NASA's $39.6M Earth and Hazards R&D contract to Caltech shows long-term investment in scientific research

Contract Overview

Contract Amount: $39,595,770 ($39.6M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2003-12-22

End Date: 2012-09-30

Contract Duration: 3,205 days

Daily Burn Rate: $12.4K/day

Competition Type: NOT COMPETED

Number of Offers Received: 51

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: SMD R&A EARTH & HAZARDS

Place of Performance

Location: PASADENA, LOS ANGELES County, CALIFORNIA, 91125

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $39.6 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: SMD R&A EARTH & HAZARDS Key points: 1. The contract's value reflects a significant, long-term investment in specialized scientific research. 2. Sole-source nature raises questions about potential missed opportunities for broader competition. 3. The extended duration suggests a stable, ongoing need for the contractor's expertise. 4. Performance was likely tied to specific scientific milestones and deliverables. 5. This contract falls within the broader R&D sector, focusing on Earth sciences. 6. The large dollar amount indicates a high-value, specialized research undertaking.

Value Assessment

Rating: fair

Benchmarking the value of this specific R&D contract is challenging due to its specialized nature and sole-source award. The total award of $39.6 million over nearly nine years suggests a substantial investment in research capabilities. Without comparable sole-source contracts for similar Earth and Hazards research, it's difficult to definitively assess value for money. However, the extended duration and the contractor's likely specialized expertise could justify the investment if the research outcomes are critical.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis to the California Institute of Technology. This indicates that NASA identified Caltech as the only entity capable of performing the required research and development for Earth and Hazards. The lack of competition means that price discovery through a bidding process was bypassed, potentially leading to higher costs than if multiple vendors had competed.

Taxpayer Impact: Taxpayers may have paid a premium due to the absence of competitive bidding. The sole-source nature limits the government's ability to leverage market forces to secure the best possible price for this research.

Public Impact

The primary beneficiaries are NASA and the scientific community, gaining insights into Earth and hazards. Services delivered include advanced research and development in physical sciences related to Earth systems. The geographic impact is national, with potential global implications for hazard assessment and mitigation. Workforce implications include support for highly specialized scientific and research personnel at Caltech.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competitive pressure, potentially impacting cost-effectiveness.
  • Long contract duration without clear competitive re-evaluation could lead to complacency.
  • Lack of transparency inherent in sole-source awards makes independent value assessment difficult.

Positive Signals

  • Contract awarded to a highly reputable research institution (Caltech) known for scientific excellence.
  • Long-term funding commitment suggests critical and sustained research needs for NASA.
  • Focus on Earth and Hazards R&D aligns with important national and global scientific priorities.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on Earth and Hazards. The North American Industry Classification System (NAICS) code 541710, 'Research and Development in the Physical, Engineering, and Life Sciences,' encompasses this work. The market for such specialized scientific research is often dominated by a few key academic institutions and research organizations with unique capabilities. The $39.6 million award over its period represents a significant, albeit niche, investment within the broader federal R&D spending landscape.

Small Business Impact

This contract does not appear to have a small business set-aside component, nor is there information suggesting significant subcontracting opportunities for small businesses. The nature of highly specialized scientific research often favors large, established research institutions with extensive infrastructure and expertise, making it less conducive to small business participation unless through specific subcontracting arrangements not detailed here.

Oversight & Accountability

Oversight for this contract would primarily reside with NASA's contracting officers and program managers responsible for the Earth and Hazards research portfolio. Given the sole-source nature and the contractor being a research institution, oversight likely focused on adherence to research plans, milestone achievement, and proper financial management. Transparency is limited due to the sole-source award, and specific Inspector General (IG) involvement would depend on any reported issues or audits.

Related Government Programs

  • NASA Earth Science Division Programs
  • National Science Foundation Research Grants
  • NOAA Climate Research Initiatives
  • USGS Natural Hazards Research

Risk Flags

  • Sole-source award limits transparency and competitive benchmarking.
  • Long contract duration may obscure performance evaluation effectiveness over time.

Tags

research-and-development, earth-science, hazards-research, nasa, california-institute-of-technology, sole-source, cost-plus-award-fee, california, long-term-contract, scientific-research

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $39.6 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. SMD R&A EARTH & HAZARDS

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 $39.6 million.

What is the period of performance?

Start: 2003-12-22. End: 2012-09-30.

What was the specific justification for awarding this contract on a sole-source basis to the California Institute of Technology?

The provided data indicates the contract was 'NOT COMPETED' and awarded solely to the California Institute of Technology (Caltech). While the specific justification is not detailed in the data, sole-source awards are typically justified when only one responsible source is available or capable of meeting the agency's needs. For highly specialized scientific research like 'Earth & Hazards R&D,' NASA likely determined that Caltech possessed unique expertise, facilities, or intellectual property that made it the only viable option. This could stem from prior research, unique equipment, or a specific research team's established track record in this niche area, making competitive procurement impractical or detrimental to the program's objectives.

How does the total contract value of approximately $39.6 million compare to similar R&D contracts in Earth and Hazards research?

Directly comparing this $39.6 million contract value is challenging without access to a comprehensive database of similar sole-source R&D awards in Earth and Hazards research. However, considering the contract duration of over 3200 days (approximately 8.8 years), the average annual value is roughly $4.5 million. This figure is substantial for a single research project, suggesting a significant scope or a high level of investment in specialized scientific inquiry. Comparable competitively awarded contracts might show different value points, potentially lower due to competition or higher if multiple complex research areas were bundled. The sole-source nature here implies a specific, high-value need that NASA deemed best met by Caltech.

What were the key performance indicators or milestones expected under this contract?

The provided data does not specify the key performance indicators (KPIs) or milestones for this 'SMD R&A EARTH & HAZARDS' contract. However, for a Cost Plus Award Fee (CPAF) contract focused on Research and Development, performance is typically measured against pre-defined scientific objectives, research progress, data acquisition, analysis, and dissemination of findings. Award fees would likely be tied to exceeding expectations in areas such as the novelty of research, the quality of scientific output (publications, presentations), the development of new methodologies or technologies, and the overall contribution to NASA's understanding of Earth systems and hazards. Regular technical reviews would assess progress against these implicit or explicit goals.

What is the track record of the California Institute of Technology as a federal contractor, particularly with NASA?

The California Institute of Technology (Caltech) has a long and distinguished history of receiving significant federal funding, particularly from NASA, for scientific research. As a premier research institution, Caltech consistently secures grants and contracts for cutting-edge work across various scientific disciplines, including space science, astrophysics, and Earth sciences. Their track record with NASA is extensive, often involving complex, long-term research projects that align with the agency's scientific objectives. While specific contract performance details beyond award amounts are not in the provided data, Caltech's reputation suggests a strong history of delivering high-quality scientific research and development outcomes, making them a preferred partner for agencies like NASA.

How has NASA's spending on Earth and Hazards R&D evolved over the period this contract was active (2003-2012)?

The period this contract was active (December 2003 to September 2012) falls within a time of significant focus on Earth observation and climate science within NASA. While this specific contract represents a $39.6 million investment, NASA's overall spending on Earth Science R&D during this era saw fluctuations driven by program priorities, budget allocations, and the initiation of new missions and research initiatives. Agencies like NASA often increase investment in areas related to climate change, natural disaster monitoring, and environmental research. This contract's long duration suggests a sustained commitment to a particular research area within that broader trend, contributing to NASA's ongoing efforts to understand our planet.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesScientific Research and Development ServicesResearch and Development in the Physical, Engineering, and Life Sciences

Product/Service Code: RESEARCH AND DEVELOPMENTSpace R&D Services

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 51

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 4800 OAK GROVE DR, PASADENA, CA, 91109

Business Categories: Category Business, Government, U.S. National Government, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $42,179,440

Exercised Options: $42,179,440

Current Obligation: $39,595,770

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: NAS703001

IDV Type: IDC

Timeline

Start Date: 2003-12-22

Current End Date: 2012-09-30

Potential End Date: 2012-09-30 00:00:00

Last Modified: 2020-10-21

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