NASA's $667M Jet Propulsion Laboratory contract with Caltech for R&D extended to 2021

Contract Overview

Contract Amount: $66,685,823 ($66.7M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2012-10-12

End Date: 2021-09-30

Contract Duration: 3,275 days

Daily Burn Rate: $20.4K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CL::IGF COLD ATOM LAB (CAL) 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 $66.7 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: IGF::CL::IGF COLD ATOM LAB (CAL) 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 … Key points: 1. This contract funds the operation of the Jet Propulsion Laboratory (JPL) as a Federally Funded Research and Development Center (FFRDC). 2. The primary focus is supporting NASA's Science Mission Directorate across Earth, planetary, and heliophysics research. 3. The contract is structured as a Cost Plus Fixed Fee, indicating potential for cost overruns. 4. As an FFRDC, JPL's work is inherently tied to specific government needs, limiting broad commercial competition.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee structure allows for costs to exceed initial estimates, with the contractor receiving a fixed fee. This can lead to less price discipline compared to fixed-price contracts.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

The contract is sole-source due to the unique nature of FFRDCs, which are established for long-term strategic research and development. This limits price discovery through competitive bidding.

Taxpayer Impact: Taxpayer funds are committed to a specific research entity, with oversight focused on ensuring mission objectives are met rather than achieving the lowest possible price.

Public Impact

Supports cutting-edge scientific research in Earth science, planetary science, and heliophysics. The contract enables continued operation of the renowned Jet Propulsion Laboratory. Advances national capabilities in space exploration and scientific discovery. Potential for breakthroughs in understanding our planet and the universe.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee structure may incentivize higher spending.
  • Sole-source nature limits competitive pressure on pricing.
  • Long contract duration could mask inefficiencies.

Positive Signals

  • Supports critical national research objectives.
  • Leverages unique capabilities of a specialized FFRDC.
  • Potential for significant scientific and technological advancements.

Sector Analysis

This contract falls under Research and Development in the Physical, Engineering, and Life Sciences. FFRDCs like JPL are common in sectors requiring specialized, long-term research capabilities, often with significant government investment.

Small Business Impact

This contract is with a large research institution (Caltech) and does not appear to involve significant subcontracting opportunities for small businesses, as FFRDC operations are typically highly specialized.

Oversight & Accountability

Oversight is managed by NASA, ensuring JPL fulfills its mission objectives as an FFRDC. The Cost Plus Fixed Fee nature requires diligent monitoring of expenditures to ensure funds are used effectively towards research goals.

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

  • Cost Plus Fixed Fee structure.
  • Sole-source procurement.
  • Long contract duration.
  • Potential for cost overruns.
  • Limited transparency on specific task order costs.

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 $66.7 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. IGF::CL::IGF COLD ATOM LAB (CAL) 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

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 $66.7 million.

What is the period of performance?

Start: 2012-10-12. End: 2021-09-30.

How does the fixed fee in a Cost Plus Fixed Fee contract align with ensuring optimal value for taxpayer investment in long-term research?

The fixed fee provides a baseline profit for the contractor, incentivizing efficient execution within the cost parameters. However, the 'cost plus' element means the government bears the risk of cost overruns. For long-term R&D, the value is often measured by scientific outcomes rather than strict cost adherence, but robust oversight is crucial to prevent unnecessary spending.

What are the primary risks associated with a sole-source FFRDC contract for advanced scientific research?

The primary risks include a lack of competitive pressure on cost and innovation, potential for vendor lock-in, and the challenge of ensuring the contractor remains aligned with evolving government priorities over a long period. Without competition, there's a reduced incentive for the contractor to proactively seek cost efficiencies or explore alternative, potentially more effective, research approaches.

How effectively does this contract structure support NASA's long-term strategic goals in space science and exploration?

The FFRDC model, exemplified by JPL, is designed to provide stable, long-term support for strategic national research objectives. This contract structure allows NASA to maintain a dedicated, high-capability research institution focused on its mission priorities, fostering deep expertise and continuity essential for complex, multi-year space science missions and exploration endeavors.

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: $75,243,300

Exercised Options: $75,243,300

Current Obligation: $66,685,823

Actual Outlays: $159,818

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: 2012-10-12

Current End Date: 2021-09-30

Potential End Date: 2021-09-30 00:00:00

Last Modified: 2022-10-24

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