NASA's Jet Propulsion Laboratory contract for Europa Clipper Project exceeds $2.9 billion over 10 years

Contract Overview

Contract Amount: $2,945,898,289 ($2.9B)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2018-10-01

End Date: 2028-09-30

Contract Duration: 3,652 days

Daily Burn Rate: $806.7K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: EUROPA CLIPPER PROJECT THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION NASA AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY-CONTRACTOR, A PRIVATE NONPROFIT EDUCATIONAL INSTITUTION, WHICH ESTABLISHES THE RELATIONSHIP FOR THE OPERATION OF THE FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER-FFRDC KNOWN AS THE JET PROPULSION LABORATORY. THE CONTRACTOR, JPL, IS REQUIRED TO PERFORM WORK THAT IS DESIGNATED IN TASK ORDERS ISSUED BY THE NASA MANAGEMENT OFFICE-NMO CONTRACTING OFFICERS. NASA-SPONSORED WORK: JPLS PRIMARY MISSION IS TO SUPPORT THE NASA SCIENCE MISSION DIRECTORATE-SMD IN CARRYING OUT THE SPECIFIC OBJECTIVES IDENTIFIED IN THE SMD SCIENCE PLAN. THE FOUR BROAD SCIENTIFIC AREAS ARE: EARTH SCIENCE, PLANETARY SCIENCE, HELIOPHYSICS, AND ASTROPHYSICS. IN PERFORMANCE OF THIS CONTRACT, JPL SHALL: 1. SUPPLY A BROAD BASE OF SCIENTIFIC AND TECHNICAL CAPABILITIES RELEVANT TO NASA PROGRAM AND PROJECT RESPONSIBILITIES AND ASSIGNMENTS. 2. FOSTER ITS UNIQUE RELATIONSHIP WITH A TOP-TIER UNIVERSITY TO FACILITATE THE INVOLVEMENT OF SCIENTISTS, ENGINEERS, AND STUDENTS FROM THE UNIVERSITY AND RESEARCH COMMUNITIES IN NASA MISSION AND IN SUPPORTING OTHER GOVERNMENT AGENCIES. 3. SUPPORT NASA IN ENABLING PROGRAM AND INSTITUTIONAL CAPABILITIES. 4. DEVELOP SPACECRAFT AND INSTRUMENTS THAT ARE SENT TO VARIOUS DESTINATIONS WITH OUR SOLAR SYSTEM, INCLUDING EARTH ORBIT, PLANETS, PLANETARY SATELLITES, ASTEROIDS, AND COMETS. THESE MISSIONS MAY BE ORBITERS, LANDERS, OR ROVERS, AND TYPICALLY INCLUDE CUTTING-EDGE TECHNOLOGIES REQUIRED TO MEET SCIENTIFIC REQUIREMENTS. 5. PERFORM PROJECT TASKS INVOLVING: I-AUTONOMOUS DEEP-SPACE, INNER-SPACE AND EARTH-ORBITING SPACECRAFT OR MAJOR SUBSYSTEMS, II-EXPERIMENTS, INSTRUMENTS, OR OTHER DEVICES WHICH MAY BE CARRIED AS PAYLOAD ON SPACECRAFTS IN MISSIONS MANAGED BY OTHERS, AND-OR III-GROUND-BASED SYSTEMS. 6. BEYOND ITS PRIMARY MISSION, JPL MAY PERFORM WORK FOR OTHER NASA MISSION DIRECTORATES OR OFFICES. 7. JPL IS ALSO RESPONSIBLE FOR THE OPERATION, RESEARCH, TECHNOLOGY INSERTION, AND MANAGEMENT OF NASAS DEEP SPACE NETWORK TO PROVIDE TELECOMMUNICATION AND OPERATION SERVICES, INCLUDING DATA ACQUISITION AND DATA DELIVERY REQUIRED TO MEET ESTABLISHED AGENCY OBJECTIVES. 8. JPL IS ALSO REQUIRED TO MAINTAIN AND CONDUCT AN EDUCATION PROGRAM IN CLOSE COORDINATION WITH THE NASA HEADQUARTERS EDUCATION OFFICE, THE ACADEMIC COMMUNITY AT LARGE, AND IN SUPPORT TO NASA STRATEGIC OBJECTIVES TO IMPROVE STUDENT RETENTION IN THE SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS-STEM DISCIPLINES. WORK FOR NON-NASA SPONSORS: JPL MAY PERFORM WORK FOR NON-NASA SPONSORS. THIS WORK WILL BE DESIGNATED IN TASK ORDERS ISSUED BY NMO CONTRACTING OFFICERS BASED ON TASK PLANS INITIATED BY THE CONTRACTOR.

Place of Performance

Location: PASADENA, LOS ANGELES County, CALIFORNIA, 91109

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $2.95 billion to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: EUROPA CLIPPER PROJECT THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION NASA AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY-CONTRACTOR, A PRIVATE NONPROFIT EDUCATIONAL INSTITUTION, WHICH ESTABLISHES THE RELATIONSHIP FOR THE OPERATION… Key points: 1. Contract supports critical space exploration missions, aligning with NASA's Science Mission Directorate objectives. 2. The FFRDC structure ensures specialized research and development capabilities are maintained for national benefit. 3. Long-term nature of the contract (10 years) suggests a stable, ongoing need for JPL's expertise. 4. Performance is tied to task orders, allowing flexibility in adapting to evolving scientific priorities. 5. The contract's value reflects the complexity and scale of advanced scientific research and development. 6. Focus areas include Earth Science, Planetary Science, Heliophysics, and Astrophysics, indicating broad scientific impact.

Value Assessment

Rating: good

This contract represents a significant investment in advanced scientific research and development, specifically for space exploration. While direct comparisons to similar FFRDC contracts are complex due to their unique nature, the scale of this award aligns with the long-term, high-complexity projects typically managed by such centers. The cost-plus-fixed-fee structure is common for R&D where exact costs can be uncertain, but it necessitates careful oversight to ensure value for money. The duration and funding level suggest a robust plan for achieving ambitious scientific goals.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract is sole-source, awarded to the California Institute of Technology for the operation of the Jet Propulsion Laboratory (JPL), a Federally Funded Research and Development Center (FFRDC). FFRDCs are typically established with a specific contractor to ensure a stable, long-term capability for the government in areas requiring specialized expertise and infrastructure. The sole-source nature is inherent to the FFRDC model, designed to foster a unique government-contractor relationship.

Taxpayer Impact: For taxpayers, the sole-source nature means that direct price competition is not a factor. Instead, value is assessed through the unique capabilities and long-term strategic alignment that JPL provides, which might not be achievable through traditional competitive procurement.

Public Impact

The primary beneficiaries are the scientific community and the public, through advancements in understanding Earth, planetary science, heliophysics, and astrophysics. Services delivered include the operation of the Jet Propulsion Laboratory, a key NASA research center, and support for specific missions like Europa Clipper. The geographic impact is national, leveraging expertise across the United States, with a specific focus on California where JPL is located. Workforce implications include the employment of highly skilled scientists, engineers, and technicians at JPL.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns inherent in cost-plus contracts for complex R&D.
Reliance on a single entity (JPL) for critical FFRDC functions could pose a risk if capabilities degrade.
Long contract duration may require periodic reviews to ensure continued alignment with evolving NASA priorities.

Positive Signals

JPL's established track record and expertise in space exploration and mission operations.
FFRDC structure provides a stable, dedicated resource for critical national research needs.
Clear alignment with NASA's strategic science objectives, ensuring focused effort.
Long-term commitment fosters continuity and allows for planning of complex, multi-year projects.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for FFRDCs is specialized, with a limited number of such centers established across various government agencies. NASA's reliance on JPL for space science missions is a long-standing relationship, positioning this contract within a unique niche of government-funded scientific endeavors. Comparable spending benchmarks are difficult to establish due to the unique FFRDC construct, but the scale reflects the significant investment required for cutting-edge space exploration.

Small Business Impact

This contract does not appear to involve small business set-asides directly, as it is a sole-source award to a large research institution (Caltech) operating an FFRDC. However, JPL, as a large entity, is expected to engage small businesses for subcontracting opportunities to fulfill various project needs, contributing to the broader small business ecosystem within the aerospace and research sectors.

Oversight & Accountability

Oversight is provided by NASA's Science Mission Directorate and the Jet Propulsion Laboratory Management Office. As a cost-plus-fixed-fee contract, NASA will monitor expenditures closely to ensure costs remain within the fixed fee and that the work aligns with task orders. Transparency is maintained through regular reporting requirements and program reviews. The Inspector General's office of NASA would have jurisdiction for audits and investigations if any improprieties were suspected.

Related Government Programs

NASA Science Mission Directorate Programs
Federally Funded Research and Development Centers (FFRDCs)
Planetary Science Missions
Europa Clipper Mission
Jet Propulsion Laboratory Operations

Risk Flags

Sole-source award requires careful justification of unique capabilities.
Cost-plus-fixed-fee contracts necessitate robust cost monitoring.
Long-term nature of contract may require adaptability to changing priorities.
Reliance on a single FFRDC for critical functions.

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $2.95 billion to CALIFORNIA INSTITUTE OF TECHNOLOGY. EUROPA CLIPPER PROJECT THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION NASA AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY-CONTRACTOR, A PRIVATE NONPROFIT EDUCATIONAL INSTITUTION, WHICH ESTABLISHES THE RELATIONSHIP FOR THE OPERATION OF THE FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER-FFRDC KNOWN AS THE JET PROPULSION LABORATORY. THE CONTRACTOR, JPL, IS REQUIRED TO PERFORM WORK THAT IS DESIGNATED IN TASK ORDERS ISSUED BY THE NASA MANAGEMENT OFFI

Who is the contractor on this award?

The obligated recipient is CALIFORNIA INSTITUTE OF TECHNOLOGY.

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 $2.95 billion.

What is the period of performance?

Start: 2018-10-01. End: 2028-09-30.

What is the historical spending trend for the Jet Propulsion Laboratory (JPL) under NASA contracts?

While the provided data focuses on a single, large contract from 2018-2028, NASA's historical relationship with JPL, operated by Caltech, spans decades. JPL has consistently been a primary executor of NASA's robotic space exploration missions. Annual funding for JPL has historically fluctuated based on mission cycles and program priorities, but it generally represents a significant portion of NASA's planetary science and astrophysics budgets. For instance, in fiscal years prior to this contract, JPL's operational costs and mission-specific funding often ran into hundreds of millions of dollars annually. This $2.9 billion contract consolidates a substantial portion of that funding over a decade, reflecting a strategic commitment to JPL's role in advancing space science.

How does the cost-plus-fixed-fee (CPFF) structure impact the value for money in this contract?

The Cost-Plus-Fixed-Fee (CPFF) structure is common for research and development contracts where the scope of work can be complex and evolving, making it difficult to establish a firm fixed price upfront. In this model, the contractor (Caltech/JPL) is reimbursed for allowable costs incurred, plus a predetermined fixed fee representing profit. This structure incentivizes the contractor to control costs, as the fee remains constant regardless of the final cost. However, it also places a significant burden on NASA to meticulously monitor and audit JPL's expenditures to ensure costs are reasonable and allocable to the contract objectives. Value for money is assessed not just on the final cost, but on the successful achievement of complex scientific and engineering goals that might not be attainable under other contract types. NASA's oversight is crucial to maximizing value.

What are the key performance indicators (KPIs) used to assess JPL's performance under this contract?

Specific Key Performance Indicators (KPIs) for this contract are not detailed in the provided summary but are typically established within the individual task orders issued by NASA. Generally, for an FFRDC like JPL operating under a CPFF contract for scientific research and development, KPIs would focus on mission success criteria, adherence to scientific objectives, timely completion of milestones, technical performance of systems developed or operated, and effective management of resources. NASA's Science Mission Directorate would likely define metrics related to scientific return on investment, such as data acquisition, analysis, and dissemination. Cost control and adherence to budget within task orders would also be critical performance measures.

What is the risk associated with the long duration (10 years) of this contract?

The 10-year duration of this contract, while providing stability for long-term space exploration projects, introduces several risks. Firstly, technological advancements could outpace the contract's scope, potentially requiring costly modifications or rendering certain aspects obsolete. Secondly, scientific priorities within NASA could shift over a decade, necessitating adjustments that might not be easily accommodated within the existing framework. Thirdly, economic conditions could change, impacting the government's ability to sustain the funding levels committed. To mitigate these risks, the contract likely includes provisions for periodic reviews, potential re-negotiations, and flexibility through the task order system to adapt to evolving requirements and external factors.

How does the FFRDC designation influence the contractor's responsibilities and NASA's oversight?

The Federally Funded Research and Development Center (FFRDC) designation for JPL, operated by Caltech, establishes a unique, long-term strategic relationship with NASA. As an FFRDC, JPL is expected to operate in the public interest, providing objective analysis and technical support without conflict of interest. This designation allows NASA to maintain a core competency in critical areas of space science and technology. NASA's oversight focuses on ensuring JPL fulfills its FFRDC mission, maintains its objectivity, and effectively executes assigned task orders. The relationship is less transactional than a typical contract; it's a partnership designed to ensure the government has access to specialized, enduring capabilities. NASA provides strategic direction and funding, while JPL provides the expertise, infrastructure, and execution.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › Space 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: 4800 OAK GROVE DR, PASADENA, CA, 91109

Business Categories: Category Business, Corporate Entity Tax Exempt, Educational Institution, Higher Education, Nonprofit Organization, Not Designated a Small Business, Higher Education (Private), Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,147,051,021

Exercised Options: $3,147,051,021

Current Obligation: $2,945,898,289

Actual Outlays: $2,437,860,971

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 80NM0018D0004

IDV Type: IDC

Timeline