NASA's Jet Propulsion Laboratory contract for Mars Science Rover Project exceeds $1.28 billion over 10 years

Contract Overview

Contract Amount: $1,283,721,680 ($1.3B)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2018-10-01

End Date: 2028-09-24

Contract Duration: 3,646 days

Daily Burn Rate: $352.1K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: M2020 MARS SCIENCE ROVER PROJECT-PHASE A-D 60-19107 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 $1.28 billion to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: M2020 MARS SCIENCE ROVER PROJECT-PHASE A-D 60-19107 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 R… Key points: 1. This contract represents a significant investment in space exploration and scientific research. 2. The FFRDC structure allows for specialized, long-term research capabilities. 3. Performance is tied to task orders, indicating flexibility in research direction. 4. The long duration suggests a sustained commitment to the project's objectives. 5. Focus on Earth Science, Planetary Science, and other scientific areas highlights broad research scope. 6. The contractor is a non-profit educational institution, suggesting a mission-driven approach.

Value Assessment

Rating: good

The contract value of over $1.28 billion for a 10-year period for a Federally Funded Research and Development Center (FFRDC) like JPL is substantial, reflecting the complexity and long-term nature of space exploration projects. Benchmarking against similar large-scale R&D contracts for advanced scientific endeavors, this figure appears within a reasonable range given the specialized expertise and infrastructure required. The cost-plus-fixed-fee (CPFF) contract type suggests that costs are reimbursed, with a fixed fee for profit, which is common for research and development where exact costs can be unpredictable.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract is structured as a sole-source agreement with the California Institute of Technology for the operation of the Jet Propulsion Laboratory (JPL), which functions as a Federally Funded Research and Development Center (FFRDC). FFRDCs are typically established with a specific contractor due to their unique capabilities, long-term strategic importance, and the need for a stable, trusted research partner. This approach bypasses traditional competitive bidding processes because the FFRDC's role is inherently tied to its established relationship and specialized infrastructure.

Taxpayer Impact: For taxpayers, a sole-source FFRDC contract ensures continuity and access to specialized expertise for critical national research objectives, but it limits the potential for cost savings that might arise from open competition.

Public Impact

The primary beneficiaries are the scientific community and the public, through advancements in Earth science and planetary exploration. Services delivered include research, development, and operation of space missions and scientific instruments. The geographic impact is global, with data collected from space missions influencing understanding of Earth and other celestial bodies. Workforce implications include employment for highly skilled scientists, engineers, and technicians at JPL and its supporting organizations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Sole-source nature limits competitive pressure on pricing.
Long-term nature of the contract may not adapt quickly to evolving technological needs without modifications.
Cost-plus-fixed-fee structure requires diligent oversight to manage costs effectively.

Positive Signals

FFRDC designation ensures a stable, long-term partner for critical national research.
Contractor's non-profit status may align incentives with mission objectives rather than profit maximization.
Focus on scientific advancement supports national goals in space exploration and Earth observation.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for large-scale space exploration and planetary science research is highly specialized, dominated by a few key government agencies and research institutions. NASA's FFRDC model, exemplified by JPL, is a common approach for ensuring dedicated, long-term scientific and technological development capabilities. Comparable spending benchmarks would involve other major NASA mission contracts or large-scale R&D initiatives in advanced scientific fields.

Small Business Impact

This contract does not appear to have specific small business set-aside provisions. As a sole-source FFRDC contract with the California Institute of Technology, the primary focus is on the core research and development capabilities of JPL. Subcontracting opportunities may exist, but they are not explicitly detailed as a set-aside requirement within the provided data. The impact on the small business ecosystem is likely indirect, through potential subcontracting by JPL for specialized goods or services, rather than direct set-aside awards.

Oversight & Accountability

Oversight is primarily conducted by NASA through its Management Office and Contracting Officers, who issue task orders and monitor performance. As an FFRDC, JPL operates under a charter that defines its relationship with the government, implying a high degree of oversight and accountability. Transparency is facilitated through NASA's public reporting and the nature of scientific research, which is often published. Inspector General jurisdiction would apply to potential fraud, waste, or abuse within the contract.

Related Government Programs

NASA Mars Exploration Program
NASA Science Mission Directorate
Federally Funded Research and Development Centers (FFRDCs)
Jet Propulsion Laboratory Operations

Risk Flags

Sole-source award limits competitive benchmarking.
Long contract duration may increase risk of technological obsolescence or shifting priorities.
Cost-plus-fixed-fee requires robust cost monitoring by the agency.

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $1.28 billion to CALIFORNIA INSTITUTE OF TECHNOLOGY. M2020 MARS SCIENCE ROVER PROJECT-PHASE A-D 60-19107 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 ISSUE

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 $1.28 billion.

What is the period of performance?

Start: 2018-10-01. End: 2028-09-24.

What is the historical spending trend for the Mars Science Rover Project under this contract?

The provided data indicates a total contract value of $1,283,721,680.01 with a start date of 2018-10-01 and an end date of 2028-09-24, spanning approximately 10 years. This suggests an average annual spending rate of roughly $128 million. However, the data does not provide a year-over-year breakdown of actual expenditures. The contract type is Cost Plus Fixed Fee (CPFF), and it is structured around task orders issued by NASA. Therefore, actual spending would likely fluctuate based on the specific research and development activities defined in those task orders during each fiscal year. Without historical disbursement data, a precise spending trend cannot be determined, but the total value points to a consistent, significant investment over the contract's life.

How does the cost-plus-fixed-fee (CPFF) structure impact the contractor's incentive for cost efficiency?

The Cost-Plus-Fixed-Fee (CPFF) contract structure reimburses the contractor (California Institute of Technology/JPL) for all allowable costs incurred, plus a predetermined fixed fee representing profit. This structure is often used for research and development where the scope of work or final costs are uncertain. While the fixed fee provides some incentive for the contractor to manage costs to avoid overruns that might reduce their effective profit margin, it generally offers less incentive for aggressive cost-cutting compared to fixed-price contracts. NASA's oversight is crucial to ensure that costs are reasonable and allocable to the contract objectives. The FFRDC nature of JPL may also mean that mission success and scientific advancement are prioritized over pure profit maximization, influencing cost management behavior.

What are the key performance indicators (KPIs) NASA uses to evaluate JPL's performance under this contract?

The provided data does not explicitly list the Key Performance Indicators (KPIs) NASA uses for this specific contract. However, given the nature of the work (space exploration, scientific research, FFRDC operations), performance is likely evaluated based on factors such as the successful execution of task orders, achievement of scientific objectives, adherence to project timelines and milestones, effective management of resources, technological innovation, and the quality of scientific data and findings produced. NASA's Management Office Contracting Officers would be responsible for monitoring progress against these implicit or explicit performance metrics, which are often detailed within the individual task orders and the overarching FFRDC charter.

What is the significance of JPL operating as a Federally Funded Research and Development Center (FFRDC) in the context of this contract?

JPL operating as an FFRDC is highly significant for this contract. FFRDCs are unique entities established to meet specific long-term research and development needs of the government that cannot be met as effectively by the private sector or government labs alone. They provide a stable, objective, and trusted source of research and analysis. For NASA, having JPL as an FFRDC ensures a dedicated, expert organization focused on space science and engineering, fostering innovation and continuity in critical programs like the Mars Science Rover Project. This structure allows for strategic planning and investment over long periods, essential for complex space missions, and facilitates a close working relationship between NASA and the contractor.

Are there any specific risks associated with the long duration (10 years) of this contract?

Yes, the long duration of this 10-year contract presents several potential risks. Technological obsolescence is a primary concern; advancements in science and engineering could outpace the contract's scope or the capabilities of the systems being developed or operated. Programmatic risks include shifts in national priorities or budget constraints that could lead to funding instability or project cancellation, despite the long-term commitment. Furthermore, personnel continuity can be a challenge; key experts might leave over a decade, impacting institutional knowledge. Finally, the extended timeline increases the potential for unforeseen scientific or technical challenges that could significantly delay or increase the cost of achieving project objectives, requiring adaptive management and potential contract modifications.

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: $1,475,442,731

Exercised Options: $1,475,442,731

Current Obligation: $1,283,721,680

Actual Outlays: $875,493,922

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