NASA's $122M contract for proposal management services awarded to SMART GLOBAL SOLUTIONS JV, LLC
Contract Overview
Contract Amount: $122,124,209 ($122.1M)
Contractor: Smart Global Solutions JV, LLC
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2010-08-01
End Date: 2016-01-31
Contract Duration: 2,009 days
Daily Burn Rate: $60.8K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 3
Pricing Type: COST PLUS FIXED FEE
Sector: Other
Official Description: THE CONTRACTOR WILL MANAGE AND SUPPORT SPECIFIED ASPECTS OF SOLICITING AND RECEIVING, PROCESSING, AND EVALUATING RESPONSES TO THE SOLICITATIONS (E.G., PROPOSALS). THE CONTRACTOR MAY ALSO BE REQUIRED TO TAKE PART IN INFORMING PROPOSERS OF THE STATUS OF THEIR PROPOSALS, AND PREPARING DOCUMENTATION THAT MUST BE DONE TO PERMIT THE DISBURSEMENT OF FUNDS. THE CONTRACTOR MAY ALSO BE CALLED ON TO ORGANIZE AND SUPPORT CONFERENCES OR MEETINGS. THIS SUPPORT INCLUDES OPERATING, MAINTAINING AND CONTINUING TO IMPROVE A GOVERNMENT-OWNED ELECTRONIC SYSTEM FOR SUBMISSION, REVIEW, AND EVALUATION OF PROPOSALS, ANNOUNCEMENTS OF AWARDS, AND CONVEYING TECHNICAL REQUIREMENTS PACKAGES AND OTHER MATERIALS TO PROCUREMENTS OFFICERS.
Place of Performance
Location: ARLINGTON, ARLINGTON County, VIRGINIA, 22202
State: Virginia Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $122.1 million to SMART GLOBAL SOLUTIONS JV, LLC for work described as: THE CONTRACTOR WILL MANAGE AND SUPPORT SPECIFIED ASPECTS OF SOLICITING AND RECEIVING, PROCESSING, AND EVALUATING RESPONSES TO THE SOLICITATIONS (E.G., PROPOSALS). THE CONTRACTOR MAY ALSO BE REQUIRED TO TAKE PART IN INFORMING PROPOSERS OF THE STATUS OF THEIR PROPOSALS, AND PREPARI… Key points: 1. Contract focused on managing and supporting the solicitation, receipt, processing, and evaluation of proposals. 2. Services include informing proposers of status, preparing documentation for fund disbursement, and organizing/supporting conferences. 3. Contractor will operate and maintain a government-owned electronic system for proposal submission and review. 4. This contract represents a significant investment in administrative and procurement support functions for NASA. 5. The duration of the contract was 2009-2016, indicating a long-term need for these services. 6. The contract type was Cost Plus Fixed Fee, which allows for reimbursement of costs plus a fixed fee.
Value Assessment
Rating: good
The total value of $122.1 million over approximately 7 years suggests a substantial but potentially reasonable cost for comprehensive proposal management support. Benchmarking against similar large-scale administrative support contracts within NASA or other federal agencies would be necessary for a precise value-for-money assessment. The Cost Plus Fixed Fee (CPFF) structure, while offering flexibility, can sometimes lead to higher costs if not carefully managed, but it also incentivizes the contractor to complete the work efficiently to realize their fixed fee.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while competition was sought, specific sources may have been excluded based on pre-qualification or other criteria. The number of bids received (3) suggests a moderate level of competition for this specialized service. A higher number of bidders typically leads to more competitive pricing and a wider range of innovative solutions.
Taxpayer Impact: The full and open competition, despite a limited number of bidders, likely provided a reasonable opportunity for price discovery, potentially benefiting taxpayers by ensuring the selected contractor offered competitive terms for these essential administrative services.
Public Impact
Benefits NASA's procurement and administrative offices by streamlining proposal evaluation and fund disbursement processes. Supports the efficient operation of a government-owned electronic system for proposal management. Indirectly benefits proposers by ensuring timely communication regarding proposal status. Facilitates the effective allocation of federal funds by ensuring proper documentation and processing. Impacts the federal workforce by providing tools and support for procurement officers.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns inherent in Cost Plus Fixed Fee contracts if not rigorously monitored.
- Reliance on a single contractor for critical proposal management functions could pose a risk if performance falters.
- The 'Exclusion of Sources' aspect of the competition warrants scrutiny to ensure fairness and broad market access.
Positive Signals
- Awarded through full and open competition, suggesting a structured and fair procurement process.
- The contract's long duration (2009-2016) implies a stable and potentially effective working relationship.
- The contractor is responsible for maintaining and improving a government-owned system, indicating a vested interest in system performance.
Sector Analysis
This contract falls within the broader administrative and support services sector, specifically focusing on procurement and proposal management. The market for such services is competitive, with numerous firms offering specialized support to government agencies. NASA, as a major federal agency with complex procurement needs, represents a significant segment of this market. Comparable spending benchmarks would involve analyzing other large federal contracts for similar administrative and IT support services, particularly those related to managing large-scale solicitation processes.
Small Business Impact
The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications for small businesses stemming from a small business set-aside. The primary contractor, SMART GLOBAL SOLUTIONS JV, LLC, is likely a joint venture, which can sometimes involve small business participation, but this specific contract does not appear to have been structured to prioritize small business prime contracting.
Oversight & Accountability
Oversight for this contract would primarily reside with NASA's contracting officers and program managers responsible for the procurement and administrative support functions. Accountability measures are embedded within the Cost Plus Fixed Fee structure, requiring detailed reporting of costs and progress. Transparency is facilitated through the contract award process and the public availability of contract data. While specific Inspector General (IG) jurisdiction isn't detailed, NASA's Office of Inspector General typically has oversight over agency contracts to detect and prevent fraud, waste, and abuse.
Related Government Programs
- NASA Procurement Support Services
- Federal Proposal Evaluation Systems
- Government Administrative Services Contracts
- IT System Management for Federal Agencies
- Cost Plus Fixed Fee Contracts
Risk Flags
- Potential for cost overruns due to CPFF structure
- Limited competition (3 bidders) despite 'Full and Open' designation
- Need for clear performance metrics and oversight for administrative services
Tags
nasa, administrative-services, procurement-support, full-and-open-competition, cost-plus-fixed-fee, it-system-management, virginia, definitive-contract, office-administrative-services, federal-contract
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $122.1 million to SMART GLOBAL SOLUTIONS JV, LLC. THE CONTRACTOR WILL MANAGE AND SUPPORT SPECIFIED ASPECTS OF SOLICITING AND RECEIVING, PROCESSING, AND EVALUATING RESPONSES TO THE SOLICITATIONS (E.G., PROPOSALS). THE CONTRACTOR MAY ALSO BE REQUIRED TO TAKE PART IN INFORMING PROPOSERS OF THE STATUS OF THEIR PROPOSALS, AND PREPARING DOCUMENTATION THAT MUST BE DONE TO PERMIT THE DISBURSEMENT OF FUNDS. THE CONTRACTOR MAY ALSO BE CALLED ON TO ORGANIZE AND SUPPORT CONFERENCES OR MEETINGS. THIS SUPPORT INCLUDES OPERATING, MAINTAINING AND CONTINUING TO
Who is the contractor on this award?
The obligated recipient is SMART GLOBAL SOLUTIONS JV, 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 $122.1 million.
What is the period of performance?
Start: 2010-08-01. End: 2016-01-31.
What was the specific nature of the 'Exclusion of Sources' in this full and open competition?
The designation 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests that while the competition was intended to be open, certain potential offerors were excluded from participating. This exclusion could be based on various factors, such as specific technical requirements, security clearances, past performance evaluations, or pre-qualification processes. Without further details from the original solicitation or award documents, it is difficult to pinpoint the exact reasons for the exclusion. However, such clauses are typically used to ensure that only qualified and capable entities are considered, potentially streamlining the evaluation process but also limiting the breadth of competition. The fact that only three bids were received could be a consequence of this exclusion, indicating that the criteria may have significantly narrowed the field of eligible contractors.
How did the Cost Plus Fixed Fee (CPFF) structure impact the final cost compared to other contract types?
The Cost Plus Fixed Fee (CPFF) contract type allows the contractor to be reimbursed for all allowable costs incurred, plus a predetermined fixed fee representing profit. This structure is often used when the scope of work is not precisely defined or is expected to evolve, providing flexibility. For taxpayers, CPFF contracts carry a risk of cost overruns if the contractor's costs exceed initial estimates, as the government is obligated to cover these. However, the fixed fee component incentivizes the contractor to control costs to maximize their profit margin. In this case, the final cost of $122.1 million reflects the actual costs incurred plus the negotiated fixed fee. A comparison to a Fixed Price contract would likely show a higher potential final cost for CPFF if costs were poorly managed, but potentially lower if the scope was highly variable and a fixed-price bid would have included significant contingency.
What were the key performance indicators (KPIs) used to evaluate SMART GLOBAL SOLUTIONS JV, LLC's performance?
Specific Key Performance Indicators (KPIs) for this contract are not detailed in the provided data. However, typical KPIs for a contract managing proposal evaluation and administrative support would likely include metrics related to the timeliness and accuracy of proposal processing, the operational uptime and performance of the government-owned electronic system, the efficiency of fund disbursement documentation, and the quality of support provided during conferences and meetings. Adherence to deadlines, error rates in data entry or processing, system responsiveness, and user satisfaction surveys from procurement officers and proposers would also be probable KPIs. The success of the contractor would be measured against these benchmarks, influencing future contract awards and performance reviews.
What is the significance of the contract number (not provided) and its relation to NASA's overall procurement strategy?
While the specific contract number is not provided, its existence signifies a formal agreement between NASA and SMART GLOBAL SOLUTIONS JV, LLC for essential procurement support services. The value ($122.1 million) and duration (2009-2016) indicate that this was a significant contract within NASA's administrative and operational budget during that period. Its relation to NASA's overall procurement strategy would be to ensure the efficient and effective management of its extensive solicitation and award processes. Such contracts are crucial for agencies like NASA, which handle numerous complex research, development, and acquisition programs, requiring robust systems and skilled personnel to manage the inflow of proposals and ensure fair competition.
How does the North American Industry Classification System (NAICS) code 561110 (Office Administrative Services) align with the contract's described services?
The NAICS code 561110, 'Office Administrative Services,' aligns well with the described services of this contract. These services encompass a wide range of support functions typically performed in an office environment, including managing correspondence, processing documents, operating communication systems, and providing general administrative assistance. The contract's focus on managing proposal submissions, processing evaluations, preparing disbursement documentation, and supporting conferences directly falls under the umbrella of advanced office administrative services. This code signifies that the primary function of the contract is to provide essential operational support that enables the agency's core functions, in this case, the complex procurement processes undertaken by NASA.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Office Administrative Services › Office Administrative Services
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: NNH09275931R
Offers Received: 3
Pricing Type: COST PLUS FIXED FEE (U)
Evaluated Preference: NONE
Contractor Details
Address: 7855 WALKER DR STE 200, GREENBELT, MD, 20770
Business Categories: Black American Owned Business, Category Business, Limited Liability Corporation, Minority Owned Business, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $145,900,000
Exercised Options: $122,605,845
Current Obligation: $122,124,209
Actual Outlays: $87,683
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Timeline
Start Date: 2010-08-01
Current End Date: 2016-01-31
Potential End Date: 2016-01-31 00:00:00
Last Modified: 2022-09-19
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