NASA's $32.8M Logistics Contract with KBR Wyle Services Faces Scrutiny Over Competition and Value
Contract Overview
Contract Amount: $32,828,999 ($32.8M)
Contractor: KBR Wyle Services, LLC
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2008-07-31
End Date: 2015-09-30
Contract Duration: 2,617 days
Daily Burn Rate: $12.5K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 12
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: WORK AREA - 1.0 LOGISTICS
Place of Performance
Location: CLEVELAND, CUYAHOGA County, OHIO, 44135
State: Ohio Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $32.8 million to KBR WYLE SERVICES, LLC for work described as: WORK AREA - 1.0 LOGISTICS Key points: 1. Significant contract value of $32.8 million over its period of performance. 2. Competition method 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' raises questions about true market engagement. 3. Risk associated with Cost Plus Award Fee (CPA) contract type, potentially leading to cost overruns. 4. Facilities Support Services sector, essential for agency operations but often lacks transparency.
Value Assessment
Rating: questionable
The Cost Plus Award Fee structure can incentivize cost escalation rather than strict cost control. Without detailed performance metrics and benchmark data, assessing the value for money is difficult.
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 competitive field. This method may restrict broader market participation and potentially impact price discovery.
Taxpayer Impact: The limited competition and cost-plus structure could lead to higher costs for taxpayers than a fully open and fixed-price contract might achieve.
Public Impact
Taxpayers may be overpaying for logistics support due to limited competition and an incentive-based fee structure. NASA's operational efficiency could be impacted if the logistics services are not cost-effectively delivered. Lack of transparency in the award process hinders public trust and accountability.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition
- Cost Plus Award Fee structure
- Lack of clear performance benchmarks
Positive Signals
- Contract awarded to a known entity (KBR Wyle Services)
- Long-term support provided
Sector Analysis
Facilities Support Services are crucial for government agencies, encompassing a wide range of logistical and maintenance operations. Spending in this sector can vary widely, but transparency and competitive bidding are key to ensuring efficiency.
Small Business Impact
The data does not indicate if small businesses were involved in subcontracting opportunities. Further investigation is needed to determine the extent of small business participation.
Oversight & Accountability
The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' clause warrants closer examination by oversight bodies to ensure it was justified and truly maximized competition.
Related Government Programs
- Facilities Support Services
- National Aeronautics and Space Administration Contracting
- National Aeronautics and Space Administration Programs
Risk Flags
- Potential for inflated costs due to CPAF structure.
- Limited competition raises concerns about best value.
- Lack of transparency in award justification.
- Absence of small business participation data.
- Long contract duration without clear performance reassessment points.
Tags
facilities-support-services, national-aeronautics-and-space-administr, oh, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $32.8 million to KBR WYLE SERVICES, LLC. WORK AREA - 1.0 LOGISTICS
Who is the contractor on this award?
The obligated recipient is KBR WYLE SERVICES, 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 $32.8 million.
What is the period of performance?
Start: 2008-07-31. End: 2015-09-30.
What specific justifications were provided for excluding sources in the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' award?
The justification for excluding sources in this type of competition typically involves demonstrating that only a limited number of responsible sources possess the specific capabilities or proprietary knowledge required for the contract. Agencies must provide detailed documentation proving that a broader competition would be impractical or detrimental to the government's interests, often citing unique technical requirements or prior investments.
How does the Cost Plus Award Fee structure impact the final cost compared to a fixed-price contract for similar logistics services?
Cost Plus Award Fee (CPAF) contracts allow the contractor to recover all allowable costs plus a fixed fee, with the potential for an award amount based on performance. This can lead to higher final costs than fixed-price contracts if performance targets are easily met or if costs are not rigorously controlled. Fixed-price contracts offer more cost certainty to the government.
What are the key performance indicators (KPIs) used to determine the award fee for KBR Wyle Services under this contract?
The specific KPIs for determining the award fee are not detailed in the provided data. Typically, for facilities support services, KPIs might include response times for maintenance requests, uptime of critical systems, cost savings initiatives, safety record, and overall customer satisfaction. The agency's internal documentation would outline these metrics and their weighting.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 12
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 7701 GREENBELT RD STE 400, GREENBELT, MD, 20770
Business Categories: Category Business, Not Designated a Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $32,832,219
Exercised Options: $32,832,219
Current Obligation: $32,828,999
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Parent Contract
Parent Award PIID: NNC05CB17C
IDV Type: IDC
Timeline
Start Date: 2008-07-31
Current End Date: 2015-09-30
Potential End Date: 2015-09-30 00:00:00
Last Modified: 2017-02-09
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