NASA's Ares I Upper Stage Avionics Development Contract Awarded to Boeing for $196.3M

Contract Overview

Contract Amount: $196,330,000 ($196.3M)

Contractor: THE Boeing Company

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2007-12-17

End Date: 2011-12-16

Contract Duration: 1,460 days

Daily Burn Rate: $134.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 5

Pricing Type: COST PLUS AWARD FEE

Sector: R&D

Official Description: ARES I UPPER STAGE INSTRUMENT UNIT AVIONICS DEVELOPMENT. THE UPPER STAGE (US) ELEMENT IS AN INTEGRAL PART OF THE ARES I LAUNCH VEHICLE AND PROVIDES THE SECOND STAGE OF FLIGHT. THE US ES RESPONSIBLE FOR THE ROLL CONTROL DURING THE FIRST STAGE BURN AND SEPARATION AND WILL PROVIDE THE GUIDANCE AND NAVIGATION, COMMAND AND DATA HANDLING, AND OTHER AVIONICS FUNCTIONS FOR THE ARES I DURING ALL PHASES OF THE ASCENT FLIGHT. THE US IS A NEW DESIGN THAT EMPHASIZES SAFETY, OPERABILITY, AND MINIMUM LIFE-CYCLE COST. THE OVERALL DESIGN, DEVELOPMENT, TEST AND EVALUATION (DDT&E), PRODUCTION, AND SUSTAINING ENGINEERING EFFORTS INCLUDE ACTIVITIES PERFORMED BY THREE ORGANIZATIONS: THE NASA DESIGN TEAM (NDT), THE UPPER STAGE PRODUCTION CONTRACTOR (USPC) AND THE INSTRUMENT UNIT AVIONICS CONTRACTOR (IUAC). THE USPC WAS SELECTED VIA A SEPARATE ACQUISITION. NASA IS RESPONSIBLE FOR THE INTEGRATION OF THE PRIMARY ELEMENTS OF THE ARES I LAUNCH VEHICLE INCLUDING: THE FIRST STAGE, US INCLUDING INSTRUMENT UNIT (IU), US ENGINE, AND ORION AND WILL ALSO INTEGRATE THE ARES I LAUNCH VEHICLE AT THE LAUNCH SITE. THE US AVIONICS HARDWARE AND SOFTWARE SYSTEM ARCHITECTURE AND SPECIFICATIONS WILL BE DEVELOPED BY THE NASA MARSHALL SPACE FLIGHT CENTER (MSFC) LED TEAM, IN CONJUNCTION WITH GLENN RESEARCH CENTER (GRC), AMES RESEARCH CENTER (ARC), AND KENNEDY SPACE CENTER (KSC). THE NDT IS COMPOSED OF BOTH GOVERNMENT CIVIL SERVANTS AND SUPPORT CONTRACTORS FROM EACH OF THE AFOREMENTIONED CENTERS. THE NDTS AVIONICS AND SOFTWARE DEVELOPMENT APPROACH IS DOCUMENTED IN USO-CLV-DE-25106, UPPER STAGE AVIONICS DEVELOPMENT PLAN. THE INSTRUMENT UNIT (IU) WILL HOUSE THE MAJORITY OF THE ARES I US AVIONICS. A SMALLER SET OF ELECTRONICS AND CABLE HARNESSES WILL BE LOCATED ON THE US CORE STRUCTURE AND INTERSTAGE STRUCTURE. THE US CONCEPTUAL DESIGN DESCRIBED IN THE USO-CLV-SE-25704 US DESIGN DEFINITION DOCUMENT (DDD) IS THE BASELINE VEHICLE DESIGN. THE ARES I US AVIONICS AND SOFTWARE SUBSYSTEM SPECIFICATION (USO-CLV-DE-25107), THE ELECTRICAL GROUND SUPPORT EQUIPMENT (EGSE) SUBSYSTEM REQUIREMENTS SPECIFICATION (USO-CLV-DE-25135), AND THE ARES I US AVIONICS AND SOFTWARE COMPONENT END ITEM (CEI) SPECIFICATIONS (USO-CLV-DE-25107), LISTED IN SECTION 5, WILL SERVE AS THE SOURCE FOR TECHNICAL REQUIREMENTS FOR THE CONTRACTOR. THIS IS A COST PLUS AWARD FEE (CPAF) TYPE OF CONTRACT AND FEE FOR CLINS 1 AND 2 IS EARNED BASED ON THE AWARD FEE SCORE GIVEN AT THE END OF EACH AWARD FEE PERIOD. FEE FOR CLINS 1 AND 2 ARE EVALUATED UNDER NASA FAR SUPPLEMENT (NFS) CLAUSE 1852.216-76, AWARD FEE FOR SERVICE CONTRACTS. THE AMOUNT OF AVAILABLE AWARD FEE SHOWN IN TABLE 3 OF PARAGRAPH 1.4, BELOW, IS SUBJECT TO ADJUSTMENT BASED ON IDIQ WORK AUTHORIZED UNDER CLIN 2. ADDITIONALLY, THE AMOUNT OF AVAILABLE AWARD FEE IN EACH PERIOD IS SUBJECT TO EQUITABLE ADJUSTMENTS ARISING FROM CHANGES OR OTHER CONTRACT MODIFICATIONS.

Place of Performance

Location: HUNTSVILLE, MADISON County, ALABAMA, 35824

State: Alabama Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $196.3 million to THE BOEING COMPANY for work described as: ARES I UPPER STAGE INSTRUMENT UNIT AVIONICS DEVELOPMENT. THE UPPER STAGE (US) ELEMENT IS AN INTEGRAL PART OF THE ARES I LAUNCH VEHICLE AND PROVIDES THE SECOND STAGE OF FLIGHT. THE US ES RESPONSIBLE FOR THE ROLL CONTROL DURING THE FIRST STAGE BURN AND SEPARATION AND WILL PROVIDE … Key points: 1. This contract focuses on critical avionics development for the Ares I launch vehicle's upper stage, essential for guidance, navigation, and control. 2. Boeing, a major aerospace contractor, secured this award, indicating significant competition in the aerospace development sector. 3. The project emphasizes safety, operability, and lifecycle cost reduction, suggesting a focus on long-term program viability. 4. The contract is categorized under R&D for Physical, Engineering, and Life Sciences, highlighting its innovative nature.

Value Assessment

Rating: good

The contract value of $196.3 million for a complex avionics development project appears reasonable given the scope and the nature of aerospace development. Benchmarking against similar large-scale aerospace R&D contracts would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a robust price discovery process. This method typically leads to more competitive pricing as multiple qualified bidders vie for the contract.

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for a critical national space program.

Public Impact

Development of the Ares I upper stage is crucial for NASA's future space exploration ambitions. The avionics system will be the 'brain' of the upper stage, controlling its flight path and ensuring mission success. This contract supports high-tech jobs in Alabama, contributing to the state's aerospace industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the Research and Development sector, specifically for physical and engineering sciences. Spending in this area is often characterized by high innovation, long development cycles, and significant upfront investment, with benchmarks varying widely based on project complexity and technological advancement.

Small Business Impact

The data indicates the primary contractors are large organizations (NASA, Boeing). There is no explicit mention of small business participation in this specific contract award, suggesting potential for limited direct impact on SMBs unless they are subcontractors.

Oversight & Accountability

The contract involves multiple organizations (NASA Design Team, Upper Stage Production Contractor, Instrument Unit Avionics Contractor), necessitating strong oversight to ensure coordination and accountability. NASA's oversight will be critical to managing the development and ensuring adherence to safety and performance requirements.

Related Government Programs

Risk Flags

Tags

research-and-development-in-the-physical, national-aeronautics-and-space-administr, al, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $196.3 million to THE BOEING COMPANY. ARES I UPPER STAGE INSTRUMENT UNIT AVIONICS DEVELOPMENT. THE UPPER STAGE (US) ELEMENT IS AN INTEGRAL PART OF THE ARES I LAUNCH VEHICLE AND PROVIDES THE SECOND STAGE OF FLIGHT. THE US ES RESPONSIBLE FOR THE ROLL CONTROL DURING THE FIRST STAGE BURN AND SEPARATION AND WILL PROVIDE THE GUIDANCE AND NAVIGATION, COMMAND AND DATA HANDLING, AND OTHER AVIONICS FUNCTIONS FOR THE ARES I DURING ALL PHASES OF THE ASCENT FLIGHT. THE US IS A NEW DESIGN THAT EMPHASIZES SAFETY, OPERABILITY, AND MINIMUM LIFE-CYC

Who is the contractor on this award?

The obligated recipient is THE BOEING 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 $196.3 million.

What is the period of performance?

Start: 2007-12-17. End: 2011-12-16.

What is the projected lifecycle cost savings from the emphasis on minimum life-cycle cost in the US design?

The contract documents emphasize a focus on minimum life-cycle cost for the Ares I Upper Stage (US). However, specific projected savings figures are not detailed in the provided data. Achieving these savings will depend on the successful implementation of design choices related to durability, maintainability, and operational efficiency throughout the US's service life.

What are the key performance metrics for the avionics system to ensure mission success and safety?

Key performance metrics for the avionics system would likely include reliability, accuracy of guidance and navigation, command and data handling throughput, fault tolerance, and adherence to stringent safety standards for human spaceflight. Specific quantitative metrics are typically detailed in the contract's statement of work and performance specifications, which are not fully provided here.

How will the performance of the Instrument Unit Avionics Contractor (IUAC) be evaluated under the Cost Plus Award Fee (CPA) structure?

Under a Cost Plus Award Fee (CPA) contract, the IUAC is reimbursed for allowable costs plus a fee that consists of a base amount and an award amount. The award amount is determined by NASA based on the contractor's performance against pre-defined criteria, incentivizing high performance in areas like schedule, cost control, and technical execution.

Industry Classification

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

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Offers Received: 5

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 499 BOEING BLVD SW, HUNTSVILLE, AL, 35824

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: $277,824,498

Exercised Options: $277,824,498

Current Obligation: $196,330,000

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2007-12-17

Current End Date: 2011-12-16

Potential End Date: 2011-12-16 00:00:00

Last Modified: 2022-05-04

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