Raytheon Company awarded $142M NASA contract for Aerosol Polarimetry Sensor for Glory Mission

Contract Overview

Contract Amount: $142,045,133 ($142.0M)

Contractor: Raytheon Company

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2004-02-23

End Date: 2013-06-15

Contract Duration: 3,400 days

Daily Burn Rate: $41.8K/day

Competition Type: NOT COMPETED

Number of Offers Received: 1

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: AEROSOL POLARIMETRY SENSOR (APS) FOR THE GLORY MISSION THE GLORY PROJECT IS AN EARTH SCIENCE MISSION SPONSORED BY THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION TO PROVIDE GLOBAL MAPPING OF AEROSOLS AS WELL AS TOTAL SOLAR IRRADIANCE MEASUREMENTS. THE GLORY APS CONTRACTOR SHALL PROVIDE THE PERSONNEL, MATERIALS, EQUIPMENT, AND FACILITIES NECESSARY FOR INSTRUMENT SYSTEMS ENGINEERING, DESIGN, ANALYSIS, DEVELOPMENT, FABRICATION, ASSEMBLY, TESTING, INTEGRATION, CALIBRATION, QUALIFICATION, ACCEPTANCE, STORAGE, STORAGE TESTING OF THE APS INSTRUMENT, SUPPORT FOR THE APS INSTRUMENT INTEGRATION WITH THE SPACECRAFT, LAUNCH OPERATIONS SUPPORT AND POST LAUNCH OPERATIONS SUPPORT FOR A MINIMUM OF THREE YEARS. THE CONTRACTOR SHALL PROVIDE REPORTING, REVIEWS, AND DOCUMENTATION OF ALL ASPECTS OF THE PROGRAM.

Place of Performance

Location: GOLETA, SANTA BARBARA County, CALIFORNIA, 93117

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $142.0 million to RAYTHEON COMPANY for work described as: AEROSOL POLARIMETRY SENSOR (APS) FOR THE GLORY MISSION THE GLORY PROJECT IS AN EARTH SCIENCE MISSION SPONSORED BY THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION TO PROVIDE GLOBAL MAPPING OF AEROSOLS AS WELL AS TOTAL SOLAR IRRADIANCE MEASUREMENTS. THE GLORY APS CONTRACTOR SHAL… Key points: 1. Contract awarded on a cost-plus-award-fee basis, indicating potential for performance-based incentives. 2. The contract spans over 9 years, suggesting a long-term commitment to the Glory Mission. 3. The scope includes extensive engineering, design, fabrication, testing, and post-launch support. 4. NASA is the sole agency involved, focusing on Earth science and solar irradiance measurements. 5. The contract is not competed, raising questions about potential cost efficiencies and market engagement. 6. The value of $142M for a complex scientific instrument over this duration requires careful benchmarking.

Value Assessment

Rating: fair

The contract value of $142 million for the Aerosol Polarimetry Sensor (APS) for NASA's Glory Mission appears substantial given the 9-year duration. As a sole-source award, direct comparisons to similar competitively bid contracts are difficult. The cost-plus-award-fee structure allows for flexibility but necessitates robust oversight to ensure value for money. Benchmarking this cost against the complexity and technological requirements of the APS is crucial for a definitive value assessment.

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 among multiple vendors. This approach is typically used when a specific contractor possesses unique capabilities or when urgency dictates a direct award. The lack of competition means there was no direct price negotiation through a bidding process, which could potentially lead to higher costs compared to a fully competed contract.

Taxpayer Impact: For taxpayers, a sole-source award means there was no opportunity to benefit from competitive pricing that could have driven down costs. Oversight is critical to ensure the awarded price is fair and reasonable.

Public Impact

The primary beneficiary is NASA, which will receive the APS instrument essential for the Glory Mission's Earth science objectives. The mission aims to provide global mapping of aerosols and total solar irradiance measurements, contributing to climate research. The geographic impact is global, as the data collected will inform worldwide climate models and understanding. The contract supports a specialized workforce in engineering, design, fabrication, and testing of advanced scientific instruments.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The contract falls within the aerospace and defense sector, specifically focusing on scientific instrumentation for space missions. The market for such specialized instruments is often characterized by a limited number of highly capable contractors. NASA's Earth science missions represent a significant area of government spending, with contracts often involving complex engineering and long development cycles. Comparable spending benchmarks would typically involve other large-scale scientific instrument development contracts for space agencies.

Small Business Impact

This contract does not appear to have a small business set-aside component, as indicated by 'sb': false. There is no explicit mention of subcontracting goals for small businesses within the provided data. Therefore, the direct impact on the small business ecosystem from this specific contract award is likely minimal, unless Raytheon Company voluntarily engages small businesses for specialized support.

Oversight & Accountability

Oversight for this contract would primarily be managed by NASA's contracting officers and program managers. The cost-plus-award-fee structure necessitates close monitoring of costs incurred and performance against defined award criteria. Transparency would be facilitated through regular reporting and reviews as stipulated in the contract. While no specific Inspector General jurisdiction is mentioned, NASA's Office of Inspector General typically oversees agency contracts for fraud, waste, and abuse.

Related Government Programs

Risk Flags

Tags

nasa, earth-science, space-instrumentation, aerosol-polarimetry-sensor, glory-mission, raytheon-company, sole-source, cost-plus-award-fee, research-and-development, california, definitive-contract, large-contract

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $142.0 million to RAYTHEON COMPANY. AEROSOL POLARIMETRY SENSOR (APS) FOR THE GLORY MISSION THE GLORY PROJECT IS AN EARTH SCIENCE MISSION SPONSORED BY THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION TO PROVIDE GLOBAL MAPPING OF AEROSOLS AS WELL AS TOTAL SOLAR IRRADIANCE MEASUREMENTS. THE GLORY APS CONTRACTOR SHALL PROVIDE THE PERSONNEL, MATERIALS, EQUIPMENT, AND FACILITIES NECESSARY FOR INSTRUMENT SYSTEMS ENGINEERING, DESIGN, ANALYSIS, DEVELOPMENT, FABRICATION, ASSEMBLY, TESTING, INTEGRATION, CALIBRATION, QUALIFICATION, ACCEPTAN

Who is the contractor on this award?

The obligated recipient is RAYTHEON COMPANY.

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 $142.0 million.

What is the period of performance?

Start: 2004-02-23. End: 2013-06-15.

What is Raytheon Company's track record with NASA on similar scientific instrument contracts?

Raytheon Company, now RTX, has a long history of providing complex systems and instruments for NASA and other space agencies. While specific details on prior APS-like contracts are not in this data snippet, their extensive experience in aerospace suggests a capability to handle such projects. Past performance reviews and contract histories with NASA would provide a more detailed picture of their reliability, adherence to schedule, and cost management on comparable endeavors. Assessing their performance on other NASA Earth science or space exploration missions would be a key step in evaluating their suitability for this contract.

How does the $142 million cost compare to similar Earth observation instrument contracts?

Benchmarking the $142 million cost for the APS requires comparing it to other complex, long-duration scientific instrument development contracts for space missions. Factors such as instrument complexity, technological innovation required, development timeline, and the specific scientific objectives heavily influence cost. Without access to a database of comparable contracts, a precise comparison is difficult. However, for a multi-year development and support contract for a sophisticated sensor like the APS, this figure is within the expected range for major space agency procurements. A detailed cost analysis would involve breaking down the contract into its constituent parts (e.g., design, fabrication, testing, integration) and comparing those to industry standards.

What are the primary risks associated with a sole-source award for a critical mission instrument?

The primary risks associated with a sole-source award for a critical mission instrument like the APS include a lack of competitive pricing, potentially leading to higher costs for taxpayers. Without competition, there may be less incentive for the contractor to innovate or optimize efficiency. Furthermore, if the sole-source contractor encounters significant technical or financial difficulties, there are limited alternative options for NASA to ensure mission success. This situation also reduces transparency in the procurement process and can make it harder to objectively assess the fairness of the price. Robust contract management and oversight become even more critical in sole-source situations.

How effective is the cost-plus-award-fee (CPAF) contract type in managing costs for complex R&D projects?

The Cost-Plus-Award-Fee (CPAF) contract type is designed to provide flexibility for complex research and development projects where the final costs and performance outcomes are uncertain. It allows the contractor to be reimbursed for allowable costs while also earning an award fee based on achieving specific performance objectives. This structure aims to incentivize contractor performance beyond just cost control. However, its effectiveness hinges on the clarity and measurability of the award criteria and the rigor of NASA's oversight in evaluating performance. If award criteria are poorly defined or oversight is lax, CPAF can still lead to cost overruns without commensurate performance gains.

What is the historical spending trend for NASA's Earth Science Division on instrument development?

Historical spending trends for NASA's Earth Science Division on instrument development typically show significant investment in complex, long-term projects. Budgets fluctuate based on mission priorities, congressional appropriations, and the lifecycle stages of various missions. Major instrument development contracts, like the one for the APS, often represent substantial portions of annual divisional spending. Analyzing past budgets would reveal patterns of investment in areas like climate monitoring, atmospheric research, and Earth observation, indicating the typical scale and duration of such procurements. This contract's value should be viewed within the context of NASA's overall historical commitment to Earth science R&D.

What are the implications of the 3-year minimum post-launch operations support requirement?

The requirement for a minimum of three years of post-launch operations support is significant. It ensures that the contractor, having developed the instrument, is responsible for its initial operational phase, including data calibration, anomaly resolution, and performance monitoring. This continuity is crucial for mission success, as instruments often require fine-tuning and troubleshooting after deployment. It also implies ongoing costs for NASA beyond the initial development and integration, which need to be factored into the total mission budget. This extended support period also provides valuable feedback for future instrument designs.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesArchitectural, Engineering, and Related ServicesEngineering Services

Product/Service Code: SPACE VEHICLES

Competition & Pricing

Extent Competed: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 6380 HOLLISTER AVE, GOLETA, CA, 93117

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $147,412,882

Exercised Options: $147,412,882

Current Obligation: $142,045,133

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2004-02-23

Current End Date: 2013-06-15

Potential End Date: 2013-06-15 00:00:00

Last Modified: 2016-09-16

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