NASA's $1.9B Engineering Science Contract Awarded to Amentum Technology, Inc. for Services

Contract Overview

Contract Amount: $1,935,286,588 ($1.9B)

Contractor: Amentum Technology, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2005-02-01

End Date: 2013-04-30

Contract Duration: 3,010 days

Daily Burn Rate: $643.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: ENGINEERING SCIENCE CONTRACT

Place of Performance

Location: HOUSTON, HARRIS County, TEXAS, 77058

State: Texas Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $1.94 billion to AMENTUM TECHNOLOGY, INC. for work described as: ENGINEERING SCIENCE CONTRACT Key points: 1. Significant contract value of $1.9 billion over its life. 2. Amentum Technology, Inc. secured this large award. 3. Full and open competition was utilized. 4. The contract spans nearly 8 years, indicating a long-term need.

Value Assessment

Rating: good

The contract's Cost Plus Award Fee (CPAF) structure incentivizes performance. While CPAF can lead to higher costs than fixed-price contracts, it allows flexibility for complex engineering services where scope may evolve. Benchmarking against similar large-scale engineering service contracts is recommended.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition suggests a robust price discovery process. This method allows multiple qualified vendors to bid, theoretically driving down costs and ensuring the government receives competitive pricing for the engineering services required.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, aiming to secure the best value. However, the CPAF structure requires careful monitoring to ensure costs remain reasonable and performance targets are met.

Public Impact

Supports critical NASA engineering and scientific missions. Potential for technological advancements and innovation. Job creation in the aerospace and engineering sectors. Impacts the broader aerospace supply chain.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Engineering Services sector, a critical component of NASA's operations. Spending in this area is often substantial due to the complexity and specialized nature of aerospace engineering. Benchmarks for similar large-scale, long-duration engineering service contracts are typically in the hundreds of millions to billions of dollars.

Small Business Impact

The data indicates that this contract was not awarded to small businesses (ss: false, sb: false). This suggests that the scale and complexity of the engineering services required may have favored larger, established companies. Further analysis could explore subcontracting opportunities for small businesses.

Oversight & Accountability

The contract's long duration and CPAF structure necessitate robust oversight from NASA to ensure cost control and performance. Regular reviews of award fee determinations and cost reports are crucial for accountability and to prevent potential waste.

Related Government Programs

Risk Flags

Tags

engineering-services, national-aeronautics-and-space-administr, tx, definitive-contract, billion-dollar

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $1.94 billion to AMENTUM TECHNOLOGY, INC.. ENGINEERING SCIENCE CONTRACT

Who is the contractor on this award?

The obligated recipient is AMENTUM TECHNOLOGY, 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 $1.94 billion.

What is the period of performance?

Start: 2005-02-01. End: 2013-04-30.

What specific engineering services are covered under this contract, and how do they align with NASA's current and future mission objectives?

The contract, identified as 'ENGINEERING SCIENCE CONTRACT,' likely encompasses a broad range of technical support, design, analysis, and testing services essential for NASA's space exploration and aeronautical research programs. Its alignment with mission objectives would depend on the specific task orders issued, but such contracts typically support vehicle development, scientific instrument integration, and operational support for ongoing missions, ensuring continuity and advancement.

Given the Cost Plus Award Fee (CPAF) structure, what mechanisms are in place to ensure cost efficiency and prevent contractor overspending?

CPAF contracts typically include detailed performance metrics and objective criteria for earning award fees. NASA's oversight would involve rigorous monitoring of contractor performance against these metrics, independent cost analysis, and thorough justification for any cost increases. The award fee itself is contingent on meeting or exceeding defined performance standards, providing a financial incentive for efficiency.

How does the $1.9 billion contract value compare to historical spending on similar engineering services by NASA or other federal agencies?

A $1.9 billion contract value over nearly 8 years for engineering services is substantial, reflecting the high cost and complexity of aerospace projects. While specific comparisons require detailed analysis of contract scope and duration, this figure is consistent with major, long-term support contracts awarded by agencies like NASA, the Department of Defense, or the Department of Energy for critical research and development initiatives.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: Jacobs Engineering Group Inc (UEI: 074103508)

Address: 600 WILLIAM NORTHERN BLVD, TULLAHOMA, TN, 37388

Business Categories: Category Business, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,160,404,725

Exercised Options: $2,160,404,725

Current Obligation: $1,935,286,588

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2005-02-01

Current End Date: 2013-04-30

Potential End Date: 2013-04-30 00:00:00

Last Modified: 2020-02-27

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