NASA awards $1.27B contract to Johns Hopkins APL for aerospace research and development support

Contract Overview

Contract Amount: $1,274,597,995 ($1.3B)

Contractor: THE Johns Hopkins University Applied Physics Laboratory LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2022-03-04

End Date: 2028-08-31

Contract Duration: 2,372 days

Daily Burn Rate: $537.4K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: DRAGONFLY EXTENDED PHASE B MISSION UNDER 80MSFC20D0004 AEROSPACE RESEARCH, DEVELOPMENT AND ENGINEERING SUPPORT (ARDES) II.

Place of Performance

Location: LAUREL, HOWARD County, MARYLAND, 20723

State: Maryland Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $1.27 billion to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC for work described as: DRAGONFLY EXTENDED PHASE B MISSION UNDER 80MSFC20D0004 AEROSPACE RESEARCH, DEVELOPMENT AND ENGINEERING SUPPORT (ARDES) II. Key points: 1. Contract focuses on critical aerospace research and development, aligning with NASA's long-term exploration goals. 2. The award to a single entity suggests specialized capabilities or a strategic partnership. 3. A significant duration indicates a long-term commitment to the research objectives. 4. The contract type, Cost Plus Fixed Fee, allows for flexibility in research but requires careful cost oversight. 5. The geographic location in Maryland places the work within a hub for aerospace and defense contracting.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging due to its specialized nature and long duration. The Cost Plus Fixed Fee structure means actual costs could exceed initial estimates, impacting overall value. Without comparable contracts for similar, large-scale aerospace R&D efforts, a precise value-for-money assessment is difficult. However, the significant investment signals the perceived importance of the research to NASA's mission.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed among multiple vendors. This approach is typically used when a specific contractor possesses unique capabilities, intellectual property, or a demonstrated track record essential for the project's success. The lack of competition means that price discovery through a bidding process was bypassed, potentially leading to higher costs than if multiple firms had vied for the contract.

Taxpayer Impact: Taxpayers may not have received the benefit of competitive pricing, as the government did not leverage multiple bids to secure the best possible cost. The justification for a sole-source award needs to be robust to ensure public funds are used efficiently.

Public Impact

The primary beneficiary is NASA, which gains access to specialized research and development capabilities crucial for its aerospace missions. The contract supports advanced research in physical, engineering, and life sciences relevant to space exploration. The work is geographically concentrated in Maryland, potentially benefiting the local economy through employment and related services. The contract implies a need for highly skilled scientists, engineers, and researchers, contributing to the specialized workforce in the aerospace sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competitive pressure on pricing.
  • Cost Plus Fixed Fee contracts can lead to cost overruns if not managed diligently.
  • Long contract duration increases exposure to potential scope creep or evolving research needs.

Positive Signals

  • Award to a well-established research institution like Johns Hopkins APL suggests a high likelihood of technical success.
  • Focus on critical aerospace R&D aligns with national strategic interests.
  • The significant funding indicates a high level of confidence in the contractor's ability to deliver.

Sector Analysis

This contract falls within the Aerospace Research and Development sector, a critical area for national security and scientific advancement. The market is characterized by high barriers to entry, specialized expertise, and significant government investment. Comparable spending often involves large, multi-year R&D initiatives for space exploration, defense systems, and advanced technology development. The total value of this contract is substantial, reflecting the complexity and long-term nature of aerospace R&D.

Small Business Impact

This contract does not appear to include specific small business set-aside provisions. Given the sole-source nature and the specialized research focus, it is unlikely that significant subcontracting opportunities for small businesses will be mandated, unless the prime contractor proactively seeks them. This could limit the direct impact on the small business ecosystem for this particular award.

Oversight & Accountability

Oversight for this contract will likely be managed by NASA's contracting officers and program managers, ensuring adherence to the Cost Plus Fixed Fee terms and research objectives. The contract's long duration and cost-reimbursement nature necessitate robust financial and performance monitoring to prevent cost overruns and ensure research milestones are met. Transparency will depend on NASA's reporting practices and any public disclosures related to the research outcomes.

Related Government Programs

  • NASA Exploration Mission Support
  • Aerospace Engineering Services
  • Advanced Technology Research
  • Space Science Research

Risk Flags

  • Sole-source award lacks competitive pricing pressure.
  • Cost Plus Fixed Fee contract structure carries risk of cost overruns.
  • Long contract duration requires sustained oversight and adaptability.

Tags

nasa, aerospace-research, research-and-development, cost-plus-fixed-fee, sole-source, johns-hopkins-university-applied-physics-laboratory-llc, maryland, large-contract, long-duration, ardes-ii

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $1.27 billion to THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY LLC. DRAGONFLY EXTENDED PHASE B MISSION UNDER 80MSFC20D0004 AEROSPACE RESEARCH, DEVELOPMENT AND ENGINEERING SUPPORT (ARDES) II.

Who is the contractor on this award?

The obligated recipient is THE JOHNS HOPKINS UNIVERSITY APPLIED PHYSICS LABORATORY 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 $1.27 billion.

What is the period of performance?

Start: 2022-03-04. End: 2028-08-31.

What is the historical performance record of The Johns Hopkins University Applied Physics Laboratory LLC with NASA contracts?

The Johns Hopkins University Applied Physics Laboratory LLC (JHU APL) has a long and extensive history of supporting NASA's missions, particularly in areas of advanced research, systems engineering, and mission operations. JHU APL is a recognized leader in space science and technology, often undertaking complex, high-priority projects. Their track record with NASA includes significant contributions to numerous space missions, such as the New Horizons mission to Pluto and the Parker Solar Probe. While specific performance metrics for every contract are not publicly detailed, JHU APL's consistent engagement with NASA on critical R&D initiatives suggests a strong and reliable performance history. Their expertise in areas like spacecraft design, instrument development, and scientific analysis makes them a go-to contractor for challenging aerospace endeavors.

How does the $1.27 billion value compare to similar aerospace R&D contracts awarded by NASA?

The $1.27 billion value for this contract is substantial and falls within the range of large, long-term research and development initiatives undertaken by NASA. NASA frequently awards contracts in the hundreds of millions to billions of dollars for major space exploration programs, satellite development, and advanced technology research. For instance, contracts for developing new space telescopes, designing deep-space propulsion systems, or supporting complex human spaceflight missions can reach similar or even higher figures. The value is also influenced by the contract type (Cost Plus Fixed Fee) and its extended duration (over five years), which allows for flexibility but also accommodates significant scope. Compared to other sole-source or competitively awarded R&D contracts in the aerospace sector, this award is significant but not unprecedented for a project of this scale and strategic importance to NASA's long-term objectives.

What are the primary risks associated with a sole-source, Cost Plus Fixed Fee contract of this magnitude?

The primary risks associated with this sole-source, Cost Plus Fixed Fee (CPFF) contract are twofold. Firstly, the sole-source nature bypasses the competitive bidding process, which can limit price discovery and potentially lead to higher costs for taxpayers if robust negotiation and oversight are not in place. There's a risk that the government may not achieve the best possible value without competitive pressure. Secondly, the CPFF structure, while offering flexibility for research and development where costs can be uncertain, carries inherent risks of cost overruns. The contractor is reimbursed for allowable costs plus a fixed fee, creating less incentive to control costs compared to fixed-price contracts. Effective oversight is crucial to monitor expenditures, ensure efficiency, and prevent scope creep that could inflate the final cost beyond initial projections. The long duration further amplifies these risks.

What specific research areas does this contract cover under the ARDES II program?

This contract, "DRAGONFLY EXTENDED PHASE B MISSION UNDER 80MSFC20D0004 AEROSPACE RESEARCH, DEVELOPMENT AND ENGINEERING SUPPORT (ARDES) II," specifically supports research and development in the physical, engineering, and life sciences, as indicated by the North American Industry Classification System (NAICS) code 541715. While the provided data doesn't detail the exact 'Dragonfly' mission specifics, ARDES II contracts generally encompass a broad range of activities critical to NASA's mission. This can include conceptual design studies, technology maturation, systems engineering, prototyping, testing, and analysis related to spacecraft, instruments, launch systems, and scientific payloads. Given the 'Dragonfly' name, it might relate to a mission involving aerial exploration or complex environmental analysis, potentially for planetary bodies or atmospheric research, requiring advanced engineering and scientific investigation.

How does this contract align with NASA's broader strategic goals for space exploration?

This contract directly aligns with NASA's broader strategic goals by investing in the foundational research and development necessary for future space exploration endeavors. NASA's strategic objectives often include advancing scientific knowledge, exploring the cosmos, developing new technologies for space travel and habitation, and inspiring the next generation. Contracts like this one, focused on aerospace R&D, provide the critical scientific insights and technological capabilities that underpin these goals. Whether it supports missions to Mars, the outer planets, or new Earth observation capabilities, the research funded here is essential for pushing the boundaries of human and robotic exploration, ensuring NASA remains at the forefront of space science and technology.

What are the potential implications of the 5-year duration on the research outcomes and budget?

The 5-year duration (2372 days, approximately 6.5 years) of this contract has significant implications for both research outcomes and budget management. A longer duration allows for the in-depth investigation and maturation of complex technologies or scientific theories that cannot be rushed. It provides stability for the research team and enables the pursuit of ambitious, long-term objectives. However, it also means that the total cost is substantial, and careful budget management is required throughout the period. The extended timeline increases the risk of evolving requirements, technological obsolescence, or shifts in strategic priorities, necessitating flexibility and proactive program management. For taxpayers, it represents a sustained commitment of resources, underscoring the importance NASA places on the research objectives.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences (except Nanotechnology and Biotechnology)

Product/Service Code: RESEARCH AND DEVELOPMENTSpace R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 11100 JOHNS HOPKINS RD, LAUREL, MD, 20723

Business Categories: Category Business, Limited Liability Corporation, Nonprofit Organization, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $1,633,113,441

Exercised Options: $1,633,113,441

Current Obligation: $1,274,597,995

Actual Outlays: $1,035,832,559

Subaward Activity

Number of Subawards: 687

Total Subaward Amount: $268,490,686

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 80MSFC20D0004

IDV Type: IDC

Timeline

Start Date: 2022-03-04

Current End Date: 2028-08-31

Potential End Date: 2028-08-31 00:00:00

Last Modified: 2026-03-30

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