NASA's $603.7M Base Operations Contract Awarded to Amentum Spaceport LLC Faces Scrutiny
Contract Overview
Contract Amount: $603,681,661 ($603.7M)
Contractor: Amentum Spaceport LLC
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2019-04-01
End Date: 2026-07-31
Contract Duration: 2,678 days
Daily Burn Rate: $225.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: BASE OPERATIONS AND SPACEPORT SERVICES (BOSS) CONTRACT
Place of Performance
Location: ORLANDO, BREVARD County, FLORIDA, 32899
State: Florida Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $603.7 million to AMENTUM SPACEPORT LLC for work described as: BASE OPERATIONS AND SPACEPORT SERVICES (BOSS) CONTRACT Key points: 1. The contract's significant value raises questions about cost-effectiveness. 2. Amentum Spaceport LLC is the sole awardee, limiting competitive pricing. 3. Potential risks include vendor lock-in and lack of ongoing price pressure. 4. The Facilities Support Services sector is critical for NASA's infrastructure.
Value Assessment
Rating: questionable
The contract value of $603.7 million over its period of performance is substantial. Benchmarking against similar facilities support contracts is difficult without more granular data, but the scale suggests a need for rigorous cost oversight.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
While the contract was awarded under full and open competition, the single award to Amentum Spaceport LLC means there was no ongoing competition for task orders. This could limit price discovery and potentially lead to higher costs over time.
Taxpayer Impact: Taxpayer funds are being utilized for essential spaceport operations. The effectiveness of the competition method in securing the best value for taxpayers is a key consideration.
Public Impact
Ensures critical infrastructure and services for NASA's space launch capabilities. Supports ongoing space exploration and research missions. Impacts local economy through employment and contractor spending in Florida.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of ongoing competition may lead to price creep.
- Sole awardee could create dependency and reduce flexibility.
- Contract duration is lengthy, potentially locking in suboptimal pricing.
Positive Signals
- Provides essential services for critical national assets.
- Awarded through full and open competition, suggesting initial vetting.
- Firm fixed price contract provides some cost certainty.
Sector Analysis
This contract falls under Facilities Support Services, a broad category essential for maintaining operational readiness of complex government facilities like spaceports. Spending benchmarks vary widely based on facility size and complexity, but large-scale contracts like this warrant close examination of efficiency and value.
Small Business Impact
The data indicates that small business participation was not a stated requirement or outcome for this contract (ss: false, sb: false). This suggests a focus on large prime contractors, potentially limiting opportunities for smaller businesses in the supply chain.
Oversight & Accountability
Oversight will be crucial to ensure Amentum Spaceport LLC meets performance requirements and that costs remain justified throughout the contract's life. NASA's contracting officers and program managers must actively monitor performance and expenditures to maintain accountability.
Related Government Programs
- Facilities Support Services
- National Aeronautics and Space Administration Contracting
- National Aeronautics and Space Administration Programs
Risk Flags
- Potential for price creep due to lack of ongoing competition.
- Risk of vendor lock-in and reduced flexibility.
- Limited small business participation.
- Long contract duration may not capture future efficiencies.
- Need for robust performance monitoring to ensure value.
Tags
facilities-support-services, national-aeronautics-and-space-administr, fl, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $603.7 million to AMENTUM SPACEPORT LLC. BASE OPERATIONS AND SPACEPORT SERVICES (BOSS) CONTRACT
Who is the contractor on this award?
The obligated recipient is AMENTUM SPACEPORT 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 $603.7 million.
What is the period of performance?
Start: 2019-04-01. End: 2026-07-31.
What is the cost per unit of service provided under this contract, and how does it compare to industry benchmarks for similar spaceport operations?
Determining a precise cost per unit is challenging without detailed service breakdowns and performance metrics. However, the total contract value of $603.7 million spread over approximately 7 years suggests significant operational costs. A thorough analysis comparing specific service costs (e.g., per launch support, facility maintenance hours) against industry averages would be necessary to assess true value for money.
What are the specific risks associated with having a single awardee for such a critical and long-term contract, particularly regarding potential price increases or service degradation?
The primary risk of a sole awardee is reduced leverage for price negotiation and potential complacency in service delivery. Without competitive pressure, Amentum might face less incentive to optimize costs or innovate. NASA must implement robust performance management and potentially include mechanisms for price adjustments based on market conditions or performance metrics to mitigate these risks.
How effectively does this contract structure ensure NASA receives the best value for taxpayer dollars, considering the firm fixed price nature and the length of the contract?
The firm fixed price structure offers budget certainty, shielding NASA from cost overruns if Amentum manages its expenses efficiently. However, the long duration (over 7 years) and lack of ongoing competition mean that initial pricing might not reflect future efficiencies or market changes. NASA's oversight must focus on ensuring the initial price was competitive and that performance standards are rigorously enforced to guarantee value.
Industry Classification
NAICS: Administrative and Support and Waste Management and Remediation Services › Facilities Support Services › Facilities Support Services
Product/Service Code: UTILITIES AND HOUSEKEEPING › HOUSEKEEPING SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: NNK18619079R
Offers Received: 5
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: PAE Government Services Inc.
Address: 1320 N COURTHOUSE RD STE 700, ARLINGTON, VA, 22201
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $718,410,514
Exercised Options: $667,316,181
Current Obligation: $603,681,661
Actual Outlays: $541,978,383
Subaward Activity
Number of Subawards: 409
Total Subaward Amount: $97,845,747
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2019-04-01
Current End Date: 2026-07-31
Potential End Date: 2027-03-31 00:00:00
Last Modified: 2026-04-01
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