NASA awards Boeing $12.7M for Engineering Services, a cost-plus award fee contract
Contract Overview
Contract Amount: $12,730,308 ($12.7M)
Contractor: THE Boeing Company
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2008-04-15
End Date: 2014-08-30
Contract Duration: 2,328 days
Daily Burn Rate: $5.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: COST PLUS AWARD FEE
Sector: Engineering Services
Official Description: SAP PURCHASE REQUISITION: 4200242480
Place of Performance
Location: SAINT LOUIS, SAINT LOUIS County, MISSOURI, 63134
State: Missouri Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $12.7 million to THE BOEING COMPANY for work described as: SAP PURCHASE REQUISITION: 4200242480 Key points: 1. Contract awarded to a large, established aerospace company. 2. Significant contract duration of over 6 years. 3. Cost-plus award fee structure can incentivize performance but requires careful oversight. 4. Engineering services are critical for complex aerospace projects.
Value Assessment
Rating: fair
The contract's cost-plus award fee structure makes direct pricing comparison difficult without detailed performance metrics. The award fee component suggests a focus on achieving specific performance targets rather than just cost efficiency.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition where specific sources were identified and potentially excluded. This method may limit price discovery compared to full and open competition.
Taxpayer Impact: The total value of $12.7 million over 6 years represents a significant taxpayer investment in specialized engineering services for NASA.
Public Impact
Supports critical aerospace engineering functions for NASA. Potential for innovation and improved mission outcomes through award fee incentives. Ensures continued development and maintenance of complex aerospace systems.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition may not yield the best price.
- Cost-plus award fee requires robust performance monitoring.
- Long contract duration could lead to cost overruns if not managed.
Positive Signals
- Award fee structure incentivizes high performance.
- Boeing's established expertise in aerospace engineering.
- Contract supports vital national space exploration goals.
Sector Analysis
This contract falls within the Engineering Services sector, which is crucial for government agencies like NASA that require specialized technical expertise for complex projects. Benchmarks for such services vary widely based on scope and complexity.
Small Business Impact
The contract was awarded to The Boeing Company, a large business. There is no indication of small business subcontracting in the provided data.
Oversight & Accountability
The cost-plus award fee structure necessitates strong oversight from NASA to ensure performance targets are met and costs are managed effectively. Regular reviews and audits would be essential.
Related Government Programs
- Engineering Services
- National Aeronautics and Space Administration Contracting
- National Aeronautics and Space Administration Programs
Risk Flags
- Limited competition
- Cost-plus award fee structure
- Long contract duration
- Lack of detailed performance metrics provided
Tags
engineering-services, national-aeronautics-and-space-administr, mo, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $12.7 million to THE BOEING COMPANY. SAP PURCHASE REQUISITION: 4200242480
Who is the contractor on this award?
The obligated recipient is THE BOEING COMPANY.
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 $12.7 million.
What is the period of performance?
Start: 2008-04-15. End: 2014-08-30.
What specific engineering services were procured, and how do they align with NASA's strategic objectives?
The contract is for general engineering services (NAICS 541330). Without further details, it's difficult to pinpoint the exact services. However, engineering services for NASA typically encompass design, analysis, testing, and integration of aerospace systems, crucial for mission success and technological advancement.
How was the 'exclusion of sources' justified, and what was the competitive landscape?
The justification for excluding sources is not provided. This 'limited competition' suggests that only specific, pre-identified companies were considered. Understanding the rationale behind this exclusion is key to assessing whether fair market competition was truly achieved and if taxpayers received the best value.
What are the key performance indicators (KPIs) tied to the award fee, and how are they measured?
The specific KPIs for the award fee are not detailed in this data. NASA would need robust metrics related to technical performance, schedule adherence, and cost control to effectively administer the award fee. Transparency in these metrics is vital for accountability.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Architectural, Engineering, and Related Services › Engineering Services
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 3
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 6200 JS MCDONNELL BLVD, SAINT LOUIS, MO, 63134
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $13,533,464
Exercised Options: $13,533,464
Current Obligation: $12,730,308
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Timeline
Start Date: 2008-04-15
Current End Date: 2014-08-30
Potential End Date: 2014-08-30 00:00:00
Last Modified: 2019-08-23
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