Boeing awarded $45M for Airborne Launch Assist Space Access (ALASA) Phase II R&D

Contract Overview

Contract Amount: $45,052,556 ($45.1M)

Contractor: THE Boeing Company

Awarding Agency: Department of Defense

Start Date: 2014-03-19

End Date: 2017-09-29

Contract Duration: 1,290 days

Daily Burn Rate: $34.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 3

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: AIRBORNE LAUNCH ASSIST SPACE ACCESS (ALASA) PHASE II - NEW AWARD

Place of Performance

Location: HUNTINGTON BEACH, ORANGE County, CALIFORNIA, 92647

State: California Government Spending

Plain-Language Summary

Department of Defense obligated $45.1 million to THE BOEING COMPANY for work described as: AIRBORNE LAUNCH ASSIST SPACE ACCESS (ALASA) PHASE II - NEW AWARD Key points: 1. Contract focuses on advanced research and development in physical, engineering, and life sciences. 2. Awarded to a major defense contractor, indicating a focus on established capabilities. 3. The contract duration of 1290 days suggests a significant, multi-year research effort. 4. Phase II implies prior development and testing, with this award building on previous work. 5. The cost-plus-fixed-fee structure allows for flexibility in research while managing costs. 6. This award falls under the broader category of space access and launch technologies.

Value Assessment

Rating: fair

The contract value of $45,052,556 for a 1290-day R&D effort appears within a reasonable range for advanced aerospace development. Benchmarking against similar large-scale R&D contracts in the defense sector is challenging without more specific project details. However, the cost-plus-fixed-fee (CPFF) pricing structure suggests that the government is willing to cover actual costs plus a negotiated profit, which can be appropriate for research where final costs are uncertain. The value needs to be assessed against the specific technological advancements and milestones achieved.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified bidders had the opportunity to submit proposals. The presence of 3 bidders suggests a competitive environment, though the specific details of the competition (e.g., number of proposals received, evaluation criteria) are not provided. Full and open competition generally leads to better price discovery and a wider range of technical solutions.

Taxpayer Impact: Taxpayers benefit from full and open competition through potentially lower prices and access to innovative solutions from a broad base of contractors.

Public Impact

The primary beneficiary is the Department of Defense, seeking to advance space access capabilities. Services delivered include research and development in advanced physical and engineering sciences. The geographic impact is primarily within the contractor's facilities, likely in California. Workforce implications include highly skilled engineers and scientists involved in cutting-edge R&D.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost-plus-fixed-fee contracts can sometimes lead to cost overruns if not managed diligently.
The long duration of the contract requires sustained oversight to ensure progress and adherence to objectives.
The specific technological risks associated with advanced space launch systems are inherent.

Positive Signals

Awarding to a major contractor like Boeing suggests a high likelihood of technical expertise and execution capability.
The Phase II designation indicates a structured development process with prior validation.
Full and open competition can drive innovation and efficiency.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences (NAICS 541712). The market for space access and launch technologies is a highly specialized and competitive segment within the broader aerospace and defense industry. Spending in this area is driven by national security requirements, scientific exploration, and the growing commercial space sector. Comparable spending benchmarks would typically involve other large-scale R&D contracts for advanced propulsion, satellite technology, or launch vehicle development.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb: false'. The prime contractor is The Boeing Company, a large aerospace firm. While there are no direct set-aside provisions, large prime contractors are often required to subcontract portions of their work to small businesses. The extent of small business participation will depend on Boeing's subcontracting plan and the specific needs of the R&D project.

Oversight & Accountability

Oversight for this contract would typically be managed by the Defense Contract Management Agency (DCMA), which is responsible for ensuring contractor compliance with contract terms, quality standards, and delivery schedules. The cost-plus-fixed-fee structure necessitates close monitoring of expenditures to ensure costs remain within the negotiated fixed fee. Transparency is generally maintained through regular reporting requirements from the contractor and potential audits by government agencies.

Related Government Programs

Advanced Space Propulsion Research
Hypersonic Vehicle Development
Next-Generation Launch Systems
Aerospace Engineering Services
Department of Defense Research Contracts

Risk Flags

Cost Overrun Risk
Technical Feasibility Risk
Program Schedule Slippage
Integration Complexity

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.1 million to THE BOEING COMPANY. AIRBORNE LAUNCH ASSIST SPACE ACCESS (ALASA) PHASE II - NEW AWARD

Who is the contractor on this award?

The obligated recipient is THE BOEING COMPANY.

Which agency awarded this contract?

Awarding agency: Department of Defense (Defense Contract Management Agency).

What is the total obligated amount?

The obligated amount is $45.1 million.

What is the period of performance?

Start: 2014-03-19. End: 2017-09-29.

What is the specific technological objective of the ALASA Phase II program?

The Airborne Launch Assist Space Access (ALASA) program, particularly Phase II, aims to develop and demonstrate technologies for rapid, responsive, and affordable access to space from airborne platforms. The specific objective is to reduce the cost and increase the flexibility of launching small satellites. This involves research into advanced propulsion systems, air-launch techniques, and integration with existing aircraft platforms to enable on-demand space launch capabilities, reducing reliance on traditional ground-based launch facilities and their associated long lead times and fixed schedules.

How does the $45 million award compare to previous ALASA funding or similar R&D efforts?

The $45 million award for ALASA Phase II represents a significant investment in this specific technology. While direct comparisons to prior ALASA phases require access to historical funding data, this amount is substantial for a research and development contract. Similar R&D efforts in advanced aerospace technologies, such as next-generation propulsion or novel launch systems, often range from tens to hundreds of millions of dollars over their lifecycle. The value of this award should be assessed in the context of the program's maturity (Phase II implies prior work) and the complexity of achieving rapid, airborne space access.

What are the key performance risks associated with this contract?

Key performance risks for the ALASA Phase II contract include technical challenges in developing reliable and efficient airborne launch systems, ensuring the safety and reliability of novel propulsion technologies, and achieving the desired cost and responsiveness metrics. Integration risks with existing aircraft platforms and the complexities of space launch itself are also significant. Furthermore, the cost-plus-fixed-fee structure requires careful management to prevent cost overruns while ensuring the contractor remains motivated to achieve performance objectives within the negotiated fee.

What is Boeing's track record in advanced aerospace R&D and launch systems?

The Boeing Company has an extensive and well-established track record in advanced aerospace research and development, as well as in the design, manufacturing, and operation of launch systems. They have been a prime contractor on numerous complex defense and space programs, including satellite development, missile systems, and various aircraft platforms. Boeing has experience with both expendable and reusable launch vehicles, and has been involved in numerous studies and projects related to innovative space access methods. Their deep expertise in aerospace engineering, systems integration, and program management positions them as a capable contractor for ambitious R&D efforts like ALASA.

What are the potential long-term implications of the ALASA program for space access?

The successful development of the ALASA program could significantly alter the landscape of space access by introducing a highly flexible, responsive, and potentially more affordable method for deploying small satellites. This could enable more frequent and tailored missions for intelligence, surveillance, reconnaissance, and communication needs. It could also foster new commercial opportunities for rapid deployment of small satellites. The ability to launch from diverse airborne platforms, rather than fixed ground sites, offers strategic advantages in terms of operational flexibility and survivability.

How does the 'Research and Development in the Physical, Engineering, and Life Sciences' classification (NAICS 541712) apply to this contract?

The NAICS code 541712, 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology),' accurately describes the core activities of the ALASA Phase II contract. This contract involves fundamental and applied research aimed at advancing the physical and engineering principles necessary for airborne space launch systems. This includes areas like aerodynamics, propulsion, materials science, control systems, and systems integration, all of which fall squarely within the physical and engineering sciences. The focus is on developing new knowledge and capabilities, rather than the production of a finished good.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › DEFENSE (OTHER) R&D

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: BASIC RESEARCH

Offers Received: 3

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 5301 BOLSA AVE, HUNTINGTON BEACH, CA, 92647

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,052,556

Exercised Options: $45,052,556

Current Obligation: $45,052,556

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline