NASA awards $3.8M contract to Red Eagle 2 JV for Kennedy Space Center facility upgrades
Contract Overview
Contract Amount: $3,842,183 ($3.8M)
Contractor: RED Eagle 2 JV
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2024-09-25
End Date: 2026-03-31
Contract Duration: 552 days
Daily Burn Rate: $7.0K/day
Competition Type: NOT AVAILABLE FOR COMPETITION
Number of Offers Received: 1
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: REFURBISH THE WATER AND WASTEWATER SYSTEMS IN THE BOOSTER FABRICATION FACILITY COMPLEX AT KENNEDY SPACE CENTER, FLORIDA.
Place of Performance
Location: ORLANDO, BREVARD County, FLORIDA, 32899
State: Florida Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $3.8 million to RED EAGLE 2 JV for work described as: REFURBISH THE WATER AND WASTEWATER SYSTEMS IN THE BOOSTER FABRICATION FACILITY COMPLEX AT KENNEDY SPACE CENTER, FLORIDA. Key points: 1. Contract focuses on essential water and wastewater system refurbishment, critical for facility operations. 2. The award was not competitively solicited, raising questions about potential price discovery. 3. A firm-fixed-price structure aims to control costs, but the lack of competition limits benchmarking. 4. The contract duration of 552 days suggests a significant scope of work. 5. This project supports NASA's infrastructure maintenance at a key space exploration hub.
Value Assessment
Rating: fair
The contract value of $3.84 million for refurbishing water and wastewater systems appears reasonable for a facility of this nature. However, without competitive bidding, it is difficult to benchmark against market rates or similar contracts. The firm-fixed-price nature provides cost certainty for the government, but the absence of competition means potential savings from a bidding process may have been forgone. Further analysis would require understanding the specific scope of work and the complexity of the systems involved.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning it was not open to competition from multiple bidders. The specific justification for this approach is not detailed in the provided data. Sole-source awards can sometimes be necessary for specialized services or when only one contractor possesses the required capabilities. However, they limit the government's ability to leverage competition to secure the best possible pricing and value.
Taxpayer Impact: The lack of competition means taxpayers may not have benefited from the cost savings typically achieved through a bidding process. The government paid the price determined by the sole contractor without the downward pressure that multiple bids would usually provide.
Public Impact
The primary beneficiaries are NASA and its operations at the Kennedy Space Center, ensuring the continued functionality of critical infrastructure. The services delivered include the refurbishment of water and wastewater systems, essential for maintaining a safe and operational environment. The geographic impact is localized to Kennedy Space Center in Florida. Workforce implications include employment opportunities for skilled trades involved in construction and system repair.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of competitive bidding limits assurance of best value for taxpayer funds.
- Sole-source award may indicate a lack of market research or contractor availability.
- Firm-fixed-price contract could lead to cost overruns if unforeseen issues arise during refurbishment.
Positive Signals
- Contract awarded to a joint venture, potentially fostering collaboration and shared expertise.
- Focus on essential infrastructure maintenance ensures operational continuity for a critical NASA facility.
- Firm-fixed-price contract provides cost predictability for the government.
Sector Analysis
This contract falls within the construction and facilities maintenance sector, specifically focusing on specialized mechanical systems. The market for such services is competitive, with numerous contractors capable of performing plumbing, heating, and air-conditioning work. However, the specific requirements of a space facility like Kennedy Space Center may necessitate specialized knowledge or security clearances, potentially influencing the competitive landscape for certain projects. Comparable spending benchmarks would typically involve other government or large industrial facility renovation projects.
Small Business Impact
The provided data does not indicate if this contract involved small business set-asides or subcontracting opportunities. As a sole-source award, the focus was likely on the primary contractor's capabilities. Further investigation would be needed to determine if Red Eagle 2 JV, as a joint venture, includes small business participation or if any subcontracting plans were mandated.
Oversight & Accountability
Oversight for this contract would primarily fall under the National Aeronautics and Space Administration (NASA). As a definitive contract with a set duration and scope, standard contract management processes would apply. Transparency is limited by the sole-source nature of the award. Inspector General jurisdiction would apply if any fraud, waste, or abuse were suspected.
Related Government Programs
- Kennedy Space Center Infrastructure Projects
- NASA Facilities Maintenance Contracts
- Water and Wastewater System Upgrades
- Federal Construction Contracts
Risk Flags
- Sole-source award may limit price competition.
- Potential for cost overruns if unforeseen issues arise in refurbishment.
- Contractor's performance history not readily available.
Tags
construction, facility-maintenance, nasa, kennedy-space-center, florida, definitive-contract, sole-source, firm-fixed-price, water-systems, wastewater-systems, infrastructure-upgrade
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $3.8 million to RED EAGLE 2 JV. REFURBISH THE WATER AND WASTEWATER SYSTEMS IN THE BOOSTER FABRICATION FACILITY COMPLEX AT KENNEDY SPACE CENTER, FLORIDA.
Who is the contractor on this award?
The obligated recipient is RED EAGLE 2 JV.
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 $3.8 million.
What is the period of performance?
Start: 2024-09-25. End: 2026-03-31.
What is the specific scope of work for refurbishing the water and wastewater systems?
The provided data indicates the contract is for 'REFURBISH THE WATER AND WASTEWATER SYSTEMS IN THE BOOSTER FABRICATION FACILITY COMPLEX AT KENNEDY SPACE CENTER, FLORIDA.' While the exact components and extent of refurbishment are not detailed, this typically involves inspecting, repairing, replacing, or upgrading piping, pumps, filtration systems, treatment units, and associated controls. The complexity can range from minor repairs to a complete overhaul of the existing infrastructure, depending on the age and condition of the systems. Detailed specifications would be found in the contract's statement of work.
What is the track record of Red Eagle 2 JV with NASA or similar agencies?
Information regarding the specific track record of 'Red Eagle 2 JV' with NASA or similar agencies is not provided in the data. As a joint venture, its performance history would depend on the combined experience and past performance of its constituent companies. To assess their track record, one would typically look at past federal contract awards, performance evaluations (e.g., Contractor Performance Assessment Reporting System - CPARS), and any history of disputes or contract terminations. Without this information, it's difficult to gauge their reliability and past success on similar projects.
How does the $3.84 million cost compare to similar water system refurbishment projects at other federal facilities?
Benchmarking the $3.84 million cost against similar projects is challenging without more specific details on the scope of work and the condition of the systems being refurbished. Water and wastewater system refurbishments can vary significantly in cost based on factors like facility size, system complexity, required upgrades (e.g., compliance with new environmental regulations), and labor costs in the specific geographic region. Generally, large-scale industrial or complex facility system upgrades can run into millions of dollars. The lack of competitive bidding for this specific contract further complicates a direct value-for-money comparison.
What are the potential risks associated with a sole-source award for this type of infrastructure project?
The primary risk of a sole-source award is the potential for paying a higher price than would be achieved through competition. Without multiple bids, there is less incentive for the contractor to offer the lowest possible price. Additionally, sole-source awards can sometimes indicate a lack of available qualified contractors or insufficient market research by the agency, which could lead to challenges in project execution or finding alternative solutions if issues arise. For infrastructure projects, risks also include potential delays, cost overruns if unforeseen conditions are encountered, and ensuring the chosen contractor has the necessary expertise and capacity.
What is the historical spending by NASA on facilities maintenance and infrastructure at Kennedy Space Center?
Historical spending data for NASA's facilities maintenance and infrastructure at Kennedy Space Center is not provided in this data snippet. However, NASA, like other major federal agencies operating large research and launch facilities, consistently allocates significant funds towards maintaining and upgrading its infrastructure. This includes buildings, launch pads, utilities, and specialized equipment. Annual budgets for such activities can range from tens to hundreds of millions of dollars depending on the agency's strategic priorities, the age of the facilities, and the need for modernization or expansion. Specific historical figures would require accessing NASA's budget reports and contract databases.
What are the implications of the firm-fixed-price contract type for this project?
A firm-fixed-price (FFP) contract type means the contractor agrees to a total price for the work described in the contract. This shifts most of the risk to the contractor, as they are obligated to complete the work for the agreed-upon price, regardless of their actual costs. For NASA, this provides cost certainty and predictability, making budgeting easier. However, if the contractor encounters unforeseen difficulties or underestimates the cost of performance, they may incur losses. Conversely, if they perform efficiently, they can achieve a higher profit margin. For refurbishment projects, FFP can be beneficial if the scope is well-defined, but carries risk if unknown conditions are likely.
Industry Classification
NAICS: Construction › Building Equipment Contractors › Plumbing, Heating, and Air-Conditioning Contractors
Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS
Competition & Pricing
Extent Competed: NOT AVAILABLE FOR COMPETITION
Solicitation Procedures: ONLY ONE SOURCE
Solicitation ID: 80KSC024R0021
Offers Received: 1
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 29627 E STATE HIGHWAY 51, COWETA, OK, 74429
Business Categories: American Indian Owned Business, Category Business, Minority Owned Business, Native American Owned Business, SBA Certified 8 a Joint Venture, Self-Certified Small Disadvantaged Business, Service Disabled Veteran Owned Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business
Financial Breakdown
Contract Ceiling: $3,842,183
Exercised Options: $3,842,183
Current Obligation: $3,842,183
Actual Outlays: $2,078,522
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2024-09-25
Current End Date: 2026-03-31
Potential End Date: 2026-03-31 00:00:00
Last Modified: 2026-03-19
Other National Aeronautics and Space Administration Contracts
- International Space Station — $22.4B (THE Boeing Company)
- TAS::80 0124::TAS Design, Development, Test&evaluation of Project Orion — $15.5B (Lockheed Martin Corp)
- Provide Developmental Hardware and Test Articles, and Manufacture and Assemble Ares I Upper Stages. the Upper Stage (US) Element IS an Integral Part of the Ares I Launch Vehicle and Provides the Second Stage of Flight. the US Element IS Responsible for the Roll Control During the First Stage Burn and Separation; and Will Provide the Guidance and Navigation, Command and Data Handling, and Other Avionics Functions for the Ares I During ALL Phases of the Ascent Flight. the US Element IS a NEW Design That Emphasizes Safety, Operability, and Minimum Life Cycle Cost. the Overall Design, Development, Test and Evaluation (ddt&e), Production, and Sustaining Engineering Efforts Include Activities Performed by Three Organizations; the Nasa Design Team (NDT), the Upper Stage Production Contractor (uspc) and the Instrument Unit Production Contractor (iupc). for Clarity, the Uspc Will BE Referred to AS the Contractor Throughout This Document. Nasa IS Responsible for the Integration of the Primary Elements of the Ares I Launch Vehicle Including: the First Stage, US Including Instrument Unit (IU), and US Engine; and Will Also Integrate the Ares I Launch Vehicle AT the Launch Site. Nasa IS Responsible for the Ddt&e, Including Technical and Programmatic Integration of the US Subsystems and Government-Furnished Property. Nasa Will Lead the Effort to Develop the Requirements and Specifications of the US Element, the Development Plan and Testing Requirements, and ALL Design Documentation, Initial Manufacturing and Assembly Process Planning, Logistics Planning, and Operations Support Planning. Development, Qualification, and Acceptance Testing Will BE Conducted by Nasa and the Contractor to Satisfy Requirements and for Risk Mitigation. Nasa IS Responsible for the Overall Upper Stage Verification and Validation Process and Will Require Support From the Contractor. the Contractor IS Responsible for the Manufacture and Assembly of the Upper Stage Test Flight and Operational Upper Stage Units Including the Installation of Upper Stage Instrument Unit, the Government-Furnished US Engine, Booster Separation Motors, and Other Government-Furnished Property. a Description of the Nasa Managed and Performed Efforts IS Contained in the US Work Packages and Will BE Made Available to the Contractor to Ensure Their Understanding of the Roles and Responsibilities of the NDT, Iupc, and Contractor During the Design, Development, and Operation of the US Element. the US Conceptual Design Described in the Uso-Clv-Se-25704 US Design Definition Document (DDD) IS the Baseline Design for This Contract. the Contractors Early Role Will BE to Provide Producibility Engineering Support to Nasa VIA the Established US Office Structure and to Provide Inputs Into the Final Design Configuration, Specifications, and Standards. Nasa Will Transition the Manufacturing and Assembly, Logistics Support Infrastructure, Configuration Management, and the Sustaining Engineering Functions to the Contractor AT the KEY Points During the Development and Implementation of the Program Currently Planned to Occur NO Later Than 90 Days After the Completion of the Following Major Milestones: Manufacturing and Assembly US Preliminary Design Review (PDR) Logistics Support Infrastructure US PDR Configuration Management US Critical Design Review CDR) Sustaining Engineering US Design Certification Review (DCR) After the Completion of an Orderly Transition of Roles and Responsibilities to the Contractor, Nasa Will Assume an Insight Role Into the Contractors Production, Sustaining Engineering, and Operations Support of the Ares I US Test Program and Flight Hardware. After DCR, the Contractor Will BE Responsible for Sustaining Engineering PER SOW Section 4.7, AS Necessary to Maintain and Support the US Configuration and for Production and Operations Support — $10.5B (THE Boeing Company)
- Space Program Operations Contract (spoc) — $8.5B (United Space Alliance, LLC)
- Joint Us/Russian Human Space Flight Activities — $4.7B (Russia Space Agency)
View all National Aeronautics and Space Administration contracts →