NASA awards $13.17M for Cavity Door Drive Systems to MPC Products Corporation, a sole-source contract
Contract Overview
Contract Amount: $13,168,264 ($13.2M)
Contractor: MPC Products Corporation
Awarding Agency: National Aeronautics and Space Administration
Start Date: 2006-09-16
End Date: 2012-06-30
Contract Duration: 2,114 days
Daily Burn Rate: $6.2K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST PLUS AWARD FEE
Sector: Other
Official Description: THE SUPPLIER SHALL COMPLY WITH ALL REQUIREMENTS IN THE SOFIA CAVITY DOOR DRIVE SYSTEM, TECHNICAL SPECIFICATION AND REQUIREMENTS, DOCUMENT NUMBER USRA-DAL-1163-00 (LATEST REVISION) THE SUPPLIER SHALL FURNISH ALL LABOR, MATERIALS, TOOLS AND PERFORM ALL OPERATIONS NECESSARY FOR THE ENGINEERING, DETAILING, FABRICATION, INSPECTION, TESTING, VALIDATION, DOCUMENTATION AND DELIVERY OF THE UPPER RIGID DOOR (URD) AND APERTURE ASSEMBLY (AA)/LOWER FLEXIBLE DOOR (LFD) ACTUATOR UNITS AND CONTROL UNIT. THE CONTRACTOR SHALL HAVE COMPLETE RESPONSIBILITY FOR ALL EQUIPMENT AND ACCESSORIES INCLUDED IN THIS SPECIFICATION. THIS RESPONSIBILITY SHALL INCLUDE THE VERIFICATION OF DATA FURNISHED BY THE MANUFACTURER OF CONTRACTOR PROCURED COMPONENTS. THE CAVITY DOOR DRIVE SYSTEM SHALL MEET THE OVERALL DESIGN REQUIREMENTS AS SPECIFIED IN THE SOFIA CAVITY DOOR DRIVE SYSTEM TECHNICAL SPECIFICATION AND REQUIREMENTS, DOCUMENT NUMBER USRA-DAL-1163-00. THE SYSTEM SHALL BE DESIGNED, FABRICATED, ASSEMBLED AND TESTED. AS A MINIMUM THE URD AND AA/LFT ACTUATION SYSTEM SHALL INCLUDE: MOTORS, PLANETARY GEAR REDUCTION AND IDLER GEAR, COMMUTATION AND CONTROL FEEDBACK DEVICES AS REQUIRED. PACKAGING INTO LINE REPLACEABLE UNIT(S) (LRU) SHALL BE DETERMINED IN THE DESIGN CYCLE AND FINALIZED BY THE PDR. THE DESIGN SHALL CONSIDER EASE OF MAINTENANCE, INSPECTION AND REPLACEMENT OF EQUIPMENT AND SOFTWARE AS FOLLOWS: (1) ADEQUATE ACCESS FOR THE INSPECTION, SERVICE, MAINTENANCE, AND REPLACEMENT OF LRUS. (2) FULLY INTERCHANGEABLE COMPONENTS. (3) THE DESIGN SHALL REQUIRE NO SCHEDULED OVERHAUL OF COMPONENTS AND MINIMAL SCHEDULED MAINTENANCE OR SERVICE TO MAINTAIN OPERATION WITHIN THE SPECIFIED PERFORMANCE REQUIREMENTS. (4) THE DESIGN SHALL PROVIDE FOR ON-AIRCRAFT ISOLATION OF COMPONENT FAILURES AND VERIFICATION OF SYSTEM AND COMPONENT FAULTS USING EITHER AIRCRAFT OR EXTERNAL POWER. (5) THE DESIGN SHALL ALLOW ON-AIRCRAFT MAINTENANCE TO BE PERFORMED USING COMMON TOOLS AND/OR SUPPORT EQUIPMENT CONSISTENT WITH THE SUPPORT RESOURCES AVAILABLE AT THOSE AIRPORTS COMPATIBLE WITH THE OPERATION OF THE AIRCRAFT. (6) ANY SPECIAL TOOLS REQUIRED FOR INSTALLATION OR REMOVAL SHALL BE FULLY DETAILED IN THE DESIGN. (7) THE DESIGN SHALL CONTAIN FEATURES THAT ELIMINATE THE POSSIBILITY OF INCORRECT INSTALLATION, OR THE INADVERTENT CROSSING OF CONNECTIONS. (8) THE SOFTWARE SHALL BE OF A MODULAR DESIGN AND ALL COMPONENTS OF THE DEVELOPMENT AND VERIFICATION ENVIRONMENT IDENTIFIED. THE SUPPLIER SHALL ASSIST NASA IN PLANNING AND CONDUCTING A MAINTAINABILITY DEMONSTRATION TO VERIFY THAT THE SPECIFIED MAINTAINABILITY REQUIREMENTS HAVE BEEN MET. THE MAINTAINABILITY DEMONSTRATION SHALL BE PLANNED AND SCOPED TO: (1) DISCLOSE POTENTIAL PROBLEM AREAS IN THE DESIGN THAT COULD AFFECT THE MAINTAINABILITY AND SUPPORT OF THE FIELDED SYSTEM (2) VALIDATE ON-AIRCRAFT AND OFF-AIRCRAFT MAINTENANCE CONCEPTS AND REPAIR PROCEDURES REQUIRED TO SUCCESSFULLY OPERATE THE SYSTEM (3) VALIDATE GROUND SUPPORT EQUIPMENT REQUIREMENTS AND THE NUMBER OF PERSONNEL AND SPECIAL SKILLS REQUIRED FOR MAINTENANCE PUBLICATIONS AND TRAINING DATA THE SUPPLIER SHALL INSTALL ON, AND THEN REMOVE FROM, AN AIRCRAFT MOCK-UP, DEVELOPMENT FIXTURE OR PRODUCTION AIRCRAFT ONE OF EACH TYPE OF PRODUCTION UNITS TO VALIDATE INSTALLATION PROCEDURES AND ON-AIRCRAFT MAINTAINABILITY REQUIREMENTS.
Place of Performance
Location: EDWARDS, KERN County, CALIFORNIA, 93523
Plain-Language Summary
National Aeronautics and Space Administration obligated $13.2 million to MPC PRODUCTS CORPORATION for work described as: THE SUPPLIER SHALL COMPLY WITH ALL REQUIREMENTS IN THE SOFIA CAVITY DOOR DRIVE SYSTEM, TECHNICAL SPECIFICATION AND REQUIREMENTS, DOCUMENT NUMBER USRA-DAL-1163-00 (LATEST REVISION) THE SUPPLIER SHALL FURNISH ALL LABOR, MATERIALS, TOOLS AND PERFORM ALL OPERATIONS NECESSARY FOR THE… Key points: 1. Contract awarded for specialized aerospace components, indicating a need for unique manufacturing capabilities. 2. The sole-source nature of this award warrants scrutiny regarding potential cost efficiencies and market alternatives. 3. Long contract duration (2114 days) suggests a complex, multi-year project with potential for cost overruns. 4. The Cost Plus Award Fee (CPAF) structure introduces performance incentives but also requires robust oversight to manage costs. 5. Focus on engineering, fabrication, testing, and validation highlights the critical nature of these components for mission success. 6. The contract's value, while significant, needs to be benchmarked against similar complex aerospace system procurements.
Value Assessment
Rating: questionable
The contract value of $13.17 million for specialized aerospace components is difficult to benchmark without more detailed cost breakdowns. The Cost Plus Award Fee (CPAF) structure, while incentivizing performance, can lead to higher final costs if not managed tightly. Given the sole-source nature, there's a risk that the pricing may not reflect competitive market pressures. Further analysis of the award fee criteria and historical performance against targets would be necessary to assess true value for money.
Cost Per Unit: N/A
Competition Analysis
Competition Level: sole-source
This contract was awarded on a sole-source basis, meaning NASA did not conduct a competitive bidding process. This typically occurs when a specific contractor possesses unique capabilities, proprietary technology, or is the only source capable of meeting the requirement. While this can ensure specialized needs are met, it limits price discovery and may result in higher costs compared to a competed procurement.
Taxpayer Impact: Taxpayers may have paid a premium due to the lack of competition. Without a bidding process, there is less pressure on the contractor to offer the most cost-effective solution.
Public Impact
The primary beneficiaries are NASA's space exploration missions, which rely on these critical door drive systems. Services delivered include engineering, fabrication, testing, validation, and delivery of specialized aerospace components. The geographic impact is primarily within NASA's research and development facilities and potentially launch sites. Workforce implications include specialized engineering and manufacturing jobs within MPC Products Corporation and its supply chain.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole-source award limits competitive pressure, potentially increasing costs for taxpayers.
- Cost Plus Award Fee (CPAF) structure requires diligent oversight to prevent cost overruns.
- Long contract duration increases exposure to potential scope creep and unforeseen cost increases.
- Lack of detailed cost breakdown makes independent value assessment challenging.
Positive Signals
- Contract addresses critical, specialized aerospace components essential for mission success.
- MPC Products Corporation is likely selected for unique technical expertise or proprietary technology.
- The CPAF structure includes incentives for performance, aiming for high-quality delivery.
- Contract includes comprehensive requirements for engineering, fabrication, testing, and validation.
Sector Analysis
This contract falls within the 'Other Aircraft Parts and Auxiliary Equipment Manufacturing' sector, a niche within the broader aerospace industry. This sector is characterized by high technical barriers to entry, stringent quality requirements, and often involves specialized, low-volume production runs. Spending in this area is driven by government and commercial aerospace programs. Benchmarking would require comparison to other sole-source procurements of similar complex mechanical systems for aerospace applications.
Small Business Impact
The data indicates this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. As a sole-source award to a likely larger entity, the direct impact on the small business ecosystem may be minimal unless MPC Products Corporation actively engages small businesses in its supply chain. Further investigation into subcontracting plans would be needed to assess broader small business implications.
Oversight & Accountability
Oversight for this Cost Plus Award Fee (CPAF) contract would primarily fall under NASA's contracting officers and program managers. They are responsible for monitoring performance against award fee criteria, ensuring compliance with technical specifications, and managing costs. Transparency is facilitated through contract reporting requirements. The specific Inspector General jurisdiction would be NASA's Office of Inspector General.
Related Government Programs
- NASA Space Launch System (SLS)
- Commercial Crew Program
- International Space Station (ISS) components
- Aerospace Manufacturing Contracts
- Defense Advanced Research Projects Agency (DARPA) procurements
Risk Flags
- Sole-source procurement limits competition.
- Cost Plus Award Fee (CPAF) requires robust oversight.
- Long contract duration increases risk of cost escalation and scope creep.
- Lack of detailed cost information hinders value assessment.
Tags
nasa, sole-source, aerospace, manufacturing, definitive-contract, cost-plus-award-fee, california, large-contract, space-exploration, critical-components
Frequently Asked Questions
What is this federal contract paying for?
National Aeronautics and Space Administration awarded $13.2 million to MPC PRODUCTS CORPORATION. THE SUPPLIER SHALL COMPLY WITH ALL REQUIREMENTS IN THE SOFIA CAVITY DOOR DRIVE SYSTEM, TECHNICAL SPECIFICATION AND REQUIREMENTS, DOCUMENT NUMBER USRA-DAL-1163-00 (LATEST REVISION) THE SUPPLIER SHALL FURNISH ALL LABOR, MATERIALS, TOOLS AND PERFORM ALL OPERATIONS NECESSARY FOR THE ENGINEERING, DETAILING, FABRICATION, INSPECTION, TESTING, VALIDATION, DOCUMENTATION AND DELIVERY OF THE UPPER RIGID DOOR (URD) AND APERTURE ASSEMBLY (AA)/LOWER FLEXIBLE DOOR (LFD) ACTUATOR UNITS AND CONTROL UNIT. THE C
Who is the contractor on this award?
The obligated recipient is MPC PRODUCTS CORPORATION.
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 $13.2 million.
What is the period of performance?
Start: 2006-09-16. End: 2012-06-30.
What is the specific technical function of the Cavity Door Drive System and its components (URD, AA/LFD Actuator Units)?
The Cavity Door Drive System, including the Upper Rigid Door (URD) and Aperture Assembly/Lower Flexible Door (AA/LFD) Actuator Units, is designed to control the operation of doors or hatches within spacecraft or launch vehicles. These systems are critical for mission functions such as payload deployment, crew access, or environmental sealing. The 'cavity' likely refers to the space or compartment these doors protect or provide access to. The actuator units provide the motive force and control for opening, closing, and holding these doors in position, requiring precise engineering for reliability in the harsh environment of space.
Why was this contract awarded on a sole-source basis, and what alternatives were considered?
The contract was awarded on a sole-source basis, indicating that NASA determined MPC Products Corporation was the only responsible source capable of meeting the agency's requirements. This could be due to proprietary technology, unique manufacturing capabilities, extensive prior experience with similar systems, or specific design heritage that makes switching contractors impractical or excessively costly. NASA's justification for sole-source procurement would typically involve documenting market research and demonstrating why other sources could not fulfill the need. Without access to NASA's internal documentation, the precise reasons and alternatives considered remain unconfirmed.
How does the Cost Plus Award Fee (CPAF) structure influence contractor performance and cost control for this contract?
The Cost Plus Award Fee (CPAF) structure allows the contractor (MPC Products Corporation) to recover allowable costs plus a base fee, with the potential for an additional award fee based on performance against pre-defined criteria. This incentivizes the contractor to meet or exceed performance expectations related to quality, schedule, and technical requirements. However, it places a significant burden on NASA to establish clear, objective, and measurable award fee criteria. Effective oversight is crucial to ensure the award fee is earned legitimately and does not simply inflate the total contract cost beyond what might be achieved under a fixed-price arrangement. The success of CPAF hinges on NASA's ability to accurately assess performance and manage the contractor's efforts.
What are the key performance indicators (KPIs) or award fee criteria used to evaluate MPC Products Corporation's performance?
The specific Key Performance Indicators (KPIs) or award fee criteria for this contract are not detailed in the provided data. However, for a contract involving the engineering, fabrication, testing, and delivery of critical aerospace components like the Cavity Door Drive System, typical award fee criteria would likely include: adherence to technical specifications (e.g., Document Number USRA-DAL-1163-00), product reliability and quality (e.g., defect rates, successful test results), on-time delivery of milestones and final product, effectiveness of program management, and responsiveness to NASA's needs. NASA's contracting officer would evaluate the contractor's performance against these criteria to determine the amount of award fee, if any, earned.
What is the historical spending pattern for similar Cavity Door Drive Systems or related components procured by NASA or other agencies?
Historical spending data for highly specialized components like Cavity Door Drive Systems is often difficult to aggregate and compare directly, especially when procured under sole-source or unique contract types. General spending on aerospace components can be substantial, but the specific nature of this system suggests it might be tied to particular programs (e.g., specific spacecraft or launch vehicle designs). Without access to NASA's historical procurement databases or detailed program information, it's challenging to establish a precise spending benchmark. However, the $13.17 million award over approximately 5.8 years (2114 days) suggests a significant investment in a critical, low-volume, high-reliability system.
What are the potential risks associated with the long contract duration (2114 days) and the CPAF payment structure?
The long contract duration of 2114 days (nearly 6 years) presents several risks. It increases the potential for cost escalation due to inflation, changes in material costs, or evolving labor rates. There's also a higher risk of scope creep, where requirements may change or expand over time, leading to contract modifications and increased costs. For the CPAF structure, the extended timeline means NASA must maintain consistent and rigorous oversight throughout the contract's life to ensure performance standards are met and award fees are justified. A lapse in oversight could allow costs to increase without commensurate performance gains. Furthermore, the long duration might impact the contractor's ability to retain specialized personnel if project continuity is uncertain.
Industry Classification
NAICS: Manufacturing › Aerospace Product and Parts Manufacturing › Other Aircraft Parts and Auxiliary Equipment Manufacturing
Product/Service Code: RESEARCH AND DEVELOPMENT › Space R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 1
Pricing Type: COST PLUS AWARD FEE (R)
Evaluated Preference: NONE
Contractor Details
Parent Company: Woodward Governor Company (UEI: 005069380)
Address: 7426 N LINDER AVE, SKOKIE, IL, 60077
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $13,311,823
Exercised Options: $13,186,046
Current Obligation: $13,168,264
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: YES
Timeline
Start Date: 2006-09-16
Current End Date: 2012-06-30
Potential End Date: 2012-06-30 00:00:00
Last Modified: 2018-09-24
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