NASA's Jet Propulsion Laboratory contract for Mars Science Rover Project Phase A exceeds $1.4 billion

Contract Overview

Contract Amount: $1,403,381,590 ($1.4B)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2013-07-24

End Date: 2020-09-27

Contract Duration: 2,622 days

Daily Burn Rate: $535.2K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CL::IGF 2020 MARS SCIENCE ROVER PROJECT - PHASE A 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 $1.40 billion to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: IGF::CL::IGF 2020 MARS SCIENCE ROVER PROJECT - PHASE A 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… Key points: 1. Contract supports NASA's Science Mission Directorate objectives in Earth Science and other areas. 2. Operates as a Federally Funded Research and Development Center (FFRDC) through a partnership. 3. Work is performed under task orders issued by NASA contracting officers. 4. Contract duration spans over three years, from July 2013 to September 2020. 5. Focuses on research and development in physical, engineering, and life sciences. 6. The contractor is a private non-profit educational institution, the California Institute of Technology.

Value Assessment

Rating: good

The contract value of over $1.4 billion for a multi-year R&D project is substantial. Benchmarking this against similar large-scale space exploration and research contracts is challenging due to the unique FFRDC nature of JPL. However, the cost-plus-fixed-fee structure suggests a managed approach to cost control, aiming for value within the defined scope. The long-term nature of the contract also implies a strategic investment in scientific advancement.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not competed, operating under a sole-source arrangement. JPL functions as a Federally Funded Research and Development Center (FFRDC), which by its nature is typically established through sole-source agreements due to its unique capabilities and mission alignment. This structure allows for a dedicated, long-term partnership focused on specific government objectives.

Taxpayer Impact: For taxpayers, a sole-source contract for an FFRDC like JPL means that the cost is negotiated directly with the designated entity, rather than being driven by competitive bidding. While this can ensure specialized expertise, it places a greater emphasis on NASA's oversight to ensure fair pricing and efficient use of funds.

Public Impact

Benefits NASA's Science Mission Directorate by advancing scientific understanding. Delivers research and development services crucial for space exploration and Earth science. Impacts scientific communities globally through the dissemination of research findings. Supports a highly skilled workforce in aerospace engineering and scientific research. Contributes to the development of advanced technologies with potential dual-use applications.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Sole-source nature requires robust oversight to ensure value for money.
  • Long-term nature of the contract could lead to scope creep if not managed tightly.
  • Reliance on a single FFRDC may limit exposure to broader market innovation.

Positive Signals

  • Established partnership with a leading research institution (Caltech/JPL).
  • Clear mission alignment with NASA's scientific objectives.
  • FFRDC structure provides specialized, long-term capability for critical national goals.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The aerospace and defense R&D market is characterized by high barriers to entry, significant government investment, and long development cycles. JPL, as an FFRDC, represents a significant portion of specialized R&D capability within this sector, often undertaking projects of national importance that require unique expertise and infrastructure.

Small Business Impact

As this contract is a sole-source award to an FFRDC (JPL, operated by Caltech), there is no direct small business set-aside. However, FFRDCs are often required to have robust subcontracting plans. The extent to which JPL utilizes small businesses for specialized services or components in support of this contract would be a key factor in assessing its impact on the small business ecosystem.

Oversight & Accountability

Oversight is primarily conducted by NASA through its management and contracting officers who issue task orders and monitor performance. As an FFRDC, JPL operates under specific agreements that include oversight mechanisms. Transparency is generally maintained through NASA's reporting requirements, though the specific details of internal FFRDC operations may be less public than typical competitive contracts. Inspector General jurisdiction would apply to any potential fraud, waste, or abuse.

Related Government Programs

  • NASA Mars Exploration Program
  • NASA Earth Science Division
  • Federally Funded Research and Development Centers (FFRDCs)
  • Space Exploration Technology Development
  • Aerospace Research and Development

Risk Flags

  • Sole-source award
  • High contract value
  • Long contract duration

Tags

research-and-development, nasa, california, sole-source, large-contract, ffrdc, space-exploration, science, cost-plus-fixed-fee, mars-rover-project

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $1.40 billion to CALIFORNIA INSTITUTE OF TECHNOLOGY. IGF::CL::IGF 2020 MARS SCIENCE ROVER PROJECT - PHASE A 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 ORDE

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 $1.40 billion.

What is the period of performance?

Start: 2013-07-24. End: 2020-09-27.

What is the historical spending trend for the Jet Propulsion Laboratory (JPL) under NASA contracts?

Historical spending data for JPL under NASA contracts reveals a consistent and substantial investment over many years, reflecting its critical role in space exploration and Earth science. While the specific contract in question covers a period from 2013 to 2020 with a value exceeding $1.4 billion, JPL's overall funding from NASA has historically been in the hundreds of millions to over a billion dollars annually. This includes funding for numerous missions, research projects, and operational support. The trend indicates a long-standing, significant financial commitment from NASA to leverage JPL's unique capabilities as an FFRDC for advancing scientific knowledge and technological innovation in space.

How does the cost-plus-fixed-fee (CPFF) contract type typically perform in terms of cost control for R&D projects?

The Cost-Plus-Fixed-Fee (CPFF) contract type is commonly used for research and development efforts where the scope may not be fully defined at the outset, or where innovation is a primary goal. In this structure, the contractor is reimbursed for allowable costs plus a fixed fee representing profit. While CPFF aims to incentivize the contractor to control costs to protect their fixed profit margin, it can also present risks. If the initial cost estimates are inaccurate or if the project scope expands significantly, costs can escalate. Effective oversight, clear task orders, and robust cost accounting by the procuring agency are crucial to ensure that CPFF contracts deliver value and remain within budgetary expectations for R&D projects.

What are the primary risks associated with sole-source contracts for large-scale R&D initiatives?

Sole-source contracts for large-scale R&D initiatives, such as the one awarded to JPL, carry specific risks. Foremost among these is the potential for reduced price competition, which could lead to higher costs for the government compared to a competitively bid contract. There's also a risk of complacency or reduced incentive for innovation if the contractor faces no competitive pressure. Furthermore, reliance on a single source can create vulnerabilities if the contractor experiences performance issues, financial instability, or faces unforeseen challenges. Robust government oversight, including detailed performance metrics, regular reviews, and strong negotiation capabilities, is essential to mitigate these risks and ensure the government receives optimal value and performance.

What is the typical performance benchmark for FFRDCs like JPL in delivering complex scientific missions?

Federally Funded Research and Development Centers (FFRDCs) like JPL are generally benchmarked against their ability to deliver complex scientific missions on time and within budget, while also achieving stated scientific objectives. JPL, in particular, has a strong track record of successfully developing and operating sophisticated space missions, including numerous Mars rovers and orbiters, deep space probes, and Earth-observing satellites. Performance is often measured by mission success rates, scientific return (e.g., data quality and discoveries), adherence to schedule and cost constraints (though R&D often involves inherent uncertainties), and technological innovation. While occasional cost overruns or schedule delays can occur in such complex endeavors, JPL's overall performance is considered high, making it a trusted partner for NASA's most ambitious scientific endeavors.

How does NASA ensure accountability and value for money in its long-term partnerships with FFRDCs?

NASA ensures accountability and value for money in its long-term partnerships with FFRDCs through a multi-faceted approach. This includes establishing clear performance metrics and milestones within the FFRDC's charter and subsequent task orders. Regular program reviews, technical assessments, and financial audits are conducted to monitor progress and ensure adherence to objectives and budgets. The FFRDC structure itself promotes accountability by requiring the contractor to operate in the public interest, free from conflicts of interest, and to provide unique capabilities that cannot be readily obtained from the commercial sector. Furthermore, NASA maintains oversight through dedicated program managers and contracting officers who are responsible for managing the relationship and ensuring that the FFRDC's work aligns with NASA's strategic goals and provides a strong return on investment for taxpayer funds.

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: $1,697,435,000

Exercised Options: $1,697,435,000

Current Obligation: $1,403,381,590

Actual Outlays: $2,796,733

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: 2013-07-24

Current End Date: 2020-09-27

Potential End Date: 2020-09-27 00:00:00

Last Modified: 2024-09-23

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