NASA awards $50.1M R&D contract to Axient LLC for physical, engineering, and life sciences research

Contract Overview

Contract Amount: $50,131,472 ($50.1M)

Contractor: Axient LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2011-07-13

End Date: 2021-01-31

Contract Duration: 3,490 days

Daily Burn Rate: $14.4K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: SAP PURCHASE REQUISITION: 4200370084

Place of Performance

Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202

State: Virginia Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $50.1 million to AXIENT LLC for work described as: SAP PURCHASE REQUISITION: 4200370084 Key points: 1. Contract awarded through full and open competition, suggesting a competitive bidding process. 2. The contract type is Cost Plus Fixed Fee, which can incentivize cost control but also carries risk. 3. The duration of the contract is substantial at 3490 days, indicating a long-term need. 4. The NAICS code 541712 points to research and development in physical, engineering, and life sciences. 5. The contract was awarded as a Delivery Order, implying it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar vehicle. 6. The contractor, Axient LLC, has a history with NASA, suggesting established working relationships. 7. No small business set-aside was utilized, indicating the competition was open to all eligible offerors.

Value Assessment

Rating: fair

The total award amount of $50.1M over approximately 9.5 years averages to about $5.27M per year. Benchmarking this against similar R&D contracts in the physical, engineering, and life sciences requires access to a broader dataset of comparable awards. The Cost Plus Fixed Fee (CPFF) contract type means the government reimburses the contractor for allowable costs plus a fixed fee representing profit. While CPFF can be appropriate for R&D where costs are uncertain, it can lead to higher overall costs compared to fixed-price contracts if not managed carefully. Without specific performance metrics or detailed cost breakdowns, a definitive value-for-money assessment is challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION,' indicating that all responsible sources were permitted to submit a bid. This suggests a robust competitive environment was sought. The number of bidders is not specified in the provided data, which is crucial for fully assessing the level of competition. A high number of bidders typically leads to better price discovery and potentially lower costs for the government.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can drive down prices and encourage innovation from multiple firms.

Public Impact

The primary beneficiaries are likely NASA researchers and scientists who will utilize the R&D services. The contract supports advancements in physical, engineering, and life sciences, potentially leading to new technologies and discoveries. The geographic impact is primarily centered around NASA facilities, likely in Virginia where the contractor is located. Workforce implications include employment opportunities for scientists, engineers, and support staff at Axient LLC and potentially NASA.

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 NAICS code 541712, which covers R&D in the Physical, Engineering, and Life Sciences (except Biotechnology). This is a critical sector for government agencies like NASA, driving innovation and technological advancement. The market for R&D services is competitive, with numerous firms specializing in various scientific disciplines. Comparable spending benchmarks would typically involve analyzing other large R&D contracts awarded by NASA and other federal agencies for similar scientific research.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). This means the competition was open to all eligible offerors, including large businesses. While this maximizes the pool of potential contractors, it may limit direct opportunities for small businesses unless they are prime contractors on other vehicles or participate as subcontractors. The impact on the small business ecosystem depends on whether Axient LLC intends to subcontract portions of this work to smaller firms.

Oversight & Accountability

Oversight for this contract would primarily fall under the National Aeronautics and Space Administration (NASA). As a Cost Plus Fixed Fee contract, rigorous oversight of allowable costs and contractor performance is essential. NASA likely has program managers and contracting officers responsible for monitoring expenditures, ensuring compliance with contract terms, and evaluating progress towards research objectives. Transparency would be facilitated through regular reporting requirements from the contractor. Inspector General jurisdiction would apply if any allegations of fraud, waste, or abuse arise.

Related Government Programs

Risk Flags

Tags

nasa, research-and-development, physical-sciences, engineering, life-sciences, cost-plus-fixed-fee, full-and-open-competition, delivery-order, axient-llc, virginia, long-term-contract

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $50.1 million to AXIENT LLC. SAP PURCHASE REQUISITION: 4200370084

Who is the contractor on this award?

The obligated recipient is AXIENT LLC.

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 $50.1 million.

What is the period of performance?

Start: 2011-07-13. End: 2021-01-31.

What is Axient LLC's track record with NASA on similar R&D contracts?

The provided data indicates Axient LLC has been awarded this specific contract by NASA. To assess their broader track record, a deeper dive into NASA's contract database (e.g., FPDS) would be necessary. This would reveal the number and value of previous contracts awarded to Axient LLC by NASA, the types of services rendered, and their performance history. A positive history with NASA, characterized by successful project completion, adherence to budget, and positive performance reviews, would suggest a lower risk for this current award. Conversely, a history of performance issues or cost overruns on prior contracts could raise concerns.

How does the average annual cost of this contract compare to similar R&D efforts at NASA?

The annual average cost for this contract is approximately $5.27M ($50.1M / 9.5 years). To benchmark this effectively, one would need to compare it against other NASA contracts for R&D in the physical, engineering, and life sciences (NAICS 541712) awarded over a similar timeframe. Key comparison points would include contract type (CPFF vs. others), scope of work, duration, and the number of bidders. Without access to a comprehensive database of comparable contracts and their specific details, it is difficult to definitively state whether this represents a competitive or high-cost award. Factors like the novelty of the research, required expertise, and specific deliverables heavily influence pricing.

What are the primary risks associated with a Cost Plus Fixed Fee (CPFF) contract for R&D?

The primary risks associated with a CPFF contract for R&D include potential for cost overruns and reduced incentive for contractor efficiency. In a CPFF structure, the government reimburses the contractor for all allowable costs incurred, plus a predetermined fixed fee (profit). If the contractor's costs exceed initial estimates, the government bears the burden of these overruns, up to the contract ceiling. While the fixed fee provides some incentive for the contractor to manage costs to maximize profit, it may not be as strong as in a fixed-price contract. For R&D, where costs can be highly unpredictable, CPFF is often used, but it necessitates robust government oversight to ensure costs are reasonable and allocable to the contract.

How does the contract's duration impact its overall value and risk profile?

The contract's duration of 3490 days (approximately 9.5 years) is substantial and presents both potential benefits and risks. A long duration allows for sustained focus on complex R&D projects, potentially leading to more significant breakthroughs and fostering deeper expertise within the contractor. It can also provide stability for the contractor's workforce. However, it also increases the risk of scope creep, technological obsolescence, and misalignment with evolving agency priorities over time. Managing such a long-term contract requires continuous oversight and potential modifications to ensure it remains relevant and cost-effective throughout its lifecycle. The extended period also means that initial cost estimates may become less accurate over time.

What does the 'Delivery Order' award type signify in this context?

The 'Delivery Order' (aw: DELIVERY ORDER) award type typically signifies that this contract is a task order issued under a larger indefinite-delivery/indefinite-quantity (IDIQ) contract or a similar contract vehicle. IDIQs allow agencies to procure a range of supplies or services over a set period, with specific quantities and delivery dates defined by individual task orders. This approach provides flexibility for the agency to order services as needed. In this case, the $50.1M likely represents the total value allocated to this specific delivery order, which could be one of many under a broader contract. This structure allows NASA to procure R&D services efficiently without needing to conduct a full competition for each individual requirement.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENTC – National Defense R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 2231 CRYSTAL DR STE 711, ARLINGTON, VA, 22202

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Sole Proprietorship, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $50,483,251

Exercised Options: $50,483,251

Current Obligation: $50,131,472

Actual Outlays: $602,305

Subaward Activity

Number of Subawards: 32

Total Subaward Amount: $15,064,408

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: NNA10DF16B

IDV Type: IDC

Timeline

Start Date: 2011-07-13

Current End Date: 2021-01-31

Potential End Date: 2021-01-31 00:00:00

Last Modified: 2025-09-17

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