NASA's Jet Propulsion Laboratory contract with Caltech for R&D in physical sciences exceeds $254 million

Contract Overview

Contract Amount: $25,477,123 ($25.5M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2013-08-29

End Date: 2019-04-28

Contract Duration: 2,068 days

Daily Burn Rate: $12.3K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CL::IGF NEOWISE REACTIVATION 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 $25.5 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: IGF::CL::IGF NEOWISE REACTIVATION 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 a Federally Funded Research and Development Center (FFRDC), indicating a long-term, strategic partnership. 2. The work primarily supports NASA's Science Mission Directorate, aligning with national scientific objectives in Earth, planetary, and space science. 3. The cost-plus-fixed-fee contract type suggests that while NASA aims for cost control, the contractor is reimbursed for actual costs plus a negotiated fee. 4. The contract duration of approximately 2068 days (over 5 years) points to substantial, ongoing research and development activities. 5. The absence of competition for this FFRDC operation is typical, as these centers are established for specific, long-term government needs. 6. The geographic location in California is a hub for aerospace and research, potentially leveraging a skilled workforce and existing infrastructure.

Value Assessment

Rating: good

The contract value of over $254 million for a 5+ year period for operating an FFRDC is substantial. Benchmarking is difficult as FFRDCs are unique entities. However, the cost-plus-fixed-fee structure is common for R&D where exact costs are uncertain. The value appears reasonable given the scope of work supporting NASA's Science Mission Directorate, which includes complex missions in Earth science, planetary science, and heliophysics. Further analysis would require detailed task order breakdowns and comparison to similar FFRDC operational costs, if publicly available.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract is not competed as it establishes the operational agreement for the Jet Propulsion Laboratory (JPL), a Federally Funded Research and Development Center (FFRDC). FFRDCs are specifically established by agencies to meet long-term research and development needs that cannot be met by the private sector alone. The selection of the California Institute of Technology to operate JPL is based on its historical expertise and established relationship, making it a sole-source arrangement.

Taxpayer Impact: For taxpayers, the lack of competition is justified by the unique nature and long-term strategic importance of FFRDCs. This ensures continuity and specialized expertise for critical national research goals, rather than seeking the lowest bid on a project with potentially fluctuating requirements.

Public Impact

The primary beneficiaries are NASA and the scientific community, who gain access to JPL's advanced research capabilities and infrastructure. The contract supports critical scientific research in Earth science, planetary science, and heliophysics, contributing to our understanding of the planet and the solar system. The geographic impact is concentrated in California, where JPL is located, supporting a highly skilled workforce in the aerospace and research sectors. The contract enables the development and operation of space missions and scientific instruments, pushing the boundaries of space exploration and discovery.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

• Cost-plus-fixed-fee contracts can incentivize cost overruns if not closely monitored, although the fixed fee provides some incentive for efficiency.
• The long duration of the contract requires sustained oversight to ensure continued alignment with NASA's evolving scientific priorities.
• Reliance on a single FFRDC operator for core scientific research functions could pose a risk if the contractor faces significant operational or financial challenges.

Positive Signals

• The contract establishes a stable, long-term operational framework for a critical national research asset (JPL).
• The partnership with a renowned academic institution (Caltech) suggests a strong foundation in scientific expertise and innovation.
• The focus on core scientific research areas aligns with national priorities and advancements in space exploration and Earth observation.
• The FFRDC model is designed for specialized, long-term government needs, ensuring continuity of critical capabilities.

Sector Analysis

This contract falls within the Research and Development (R&D) sector, specifically focusing on physical, engineering, and life sciences. The aerospace and defense R&D market is a significant segment of federal spending, characterized by long-term investments in innovation and technological advancement. NASA's FFRDCs, like JPL, are crucial components of this ecosystem, providing specialized capabilities that support national security and scientific discovery. Comparable spending benchmarks would involve analyzing budgets for other FFRDCs or large-scale NASA research grants.

Small Business Impact

This contract is not directly related to small business set-asides. As an FFRDC operated by a large academic institution (Caltech), the primary focus is on large-scale research and development. While JPL may engage subcontractors, including small businesses, for specific goods or services, the core operational agreement itself is not a small business set-aside. Subcontracting opportunities would depend on the specific task orders issued by NASA.

Oversight & Accountability

Oversight is primarily conducted by the National Aeronautics and Space Administration (NASA) through its Management Office at JPL. As a cost-plus-fixed-fee contract, NASA will monitor expenditures to ensure costs are reasonable and allocable to the contract. The FFRDC structure itself implies a high degree of government oversight due to its reliance on federal funding and its role in fulfilling specific government objectives. Transparency is generally maintained through regular reporting requirements and programmatic reviews, though specific task order details may be sensitive.

Related Government Programs

• NASA Research and Development Contracts
• Federally Funded Research and Development Centers (FFRDCs)
• Space Exploration Programs
• Earth Science Research
• Planetary Science Missions
• Heliophysics Research

Risk Flags

• Long-term reliance on a single FFRDC operator.
• Potential for cost overruns in CPFF contracts without stringent oversight.
• Inherent risks in advanced space exploration and R&D projects.

Tags

research-and-development, nasa, california, sole-source, ffrdc, space-exploration, science-mission-directorate, cost-plus-fixed-fee, aerospace, caltech, jpl

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $25.5 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. IGF::CL::IGF NEOWISE REACTIVATION 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 $25.5 million.

What is the period of performance?

Start: 2013-08-29. End: 2019-04-28.

What is the historical spending trend for the Jet Propulsion Laboratory's operational contract with NASA?

Analyzing historical spending for JPL's operational contract requires accessing prior contract awards and modifications. While the provided data shows a specific contract value of $254,771,229.00 with an end date of April 28, 2019, and a start date of August 29, 2013, this represents a single contract period. FFRDC operations are typically funded through a series of contracts or task orders over many years. To understand the trend, one would need to aggregate data from previous contract vehicles, noting that funding levels can fluctuate based on NASA's budget appropriations, strategic priorities, and the initiation of new missions or research initiatives. For instance, periods of increased mission development or new scientific objectives could lead to higher funding allocations.

How does the cost-plus-fixed-fee (CPFF) structure impact the value for money in this contract?

The Cost-Plus-Fixed-Fee (CPFF) structure in this contract means that the contractor (Caltech/JPL) is reimbursed for all allowable costs incurred, plus a predetermined fixed fee. This structure is often used for research and development where the scope of work and final costs are difficult to estimate precisely at the outset. For value for money, the 'cost' component requires rigorous oversight from NASA to ensure that expenditures are reasonable, allocable, and necessary. The 'fixed fee' provides a ceiling on the contractor's profit, incentivizing them to manage costs efficiently to maximize their fee within that constraint. However, it doesn't offer the same cost-saving incentives as fixed-price contracts. NASA's ability to effectively monitor and control costs is crucial for ensuring good value under a CPFF arrangement.

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

While specific KPIs are not detailed in the contract summary, performance for an FFRDC like JPL typically revolves around achieving scientific objectives, meeting mission milestones, delivering high-quality research and development, and adhering to budget and schedule constraints. NASA's Science Mission Directorate (SMD) would likely establish specific metrics tied to the scientific goals of various projects and missions JPL supports. These could include successful instrument development, data acquisition and analysis, publication of research findings, and the successful execution of space missions. Regular program reviews, technical assessments, and adherence to reporting requirements serve as mechanisms for NASA to monitor and evaluate JPL's performance against these implicit or explicit KPIs.

Are there any identified risks associated with the contractor's track record or the nature of the work?

The contractor, the California Institute of Technology (Caltech), has a long-standing and highly reputable track record in scientific research and operating the Jet Propulsion Laboratory (JPL) for NASA. JPL itself is a world-renowned institution with decades of successful space exploration missions. Therefore, risks related to the contractor's fundamental capability or integrity are generally considered low. However, risks inherent in the nature of the work, such as the complexities of space missions, technological challenges, potential for launch failures, or unforeseen scientific obstacles, are significant. These are typical risks for cutting-edge R&D and space exploration, and NASA's oversight and risk management strategies are designed to mitigate them.

How does this contract compare to other NASA R&D funding mechanisms or FFRDC agreements?

This contract represents a specific type of NASA R&D funding: the operational agreement for an FFRDC. Unlike grants or other research contracts awarded through competitive processes to universities or private companies, FFRDC agreements establish long-term, strategic partnerships. NASA relies on FFRDCs like JPL for specialized expertise, objectivity, and continuity that may not be readily available through traditional contracting. The value and structure are comparable to other FFRDC agreements managed by government agencies, focusing on sustained support for critical national research needs rather than discrete project funding. The scale of funding ($254M+) is substantial, reflecting the broad scope of JPL's scientific and engineering endeavors.

Industry Classification

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

Product/Service Code: RESEARCH AND DEVELOPMENT › Space 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: $28,839,640

Exercised Options: $28,839,640

Current Obligation: $25,477,123

Actual Outlays: $-0

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: 2013-08-29

Current End Date: 2019-04-28

Potential End Date: 2019-04-28 00:00:00

Last Modified: 2024-08-21

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