NASA's $90.6M R&D Contract with Amentum Technology Faces Scrutiny Over Long Duration and Limited Competition

Contract Overview

Contract Amount: $90,643,929 ($90.6M)

Contractor: Amentum Technology, Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2004-01-30

End Date: 2014-01-31

Contract Duration: 3,654 days

Daily Burn Rate: $24.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 8

Pricing Type: FIRM FIXED PRICE

Sector: R&D

Official Description: RESEARCH OPERATIONS, MAINTENANCE, AND ENGINEERING

Place of Performance

Location: HAMPTON, HAMPTON CITY County, VIRGINIA, 23681

State: Virginia Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $90.6 million to AMENTUM TECHNOLOGY, INC. for work described as: RESEARCH OPERATIONS, MAINTENANCE, AND ENGINEERING Key points: 1. Significant R&D spending of $90.6M over a decade. 2. Amentum Technology, Inc. secured the contract. 3. Contract duration of 3654 days raises questions about efficiency. 4. The sector is Research and Development, specifically physical, engineering, and life sciences.

Value Assessment

Rating: questionable

The contract's 10-year duration and fixed-price nature suggest potential for overpayment or underperformance if not closely managed. Benchmarking against similar R&D contracts of this scale and duration is difficult without more granular cost data.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, which is positive for price discovery. However, the long duration and multiple delivery orders may have limited ongoing competitive pressure.

Taxpayer Impact: Taxpayer funds were used for extensive R&D over a decade. While innovation is valuable, the long-term nature and fixed price warrant scrutiny to ensure value for money.

Public Impact

Long-term R&D investment supports potential technological advancements. Contract duration raises concerns about adaptability to evolving research needs. NASA's reliance on a single contractor for an extended period could limit access to diverse expertise. The fixed-price structure may not adequately incentivize cost efficiency over the contract's lifespan.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. Spending benchmarks in this area are highly variable due to the nature of innovation and project scope.

Small Business Impact

The provided data does not indicate whether small businesses were involved as subcontractors. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The long duration of the contract necessitates robust oversight from NASA to ensure performance, manage risks, and verify that the R&D objectives are being met efficiently and effectively.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, national-aeronautics-and-space-administr, va, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $90.6 million to AMENTUM TECHNOLOGY, INC.. RESEARCH OPERATIONS, MAINTENANCE, AND ENGINEERING

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 $90.6 million.

What is the period of performance?

Start: 2004-01-30. End: 2014-01-31.

What specific R&D advancements or outcomes resulted from this decade-long contract, and how do they justify the significant investment?

Assessing the value requires examining the tangible outputs of the R&D conducted. This includes patents, prototypes, scientific publications, or technologies transferred to operational use. Without documented achievements, the $90.6M investment's return remains unclear, potentially indicating a need for more outcome-oriented contract structures in future R&D procurements.

Given the 10-year duration, what mechanisms were in place to mitigate the risk of technological obsolescence or shifts in research priorities?

A contract spanning a decade in R&D inherently carries risks of obsolescence. Effective mitigation would involve regular performance reviews, phased funding tied to milestones, and clear clauses allowing for contract modification or termination if research directions diverge significantly. The absence of such details suggests a potential oversight in managing long-term R&D risks.

How did the 'full and open competition' at the outset translate into sustained cost-effectiveness over the contract's 10-year lifespan?

While initial competition is a positive indicator, its long-term impact on cost-effectiveness depends on contract management. Mechanisms like competitive re-solicitation for subsequent phases, performance-based incentives, or regular price reasonableness checks are crucial. If the contract simply rolled over without ongoing competitive pressure or performance validation, the initial competition's benefit may have diminished over time.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 8

Pricing Type: FIRM FIXED PRICE (J)

Contractor Details

Parent Company: Jacobs Engineering Group Inc

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

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $91,500,000

Exercised Options: $91,500,000

Current Obligation: $90,643,929

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: NNL04AA03B

IDV Type: IDC

Timeline

Start Date: 2004-01-30

Current End Date: 2014-01-31

Potential End Date: 2014-01-31 00:00:00

Last Modified: 2023-04-11

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