NASA's $214M R&D contract for research support services awarded to Arcata Associates Inc
Contract Overview
Contract Amount: $214,450,310 ($214.5M)
Contractor: Arcata Associates Inc
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2002-08-01
End Date: 2014-10-31
Contract Duration: 4,474 days
Daily Burn Rate: $47.9K/day
Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Number of Offers Received: 8
Pricing Type: COST PLUS AWARD FEE
Sector: R&D
Official Description: RESEARCH FACILITIES AND ENGINEERING SUPPORT SERVICES
Place of Performance
Location: EDWARDS, KERN County, CALIFORNIA, 93523
Plain-Language Summary
National Aeronautics and Space Administration obligated $214.5 million to ARCATA ASSOCIATES INC for work described as: RESEARCH FACILITIES AND ENGINEERING SUPPORT SERVICES Key points: 1. Contract awarded through full and open competition after exclusion of sources, indicating a competitive process. 2. The contract type is Cost Plus Award Fee (CPAF), which incentivizes contractor performance. 3. Duration of 4474 days (over 12 years) suggests a long-term need for these services. 4. The contract was awarded to a single contractor, Arcata Associates Inc. 5. The North American Industry Classification System (NAICS) code 541710 points to Research and Development in Physical, Engineering, and Life Sciences. 6. The contract was awarded by the National Aeronautics and Space Administration (NASA). 7. The contract's value of over $214 million over its extended period reflects significant investment in research support.
Value Assessment
Rating: fair
Benchmarking the value of this contract is challenging without specific performance metrics and detailed cost breakdowns. The Cost Plus Award Fee (CPAF) structure allows for flexibility but can lead to higher costs if not managed effectively. Comparing it to similar long-term R&D support contracts would require access to more granular data on scope and deliverables. The extended duration suggests a sustained need, but the overall value-for-money depends heavily on the achieved research outcomes and the efficiency of the support services provided.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This designation implies that while the competition was intended to be open, certain sources may have been excluded for specific reasons, potentially limiting the breadth of competition. The presence of 8 bidders suggests a reasonable level of interest, but the exclusion of sources could have impacted the final pricing and selection.
Taxpayer Impact: The exclusion of sources, even if justified, may have reduced the competitive pressure, potentially leading to higher costs for taxpayers than a truly unrestricted full and open competition might have achieved.
Public Impact
Benefits NASA's research and development initiatives by providing essential engineering and research support. Supports scientific and technological advancements within the physical, engineering, and life sciences sectors. The geographic impact is primarily centered around NASA facilities in California, where the contractor is located. The contract likely supports a workforce of researchers, engineers, and support staff.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns due to the Cost Plus Award Fee (CPAF) structure if performance targets are not well-defined or managed.
- Limited transparency on the specific reasons for excluding certain sources in the competition process.
- Long contract duration (over 12 years) could lead to vendor lock-in or reduced agility in adapting to evolving research needs.
Positive Signals
- Awarded through a competitive process, indicating multiple interested parties.
- The Cost Plus Award Fee (CPAF) structure incentivizes contractor performance and efficiency.
- The contract supports critical research and development activities for a major federal agency.
Sector Analysis
This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. This sector is characterized by innovation, long-term investment, and often complex project management. Comparable spending benchmarks for R&D support services can vary widely based on the specific scientific disciplines, the scale of research, and the duration of the projects. NASA's overall R&D spending is substantial, and contracts like this are crucial for enabling its mission.
Small Business Impact
The provided data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting implications or specific impacts on the small business ecosystem stemming from a small business set-aside. The prime contractor, Arcata Associates Inc., would be responsible for its own subcontracting strategy, which may or may not involve small businesses.
Oversight & Accountability
Oversight for this contract would typically be managed by the National Aeronautics and Space Administration (NASA). Mechanisms would include contract performance reviews, financial audits, and adherence to award fee criteria. Transparency is generally maintained through contract award notices and reporting requirements, though specific details of performance and cost are often proprietary. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.
Related Government Programs
- NASA Research and Development Contracts
- Engineering Support Services
- Scientific Research Services
- Federal R&D Spending
- Cost Plus Award Fee Contracts
Risk Flags
- Potential for cost overruns
- Limited competition due to source exclusion
- Long contract duration risks
- Performance metric clarity
Tags
research-and-development, nasa, arcata-associates-inc, definitive-contract, cost-plus-award-fee, full-and-open-competition-after-exclusion-of-sources, california, physical-engineering-life-sciences, large-contract, long-duration-contract
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $214.5 million to ARCATA ASSOCIATES INC. RESEARCH FACILITIES AND ENGINEERING SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is ARCATA ASSOCIATES INC.
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 $214.5 million.
What is the period of performance?
Start: 2002-08-01. End: 2014-10-31.
What was the specific nature of the 'Research Facilities and Engineering Support Services' provided under this contract?
The contract data indicates the services fall under NAICS code 541710, 'Research and Development in the Physical, Engineering, and Life Sciences.' This suggests the support likely encompassed a broad range of activities essential for NASA's research endeavors. This could include the operation and maintenance of research facilities, specialized engineering support for experiments and projects, data analysis, technical consultation, and potentially the development or modification of research equipment. The 'award fee' component of the contract type (CPAF) implies that the contractor's performance was evaluated against specific criteria related to the quality, timeliness, and effectiveness of these support services, with bonuses awarded for exceeding expectations.
How does the awarded amount of $214.45 million compare to typical spending for similar R&D support contracts at NASA or other agencies?
Direct comparison is difficult without knowing the precise scope and duration of 'similar' contracts. However, $214.45 million over a period exceeding 12 years (4474 days) represents a significant, long-term investment. NASA's R&D budget is substantial, often in the tens of billions annually. Contracts for major research support services can easily run into hundreds of millions of dollars, especially when they span many years and cover complex scientific domains. The value here should be assessed against the criticality of the research supported and the efficiency of the services rendered, rather than just the absolute dollar amount. The extended duration suggests a stable, ongoing need for these specialized support functions within NASA's mission.
What are the primary risks associated with a Cost Plus Award Fee (CPAF) contract of this magnitude and duration?
The primary risks with a CPAF contract of this scale and length include potential cost growth if the award fee criteria are not rigorously defined and monitored, leading to less cost certainty for the government. There's also a risk that the contractor might focus on achieving easily measurable award fee targets rather than the most critical, albeit harder-to-quantify, research outcomes. For a contract spanning over 12 years, there's a risk of technological obsolescence or shifts in research priorities that the contract might not easily accommodate, potentially leading to inefficiencies or the need for costly modifications. Ensuring robust oversight and clear performance metrics is crucial to mitigate these risks and ensure value for taxpayer money.
What does the 'Full and Open Competition After Exclusion of Sources' designation imply about the competitive landscape for this contract?
This designation suggests a nuanced competitive process. 'Full and Open Competition' is the preferred method, aiming to maximize participation. However, 'After Exclusion of Sources' indicates that certain potential bidders were deliberately excluded from the competition, likely due to specific requirements, security concerns, or prior performance issues related to the contract's nature. While 8 bidders participated, the exclusion means the competition was not as broad as it could have been. This could potentially limit price competition and innovation compared to a scenario where all interested and capable sources were allowed to bid. The justification for excluding sources would be critical to understanding the full impact on competition.
What is the track record of Arcata Associates Inc. in performing large-scale federal R&D support contracts?
Assessing Arcata Associates Inc.'s track record requires a deeper dive into their contract history beyond this single award. Information on past performance, including successful project completion, adherence to budget and schedule, and client satisfaction, would be necessary. Given this contract's duration (over 12 years) and value ($214M+), it suggests a significant capacity and capability. However, without access to performance reviews, past disputes, or other contract data, it's difficult to definitively characterize their overall track record. Federal procurement databases and agency performance reports would typically provide more insight into their history with similar contracts.
How has NASA's spending on R&D support services evolved over the period this contract was active (2002-2014)?
Analyzing NASA's spending evolution on R&D support services between 2002 and 2014 would require examining historical budget allocations and contract awards across various NASA centers and directorates. This period saw significant shifts in federal R&D priorities, technological advancements, and agency funding levels. Understanding this evolution would involve looking at trends in outsourcing R&D support, the types of services procured, and the competitive landscape for such contracts. This specific contract's long duration suggests a consistent need, but overall agency spending patterns might have fluctuated due to economic conditions, policy changes, or specific program requirements.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Scientific Research and Development Services › Research and Development in the Physical, Engineering, and Life Sciences
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 8
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Address: 2588 FIRE MESA ST STE 110, LAS VEGAS, NV, 89128
Business Categories: Asian Pacific American Owned Business, Category Business, Minority Owned Business, Small Business, Small Disadvantaged Business, Special Designations
Financial Breakdown
Contract Ceiling: $225,492,405
Exercised Options: $225,492,405
Current Obligation: $214,450,310
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2002-08-01
Current End Date: 2014-10-31
Potential End Date: 2014-10-31 00:00:00
Last Modified: 2021-08-09
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