NASA's Commercial Crew Program Contract Exceeds $3 Billion for Space Transportation Services

Contract Overview

Contract Amount: $3,029,850,124 ($3.0B)

Contractor: Space Exploration Technologies Corp.

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2016-12-30

End Date: 2030-12-31

Contract Duration: 5,114 days

Daily Burn Rate: $592.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: IGF::OT::IGF THE COMMERCIAL CREW PROGRAM (CCP) COMMERCIAL CREW TRANSPORTATION CAPABILITY (CCTCAP) CONTRACT WILL PROVIDE COMPLETION OF THE DESIGN, DEVELOPMENT, TEST, EVALUATION, AND CERTIFICATION OF AN INTEGRATED CREW TRANSPORTATION SYSTEM (CTS) CAPABLE OF TRANSPORTING NASA CREW TO AND FROM THE ISS, IN ACCORDANCE WITH THE DESIGN REFERENCE MISSIONS AND NASA'S CERTIFICATION STANDARDS AND REQUIREMENTS. CERTIFICATION OF THE CTS WILL BE DETERMINED BY NASA. NASA PLANS TO ISSUE TASK ORDERS FOR POST CERTIFICATION MISSIONS (PCM) TO AND FROM ISS THAT INCLUDE GROUND, LAUNCH, LIFEBOAT, ON-ORBIT, RETURN AND RECOVERY OPERATIONS. THE MINIMUM QUANTITY OF MISSIONS TO BE ORDERED IS TWO (2) AND THE MAXIMUM POTENTIAL QUANTITY OF MISSIONS WHICH MAY BE ORDERED IS SIX (6). IN ADDITION, NASA MAY ISSUE TASK ORDERS FOR SPECIAL STUDIES USED FOR RISK REDUCTION AND OTHER PURPOSES RELATED TO THE CTS. NASA CERTIFICATION UNDER CLIN 001 IS COMPLETE WHEN THE CONTRACTOR'S CREW TRANSPORTATION SYSTEM (CTS) HAS MET NASA'S REQUIREMENTS FOR SAFELY TRANSPORTING CREW TO AND FROM THE INTERNATIONAL SPACE STATION (ISS) IN ACCORDANCE WITH DOCUMENTS IDENTIFIED IN SECTION C.1, SPECIFICATIONS/STATEMENT OF WORK. SUBCLINS 001A AND 001B, IDENTIFIED IN TABLE B.3,DDTE/CERTIFICATION SUBCLINS, ARE DELIVERY MILESTONES THAT REPRESENT COMPLETION OF REQUIRED WORK NECESSARY TO ACHIEVE NASA CERTIFICATION. DELIVERY PAYMENT FOR THE ISS DESIGN CERTIFICATION REVIEW (DCR) FOR THE CREWED FLIGHT TO THE ISS INCLUDES ALL WORK UNDER THIS CLIN THAT OCCURS FROM THE CONTRACT EFFECTIVE DATE THROUGH THE ISS DCR COMPLETION. THE DELIVERY PAYMENT FOR THE CERTIFICATION REVIEW (CR) WILL INCLUDE ALL WORK THAT OCCURS FROM THE ISS DCR DELIVERY DATE THROUGH THE END OF THE DDTE/CERTIFICATION CLIN 001. IN ACCORDANCE WITH CLAUSE C.1, SPECIFICATION/STATEMENT OF WORK, THE TASK ORDERING PROCEDURES AND OTHER TERMS AND CONDITIONS IN THE CONTRACT, THE CONTRACTING OFFICER MAY ISSUE POST CERTIFICATION MISSION (PCM) TASK ORDERS. THE CONTRACTOR SHALL USE THE MISSION PRICING RATES SHOWN IN TABLE B.4.1, POST CERTIFICATION MISSION PRICES. THE PER MISSION PRICES ARE FOR A SINGLE ORDER AT THE PRICE STATED PER THE CALENDAR YEAR (CY) BASED ON THE NUMBER OF MISSIONS ORDERED. CTS FULL MISSION CAPABILITY PRICES SHALL BE BASED ON (1) FULFILLMENT OF THE DESIGN REFERENCE MISSION TO THE ISS FOUND IN CCT-DRM-1110, CREW TRANSPORTATION SYSTEM DESIGN REFERENCE MISSIONS, ATTACHMENT J-03, CONTRACT PERFORMANCE WORK STATEMENT, AND OTHER TERMS AND CONDITIONS IN THE CONTRACT AND (2) ALL INHERENT CTS CAPABILITIES THAT ARE WITHIN THE PROPOSED MISSION PRICES. IN ACCORDANCE WITH ATTACHMENT J-03, CONTRACT PERFORMANCE WORK STATEMENT, THE TASK ORDERING PROCEDURES AND OTHER TERMS AND CONDITIONS IN THE CONTRACT, THE CONTRACTOR SHALL PERFORM SPECIAL STUDIES, TEST AND ANALYSES, AS INITIATED BY WRITTEN DIRECTION FROM THE CONTRACTING OFFICER. SPACEX CCTCAP POST CERTIFICATION MISSIONS 3-6(PCM-3-6) TASK ORDER AGAINST NNK14MA74C CLIN 002, AS DESCRIBED IN CLAUSE B.4 POST CERTIFICATION MISSIONS (IDIQ)(CLIN 002) AND ALL OTHER APPLICABLE TERMS AND CONDITIONS.

Place of Performance

Location: ORLANDO, BREVARD County, FLORIDA, 32899

State: Florida Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $3.03 billion to SPACE EXPLORATION TECHNOLOGIES CORP. for work described as: IGF::OT::IGF THE COMMERCIAL CREW PROGRAM (CCP) COMMERCIAL CREW TRANSPORTATION CAPABILITY (CCTCAP) CONTRACT WILL PROVIDE COMPLETION OF THE DESIGN, DEVELOPMENT, TEST, EVALUATION, AND CERTIFICATION OF AN INTEGRATED CREW TRANSPORTATION SYSTEM (CTS) CAPABLE OF TRANSPORTING NASA CREW T… Key points: 1. The contract aims to develop and certify a crew transportation system for ISS missions. 2. Space Exploration Technologies Corp. (SpaceX) is the sole awardee for this phase. 3. Potential for up to six post-certification missions introduces significant cost variability. 4. The sector is highly specialized, with limited competition for human spaceflight capabilities.

Value Assessment

Rating: questionable

The contract value is substantial, but the per-unit cost for missions is not yet fully defined due to the task order structure. Benchmarking is difficult given the unique nature of human spaceflight.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

While the initial contract was awarded under full and open competition, SpaceX is the sole provider for this specific capability. Future task orders will be placed against this contract, limiting immediate price discovery for subsequent missions.

Taxpayer Impact: The significant investment aims to establish domestic human spaceflight capability, potentially reducing reliance on foreign providers and offering long-term cost savings, but initial outlays are high.

Public Impact

Ensures continued U.S. access to the International Space Station for astronauts. Supports the development of advanced aerospace technology and manufacturing. Creates high-skilled jobs in the aerospace sector. Reduces reliance on international partners for crew transport. Potential for future commercialization of space travel.

Waste & Efficiency Indicators

Waste Risk Score: 75 / 10

Warning Flags

  • High cost and long duration of contract.
  • Dependence on a single provider for critical capability.
  • Uncertainty in the number and cost of future missions.

Positive Signals

  • Development of a critical national capability.
  • Potential for technological advancements.
  • Supports U.S. leadership in space exploration.

Sector Analysis

This contract falls within the Guided Missile and Space Vehicle Manufacturing sector, a high-cost, high-innovation area. Spending benchmarks are difficult due to the unique nature of human spaceflight development and operation.

Small Business Impact

The contract is awarded to a large aerospace company, and there is no explicit information regarding small business participation in this specific award. Subcontracting opportunities may exist but are not detailed here.

Oversight & Accountability

NASA's Inspector General and internal oversight mechanisms are likely involved in monitoring contract performance and expenditures. The phased approach with task orders allows for incremental oversight.

Related Government Programs

  • Guided Missile and Space Vehicle Manufacturing
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Sole-source provider for critical capability.
  • High contract value with undefined future mission costs.
  • Long contract duration increases exposure to market and technological changes.
  • Potential for cost overruns in complex development and certification.

Tags

guided-missile-and-space-vehicle-manufac, national-aeronautics-and-space-administr, fl, delivery-order, billion-dollar

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $3.03 billion to SPACE EXPLORATION TECHNOLOGIES CORP.. IGF::OT::IGF THE COMMERCIAL CREW PROGRAM (CCP) COMMERCIAL CREW TRANSPORTATION CAPABILITY (CCTCAP) CONTRACT WILL PROVIDE COMPLETION OF THE DESIGN, DEVELOPMENT, TEST, EVALUATION, AND CERTIFICATION OF AN INTEGRATED CREW TRANSPORTATION SYSTEM (CTS) CAPABLE OF TRANSPORTING NASA CREW TO AND FROM THE ISS, IN ACCORDANCE WITH THE DESIGN REFERENCE MISSIONS AND NASA'S CERTIFICATION STANDARDS AND REQUIREMENTS. CERTIFICATION OF THE CTS WILL BE DETERMINED BY NASA. NASA PLANS TO ISSUE TASK ORDERS FOR POST CE

Who is the contractor on this award?

The obligated recipient is SPACE EXPLORATION TECHNOLOGIES CORP..

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 $3.03 billion.

What is the period of performance?

Start: 2016-12-30. End: 2030-12-31.

What is the projected cost per mission after certification, and how does it compare to previous or alternative methods?

The contract does not specify a fixed cost per post-certification mission. Costs will be determined by individual task orders, making direct comparison difficult. Historically, the Space Shuttle program had high per-mission costs, and this program aims for greater efficiency, but definitive benchmarks require analysis of awarded task orders.

What are the primary risks associated with relying on a single provider for crew transportation, and what mitigation strategies are in place?

The primary risk is the potential for service disruption if the sole provider faces technical, financial, or operational challenges. Mitigation strategies could include robust contract management, contingency planning, and potentially fostering alternative capabilities in the long term, though immediate alternatives are limited.

How effectively does this contract balance the need for rapid capability development with ensuring long-term cost-effectiveness for taxpayers?

The contract aims to accelerate capability development by leveraging private sector innovation. However, the high initial investment and the potential for multiple, costly missions raise concerns about long-term cost-effectiveness. Continuous oversight and competitive task order placement are crucial for taxpayer value.

Industry Classification

NAICS: ManufacturingAerospace Product and Parts ManufacturingGuided Missile and Space Vehicle Manufacturing

Product/Service Code: TRANSPORT, TRAVEL, RELOCATIONTRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1 ROCKET RD, HAWTHORNE, CA, 90250

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

Financial Breakdown

Contract Ceiling: $3,139,725,893

Exercised Options: $3,139,725,893

Current Obligation: $3,029,850,124

Actual Outlays: $2,618,078,047

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNK14MA74C

IDV Type: IDC

Timeline

Start Date: 2016-12-30

Current End Date: 2030-12-31

Potential End Date: 2030-12-31 00:00:00

Last Modified: 2026-01-29

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