NASA's NuSTAR Project awards $20.4M to Caltech for R&D, facing limited competition

Contract Overview

Contract Amount: $20,356,206 ($20.4M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2008-03-17

End Date: 2012-09-30

Contract Duration: 1,658 days

Daily Burn Rate: $12.3K/day

Competition Type: NOT COMPETED

Number of Offers Received: 51

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: NUSTAR PROJECT - GSFC

Place of Performance

Location: PASADENA, LOS ANGELES County, CALIFORNIA, 91125

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $20.4 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: NUSTAR PROJECT - GSFC Key points: 1. Significant R&D investment in physical sciences. 2. Sole-source award raises questions about price discovery. 3. Long contract duration (1658 days) may indicate complex project. 4. Potential for cost overruns given Cost Plus Award Fee structure.

Value Assessment

Rating: fair

The award of $20.4M over 1658 days for R&D is difficult to benchmark without more detailed cost breakdowns. The Cost Plus Award Fee (CPAF) structure can incentivize performance but also lead to higher costs if not managed tightly.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, indicating a sole-source award. This limits price discovery and may result in a higher price than if multiple vendors had competed.

Taxpayer Impact: Taxpayer funds are utilized for this R&D project. The lack of competition suggests a potential for reduced value for money.

Public Impact

Supports advanced scientific research in astrophysics. Potential for groundbreaking discoveries in space science. Contract awarded to a single, non-profit research institution.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Cost Plus Award Fee structure
  • Long contract duration

Positive Signals

  • Supports critical R&D mission
  • Awarded to reputable institution

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences (NAICS 541710). Federal spending in this sector is crucial for innovation but requires careful oversight due to the inherent uncertainties in R&D.

Small Business Impact

The contract was awarded to the California Institute of Technology, a large research institution, not a small business. There is no indication of subcontracting opportunities for small businesses within this award.

Oversight & Accountability

The contract is a Delivery Order under a larger award, suggesting some level of prior oversight. However, the sole-source nature of this specific order warrants scrutiny to ensure fair pricing and effective use of funds.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Sole-source award limits competition.
  • Cost Plus Award Fee structure can lead to higher costs.
  • Long contract duration increases risk of cost escalation.
  • Lack of small business participation.

Tags

research-and-development-in-the-physical, national-aeronautics-and-space-administr, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $20.4 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. NUSTAR PROJECT - GSFC

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 $20.4 million.

What is the period of performance?

Start: 2008-03-17. End: 2012-09-30.

What specific research objectives does the NuSTAR project aim to achieve, and how does the $20.4M funding align with these goals?

The NuSTAR project, funded by NASA, aims to conduct high-energy X-ray astronomy observations to study the most energetic and explosive phenomena in the universe, such as black holes and supernovae. The $20.4M award to Caltech likely covers instrument development, data analysis, and operational costs over its projected lifespan, supporting these ambitious scientific objectives.

Given the sole-source nature of this award, what mechanisms are in place to ensure cost reasonableness and prevent potential overruns?

While sole-source awards limit competitive pressure, NASA likely employs robust cost analysis and negotiation techniques. The Cost Plus Award Fee (CPAF) structure itself includes performance incentives, but oversight is critical to ensure the 'award fee' portion is justified and that the base cost remains reasonable throughout the contract's duration.

How will the effectiveness of the NuSTAR project's research be measured, and what are the key performance indicators for this contract?

Effectiveness will likely be measured by scientific output, such as peer-reviewed publications, conference presentations, and the successful acquisition and analysis of high-quality data. Key performance indicators for the contract would include meeting technical milestones, adhering to budget constraints, and achieving scientific objectives as defined in the contract's statement of work.

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: $21,085,058

Exercised Options: $21,085,058

Current Obligation: $20,356,206

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Parent Contract

Parent Award PIID: NAS703001

IDV Type: IDC

Timeline

Start Date: 2008-03-17

Current End Date: 2012-09-30

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

Last Modified: 2021-02-17

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