NASA Awards $198M for Electrical Systems Engineering Services to Aegis Aerospace Inc
Contract Overview
Contract Amount: $198,417,473 ($198.4M)
Contractor: Aegis Aerospace Inc
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2010-08-09
End Date: 2013-10-08
Contract Duration: 1,156 days
Daily Burn Rate: $171.6K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS FIXED FEE
Sector: R&D
Official Description: ELECTRICAL SYSTEMS ENGINEERING SERVICES (ESES) INTERIM CONTRACT FOR THE APPLIED ENGINEERING AND TECHNOLOGY DIRECTORATE (AETD). THE PRINCIPAL PURPOSE OF THIS CONTRACT IS TO PROVIDE ELECTRICAL SYSTEMS ENGINEERING SUPPORT SERVICES AND RELATED WORK TO THE (EED), (ISTD), (ISD), (MESA) DIVISION, AND RELATED ORGANIZATIONS, AS REQUIRED, FOR THE STUDY, DESIGN, DEVELOPMENT, FABRICATION, INTEGRATION, TESTING, VERIFICATION, AND OPERATIONS OF SPACE FLIGHT, AIRBORNE, AND GROUND SYSTEM HARDWARE AND SOFTWARE, INCLUDING DEVELOPMENT AND VALIDATION OF NEW TECHNOLOGIES TO ENABLE FUTURE SPACE AND SCIENCE MISSIONS. TO THIS END, THE CONTRACTOR SHALL PROVIDE ON/OFF-SITE MULTIDISCIPLINARY ENGINEERING SERVICES, PURSUANT TO TASK ORDERS ISSUED BY THE CONTRACTING OFFICER. THESE SERVICES SHALL INCLUDE THE PERSONNEL, FACILITIES, AND MATERIALS (UNLESS OTHERWISE PROVIDED BY THE GOVERNMENT) TO ACCOMPLISH THE TASKS.
Place of Performance
Location: GREENBELT, PRINCE GEORGES County, MARYLAND, 20771
State: Maryland Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $198.4 million to AEGIS AEROSPACE INC for work described as: ELECTRICAL SYSTEMS ENGINEERING SERVICES (ESES) INTERIM CONTRACT FOR THE APPLIED ENGINEERING AND TECHNOLOGY DIRECTORATE (AETD). THE PRINCIPAL PURPOSE OF THIS CONTRACT IS TO PROVIDE ELECTRICAL SYSTEMS ENGINEERING SUPPORT SERVICES AND RELATED WORK TO THE (EED), (ISTD), (ISD), (MESA… Key points: 1. Contract supports critical space flight and ground systems engineering. 2. Aegis Aerospace Inc. is the sole awardee. 3. High risk due to lack of competition. 4. Sector: Research and Development in Physical, Engineering, and Life Sciences.
Value Assessment
Rating: questionable
The contract value of $198.4 million over three years for specialized engineering services appears high given the lack of competitive bidding. Benchmarking against similar R&D engineering support contracts is difficult without more detailed task order information.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was not competed, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as there was no market pressure to drive down prices.
Taxpayer Impact: The lack of competition on this significant contract raises concerns about whether the government received the best possible value for taxpayer funds.
Public Impact
Supports NASA's advanced space and science missions. Ensures continued development of critical space hardware and software. Potential for cost overruns due to sole-source nature. Impacts the R&D sector by directing significant funding to one firm.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competition
- Sole-source award
- Potential for cost inefficiency
Positive Signals
- Supports critical NASA missions
- Provides specialized engineering expertise
Sector Analysis
This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending in this area is crucial for technological advancement but requires careful oversight to ensure efficiency.
Small Business Impact
The data indicates this contract was not awarded to small businesses, and the sole-source nature further limits opportunities for small business participation.
Oversight & Accountability
The sole-source nature of this award warrants close oversight to ensure that the services provided are necessary, cost-effective, and aligned with NASA's mission objectives.
Related Government Programs
- Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
- National Aeronautics and Space Administration Contracting
- National Aeronautics and Space Administration Programs
Risk Flags
- Sole-source award lacks competition.
- Potential for cost overruns.
- Limited transparency in pricing.
- No small business participation evident.
Tags
research-and-development-in-the-physical, national-aeronautics-and-space-administr, md, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $198.4 million to AEGIS AEROSPACE INC. ELECTRICAL SYSTEMS ENGINEERING SERVICES (ESES) INTERIM CONTRACT FOR THE APPLIED ENGINEERING AND TECHNOLOGY DIRECTORATE (AETD). THE PRINCIPAL PURPOSE OF THIS CONTRACT IS TO PROVIDE ELECTRICAL SYSTEMS ENGINEERING SUPPORT SERVICES AND RELATED WORK TO THE (EED), (ISTD), (ISD), (MESA) DIVISION, AND RELATED ORGANIZATIONS, AS REQUIRED, FOR THE STUDY, DESIGN, DEVELOPMENT, FABRICATION, INTEGRATION, TESTING, VERIFICATION, AND OPERATIONS OF SPACE FLIGHT, AIRBORNE, AND GROUND SYSTEM HARDWARE AND SOFTWARE,
Who is the contractor on this award?
The obligated recipient is AEGIS AEROSPACE 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 $198.4 million.
What is the period of performance?
Start: 2010-08-09. End: 2013-10-08.
What specific factors justified the sole-source award for these critical engineering services, and were alternative competitive strategies considered?
The justification for a sole-source award typically involves unique capabilities, urgent needs, or a lack of available sources. Without detailed documentation, it's unclear if these criteria were met or if alternative competitive approaches, such as phased procurements or market research for potential competitors, were thoroughly explored before opting for a sole-source contract.
How will NASA ensure cost control and value for money on this Cost Plus Fixed Fee contract without competitive pressure?
NASA can implement robust oversight mechanisms, including detailed performance metrics, regular audits, and stringent review of contractor expenditures. Establishing clear milestones and deliverables tied to fixed fees, along with strong negotiation of indirect cost rates, are crucial for managing costs and ensuring value in a non-competitive environment.
What is the long-term strategic impact of awarding such a significant contract sole-source on the broader aerospace engineering R&D market?
Sole-source awards, especially for substantial amounts, can stifle innovation and competition within the market by concentrating resources and expertise within a single firm. This may limit opportunities for other companies to develop and demonstrate their capabilities, potentially impacting the overall health and dynamism of the aerospace engineering R&D ecosystem.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 18050 SATURN LANE STE 300, HOUSTON, TX, 77058
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Hispanic American Owned Business, Minority Owned Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $288,693,176
Exercised Options: $288,693,176
Current Obligation: $198,417,473
Actual Outlays: $94,904
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2010-08-09
Current End Date: 2013-10-08
Potential End Date: 2013-10-08 00:00:00
Last Modified: 2020-08-17
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