NASA awards $20.2M for Liquid Nitrogen Supply System, highlighting industrial gas manufacturing needs

Contract Overview

Contract Amount: $20,195,227 ($20.2M)

Contractor: AIR Products and Chemicals, Inc

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2006-09-22

End Date: 2009-10-31

Contract Duration: 1,135 days

Daily Burn Rate: $17.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: LIQUID NITROGEN SUPPLY SYSTEM FOR THE NATIONAL TRANSONIC FACILITY

Place of Performance

Location: HAMPTON, HAMPTON (CITY) County, VIRGINIA, 23681

State: Virginia Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $20.2 million to AIR PRODUCTS AND CHEMICALS, INC for work described as: LIQUID NITROGEN SUPPLY SYSTEM FOR THE NATIONAL TRANSONIC FACILITY Key points: 1. The contract for the Liquid Nitrogen Supply System was awarded to AIR PRODUCTS AND CHEMICALS, INC. 2. The agency responsible for this procurement is the National Aeronautics and Space Administration (NASA). 3. This contract falls under the Industrial Gas Manufacturing sector (NAICS 325120). 4. The contract was awarded using Full and Open Competition. 5. The contract duration was 1135 days, with an award date in 2006.

Value Assessment

Rating: good

The award amount of $20.2 million appears reasonable for a specialized system like liquid nitrogen supply, especially considering the duration of the contract. Benchmarking against similar industrial gas supply contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of Full and Open Competition suggests a robust price discovery process. This method allows multiple vendors to bid, theoretically driving down costs and ensuring the government receives competitive pricing.

Taxpayer Impact: Full and open competition generally leads to better value for taxpayers by fostering a competitive environment that can result in lower prices.

Public Impact

Supports critical research infrastructure at the National Transonic Facility. Ensures a reliable supply of liquid nitrogen for advanced aerospace testing. Contributes to the operational capabilities of NASA's research facilities.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration is relatively long (over 3 years).
  • No specific mention of small business participation.
  • Award amount is significant for a specialized system.

Positive Signals

  • Awarded under Full and Open Competition.
  • Firm Fixed Price contract type provides cost certainty.
  • Procurement supports a key national research facility.

Sector Analysis

The procurement falls within the Industrial Gas Manufacturing sector, which is essential for various scientific and industrial applications. Spending benchmarks in this sector can vary widely based on the specific gas and volume required.

Small Business Impact

The data indicates that this contract was not awarded to a small business (sb: false). Further analysis would be needed to determine if small business set-aside goals were considered or if opportunities were missed.

Oversight & Accountability

The contract was awarded by NASA, an agency with established oversight mechanisms. The use of Full and Open Competition and a Firm Fixed Price contract suggests a degree of accountability in the procurement process.

Related Government Programs

  • Industrial Gas Manufacturing
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Potential for long-term reliance on a single supplier.
  • Lack of small business participation noted.
  • Complexity of specialized industrial gas systems can lead to unforeseen costs.
  • Need for ongoing monitoring of system performance and maintenance.

Tags

industrial-gas-manufacturing, national-aeronautics-and-space-administr, va, dca, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $20.2 million to AIR PRODUCTS AND CHEMICALS, INC. LIQUID NITROGEN SUPPLY SYSTEM FOR THE NATIONAL TRANSONIC FACILITY

Who is the contractor on this award?

The obligated recipient is AIR PRODUCTS AND CHEMICALS, 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 $20.2 million.

What is the period of performance?

Start: 2006-09-22. End: 2009-10-31.

What was the specific technical requirement driving the need for this liquid nitrogen supply system?

The system is for the National Transonic Facility, a wind tunnel complex used for aerospace research. Liquid nitrogen is crucial for cooling systems and potentially for simulating specific atmospheric conditions during high-speed flight tests, indicating a need for precise temperature control and a high-volume supply.

Were there any performance issues or contract modifications during the contract period?

The provided data does not detail performance issues or modifications. A review of contract performance reports and modification history would be necessary to assess any deviations from the original scope, schedule, or cost, and to understand if the contractor met all requirements.

How does the unit cost of liquid nitrogen supplied under this contract compare to market rates at the time?

Without specific volume data and market rate benchmarks for liquid nitrogen in 2006-2009, a direct comparison is difficult. However, the use of full and open competition suggests the pricing was likely competitive. Further research into historical industrial gas pricing would be needed for a definitive assessment.

Industry Classification

NAICS: ManufacturingBasic Chemical ManufacturingIndustrial Gas Manufacturing

Product/Service Code: CHEMICALS AND CHEMICAL PRODUCTS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 1

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 7201 HAMILTON BLVD, ALLENTOWN, PA, 07

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $20,195,227

Exercised Options: $20,195,227

Current Obligation: $20,195,227

Timeline

Start Date: 2006-09-22

Current End Date: 2009-10-31

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

Last Modified: 2011-02-04

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