NASA's Jet Propulsion Laboratory contract with Caltech valued at over $2.1 billion for R&D services

Contract Overview

Contract Amount: $21,089,969 ($21.1M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2012-08-22

End Date: 2020-02-28

Contract Duration: 2,746 days

Daily Burn Rate: $7.7K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CL::IGF PASADENA AND LINCOLN AVENUE AGREEMENTS THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA) AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY (CONTRACTOR), A PRIVATE NONPROFIT EDUCATIONAL INSTITUTION, WHICH ESTABLISHES THE RELATIONSHIP FOR THE OPERATION OF THE FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER (FFRDC) KNOWN AS THE JET PROPULSION LABORATORY. THE CONTRACTOR, JPL, IS REQUIRED TO PERFORM WORK THAT IS DESIGNATED IN TASK ORDERS ISSUED BY THE NASA MANAGEMENT OFFICE (NMO) CONTRACTING OFFICERS. NASA SPONSORED WORK: JPL S PRIMARY MISSION IS TO SUPPORT THE NASA SCIENCE MISSION DIRECTORATE (SMD) IN CARRYING OUT THE SPECIFIC OBJECTIVES IDENTIFIED IN THE SMD SCIENCE PLAN. THE FOUR BROAD SCIENTIFIC AREAS ARE: EARTH SCIENCE, PLANETARY SCIENCE, HELIOPHYSICS, AND ASTROPHYSICS. IN PERFORMANCE OF THIS CONTRACT, JPL SHALL: 1) SUPPLY A BROAD BASE OF SCIENTIFIC AND TECHNICAL CAPABILITIES RELEVANT TO NASA PROGRAM AND PROJECT RESPONSIBILITIES AND ASSIGNMENTS. 2) FOSTER ITS UNIQUE RELATIONSHIP WITH A TOP-TIER UNIVERSITY TO FACILITATE THE INVOLVEMENT OF SCIENTISTS, ENGINEERS, AND STUDENTS FROM THE UNIVERSITY AND RESEARCH COMMUNITIES IN NASA MISSION AND IN SUPPORTING OTHER GOVERNMENT AGENCIES. 3) SUPPORT NASA IN ENABLING PROGRAM AND INSTITUTIONAL CAPABILITIES. 4) DEVELOP SPACECRAFT AND INSTRUMENTS THAT ARE SENT TO VARIOUS DESTINATIONS WITH OUR SOLAR SYSTEM, INCLUDING EARTH ORBIT, PLANETS, PLANETARY SATELLITES, ASTEROIDS, AND COMETS. THESE MISSIONS MAY BE ORBITERS, LANDERS, OR ROVERS, AND TYPICALLY INCLUDE CUTTING-EDGE TECHNOLOGIES REQUIRED TO MEET SCIENTIFIC REQUIREMENTS. 5) PERFORM PROJECT TASKS INVOLVING: (I) AUTONOMOUS DEEP-SPACE, INNER-SPACE AND EARTH-ORBITING SPACECRAFT OR MAJOR SUBSYSTEMS, (II) EXPERIMENTS, INSTRUMENTS, OR OTHER DEVICES WHICH MAY BE CARRIED AS PAYLOAD ON SPACECRAFTS IN MISSIONS MANAGED BY OTHERS, AND/OR (III) GROUND-BASED SYSTEMS. 6) BEYOND ITS PRIMARY MISSION, JPL MAY PERFORM WORK FOR OTHER NASA MISSION DIRECTORATES OR OFFICES. 7) JPL IS ALSO RESPONSIBLE FOR THE OPERATION, RESEARCH, TECHNOLOGY INSERTION, AND MANAGEMENT OF NASA S DEEP SPACE NETWORK TO PROVIDE TELECOMMUNICATION AND OPERATION SERVICES, INCLUDING DATA ACQUISITION AND DATA DELIVERY REQUIRED TO MEET ESTABLISHED AGENCY OBJECTIVES. 8) JPL IS ALSO REQUIRED TO MAINTAIN AND CONDUCT AN EDUCATION PROGRAM IN CLOSE COORDINATION WITH THE NASA HEADQUARTERS EDUCATION OFFICE, THE ACADEMIC COMMUNITY AT LARGE, AND IN SUPPORT TO NASA STRATEGIC OBJECTIVES TO IMPROVE STUDENT RETENTION IN THE SCIENCE, TECHNOLOGY, ENGINEERING, AND MATHEMATICS (STEM) DISCIPLINES. WORK FOR NON-NASA SPONSORS: JPL MAY PERFORM WORK FOR NON-NASA SPONSORS. THIS WORK WILL BE DESIGNATED IN TASK ORDERS ISSUED BY NMO CONTRACTING OFFICERS BASED ON TASK PLANS INITIATED BY THE CONTRACTOR.

Place of Performance

Location: PASADENA, LOS ANGELES County, CALIFORNIA, 91109

State: California Government Spending

Plain-Language Summary

National Aeronautics and Space Administration obligated $21.1 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: IGF::CL::IGF PASADENA AND LINCOLN AVENUE AGREEMENTS THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA) AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY (CONTRACTOR), A PRIVATE NONPROFIT EDUCATIONAL INSTITUTION, WHICH ESTABLISHES TH… Key points: 1. This contract represents a significant investment in scientific research and development, primarily focused on space exploration and Earth science. 2. The FFRDC model allows for specialized, long-term research capabilities tailored to government needs. 3. Performance is tied to task orders issued by NASA, indicating a flexible and responsive research agenda. 4. The contract's duration and substantial value suggest a critical role for JPL in NASA's strategic objectives. 5. The nature of FFRDC work often involves complex, cutting-edge research that may not be readily available in the commercial market. 6. Oversight is managed by NASA, ensuring alignment with agency goals and responsible use of funds.

Value Assessment

Rating: good

The contract's value of over $2.1 billion over its period of performance (2012-2020) is substantial, reflecting the complex and long-term nature of the research and development conducted by JPL. Benchmarking this against similar FFRDC contracts is challenging due to their unique structure and mission-specific focus. However, the cost-plus-fixed-fee (CPFF) pricing structure suggests that NASA aims to control overall costs while incentivizing efficient performance. The value appears commensurate with the scope of work, which includes supporting NASA's Science Mission Directorate across Earth science, planetary science, and astrophysics.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed and was awarded sole-source to the California Institute of Technology for the operation of the Jet Propulsion Laboratory (JPL), a Federally Funded Research and Development Center (FFRDC). FFRDCs are typically established with a specific contractor due to the unique capabilities, long-term relationship, and specialized infrastructure required. This approach allows for a stable environment for critical research and development that might be difficult to replicate through traditional competitive procurement.

Taxpayer Impact: While sole-source awards can sometimes lead to higher prices, the FFRDC model is designed to provide specialized capabilities that are essential for national objectives, justifying the lack of open competition in this instance.

Public Impact

The primary beneficiaries are NASA and the scientific community, advancing our understanding of the universe and Earth. Services delivered include research, design, development, and operation of space missions and scientific instruments. Geographic impact is global, with missions exploring the solar system and observing Earth from space. Workforce implications include highly skilled scientists, engineers, and technicians employed at JPL. The contract supports advancements in fields such as planetary science, astrophysics, and Earth observation, benefiting the public through scientific discovery and technological innovation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns inherent in complex R&D projects, though mitigated by CPFF structure.
  • Reliance on a single entity (Caltech/JPL) for critical FFRDC functions.
  • The long-term nature of the contract may reduce flexibility for NASA to adapt to rapidly changing technological landscapes without contract modification.

Positive Signals

  • Established track record of JPL in successful space missions and scientific breakthroughs.
  • The FFRDC structure provides a stable, long-term platform for critical research.
  • Strong partnership between NASA and Caltech, fostering innovation and expertise.
  • Focus on high-priority scientific areas aligned with national interests.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. The Jet Propulsion Laboratory (JPL) is a world-renowned R&D center operated by Caltech for NASA. The market for such specialized, government-funded R&D, particularly in space exploration, is limited and often dominated by FFRDCs or large aerospace contractors. Comparable spending benchmarks are difficult to establish due to the unique nature of FFRDCs, but NASA's overall R&D budget provides context for the scale of investment in scientific exploration.

Small Business Impact

This contract is not directly associated with small business set-asides. As an FFRDC operated by a non-profit educational institution, the primary focus is on direct research and development execution by the contractor. While JPL may engage subcontractors, including small businesses, for specific components or services, the contract itself is not structured to prioritize small business participation through set-asides. Subcontracting opportunities would depend on JPL's internal procurement needs and policies.

Oversight & Accountability

Oversight is primarily conducted by the National Aeronautics and Space Administration (NASA) through its Management Office at JPL. NASA Contracting Officers issue task orders and monitor performance against these orders. As an FFRDC, JPL is subject to specific oversight frameworks designed to ensure alignment with government objectives and responsible financial management. Transparency is maintained through regular reporting and reviews, and while there isn't a specific Inspector General jurisdiction solely for this contract, NASA's Office of Inspector General would have oversight over NASA's administration of the contract.

Related Government Programs

  • NASA Science Mission Directorate Programs
  • Federally Funded Research and Development Centers (FFRDCs)
  • Space Exploration Initiatives
  • Earth Science Research Programs
  • Astrophysics Research

Risk Flags

  • Sole-source award may limit price competition.
  • Complexity of R&D projects can introduce cost and schedule risks.
  • Dependence on a single contractor for critical FFRDC functions.

Tags

research-and-development, space-exploration, nasa, california-institute-of-technology, jet-propulsion-laboratory, ffrdc, cost-plus-fixed-fee, sole-source, science-mission-directorate, earth-science, astrophysics, planetary-science

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $21.1 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. IGF::CL::IGF PASADENA AND LINCOLN AVENUE AGREEMENTS THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA) AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY (CONTRACTOR), A PRIVATE NONPROFIT EDUCATIONAL INSTITUTION, WHICH ESTABLISHES THE RELATIONSHIP FOR THE OPERATION OF THE FEDERALLY FUNDED RESEARCH AND DEVELOPMENT CENTER (FFRDC) KNOWN AS THE JET PROPULSION LABORATORY. THE CONTRACTOR, JPL, IS REQUIRED TO PERFORM WORK THAT IS DESIGNATED IN TASK ORDERS

Who is the contractor on this award?

The obligated recipient is CALIFORNIA INSTITUTE OF TECHNOLOGY.

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 $21.1 million.

What is the period of performance?

Start: 2012-08-22. End: 2020-02-28.

What is the historical spending trend for the Jet Propulsion Laboratory contract with NASA over the past decade?

The provided data covers a specific contract period from August 22, 2012, to February 28, 2020, with a total value of $2,108,996,882.82. This represents the total obligated amount over the contract's life. To analyze historical spending trends, one would need access to annual or quarterly obligation data for this specific contract, or for the broader NASA FFRDC funding. Without granular data, it's difficult to pinpoint year-over-year spending fluctuations. However, the substantial total value suggests consistent and significant annual funding to support JPL's ongoing research and development activities, which typically involve multi-year projects and mission operations.

How does the cost-plus-fixed-fee (CPFF) pricing structure compare to other contract types used for similar R&D services?

The Cost-Plus-Fixed-Fee (CPFF) structure, used here, is common for R&D contracts where the scope of work is not precisely defined at the outset, or where innovation and exploration are key objectives. Under CPFF, the contractor is reimbursed for allowable costs plus a fixed fee representing profit. This contrasts with Fixed-Price contracts, which offer greater cost certainty to the government but can be risky for contractors on R&D projects. Cost-Reimbursement contracts (like Cost-Plus-Incentive-Fee or Cost-Plus-Award-Fee) offer more flexibility and risk-sharing. For complex, long-term R&D like that performed by JPL, CPFF provides a balance, allowing NASA to fund necessary research while providing the contractor with a defined profit margin, incentivizing efficient cost management to protect that fee.

What are the key performance indicators (KPIs) used to evaluate JPL's performance under this contract?

While specific KPIs are not detailed in the provided summary, performance for FFRDC contracts like this one is typically evaluated based on the successful execution of task orders issued by the government. Key performance indicators would likely include adherence to scientific and technical objectives outlined in task orders, timely delivery of research findings and mission milestones, effective management of project budgets and schedules, and the overall quality and impact of scientific discoveries or technological advancements. NASA's Management Office at JPL would establish and monitor these KPIs through regular reviews, progress reports, and milestone achievements, ensuring alignment with NASA's Science Mission Directorate goals.

What is the track record of the California Institute of Technology (Caltech) as a contractor for NASA, particularly in operating FFRDCs?

Caltech has an exceptionally strong and long-standing track record with NASA, primarily through its operation of the Jet Propulsion Laboratory (JPL). JPL, established in 1936 and managed by Caltech since 1958, is a cornerstone of NASA's space exploration and Earth science endeavors. Caltech's stewardship of JPL has resulted in numerous groundbreaking missions, including the Voyager, Hubble Space Telescope (instrumentation), Mars rovers (Spirit, Opportunity, Curiosity, Perseverance), Cassini-Huygens, and the James Webb Space Telescope (instrumentation). This sustained success highlights Caltech's deep expertise in managing complex scientific and engineering projects, fostering innovation, and delivering critical research outcomes for NASA, making them a trusted and indispensable partner.

How does NASA ensure accountability and transparency in its contracts with FFRDCs like JPL?

NASA ensures accountability and transparency with FFRDCs like JPL through a multi-faceted approach. Firstly, the FFRDC designation itself implies a unique relationship with specific government oversight. NASA establishes detailed agreements and issues specific task orders that define the scope of work, deliverables, and timelines. Performance is monitored through regular progress reports, technical reviews, and milestone assessments conducted by NASA program managers and contracting officers. Financial accountability is managed through the CPFF structure, requiring detailed cost reporting and audits. Transparency is further supported by NASA's public reporting on its missions and research outcomes, and the FFRDC's adherence to government-wide transparency initiatives, although the specific operational details might be proprietary.

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: NOT COMPETED

Solicitation Procedures: ONLY ONE SOURCE

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 4800 OAK GROVE DR, PASADENA, CA, 91109

Business Categories: Category Business, Federally Funded Research and Development Corp, Government, U.S. National Government, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $33,363,437

Exercised Options: $33,363,437

Current Obligation: $21,089,969

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNN12AA01C

IDV Type: IDC

Timeline

Start Date: 2012-08-22

Current End Date: 2020-02-28

Potential End Date: 2020-02-28 00:00:00

Last Modified: 2019-05-03

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