NASA Awards $573.5M to KBR Wyle Services for Ground Systems and Mission Operations

Contract Overview

Contract Amount: $573,500,744 ($573.5M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2022-06-01

End Date: 2027-05-31

Contract Duration: 1,825 days

Daily Burn Rate: $314.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS AWARD FEE

Sector: Aerospace

Official Description: GROUND SYSTEMS AND MISSION OPERATIONS (GSMO-3)

Place of Performance

Location: GREENBELT, PRINCE GEORGES County, MARYLAND, 20771

State: Maryland Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $573.5 million to KBR WYLE SERVICES, LLC for work described as: GROUND SYSTEMS AND MISSION OPERATIONS (GSMO-3) Key points: 1. Contract awarded to KBR Wyle Services, LLC for a significant value of $573.5M. 2. The contract falls under Engineering Services (NAICS 541330). 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The contract type is Cost Plus Award Fee, which incentivizes performance. 5. This award impacts the aerospace and defense sector, specifically supporting NASA's mission operations.

Value Assessment

Rating: good

The contract is a Cost Plus Award Fee type, which allows for performance incentives. Pricing will be assessed based on cost plus award fees, aiming for value through mission success.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders participated. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award suggests taxpayers are likely to benefit from efficient resource allocation and potentially lower costs due to market forces.

Public Impact

Supports critical NASA ground systems and mission operations, crucial for space exploration and research. The contract duration of 5 years (1825 days) ensures continuity of essential services. Potential for technological advancements and innovation driven by performance incentives.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Award Fee contracts can sometimes lead to cost overruns if not managed carefully.
  • Reliance on a single contractor for critical mission operations could pose a risk.
  • The specific performance metrics for award fees are not detailed, impacting transparency.

Positive Signals

  • Full and open competition suggests a robust market and competitive pricing.
  • The contract aims to incentivize high performance through award fees.
  • Long-term contract provides stability for essential space operations.

Sector Analysis

This contract is within the Engineering Services sector, supporting NASA's extensive aerospace and defense operations. Spending benchmarks in this sector are highly variable, depending on the specific services and project scope.

Small Business Impact

The data indicates this contract was not awarded to small businesses, as the 'sb' field is false. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses.

Oversight & Accountability

NASA's procurement processes are subject to oversight from various bodies, including the Government Accountability Office (GAO) and the Inspector General. The Cost Plus Award Fee structure requires diligent monitoring of performance and costs.

Related Government Programs

  • Engineering Services
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Contract type: Cost Plus Award Fee
  • Long contract duration: 5 years
  • Single awardee for critical functions
  • No small business set-aside indicated

Tags

engineering-services, national-aeronautics-and-space-administr, md, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $573.5 million to KBR WYLE SERVICES, LLC. GROUND SYSTEMS AND MISSION OPERATIONS (GSMO-3)

Who is the contractor on this award?

The obligated recipient is KBR WYLE SERVICES, 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 $573.5 million.

What is the period of performance?

Start: 2022-06-01. End: 2027-05-31.

What are the key performance indicators (KPIs) tied to the award fee structure, and how are they measured?

The specific KPIs for the award fee structure are not detailed in the provided data. Typically, for NASA's mission operations, these could include mission success rates, system uptime, adherence to schedules, cost efficiency, and safety compliance. Robust measurement mechanisms and independent verification are crucial for ensuring the award fee accurately reflects contractor performance and provides genuine value.

What are the potential risks associated with a long-term Cost Plus Award Fee contract for critical mission operations?

Long-term Cost Plus Award Fee contracts carry risks such as potential for cost growth if performance metrics are loosely defined or if scope creep occurs without adequate controls. There's also a risk of contractor complacency if award fee criteria are not sufficiently challenging. For critical mission operations, over-reliance on a single contractor can create vulnerabilities if the contractor faces financial distress or operational failures.

How does this contract contribute to NASA's overall mission effectiveness and long-term strategic goals?

This contract is vital for ensuring the reliable operation of NASA's ground systems and supporting ongoing space missions. By securing KBR Wyle Services, LLC for these essential functions, NASA maintains the infrastructure necessary for data acquisition, command and control, and overall mission success. The performance incentives within the contract aim to drive efficiency and innovation, indirectly supporting NASA's broader objectives in space exploration and scientific discovery.

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

Solicitation ID: 80GSFC21R0002

Offers Received: 3

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: KBR, Inc.

Address: 7701 GREENBELT RD STE 400, GREENBELT, MD, 20770

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $645,000,000

Exercised Options: $645,000,000

Current Obligation: $573,500,744

Actual Outlays: $517,297,270

Subaward Activity

Number of Subawards: 149

Total Subaward Amount: $403,317,238

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2022-06-01

Current End Date: 2027-05-31

Potential End Date: 2027-05-31 00:00:00

Last Modified: 2026-03-31

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