Date: 2007-06-30

Potential End Date: 2007-06-30 00:00:00

Last Modified: 2016-08-31

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