NASA's $41.7M rocket test stand restoration contract awarded to Harry Pepper & Associates Inc
Contract Overview
Contract Amount: $41,707,373 ($41.7M)
Contractor: Harry Pepper & Associates Inc
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2014-01-09
End Date: 2017-02-14
Contract Duration: 1,132 days
Daily Burn Rate: $36.8K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: IGF::OT::IGF B2 TEST STAND RESTORATION (WORK PACKAGE #3) ROCKET TEST STAND RESTORATION CONSISTING OF SPACE LAUNCH SYSTEM (SLS) BUILD OUT. RELOCATION OF SUPERSTRUCTURE AND BATTLESHIP POINT LOAD REINFORCEMENT. GENERAL LIGHTING AND POWER, GROUNDING AND LIGHTING AND POWER, GROUNDING AND LIGHTING PROTECTION. REPAIRS TO PLATFORMS AND STAIRS, FLAME DEFLECTOR AND SOFT CORE PAINTING.
Place of Performance
Location: STENNIS SPACE CENTER, HANCOCK County, MISSISSIPPI, 39529
Plain-Language Summary
National Aeronautics and Space Administration obligated $41.7 million to HARRY PEPPER & ASSOCIATES INC for work described as: IGF::OT::IGF B2 TEST STAND RESTORATION (WORK PACKAGE #3) ROCKET TEST STAND RESTORATION CONSISTING OF SPACE LAUNCH SYSTEM (SLS) BUILD OUT. RELOCATION OF SUPERSTRUCTURE AND BATTLESHIP POINT LOAD REINFORCEMENT. GENERAL LIGHTING AND POWER, GROUNDING AND LIGHTING AND POWER, GROUNDING… Key points: 1. The contract focused on restoring a rocket test stand, a critical component for space launch systems. 2. The project involved significant structural work, including relocation of a superstructure and reinforcement of load points. 3. Electrical and lighting systems were also upgraded as part of the restoration effort. 4. The contract was awarded under a firm-fixed-price structure, indicating a defined cost for the work. 5. The duration of the contract was over three years, suggesting a complex and extensive project. 6. The work was performed in Mississippi, a state with a notable presence in the aerospace industry.
Value Assessment
Rating: fair
The contract value of $41.7 million for industrial building construction, specifically a rocket test stand restoration, appears to be within a reasonable range for such specialized infrastructure projects. Without direct comparable contracts for similar test stand restorations, a precise value-for-money assessment is challenging. However, the firm-fixed-price nature suggests the government aimed to control costs upfront. The scope of work, including structural, electrical, and painting elements, indicates a comprehensive restoration effort.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
This contract was awarded under full and open competition, meaning all responsible sources were permitted to submit a bid. The data indicates two bids were received. While two bidders suggest some level of competition, it is on the lower end for a contract of this magnitude and complexity. A higher number of bidders would typically lead to more competitive pricing and potentially better value for the government.
Taxpayer Impact: The full and open competition, despite receiving only two bids, aimed to ensure fair pricing. However, the limited number of bidders may have restricted the potential for significant cost savings for taxpayers.
Public Impact
The primary beneficiaries are NASA and its space exploration programs, which rely on functional test stands for rocket development. The services delivered include critical infrastructure repair and upgrades for a vital aerospace testing facility. The geographic impact is concentrated in Mississippi, supporting local construction and related industries. The project likely involved a workforce of skilled construction laborers, engineers, and project managers.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited competition with only two bids received could indicate potential for higher costs than if more firms had participated.
- The long duration of the contract (over three years) increases the risk of cost overruns or schedule delays if not managed effectively.
Positive Signals
- The firm-fixed-price contract type helps to cap the government's financial exposure.
- Awarding to a single contractor for the entire scope of work can lead to streamlined project management and execution.
- The restoration of a critical piece of aerospace infrastructure ensures continued capability for NASA's launch programs.
Sector Analysis
This contract falls within the Industrial Building Construction sector, a segment of the broader construction industry focused on facilities for industrial processes. The aerospace industry heavily relies on specialized construction for its launch sites, testing facilities, and manufacturing plants. Spending in this sector can be highly project-specific and influenced by government investment in space exploration and defense infrastructure. Comparable benchmarks would typically involve other large-scale industrial facility construction or renovation projects.
Small Business Impact
The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). Therefore, the primary contractor, Harry Pepper & Associates Inc., would have had the discretion to subcontract portions of the work. Analysis of subcontracting to small businesses would require further investigation into the contractor's actual subcontracting plan and performance.
Oversight & Accountability
Oversight for this contract would have been provided by the National Aeronautics and Space Administration (NASA). As a federal contract, it is subject to standard government oversight mechanisms, including contract performance monitoring, financial audits, and potentially reviews by NASA's Office of Inspector General. Transparency is generally maintained through contract award databases and public reporting requirements.
Related Government Programs
- NASA Launch Services Program
- Space Launch System (SLS) Development
- Aerospace Infrastructure Modernization
- Industrial Facility Construction Contracts
Risk Flags
- Limited competition
- Potential for cost overruns (contractor risk)
- Schedule delay risk
Tags
construction, industrial-building, nasa, national-aeronautics-and-space-administration, mississippi, firm-fixed-price, full-and-open-competition, large-contract, aerospace, infrastructure, test-stand-restoration
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $41.7 million to HARRY PEPPER & ASSOCIATES INC. IGF::OT::IGF B2 TEST STAND RESTORATION (WORK PACKAGE #3) ROCKET TEST STAND RESTORATION CONSISTING OF SPACE LAUNCH SYSTEM (SLS) BUILD OUT. RELOCATION OF SUPERSTRUCTURE AND BATTLESHIP POINT LOAD REINFORCEMENT. GENERAL LIGHTING AND POWER, GROUNDING AND LIGHTING AND POWER, GROUNDING AND LIGHTING PROTECTION. REPAIRS TO PLATFORMS AND STAIRS, FLAME DEFLECTOR AND SOFT CORE PAINTING.
Who is the contractor on this award?
The obligated recipient is HARRY PEPPER & ASSOCIATES 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 $41.7 million.
What is the period of performance?
Start: 2014-01-09. End: 2017-02-14.
What is the track record of Harry Pepper & Associates Inc. with federal contracts, particularly with NASA?
Harry Pepper & Associates Inc. has a history of performing federal contracts, including work with NASA. Their contract portfolio often includes construction and renovation projects for government facilities. For this specific contract, the firm was responsible for a significant restoration of a critical rocket test stand. A deeper dive into their past performance ratings, any past performance issues, and the types of contracts they have previously secured with NASA would provide a more comprehensive understanding of their capabilities and reliability for complex projects like this one. Examining their award history for similar scale and complexity projects would also be beneficial.
How does the $41.7 million cost compare to similar rocket test stand restoration projects?
Directly comparing the $41.7 million cost of this specific rocket test stand restoration to similar projects is challenging due to the unique nature and specialized requirements of such facilities. Rocket test stands are highly engineered structures with specific safety and operational demands, making each project distinct. However, the cost can be benchmarked against other large-scale industrial construction or renovation projects undertaken by government agencies. The firm-fixed-price nature of this contract suggests that the government sought to establish a definitive cost upfront. Further analysis would involve examining the scope of work, materials, labor, and duration against other major industrial construction contracts to gauge value for money.
What were the primary risks associated with this rocket test stand restoration project?
The primary risks associated with this rocket test stand restoration project likely included technical challenges in restoring aging and specialized infrastructure, potential for unforeseen structural or environmental issues discovered during demolition or renovation, and schedule delays due to the complexity of the work and the critical nature of the facility. Given the firm-fixed-price contract, cost overruns for the contractor were a significant risk if not managed meticulously. Furthermore, ensuring minimal disruption to ongoing or future NASA operations at the facility would have been a key operational risk to mitigate.
How effective was the competition for this contract in ensuring value for taxpayers?
The effectiveness of the competition for this contract in ensuring value for taxpayers is somewhat limited by the number of bids received. While the contract was awarded under 'full and open competition,' only two bids were submitted. Generally, a higher number of competitive bids leads to more robust price discovery and can drive down costs for the government. With only two bidders, there is a greater possibility that the winning bid was not as aggressively priced as it might have been in a more crowded field. However, the firm-fixed-price contract structure does provide cost certainty for the government, mitigating the risk of unexpected increases.
What is the historical spending pattern for rocket test stand maintenance and restoration by NASA?
Historical spending patterns for rocket test stand maintenance and restoration by NASA can vary significantly based on the age of the facilities, the pace of new rocket development, and overall budget allocations for infrastructure. Major restoration projects like this one are typically infrequent, occurring when existing facilities reach a critical point of wear or require upgrades to support new technologies. NASA's overall budget for facilities and infrastructure maintenance provides a broader context. Analyzing past capital investment in similar test facilities, as well as routine maintenance expenditures over several fiscal years, would reveal trends and inform future budgeting for such critical assets.
What are the implications of the 'Delivery Order' award type for this contract?
The 'Delivery Order' award type, in conjunction with a base contract (though not explicitly detailed here, it's implied by the structure), typically suggests that this was one of potentially multiple orders placed against a larger, pre-established contract vehicle. This approach is often used for services or supplies that are needed over a period but the exact quantity or timing isn't fully defined at the outset. For this specific project, it implies that the initial contract might have been for the overall restoration effort, and this 'delivery order' represented a specific phase or work package (Work Package #3). This allows for flexibility but also requires careful management to ensure the total cost remains within authorized limits and that the work aligns with overall program objectives.
Industry Classification
NAICS: Construction › Nonresidential Building Construction › Industrial Building Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Roberts Immigration LAW Group, LLC (UEI: 017106386)
Address: 9000 REGENCY SQUARE BLVD FL 1, JACKSONVILLE, FL, 32211
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $41,707,373
Exercised Options: $41,707,373
Current Obligation: $41,707,373
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: NNS12AA84B
IDV Type: IDC
Timeline
Start Date: 2014-01-09
Current End Date: 2017-02-14
Potential End Date: 2017-02-14 00:00:00
Last Modified: 2018-08-13
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