NASA's $96M Exoplanet Program Contract with Caltech Faces Scrutiny for Lack of Competition

Contract Overview

Contract Amount: $96,365,782 ($96.4M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2012-10-01

End Date: 2019-09-30

Contract Duration: 2,555 days

Daily Burn Rate: $37.7K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CL::IGF EXOPLANET EXPLORATION PROGRAM (EXEP) SCIENCE RESEARCH AND TECHNOLOGY (SR&T) 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 $96.4 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: IGF::CL::IGF EXOPLANET EXPLORATION PROGRAM (EXEP) SCIENCE RESEARCH AND TECHNOLOGY (SR&T) THE CONTRACT IS THE SPONSORING AGREEMENT BETWEEN THE NATIONAL AERONAUTICS AND SPACE ADMINISTRATION (NASA) AND THE CALIFORNIA INSTITUTE OF TECHNOLOGY (CONTRACTOR), A PRIVATE NONPROFIT EDUCATIO… Key points: 1. The contract, valued at $96.4 million, funds critical exoplanet research and technology development. 2. Competition was limited, with the contract awarded to California Institute of Technology (Caltech) without a competitive bidding process. 3. Potential risks include lack of price discovery and the possibility of less innovative solutions due to sole-source award. 4. The sector is Research and Development in Physical, Engineering, and Life Sciences, a high-value area for scientific advancement.

Value Assessment

Rating: questionable

The contract's Cost Plus Fixed Fee structure for R&D can be complex to benchmark. Without competitive bids, it's difficult to assess if the $96.4 million represents optimal value compared to potential alternatives.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract was not competed, awarded directly to the California Institute of Technology for operating the Jet Propulsion Laboratory. This sole-source approach limits price discovery and may not yield the most cost-effective outcome.

Taxpayer Impact: Taxpayer funds are committed without a competitive process to ensure the best possible price for the critical exoplanet research.

Public Impact

Significant taxpayer investment in space exploration and scientific discovery. Potential for groundbreaking advancements in understanding exoplanets and their habitability. The contract supports a key national research facility (JPL), contributing to scientific infrastructure. Public interest in space programs could be impacted by concerns over contract efficiency.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Lack of competition
  • Cost Plus Fixed Fee structure
  • Sole-source award

Positive Signals

  • Supports critical scientific research
  • Funds a key national laboratory (JPL)
  • Long-term contract duration

Sector Analysis

This contract falls under Research and Development in Physical, Engineering, and Life Sciences. Spending in this sector is crucial for innovation but requires careful oversight to ensure efficient use of funds, especially for large, long-term projects like exoplanet exploration.

Small Business Impact

The contract was awarded to a large educational institution (Caltech) and does not appear to involve significant subcontracting opportunities for small businesses. The focus is on a specialized research and development entity.

Oversight & Accountability

Oversight is managed by NASA, but the sole-source nature of the award warrants close monitoring of expenditures and performance to ensure accountability and value for taxpayer money.

Related Government Programs

  • Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology)
  • National Aeronautics and Space Administration Contracting
  • National Aeronautics and Space Administration Programs

Risk Flags

  • Lack of competitive bidding process
  • Potential for cost overruns without competitive pressure
  • Limited transparency in price discovery
  • Reliance on a single contractor for critical research infrastructure

Tags

research-and-development-in-the-physical, national-aeronautics-and-space-administr, ca, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $96.4 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. IGF::CL::IGF EXOPLANET EXPLORATION PROGRAM (EXEP) SCIENCE RESEARCH AND TECHNOLOGY (SR&T) 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 WO

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 $96.4 million.

What is the period of performance?

Start: 2012-10-01. End: 2019-09-30.

How does the fixed fee component of this Cost Plus Fixed Fee contract compare to industry standards for similar R&D efforts, and does it adequately incentivize contractor performance?

Assessing the fixed fee in a Cost Plus Fixed Fee (CPFF) contract requires detailed knowledge of the contractor's overhead, direct costs, and the complexity of the R&D. Without competitive benchmarks, it's challenging to determine if the fee is standard or excessive. A well-structured fixed fee should provide a reasonable profit margin while incentivizing the contractor to manage costs effectively and achieve project milestones within the agreed-upon scope.

What specific justifications were provided for not competing this contract, and what measures are in place to mitigate the risks associated with a sole-source award?

Sole-source awards typically require strong justification, often citing unique capabilities or the need to maintain continuity with an existing critical facility like JPL. Mitigation measures should include rigorous performance monitoring, detailed cost audits, and clear deliverables to ensure the government receives fair value and that the contractor is held accountable for meeting program objectives despite the absence of competitive pressure.

Beyond the operational aspects of JPL, what specific scientific or technological advancements has this contract enabled or is expected to enable in exoplanet exploration?

This contract funds the core scientific research and technology development for NASA's Exoplanet Exploration Program (ExEP) managed by JPL. Expected advancements include the development of new instruments and observation techniques for detecting and characterizing exoplanets, contributing to missions like the James Webb Space Telescope's exoplanet studies and future dedicated exoplanet missions. It also supports the analysis of data to understand planetary formation and habitability.

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: $134,242,668

Exercised Options: $134,242,668

Current Obligation: $96,365,782

Actual Outlays: $-577

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: NNN12AA01C

IDV Type: IDC

Timeline

Start Date: 2012-10-01

Current End Date: 2019-09-30

Potential End Date: 2019-09-30 00:00:00

Last Modified: 2024-07-10

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