NASA's $37.9M Mechanical Systems Engineering Services II/B contract awarded to KBR WYLE SERVICES, LLC

Contract Overview

Contract Amount: $37,897,895 ($37.9M)

Contractor: KBR Wyle Services, LLC

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2007-02-01

End Date: 2012-01-31

Contract Duration: 1,825 days

Daily Burn Rate: $20.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 4

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: MECHANICAL SYSTEMS ENGINEERING SERVICES II/B

Place of Performance

Location: LANHAM, PRINCE GEORGES County, MARYLAND, 20706

State: Maryland Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $37.9 million to KBR WYLE SERVICES, LLC for work described as: MECHANICAL SYSTEMS ENGINEERING SERVICES II/B Key points: 1. Contract awarded for mechanical systems engineering services, indicating a need for specialized technical expertise. 2. The contract duration of 1825 days suggests a long-term requirement for these services. 3. Awarded to KBR WYLE SERVICES, LLC, a contractor with a significant presence in government services. 4. The contract type (Cost Plus Award Fee) suggests performance incentives are tied to achieving specific objectives. 5. The procurement method indicates a competitive process, aiming for best value. 6. The North American Industry Classification System (NAICS) code 541710 points to research and development activities.

Value Assessment

Rating: good

The total award amount of $37.9 million over five years for mechanical systems engineering services appears reasonable given the specialized nature of the work. Benchmarking against similar contracts for R&D in engineering services is challenging without more specific task details. However, the Cost Plus Award Fee structure implies that the final cost could vary based on performance, potentially leading to better value if high performance is achieved. The contract was awarded to KBR WYLE SERVICES, LLC, a known entity in this space.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under 'Full and Open Competition After Exclusion of Sources,' indicating that while the competition was broad, specific sources may have been excluded based on predefined criteria. The presence of 4 bidders suggests a moderate level of competition. This approach aims to balance broad market access with the need to potentially narrow down highly specialized capabilities.

Taxpayer Impact: A competitive process, even with exclusions, generally benefits taxpayers by encouraging multiple firms to offer their best pricing and technical solutions to secure the award.

Public Impact

Benefits NASA's research and development efforts in mechanical systems engineering. Supports critical engineering functions for space exploration and related technological advancements. Likely impacts a workforce of specialized engineers and technical professionals. Geographic impact is primarily centered around NASA facilities, potentially in Maryland where the contract was noted.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns inherent in Cost Plus Award Fee contracts if performance targets are not met efficiently.
  • The 'Exclusion of Sources' aspect of the competition warrants further understanding to ensure no qualified small businesses were unduly excluded.

Positive Signals

  • The competitive nature of the award suggests that NASA sought the best technical and cost solutions available.
  • The long contract duration indicates a stable and ongoing need for these critical engineering services.
  • Awarding to an established contractor like KBR WYLE SERVICES, LLC may imply a track record of successful performance on similar contracts.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for specialized engineering services supporting government agencies, particularly in aerospace and defense, is substantial. Contracts like this are crucial for maintaining technological superiority and advancing scientific discovery. Comparable spending benchmarks would typically be found within NASA's broader R&D budget and specific engineering support categories.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). Therefore, the primary impact on the small business ecosystem would be through potential subcontracting opportunities if KBR WYLE SERVICES, LLC engages small businesses for specialized support. Without explicit subcontracting plans, it's difficult to assess the direct impact on small business growth.

Oversight & Accountability

Oversight for this contract would typically be managed by NASA's contracting officers and program managers. The Cost Plus Award Fee structure includes mechanisms for performance evaluation, which are key to oversight. Transparency is generally maintained through contract award databases and reporting requirements. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

  • NASA Research and Development Contracts
  • Engineering Services Contracts
  • Aerospace R&D Support
  • Mechanical Systems Engineering

Risk Flags

  • Potential for cost overruns in CPAF contracts.
  • Limited transparency on specific performance metrics and award fee determinations.
  • Need for clarity on the justification for 'Exclusion of Sources'.

Tags

nasa, research-and-development, engineering-services, mechanical-systems, kbr-wyle-services, cost-plus-award-fee, full-and-open-competition, definitive-contract, maryland, large-contract

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $37.9 million to KBR WYLE SERVICES, LLC. MECHANICAL SYSTEMS ENGINEERING SERVICES II/B

Who is the contractor on this award?

The obligated recipient is KBR WYLE SERVICES, LLC.

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 $37.9 million.

What is the period of performance?

Start: 2007-02-01. End: 2012-01-31.

What is the specific nature of the 'Mechanical Systems Engineering Services' provided under this contract?

The contract, 'MECHANICAL SYSTEMS ENGINEERING SERVICES II/B', awarded to KBR WYLE SERVICES, LLC by NASA, likely encompasses a broad range of specialized engineering support. This could include design, analysis, testing, integration, and maintenance of mechanical systems critical to NASA's missions. Given the R&D classification (NAICS 541710), services may involve developing new technologies, improving existing systems, and providing technical expertise for experimental projects. The 'Cost Plus Award Fee' (CPAF) payment structure suggests that performance metrics and award fees are tied to achieving specific technical milestones, quality standards, and project objectives, indicating a focus on high-value, performance-driven outcomes rather than just labor hours.

How does the performance of KBR WYLE SERVICES, LLC on this contract compare to industry benchmarks for similar R&D services?

Assessing KBR WYLE SERVICES, LLC's performance against industry benchmarks for this specific contract requires access to detailed performance reports, award fee determinations, and potentially independent cost analyses, which are not publicly available. However, KBR WYLE SERVICES, LLC is a well-established government contractor with a significant portfolio of engineering and technical services. Their ability to secure a five-year, $37.9 million contract with NASA suggests a level of capability and past performance that meets NASA's stringent requirements. To benchmark effectively, one would compare their cost efficiency, adherence to schedule, technical innovation, and overall client satisfaction against other large prime contractors performing similar R&D engineering services for agencies like NASA, DoD, or DOE.

What are the primary risks associated with a Cost Plus Award Fee (CPAF) contract of this magnitude?

The primary risks associated with a CPAF contract of this magnitude ($37.9 million) revolve around cost control and the potential for contractor inefficiency. While CPAF incentivizes performance through award fees, it also allows the contractor to recover allowable costs plus a fee that can be adjusted based on performance. This structure can lead to cost growth if performance targets are not clearly defined, measurable, or if NASA's oversight is insufficient. There's a risk that the contractor might prioritize achieving award fee criteria over strict cost discipline. Additionally, the complexity of mechanical systems engineering in an R&D context introduces technical risks, such as unforeseen challenges in design, testing, or integration, which could impact both cost and schedule.

What is the historical spending pattern for mechanical systems engineering services at NASA, and how does this contract fit in?

Historical spending patterns for mechanical systems engineering services at NASA would typically show a consistent need for such expertise, driven by the demands of complex space missions, research programs, and infrastructure development. NASA relies heavily on specialized engineering support across various disciplines, including mechanical systems. This $37.9 million contract, awarded over five years (2007-2012), represents a significant but likely proportional investment within NASA's broader R&D and operational budgets during that period. Analyzing historical data would reveal trends in contract values, durations, and the types of contractors frequently engaged. This specific contract fits within the agency's strategy to leverage external expertise for specialized technical functions, allowing NASA to focus its internal resources on core mission objectives.

What does the 'Full and Open Competition After Exclusion of Sources' procurement method imply for value and innovation?

The 'Full and Open Competition After Exclusion of Sources' method implies that NASA initially intended to solicit offers from all responsible sources but subsequently excluded certain sources based on specific, justifiable reasons. This could be due to requirements for specialized security clearances, unique technical capabilities, or prior performance issues. While it aims for broad competition, the exclusion means the pool of potential offerors is smaller than true full and open competition. This could potentially limit the range of innovative approaches or price points. However, if the exclusions were narrowly tailored and justified, it could ensure that only highly qualified and relevant bidders participate, potentially leading to better technical solutions and value, albeit from a reduced set of competitors.

Industry Classification

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

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 4

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Parent Company: KBR, Inc.

Address: 7701 GREENBELT RD STE 400, GREENBELT, MD, 20770

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $200,000,000

Exercised Options: $200,000,000

Current Obligation: $37,897,895

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2007-02-01

Current End Date: 2012-01-31

Potential End Date: 2012-01-31 00:00:00

Last Modified: 2023-01-25

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