NASA's $121.6M R&D contract with California Institute of Technology spans 9 years, awarded via sole-source

Contract Overview

Contract Amount: $12,160,437 ($12.2M)

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: $3.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 51

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: OES R&A APPLICATIONS

Place of Performance

Location: PASADENA, LOS ANGELES County, CALIFORNIA, 91125

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $12.2 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: OES R&A APPLICATIONS Key points: 1. Contract awarded on a sole-source basis, limiting potential cost savings from competition. 2. Long contract duration (9 years) may indicate a stable, ongoing need for specialized research. 3. Cost Plus Award Fee (CPAF) contract type allows for performance-based incentives. 4. Research and Development in Physical, Engineering, and Life Sciences is a critical area for NASA. 5. The contract's value is substantial, suggesting significant research activities were undertaken. 6. The contractor, California Institute of Technology, is a well-established research institution.

Value Assessment

Rating: fair

Benchmarking the value of this contract is challenging without specific deliverables and performance metrics. However, the Cost Plus Award Fee structure suggests an attempt to control costs while incentivizing performance. The total value of over $121 million over nine years indicates a significant investment in research and development. Without comparable sole-source R&D contracts of similar scope and duration, a precise value-for-money assessment is difficult, but the extended period suggests sustained utility.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was awarded on a sole-source basis, meaning it was not competed. This typically occurs when a specific contractor possesses unique capabilities or when there is an urgent need that cannot be met through a competitive process. The lack of competition means that the government did not benefit from the price discovery and potential cost reductions that a competitive bidding process could have provided.

Taxpayer Impact: Sole-source awards can lead to higher costs for taxpayers as the government may not secure the most competitive pricing available in the market.

Public Impact

Benefits NASA's research objectives in physical, engineering, and life sciences. Supports advanced scientific research and technological development. Likely involves a significant number of researchers, scientists, and technical staff at Caltech. Geographic impact is primarily centered in California, where Caltech is located, but research findings can have global implications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source award limits competitive pricing advantages.
  • Long contract duration may obscure potential inefficiencies if not closely managed.
  • Cost-plus award fee contracts can sometimes lead to cost overruns if not properly monitored.

Positive Signals

  • Contractor is a highly reputable research institution (Caltech).
  • Long-term nature suggests a critical and sustained need for the research.
  • Award fee structure incentivizes contractor performance.
  • Focus on R&D aligns with NASA's core mission.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. This is a critical area for space exploration and technological advancement. The market for specialized R&D services, particularly for agencies like NASA, is often characterized by a limited number of highly qualified institutions. Comparable spending benchmarks would typically involve other large-scale R&D grants or contracts awarded to universities or research consortia for similar scientific endeavors.

Small Business Impact

There is no indication that this contract involved small business set-asides. Given the nature of the work and the sole-source award to a large research institution, it is unlikely that small businesses were directly involved as prime contractors. Subcontracting opportunities for small businesses would depend on the specific research projects undertaken by Caltech.

Oversight & Accountability

Oversight for this contract would have been managed by the National Aeronautics and Space Administration (NASA). As a Cost Plus Award Fee (CPAF) contract, performance metrics and cost controls would be crucial elements of oversight. Transparency would be dependent on NASA's reporting practices for R&D expenditures and outcomes. Inspector General jurisdiction would apply to any allegations of fraud, waste, or abuse related to the contract.

Related Government Programs

  • NASA Research Grants
  • University Research Partnerships
  • Aerospace R&D Contracts
  • Scientific Research Services

Risk Flags

  • Sole-source award limits competition.
  • Long contract duration requires sustained oversight.

Tags

research-and-development, nasa, california-institute-of-technology, sole-source, cost-plus-award-fee, physical-engineering-life-sciences, academic-institution, long-term-contract, delivery-order

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $12.2 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. OES R&A APPLICATIONS

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 $12.2 million.

What is the period of performance?

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

What specific research projects were undertaken under this contract, and what were their key outcomes?

The provided data does not detail the specific research projects conducted under this contract. However, given the NAICS code 541710 (Research and Development in the Physical, Engineering, and Life Sciences) and the awarding agency (NASA), the projects likely spanned areas such as astrophysics, materials science, propulsion systems, life support for space travel, or planetary science. Key outcomes would typically be scientific publications, technological prototypes, patents, or advancements contributing to NASA's mission objectives. A deeper dive into NASA's project archives or Caltech's research reports from the 2003-2012 period would be necessary to identify specific deliverables and their impact.

How does the $121.6 million total award compare to other NASA R&D contracts with academic institutions during the same period?

The $121.6 million awarded over nine years represents an average of approximately $13.5 million per year. This is a substantial amount, placing it among significant R&D investments. NASA frequently partners with leading academic institutions like Caltech, MIT, Stanford, and others for large-scale research initiatives. Many of these contracts and grants can reach tens or even hundreds of millions of dollars over similar multi-year periods, especially for complex, long-term projects in areas like space exploration technology, fundamental physics, or advanced engineering. Without a direct comparison dataset of all NASA R&D contracts with academic institutions from 2003-2012, it's difficult to definitively rank this contract, but it is indicative of a major research collaboration.

What were the primary justifications for awarding this contract on a sole-source basis?

Sole-source awards are typically justified when a specific entity possesses unique capabilities, specialized knowledge, or proprietary technology essential for the project, and these cannot be reasonably obtained through competition. For a research institution like the California Institute of Technology, the justification might stem from its established expertise in a niche scientific field critical to NASA's objectives, its unique facilities, or its long-standing track record with the agency. NASA would have had to document these justifications extensively to comply with federal procurement regulations, demonstrating that no other source could fulfill the requirement adequately.

What is the typical performance 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 collaborating with NASA on cutting-edge research and development. As a premier scientific research institution, Caltech is consistently involved in high-impact projects, including those managed by NASA. Its track record is generally characterized by significant scientific contributions, technological innovations, and the production of highly skilled researchers. While specific performance ratings for individual contracts are not publicly detailed in this dataset, Caltech's reputation and continued funding from agencies like NASA strongly suggest a history of successful performance and valuable contributions to scientific and technological advancement.

How did the Cost Plus Award Fee (CPAF) structure influence contractor behavior and cost management for this contract?

The Cost Plus Award Fee (CPAF) structure is designed to provide the contractor with cost reimbursement for allowable expenses while offering an additional fee based on the achievement of specific performance objectives. This incentivizes the contractor (Caltech) to not only manage costs effectively but also to exceed performance expectations set by the government (NASA). For this contract, Caltech would have been motivated to deliver high-quality research, meet milestones, and potentially innovate beyond the baseline requirements to earn the maximum award fee. NASA, in turn, would have had to establish clear, measurable performance criteria and diligently evaluate Caltech's progress to determine the appropriate award fee, balancing cost control with the pursuit of research excellence.

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: $13,418,761

Exercised Options: $13,418,761

Current Obligation: $12,160,437

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: 2020-10-26

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