NASA's James Webb Space Telescope simulator contract awarded to BAE Systems for $20.98M

Contract Overview

Contract Amount: $20,979,585 ($21.0M)

Contractor: BAE Systems Space & Mission Systems Inc.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2008-03-04

End Date: 2009-10-31

Contract Duration: 606 days

Daily Burn Rate: $34.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: OPTICAL SIMULATOR COMPONENTS (OPTICAL BENCH ASSEMBLY AND ALIGNMENT DIAGNOSTICS MODULE) FOR JAMES WEBB SPACE TELESCOPE/OPTICAL TELESCOPE ELEMENT SIMULATOR (OSIM) THE CONTRACTOR SHALL DESIGN, DEVELOP, FABRICATE, ASSEMBLE, INTEGRATE, AND TEST THE CONTRACTOR S PORTION OF OSIM AND DELIVER IT TO GSFC IN ACCORDANCE WITH THE APPLICABLE DOCUMENTS CITED IN SECTION 2.0 OF THIS DOCUMENT, INCLUDING REQUIREMENTS DERIVED THEREFROM. FIGURE 1-1 ILLUSTRATES A TOP LEVEL BLOCK DIAGRAM FOR OSIM AND IDENTIFIES THE HARDWARE RESPONSIBILITIES BETWEEN GSFC AND THE CONTRACTOR. THE CONTRACTOR S PORTION OF THE OSIM WORK IS TO PROVIDE OVERALL SYSTEMS ENGINEERING LEADERSHIP FOR THE OSIM PROJECT AND TO DEVELOP AND DELIVER THE OPTICAL BENCH MODULE (OBM) AND THE ALIGNMENT DIAGNOSTICS MODULE (ADM) ALONG WITH THEIR GROUND SUPPORT EQUIPMENT (GSE) AND SOFTWARE TO GSFC FOR OSIM INTEGRATION AND TEST.

Place of Performance

Location: BOULDER, BOULDER County, COLORADO, 80301

State: Colorado Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $21.0 million to BAE SYSTEMS SPACE & MISSION SYSTEMS INC. for work described as: OPTICAL SIMULATOR COMPONENTS (OPTICAL BENCH ASSEMBLY AND ALIGNMENT DIAGNOSTICS MODULE) FOR JAMES WEBB SPACE TELESCOPE/OPTICAL TELESCOPE ELEMENT SIMULATOR (OSIM) THE CONTRACTOR SHALL DESIGN, DEVELOP, FABRICATE, ASSEMBLE, INTEGRATE, AND TEST THE CONTRACTOR S PORTION OF OSIM AND DEL… Key points: 1. Contract focuses on critical optical simulator components for the James Webb Space Telescope. 2. BAE Systems is responsible for design, development, fabrication, assembly, integration, and testing. 3. The contract includes systems engineering leadership for the Optical Simulator Module (OSIM). 4. Work involves delivering the Optical Bench Module (OBM) and Alignment Diagnostics Module (ADM). 5. This contract is a definitive contract type with a Cost Plus Fixed Fee pricing structure. 6. The contract duration was 606 days, indicating a focused, project-specific effort. 7. The award was made under full and open competition, suggesting a robust bidding process.

Value Assessment

Rating: good

The contract value of $20.98 million for the OSIM components appears reasonable given the complexity and critical nature of the James Webb Space Telescope. Benchmarking against similar highly specialized aerospace R&D contracts suggests that pricing is within expected ranges for cutting-edge optical systems. The Cost Plus Fixed Fee structure, while carrying some risk, is common for development efforts where final costs can be uncertain. Further analysis would require detailed cost breakdowns and comparisons to similar component development efforts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple companies were likely invited to bid. The presence of a competitive bidding process generally leads to better price discovery and potentially more favorable terms for the government. The specific number of bidders is not provided, but the designation suggests a healthy level of market interest and capability for this specialized work.

Taxpayer Impact: Full and open competition ensures that taxpayer dollars are used efficiently by fostering a competitive environment that drives down costs and encourages innovation.

Public Impact

The primary beneficiaries are NASA and the scientific community, who will utilize the James Webb Space Telescope for groundbreaking astronomical research. The services delivered are the design, development, and fabrication of essential optical simulation hardware. The geographic impact is primarily at BAE Systems' facilities in Colorado, where the work will be performed. Workforce implications include specialized engineering, manufacturing, and testing roles within BAE Systems.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contracts can sometimes lead to cost overruns if not managed tightly.
  • The short performance period (606 days) might indicate a high intensity of work, potentially leading to schedule risks if unforeseen issues arise.

Positive Signals

  • Awarded under full and open competition, suggesting a competitive environment that likely optimized value.
  • BAE Systems is a well-established defense and aerospace contractor with relevant experience.
  • The contract is for a critical component of a high-profile scientific instrument, indicating a focus on quality and precision.

Sector Analysis

This contract falls within the aerospace and defense sector, specifically focusing on the development of advanced optical instruments for space applications. The market for such specialized components is limited to a few highly capable contractors. The value of this contract, while significant, is a small fraction of the overall James Webb Space Telescope program budget, highlighting the intricate and costly nature of developing space-based observatories.

Small Business Impact

The data indicates that this contract was not set aside for small businesses, nor does it explicitly mention subcontracting requirements for small businesses. Given the specialized nature of the work, it is possible that large prime contractors like BAE Systems may engage small businesses for specific components or services, but this is not detailed in the provided information. The primary focus appears to be on the prime contractor's capabilities.

Oversight & Accountability

Oversight for this contract would primarily fall under NASA's contracting officers and program management teams at Goddard Space Flight Center. NASA has established procurement regulations and oversight mechanisms to ensure contract compliance and performance. The Inspector General's office would have jurisdiction for investigating fraud, waste, or abuse related to this contract.

Related Government Programs

  • James Webb Space Telescope Program
  • Optical Telescope Element Simulator (OSIM)
  • NASA Goddard Space Flight Center Contracts
  • Aerospace Instrument Development Contracts

Risk Flags

  • Potential for cost overruns due to CPFF structure.
  • Schedule risks if unforeseen technical challenges arise during development.
  • Reliance on a single contractor for critical OSIM components.

Tags

nasa, james-webb-space-telescope, optical-instrument-manufacturing, aerospace, research-and-development, cost-plus-fixed-fee, definitive-contract, full-and-open-competition, bae-systems, colorado, large-contract

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $21.0 million to BAE SYSTEMS SPACE & MISSION SYSTEMS INC.. OPTICAL SIMULATOR COMPONENTS (OPTICAL BENCH ASSEMBLY AND ALIGNMENT DIAGNOSTICS MODULE) FOR JAMES WEBB SPACE TELESCOPE/OPTICAL TELESCOPE ELEMENT SIMULATOR (OSIM) THE CONTRACTOR SHALL DESIGN, DEVELOP, FABRICATE, ASSEMBLE, INTEGRATE, AND TEST THE CONTRACTOR S PORTION OF OSIM AND DELIVER IT TO GSFC IN ACCORDANCE WITH THE APPLICABLE DOCUMENTS CITED IN SECTION 2.0 OF THIS DOCUMENT, INCLUDING REQUIREMENTS DERIVED THEREFROM. FIGURE 1-1 ILLUSTRATES A TOP LEVEL BLOCK DIAGRAM FOR OSIM AND IDENTIFIES THE HA

Who is the contractor on this award?

The obligated recipient is BAE SYSTEMS SPACE & MISSION SYSTEMS INC..

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 $21.0 million.

What is the period of performance?

Start: 2008-03-04. End: 2009-10-31.

What is the track record of BAE Systems in delivering complex optical systems for NASA or similar space programs?

BAE Systems has a significant track record in the aerospace and defense industry, including experience with complex space systems. While specific details on their delivery of optical systems for NASA's flagship programs like JWST are not provided in this data snippet, the company has been involved in various satellite components, sensor systems, and other mission-critical hardware for government and commercial clients. Their extensive experience in systems engineering, integration, and manufacturing for demanding environments suggests a capability to handle such projects. However, a deeper dive into their past performance on similar optical instrument contracts would be necessary for a comprehensive assessment.

How does the $20.98 million contract value compare to the total estimated cost of the James Webb Space Telescope program?

The total estimated cost for the James Webb Space Telescope program has fluctuated over its development but is generally cited in the range of $8 billion to $10 billion. The $20.98 million awarded to BAE Systems for the Optical Simulator Module (OSIM) represents a relatively small fraction of the overall program cost, approximately 0.21% to 0.26%. This highlights that the OSIM is a critical but specific subsystem within the much larger and more complex telescope project. The value is commensurate with the specialized design, development, and fabrication required for such a unique scientific instrument component.

What are the primary risks associated with the Cost Plus Fixed Fee (CPFF) contract type for this project?

The primary risk associated with a Cost Plus Fixed Fee (CPFF) contract for a project like the OSIM is that the contractor may have less incentive to control costs compared to fixed-price contracts, as costs are reimbursed. However, the 'fixed fee' component provides a defined profit margin, which can incentivize the contractor to complete the work efficiently to maximize their return on investment. For NASA, the risk lies in potential cost overruns if the contractor's estimates are inaccurate or if unforeseen technical challenges arise that significantly increase expenses. Robust oversight and detailed cost tracking are crucial to mitigate these risks.

What is the significance of the Optical Simulator Module (OSIM) within the James Webb Space Telescope project?

The Optical Simulator Module (OSIM) is a crucial ground support element for the James Webb Space Telescope (JWST). Its purpose is to simulate the optical performance of the telescope's Optical Telescope Element (OTE) during testing and integration phases on Earth. This simulation allows engineers to verify that the telescope's optics will function as intended in the space environment before launch. The OSIM ensures that the complex optical systems, including the primary mirror and instruments, meet stringent performance requirements, thereby reducing risks associated with the mission's success. The contractor's portion, developed by BAE Systems, includes key modules like the Optical Bench Module (OBM) and Alignment Diagnostics Module (ADM).

What does the contract duration of 606 days imply about the project's timeline and complexity?

A contract duration of 606 days, approximately 20 months, for the design, development, fabrication, assembly, integration, and testing of the OSIM components suggests a focused and intensive project timeline. This duration is typical for complex engineering development efforts where significant design work, prototyping, rigorous testing, and integration are required. It indicates that the project was not expected to be a simple manufacturing task but involved substantial engineering effort and iterative development cycles. The relatively short duration for such a critical component also implies a need for efficient project management and execution by the contractor.

How does the 'full and open competition' award impact the value received by taxpayers for this contract?

Awarding the contract under 'full and open competition' generally benefits taxpayers by fostering a competitive environment. This process encourages multiple qualified vendors to submit proposals, leading to potentially lower prices, higher quality solutions, and greater innovation as companies vie for the contract. It ensures that the government is not limited to a single source and can leverage the best available capabilities and pricing in the market. For taxpayers, this means their money is more likely to be spent efficiently, securing the necessary advanced technology for the James Webb Space Telescope at a more competitive price point than might be achieved through sole-source or limited competition.

Industry Classification

NAICS: ManufacturingCommercial and Service Industry Machinery ManufacturingOptical Instrument and Lens Manufacturing

Product/Service Code: RESEARCH AND DEVELOPMENTSpace R&D Services

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Parent Company: Ball Corp

Address: 1600 COMMERCE ST, BOULDER, CO, 80301

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $20,979,585

Exercised Options: $20,979,585

Current Obligation: $20,979,585

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Timeline

Start Date: 2008-03-04

Current End Date: 2009-10-31

Potential End Date: 2009-10-31 00:00:00

Last Modified: 2026-03-30

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