NASA's EOSDIS Evolution contract awarded to Raytheon Company for $232.9M over 5 years
Contract Overview
Contract Amount: $232,880,335 ($232.9M)
Contractor: Raytheon Company
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2015-09-01
End Date: 2021-08-31
Contract Duration: 2,191 days
Daily Burn Rate: $106.3K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: COST PLUS AWARD FEE
Sector: IT
Official Description: IGF::CT::IGF EARTH OBSERVING SYSTEMS DATA AND INFORMATION SYSTEM (EOSDIS) EVOLUTION AND DEVELOPMENT - 2 (EED-2). THIS CONTRACT PROVIDES FOR DEVELOPMENT AND SUSTAINING ENGINEERING OF SOFTWARE AND HARDWARE SYSTEMS THAT PROVIDE SCIENCE DATA MANAGEMENT FOR THE ESDIS PROJECT. A MAJOR ACTIVITY UNDER THIS CONTRACT WILL BE FOR EVOLUTION AND DEVELOPMENT ENGINEERING OF SEVERAL SYSTEMS THAT MAY INCLUDE: - EOSDIS CORE SYSTEM (ECS), - EARTH OBSERVING SYSTEM CLEARING HOUSE (ECHO), - EOSDIS USER REGISTRATION SYSTEM (URS), - COHERENT WEB EFFORT (EARTHDATA.NASA.GOV), - ESDIS METRICS SYSTEM (EMS), - ESDIS-MANAGED PORTIONS OF THE S-NPP SCIENCE DATA SEGMENT (SDS) AND OTHER EOSDIS ELEMENTS THAT PROVIDE THE COMMON CAPABILITIES AND INFRASTRUCTURE OF EOSDIS.
Place of Performance
Location: RIVERDALE, PRINCE GEORGES County, MARYLAND, 20737
State: Maryland Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $232.9 million to RAYTHEON COMPANY for work described as: IGF::CT::IGF EARTH OBSERVING SYSTEMS DATA AND INFORMATION SYSTEM (EOSDIS) EVOLUTION AND DEVELOPMENT - 2 (EED-2). THIS CONTRACT PROVIDES FOR DEVELOPMENT AND SUSTAINING ENGINEERING OF SOFTWARE AND HARDWARE SYSTEMS THAT PROVIDE SCIENCE DATA MANAGEMENT FOR THE ESDIS PROJECT. A MAJOR … Key points: 1. Contract focuses on critical software and hardware development for Earth observation data management. 2. Significant investment in sustaining engineering suggests a long-term need for system maintenance and upgrades. 3. The contract's scope includes multiple key systems like ECS, ECHO, and Earthdata.nasa.gov. 4. Awarded as a Cost Plus Award Fee contract, incentivizing performance through award fees. 5. The duration of over 5 years indicates a substantial, ongoing requirement for these services. 6. The contract value of over $232 million highlights the significant federal investment in Earth science data infrastructure.
Value Assessment
Rating: good
The contract value of $232.9 million over five years for complex IT systems design and development appears reasonable given the scope. Benchmarking against similar large-scale NASA IT contracts for data management and system evolution would provide a more precise value-for-money assessment. The Cost Plus Award Fee (CPAF) structure allows for performance-based incentives, which can drive efficiency and quality, but also requires robust oversight to ensure costs remain controlled and justified.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, indicating that multiple bidders had the opportunity to compete. The presence of two bidders suggests a competitive environment, though the specific number of proposals received and the evaluation process would offer more insight into the intensity of the competition. Full and open competition generally leads to better price discovery and a wider range of technical solutions.
Taxpayer Impact: Taxpayers benefit from full and open competition through potentially lower prices and access to innovative solutions that might not be available through less competitive procurement methods.
Public Impact
Benefits scientists and researchers by providing access to and management of Earth observation data. Supports the development and maintenance of critical infrastructure for NASA's Earth Science Division. Enables the continued operation and evolution of key data portals like Earthdata.nasa.gov. Impacts the workforce through employment opportunities in software engineering, system administration, and data management. Facilitates the dissemination of vital climate and environmental data to a global user base.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Cost Plus Award Fee contracts require diligent oversight to ensure award fees are earned based on merit and not inflated.
- Sustaining engineering costs can escalate if not managed effectively, requiring continuous monitoring of scope and efficiency.
- Dependence on a single contractor for critical system evolution could pose long-term risks if not managed with contingency planning.
Positive Signals
- Awarded through full and open competition, suggesting a competitive process that likely yielded a fair price.
- The Cost Plus Award Fee structure incentivizes contractor performance and quality, potentially leading to better outcomes.
- The contract's long duration indicates a stable, long-term commitment to essential Earth science data infrastructure.
- Raytheon's experience in large-scale government IT projects suggests a capable contractor is managing this complex system.
Sector Analysis
This contract falls within the Information Technology and Data Management sector, specifically supporting scientific research and Earth observation. The market for such services is characterized by large, specialized IT firms capable of handling complex system development and sustainment. Comparable spending benchmarks would involve looking at other large-scale NASA or NOAA IT infrastructure contracts, as well as significant R&D data management programs across federal agencies.
Small Business Impact
The contract data indicates that small business participation was not a primary focus, as the contract was not set aside for small businesses and the prime contractor is a large corporation. Subcontracting opportunities for small businesses may exist within the execution of this contract, but specific set-aside goals or reporting requirements are not detailed in the provided data. The impact on the small business ecosystem would depend on the extent to which Raytheon utilizes small business subcontractors for specialized services.
Oversight & Accountability
Oversight for this contract would primarily fall under NASA's ESDIS Project and relevant contracting officers. The Cost Plus Award Fee structure necessitates robust performance monitoring and evaluation to justify any award fees. NASA's internal audit and Inspector General offices would also provide oversight, ensuring compliance with contract terms, regulations, and responsible use of funds. Transparency is facilitated through contract award data and reporting, though detailed performance metrics may be internal.
Related Government Programs
- NASA Earth Science Data Systems
- NOAA Data Management Systems
- NSF Cyberinfrastructure Programs
- DoD Geospatial Intelligence Systems
- USGS Earth Resources Observation and Science (EROS) Center
Risk Flags
- Potential for cost overruns in CPAF contracts if not closely managed.
- Risk of technical obsolescence in long-term IT sustainment projects.
- Dependence on contractor performance for critical data infrastructure.
- Ensuring continued innovation within a sustaining engineering framework.
Tags
nasa, it-services, data-management, earth-observation, software-development, system-sustainment, cost-plus-award-fee, full-and-open-competition, raytheon-company, science-and-research, federal-contract, large-business
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $232.9 million to RAYTHEON COMPANY. IGF::CT::IGF EARTH OBSERVING SYSTEMS DATA AND INFORMATION SYSTEM (EOSDIS) EVOLUTION AND DEVELOPMENT - 2 (EED-2). THIS CONTRACT PROVIDES FOR DEVELOPMENT AND SUSTAINING ENGINEERING OF SOFTWARE AND HARDWARE SYSTEMS THAT PROVIDE SCIENCE DATA MANAGEMENT FOR THE ESDIS PROJECT. A MAJOR ACTIVITY UNDER THIS CONTRACT WILL BE FOR EVOLUTION AND DEVELOPMENT ENGINEERING OF SEVERAL SYSTEMS THAT MAY INCLUDE: - EOSDIS CORE SYSTEM (ECS), - EARTH OBSERVING SYSTEM CLEARING HOUSE (ECHO), - EOSDIS USER REGISTRATION S
Who is the contractor on this award?
The obligated recipient is RAYTHEON 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 $232.9 million.
What is the period of performance?
Start: 2015-09-01. End: 2021-08-31.
What is Raytheon Company's track record with NASA on similar large-scale IT development and sustainment contracts?
Raytheon Company, now RTX, has a significant history of contracting with NASA and other federal agencies for complex IT systems, including those related to space exploration, data management, and mission support. Their experience often involves large, multi-year contracts requiring sophisticated software engineering, system integration, and sustainment capabilities. While specific performance metrics for this particular EOSDIS Evolution contract (EED-2) are not detailed here, Raytheon's general profile suggests they possess the technical expertise and capacity to handle such demanding projects. Past performance reviews and contract close-out reports from similar NASA contracts would offer a more granular assessment of their reliability, quality of work, and adherence to schedule and budget on comparable endeavors.
How does the $232.9 million contract value compare to previous or subsequent contracts for EOSDIS evolution and development?
The $232.9 million awarded to Raytheon for the EOSDIS Evolution and Development 2 (EED-2) contract, spanning from September 2015 to August 2021 (approximately 5 years), represents a substantial investment. To benchmark this value, one would ideally compare it to the preceding EED-1 contract, successor contracts (if any), and other NASA data system development and sustainment efforts. For instance, if previous contracts were significantly lower or higher, it could indicate scope changes, inflation, or shifts in technology needs. Without direct comparative data for EOSDIS evolution phases, it's challenging to definitively state if this value is high or low. However, considering the complexity of managing vast Earth observation datasets and evolving system requirements over a five-year period, this figure appears to be within a plausible range for a contract of this magnitude and criticality.
What are the primary risks associated with the 'sustaining engineering' aspect of this contract?
The primary risks associated with the 'sustaining engineering' aspect of this contract revolve around cost escalation, technical obsolescence, and scope creep. Sustaining engineering involves maintaining, modifying, and upgrading existing systems to ensure they remain operational and relevant. Risks include the potential for unforeseen technical challenges in maintaining legacy components, the increasing cost of specialized hardware or software as it becomes outdated, and the difficulty in integrating new functionalities without disrupting core operations. There's also a risk that the scope of 'sustaining' activities could expand beyond initial projections if critical systems require more extensive overhauls than anticipated, potentially leading to budget overruns and schedule delays. Effective risk mitigation requires rigorous configuration management, proactive technology refresh planning, and close monitoring of maintenance activities.
How effective is the Cost Plus Award Fee (CPAF) contract type in ensuring value for money for NASA's IT development projects?
The Cost Plus Award Fee (CPAF) contract type aims to balance flexibility with performance incentives for complex IT development projects. It allows the contractor to recover allowable costs plus a base fee, with the potential for an additional award fee based on performance against specific criteria. This structure can be effective in ensuring value for money by motivating the contractor to exceed minimum requirements and achieve superior outcomes, particularly in areas like technical performance, schedule adherence, and cost control beyond the base fee. However, its effectiveness hinges critically on the clarity and measurability of the award fee criteria and the rigor of NASA's oversight in evaluating performance. If criteria are subjective or oversight is weak, there's a risk that award fees may be granted without commensurate value, or conversely, that contractors may be hesitant to pursue innovative solutions if the criteria are too rigid. For NASA's IT projects, CPAF can be a suitable tool when managed diligently.
What are the historical spending patterns for NASA's Earth Observing System Data and Information System (EOSDIS) and related data management initiatives?
Historical spending on NASA's Earth Observing System Data and Information System (EOSDIS) and related data management initiatives reflects a sustained and significant commitment to managing and disseminating Earth science data. Over the years, NASA has invested billions of dollars in developing, operating, and evolving EOSDIS, which is crucial for processing, archiving, and distributing data from its Earth-observing satellites. Spending patterns typically show substantial outlays for system development, hardware and software sustainment, data storage, network infrastructure, and personnel. Contracts like the one awarded to Raytheon for EOSDIS Evolution and Development (EED) are indicative of this ongoing investment. Fluctuations in spending can be influenced by the lifecycle of satellite missions, the need for system upgrades to handle increasing data volumes and new data types, and shifts in technological capabilities. Overall, the trend demonstrates a consistent, long-term financial priority placed on robust data management infrastructure to support scientific research.
What is the potential impact of this contract on the broader Earth observation data ecosystem and scientific community?
This contract has a significant positive impact on the broader Earth observation data ecosystem and the scientific community. By funding the evolution and development of EOSDIS, NASA ensures the continued availability, accessibility, and usability of critical data from its Earth-observing missions. This directly benefits scientists who rely on this data for research into climate change, weather patterns, natural disasters, and environmental monitoring. Enhanced system capabilities can lead to faster data processing, improved data quality, and the development of new tools and services for data analysis. Furthermore, a robust and evolving EOSDIS supports data sharing and collaboration within the scientific community and can facilitate the integration of data from various sources, fostering interdisciplinary research. The reliability and advanced features enabled by this contract ultimately empower a wider range of users to leverage Earth observation data for scientific discovery and societal benefit.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services
Product/Service Code: IT AND TELECOM - INFORMATION TECHNOLOGY AND TELECOMMUNICATIONS › ADP AND TELECOMMUNICATIONS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: NNG14476256R
Offers Received: 2
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Rockwell Collins Australia PTY Limited
Address: 5700 RIVERTECH CT, RIVERDALE, MD, 20737
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $273,000,000
Exercised Options: $237,673,477
Current Obligation: $232,880,335
Actual Outlays: $91,629,959
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2015-09-01
Current End Date: 2021-08-31
Potential End Date: 2021-08-31 00:00:00
Last Modified: 2025-09-11
More Contracts from Raytheon Company
- Federal Contract — $5.7B (Department of Defense)
- TEN Fire Units for Qatar — $5.6B (Department of Defense)
- GPS Advanced Control Segment (OCX) Phase B Blocks 1 and 2 — $4.5B (Department of Defense)
- An/Spy-6(v) Hardware Production — $3.3B (Department of Defense)
- Predominant - Patriot UAE — $3.0B (Department of Defense)
Other National Aeronautics and Space Administration Contracts
- International Space Station — $22.4B (THE Boeing Company)
- TAS::80 0124::TAS Design, Development, Test&evaluation of Project Orion — $15.5B (Lockheed Martin Corp)
- Provide Developmental Hardware and Test Articles, and Manufacture and Assemble Ares I Upper Stages. the Upper Stage (US) Element IS an Integral Part of the Ares I Launch Vehicle and Provides the Second Stage of Flight. the US Element IS Responsible for the Roll Control During the First Stage Burn and Separation; and Will Provide the Guidance and Navigation, Command and Data Handling, and Other Avionics Functions for the Ares I During ALL Phases of the Ascent Flight. the US Element IS a NEW Design That Emphasizes Safety, Operability, and Minimum Life Cycle Cost. the Overall Design, Development, Test and Evaluation (ddt&e), Production, and Sustaining Engineering Efforts Include Activities Performed by Three Organizations; the Nasa Design Team (NDT), the Upper Stage Production Contractor (uspc) and the Instrument Unit Production Contractor (iupc). for Clarity, the Uspc Will BE Referred to AS the Contractor Throughout This Document. Nasa IS Responsible for the Integration of the Primary Elements of the Ares I Launch Vehicle Including: the First Stage, US Including Instrument Unit (IU), and US Engine; and Will Also Integrate the Ares I Launch Vehicle AT the Launch Site. Nasa IS Responsible for the Ddt&e, Including Technical and Programmatic Integration of the US Subsystems and Government-Furnished Property. Nasa Will Lead the Effort to Develop the Requirements and Specifications of the US Element, the Development Plan and Testing Requirements, and ALL Design Documentation, Initial Manufacturing and Assembly Process Planning, Logistics Planning, and Operations Support Planning. Development, Qualification, and Acceptance Testing Will BE Conducted by Nasa and the Contractor to Satisfy Requirements and for Risk Mitigation. Nasa IS Responsible for the Overall Upper Stage Verification and Validation Process and Will Require Support From the Contractor. the Contractor IS Responsible for the Manufacture and Assembly of the Upper Stage Test Flight and Operational Upper Stage Units Including the Installation of Upper Stage Instrument Unit, the Government-Furnished US Engine, Booster Separation Motors, and Other Government-Furnished Property. a Description of the Nasa Managed and Performed Efforts IS Contained in the US Work Packages and Will BE Made Available to the Contractor to Ensure Their Understanding of the Roles and Responsibilities of the NDT, Iupc, and Contractor During the Design, Development, and Operation of the US Element. the US Conceptual Design Described in the Uso-Clv-Se-25704 US Design Definition Document (DDD) IS the Baseline Design for This Contract. the Contractors Early Role Will BE to Provide Producibility Engineering Support to Nasa VIA the Established US Office Structure and to Provide Inputs Into the Final Design Configuration, Specifications, and Standards. Nasa Will Transition the Manufacturing and Assembly, Logistics Support Infrastructure, Configuration Management, and the Sustaining Engineering Functions to the Contractor AT the KEY Points During the Development and Implementation of the Program Currently Planned to Occur NO Later Than 90 Days After the Completion of the Following Major Milestones: Manufacturing and Assembly US Preliminary Design Review (PDR) Logistics Support Infrastructure US PDR Configuration Management US Critical Design Review CDR) Sustaining Engineering US Design Certification Review (DCR) After the Completion of an Orderly Transition of Roles and Responsibilities to the Contractor, Nasa Will Assume an Insight Role Into the Contractors Production, Sustaining Engineering, and Operations Support of the Ares I US Test Program and Flight Hardware. After DCR, the Contractor Will BE Responsible for Sustaining Engineering PER SOW Section 4.7, AS Necessary to Maintain and Support the US Configuration and for Production and Operations Support — $10.5B (THE Boeing Company)
- Space Program Operations Contract (spoc) — $8.5B (United Space Alliance, LLC)
- Joint Us/Russian Human Space Flight Activities — $4.7B (Russia Space Agency)
View all National Aeronautics and Space Administration contracts →