NASA's $28.9M contract for solar radiometer support extended over a decade, raising questions about long-term value
Contract Overview
Contract Amount: $28,857,288 ($28.9M)
Contractor: Ball Aerospace & Technologies Corp.
Awarding Agency: National Aeronautics and Space Administration
Start Date: 1999-11-15
End Date: 2010-02-28
Contract Duration: 3,758 days
Daily Burn Rate: $7.7K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: SOLAR BACKSCATTER ULTRAVIOLET RADIOMETER (SBUV/2) INSTRUMENTS' LAUNCH SUPPORT AND FUTURE ANOMALY INVESTIGATION EFFORT. THE CONTRACTOR SHALL PROVIDE SUPPORT SERVICES RELATED TO THE SOLAR BACKSCATTER ULTRAVIOLET RADIOMETER (SBUV/2) FLIGHT UNITS DEVELOPED FOR THE NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION (NOAA) ADVANCED TIROS-N SERIES SPACECRAFT. THE CONTRACTOR SHALL PROVIDE THE PERSONNEL, MATERIALS, FACILITIES, EQUIPMENT, AND ENGINEERING UNITS TO SUPPORT ANY SBUV/2 RELATED ANOMALY INVESTIGATION FROM ANY ORBITING NOAA/TIROS SATELLITE. THIS SHALL BE ACCOMPLISHED THROUGH TELEPHONE CONSULTATION, DISCUSSIONS WITH SPACECRAFT CONTROLLERS, GODDARD SPACE FLIGHT CENTER (GSFC), NATIONAL OCEANOGRAPHIC AND ATMOSPHERIC ADMINISTRATION (NOAA), AND INSTRUMENT PRIME CONTRACTOR PERSONNEL, ANALYSIS OF TELEMETRY, COMPARISON TO PRE-LAUNCH DATA, ETC. THIS MAY INVOLVE OCCASIONAL TRAVEL TO THE GSFC AND THE NOAA SATELLITE CONTROL CENTER (SOCC) IN SUITLAND, MARYLAND. A WRITTEN REPORT, INCLUDING ANY RECOMMENDED OPERATIONAL PROCEDURE CHANGES, SHALL BE PREPARED UPON DIRECTION FROM THE POES COTR.
Place of Performance
Location: BOULDER, BOULDER County, COLORADO, 80301
State: Colorado Government Spending
Plain-Language Summary
National Aeronautics and Space Administration obligated $28.9 million to BALL AEROSPACE & TECHNOLOGIES CORP. for work described as: SOLAR BACKSCATTER ULTRAVIOLET RADIOMETER (SBUV/2) INSTRUMENTS' LAUNCH SUPPORT AND FUTURE ANOMALY INVESTIGATION EFFORT. THE CONTRACTOR SHALL PROVIDE SUPPORT SERVICES RELATED TO THE SOLAR BACKSCATTER ULTRAVIOLET RADIOMETER (SBUV/2) FLIGHT UNITS DEVELOPED FOR THE NATIONAL OCEANIC AN… Key points: 1. The contract provided essential anomaly investigation support for NOAA's solar radiometer instruments, crucial for atmospheric research. 2. Long contract duration (1999-2010) suggests a sustained need for specialized technical expertise. 3. Sole-source award indicates a lack of readily available alternative providers for this niche service. 4. The cost-plus-award-fee structure incentivizes performance but can lead to higher overall costs. 5. Limited competition may have impacted price discovery and potentially inflated costs. 6. The contract's focus on anomaly investigation highlights the inherent risks in complex space-based instrumentation.
Value Assessment
Rating: fair
This contract, awarded in 1999 and ending in 2010, represents a significant investment in supporting critical NOAA satellite instruments. While the total value of $28.9 million over more than a decade indicates a sustained need, the lack of competition and the cost-plus-award-fee structure make a direct value-for-money assessment challenging without detailed performance metrics and cost breakdowns. Benchmarking against similar long-term support contracts for specialized aerospace components is difficult due to the unique nature of the SBUV/2 instruments and anomaly investigation services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning NASA did not conduct a competitive bidding process. This typically occurs when a single contractor possesses unique capabilities, proprietary knowledge, or is the only source capable of performing the required specialized services. The lack of competition means that NASA did not benefit from the price reductions and innovation that often arise from a competitive procurement environment.
Taxpayer Impact: For taxpayers, a sole-source award means there was no opportunity to leverage competition to secure the best possible price. The government relied on the contractor's proposed pricing and NASA's negotiation to ensure a fair cost, which may not have been as advantageous as in a competitive scenario.
Public Impact
The primary beneficiaries are NOAA and NASA, who received critical support for their atmospheric research and satellite operations. The services delivered ensured the continued functionality and data integrity of the SBUV/2 instruments, vital for monitoring Earth's ozone layer and solar activity. Geographic impact is national, supporting federal scientific missions and data collection. Workforce implications include the employment of highly specialized engineers and technical personnel required for space instrument support and anomaly resolution.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits price competition and potentially increases costs for taxpayers.
- Cost-plus-award-fee contract type can lead to less cost control compared to fixed-price contracts.
- Long contract duration without clear performance benchmarks makes ongoing value assessment difficult.
Positive Signals
- Provided essential, specialized support for critical scientific instruments, ensuring data continuity.
- Contractor (Ball Aerospace) has a strong track record in aerospace, suggesting technical competence.
- Anomaly investigation is a necessary service for complex, long-duration space missions.
Sector Analysis
This contract falls within the aerospace and defense sector, specifically supporting scientific instrumentation for Earth observation satellites. The market for such specialized support is often limited to a few highly capable contractors with extensive experience in space systems. Spending in this area is driven by the need for continuous monitoring of environmental factors and space-based research, with contracts often being long-term due to the lifecycle of satellite missions.
Small Business Impact
This contract was not set aside for small businesses, and there is no indication of subcontracting requirements for small businesses within the provided data. The specialized nature of the work likely favored larger, established aerospace contractors with the necessary expertise and infrastructure.
Oversight & Accountability
Oversight was likely conducted by NASA's Goddard Space Flight Center (GSFC) and the National Oceanic and Atmospheric Administration (NOAA), as mentioned in the contract description. The cost-plus-award-fee structure implies performance monitoring to determine award fees. Transparency is limited by the sole-source nature and the proprietary aspects of anomaly investigations, but contract awards and basic details are publicly available through federal procurement databases.
Related Government Programs
- NOAA Satellite Operations
- NASA Earth Science Missions
- Space Instrument Development and Support
- Atmospheric Research Programs
Risk Flags
- Sole-source award
- Cost-plus-award-fee contract type
- Long contract duration without clear performance benchmarks
Tags
nasa, noaa, aerospace, satellite-instrument-support, sole-source, cost-plus-award-fee, anomaly-investigation, definitive-contract, colorado, 1999-2010, atmospheric-research, scientific-instrumentation
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $28.9 million to BALL AEROSPACE & TECHNOLOGIES CORP.. SOLAR BACKSCATTER ULTRAVIOLET RADIOMETER (SBUV/2) INSTRUMENTS' LAUNCH SUPPORT AND FUTURE ANOMALY INVESTIGATION EFFORT. THE CONTRACTOR SHALL PROVIDE SUPPORT SERVICES RELATED TO THE SOLAR BACKSCATTER ULTRAVIOLET RADIOMETER (SBUV/2) FLIGHT UNITS DEVELOPED FOR THE NATIONAL OCEANIC AND ATMOSPHERIC ADMINISTRATION (NOAA) ADVANCED TIROS-N SERIES SPACECRAFT. THE CONTRACTOR SHALL PROVIDE THE PERSONNEL, MATERIALS, FACILITIES, EQUIPMENT, AND ENGINEERING UNITS TO SUPPORT ANY SBUV/2 RELATED ANOMALY INVESTIGA
Who is the contractor on this award?
The obligated recipient is BALL AEROSPACE & TECHNOLOGIES CORP..
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 $28.9 million.
What is the period of performance?
Start: 1999-11-15. End: 2010-02-28.
What was the specific nature of the anomalies investigated under this contract, and what was the impact of their resolution on NOAA's data collection?
The contract focused on supporting the Solar Backscatter Ultraviolet Radiometer (SBUV/2) instruments, which are crucial for measuring Earth's ozone layer and solar ultraviolet radiation. Anomalies could range from sensor malfunctions to data transmission errors. The resolution of these anomalies, facilitated by the contractor's expertise through consultation and analysis, was vital for ensuring the continuity and accuracy of critical atmospheric data used by scientists and policymakers worldwide. Without this support, data gaps could have emerged, hindering long-term climate and ozone monitoring efforts.
How did the 'Cost Plus Award Fee' (CPAF) structure influence the contractor's performance and the overall cost of the contract?
The CPAF structure involves the contractor being reimbursed for allowable costs plus a fee that is composed of a base amount and an award amount. The award amount is determined by the government based on the contractor's performance against pre-defined criteria. This structure incentivizes the contractor to perform well and meet or exceed expectations to earn a higher fee. However, it also means that the final cost is not fixed and can vary based on performance, potentially leading to higher overall expenditures compared to fixed-price contracts if performance targets are consistently met or exceeded. For this SBUV/2 contract, it suggests NASA aimed to motivate high-quality anomaly investigation while managing costs through performance incentives.
Given the sole-source nature, what mechanisms were in place to ensure fair pricing and prevent cost overruns?
In a sole-source procurement, ensuring fair pricing relies heavily on robust government negotiation, cost analysis, and oversight. NASA would have likely required detailed cost proposals from Ball Aerospace, scrutinizing labor rates, material costs, and indirect expenses. They would have used independent cost estimates and potentially engaged in audits to validate the contractor's figures. The CPAF structure itself includes performance metrics tied to the fee, providing some control. However, the inherent lack of competition means the government's leverage is reduced, making thorough pre-award and post-award oversight critical to achieving value.
What is the typical lifespan and cost profile for similar satellite instrument support contracts in the aerospace industry?
Satellite instrument support contracts are often long-term, mirroring the operational life of the spacecraft, which can span 5-15 years or more. Costs can vary dramatically based on the complexity of the instrument, the criticality of its mission, and the level of support required (e.g., routine operations vs. complex anomaly resolution). Contracts for highly specialized instruments like the SBUV/2, especially those requiring unique diagnostic and engineering expertise, can run into tens of millions of dollars over their lifespan. Benchmarking is challenging as each instrument and mission is unique, but multi-year support contracts for major space programs frequently represent significant, long-term financial commitments.
What are the risks associated with relying on a single contractor for critical space mission support, as seen in this sole-source award?
The primary risk of a sole-source contract is the lack of competitive pressure, which can lead to higher prices and potentially less incentive for innovation or efficiency. There's also a risk of vendor lock-in, where the government becomes dependent on the contractor's specific knowledge and processes, making it difficult or costly to switch providers. Furthermore, if the sole-source contractor experiences financial difficulties, management issues, or a loss of key personnel, it could severely disrupt the critical support being provided to the space mission, potentially jeopardizing data collection and mission objectives.
Industry Classification
NAICS: Manufacturing › Navigational, Measuring, Electromedical, and Control Instruments Manufacturing › Other Measuring and Controlling Device Manufacturing
Product/Service Code: RESEARCH AND DEVELOPMENT › Space R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Offers Received: 1
Pricing Type: COST PLUS AWARD FEE (R)
Contractor Details
Parent Company: Ball Corp (UEI: 006419147)
Address: 1600 COMMERCE ST, BOULDER, CO, 80301
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $2,727,823
Exercised Options: $2,727,823
Current Obligation: $28,857,288
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Timeline
Start Date: 1999-11-15
Current End Date: 2010-02-28
Potential End Date: 2010-02-28 00:00:00
Last Modified: 2019-09-04
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