DoD Awards $112.6M for National Security Space Launch Phase 2 to United Launch Services

Contract Overview

Contract Amount: $112,563,245 ($112.6M)

Contractor: United Launch Services, LLC

Awarding Agency: Department of Defense

Start Date: 2023-11-02

End Date: 2026-05-30

Contract Duration: 940 days

Daily Burn Rate: $119.7K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: NATIONAL SECURITY SPACE LAUNCH PHASE 2

Place of Performance

Location: ENGLEWOOD, ARAPAHOE County, COLORADO, 80112

State: Colorado Government Spending

Plain-Language Summary

Department of Defense obligated $112.6 million to UNITED LAUNCH SERVICES, LLC for work described as: NATIONAL SECURITY SPACE LAUNCH PHASE 2 Key points: 1. Significant contract for critical space launch services. 2. Competition method is 'Full and Open', suggesting broad market access. 3. Risk is moderate, given the complexity of space launch and fixed-price nature. 4. Sector is Defense, specifically space launch capabilities.

Value Assessment

Rating: good

The award amount of $112.6 million for a delivery order under a larger contract appears reasonable for specialized space launch services. Benchmarking against similar national security space launch contracts would provide a more precise assessment of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'Full and Open Competition', indicating that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award is expected to yield efficient use of taxpayer funds for essential national security space launch capabilities.

Public Impact

Ensures continued access to space for national security missions. Supports advanced satellite deployment and operations. Contributes to the readiness and technological superiority of defense systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns if unforeseen technical challenges arise.
  • Dependence on a single contractor for critical launch services.
  • Geopolitical risks impacting supply chains or launch windows.

Positive Signals

  • Awarded through full and open competition.
  • Firm Fixed Price contract type provides cost certainty.
  • Supports critical national security objectives.

Sector Analysis

This contract falls within the Defense sector, specifically focusing on space launch services. Spending in this area is crucial for maintaining national security and technological advantage, with significant investments typically made in advanced propulsion and satellite integration.

Small Business Impact

The data does not indicate any specific set-aside for small businesses. The prime contractor, United Launch Services, LLC, is a major player in the aerospace industry, suggesting this contract is likely beyond the scope of typical small business capabilities.

Oversight & Accountability

The Department of the Air Force is the contracting agency, responsible for overseeing this delivery order. Standard oversight mechanisms for large-scale defense contracts, including performance monitoring and financial audits, would be in place.

Related Government Programs

  • Nonscheduled Chartered Freight Air Transportation
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • High cost of space launch technology.
  • Complexity of integrating payloads and ensuring mission success.
  • Long lead times and potential for schedule delays.
  • Dependence on specialized infrastructure and expertise.

Tags

nonscheduled-chartered-freight-air-trans, department-of-defense, co, delivery-order, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $112.6 million to UNITED LAUNCH SERVICES, LLC. NATIONAL SECURITY SPACE LAUNCH PHASE 2

Who is the contractor on this award?

The obligated recipient is UNITED LAUNCH SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $112.6 million.

What is the period of performance?

Start: 2023-11-02. End: 2026-05-30.

What is the total value of the underlying contract vehicle from which this delivery order was issued?

The provided data only details a specific delivery order valued at $112.6 million. To fully assess the overall value and long-term commitment, information on the parent contract's total value, duration, and remaining ceiling is necessary. This context is crucial for understanding the full scope of the National Security Space Launch Phase 2 program.

How does the per-unit cost of this launch service compare to historical benchmarks for similar national security missions?

A direct comparison of the per-unit cost is not possible without knowing the number of launches or specific services this $112.6 million award covers. However, the 'Full and Open Competition' and 'Firm Fixed Price' contract types suggest efforts to control costs. Benchmarking against previous National Security Space Launch contracts would reveal cost efficiencies or potential areas for concern.

What are the key performance indicators (KPIs) and success metrics for this delivery order?

Specific KPIs for this delivery order are not detailed in the provided data. Typically, for space launch contracts, KPIs would include on-time launch performance, mission success rates (e.g., successful satellite deployment), adherence to safety protocols, and meeting payload integration requirements. The Department of the Air Force would monitor these to ensure mission effectiveness.

Industry Classification

NAICS: Transportation and WarehousingNonscheduled Air TransportationNonscheduled Chartered Freight Air Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATIONTRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: United Launch Alliance, L.L.C

Address: 9501 E PANORAMA CIR, CENTENNIAL, CO, 80112

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

Financial Breakdown

Contract Ceiling: $112,563,245

Exercised Options: $112,563,245

Current Obligation: $112,563,245

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA881120D0001

IDV Type: IDC

Timeline

Start Date: 2023-11-02

Current End Date: 2026-05-30

Potential End Date: 2026-05-30 00:00:00

Last Modified: 2025-11-25

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