NASA's $341M contract with Caltech for Jet Propulsion Laboratory operations supports Earth science and space exploration

Contract Overview

Contract Amount: $34,187,750 ($34.2M)

Contractor: California Institute of Technology

Awarding Agency: National Aeronautics and Space Administration

Start Date: 2012-10-01

End Date: 2019-09-29

Contract Duration: 2,554 days

Daily Burn Rate: $13.4K/day

Competition Type: NOT COMPETED

Pricing Type: COST PLUS FIXED FEE

Sector: R&D

Official Description: IGF::CL::IGF TROPOSPHERIC IR EMISSION SPECTROMETER (TES) 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 $34.2 million to CALIFORNIA INSTITUTE OF TECHNOLOGY for work described as: IGF::CL::IGF TROPOSPHERIC IR EMISSION SPECTROMETER (TES) 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 ESTABLISH… Key points: 1. Contract supports a Federally Funded Research and Development Center (FFRDC) for critical scientific research. 2. Focus on Earth science and space exploration aligns with national scientific priorities. 3. Long-term nature of the contract suggests a stable, ongoing need for JPL's capabilities. 4. The FFRDC model fosters a unique public-private partnership for specialized research. 5. Performance is tied to task orders, allowing flexibility in research direction. 6. Contractor is a leading educational institution with a proven track record in aerospace research.

Value Assessment

Rating: good

This contract represents a significant investment in scientific research infrastructure through an FFRDC. While direct comparisons are difficult due to the unique nature of FFRDCs, the cost appears reasonable for maintaining a world-class research institution like JPL. The cost-plus-fixed-fee structure incentivizes efficient performance while allowing for flexibility in research scope as defined by task orders.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract is sole-source, as it establishes the foundational agreement for the operation of the Jet Propulsion Laboratory (JPL), a designated FFRDC. FFRDCs are inherently established with specific contractors due to their unique capabilities and long-standing relationship with the government. This approach ensures continuity and leverages specialized expertise.

Taxpayer Impact: While sole-source, the FFRDC model is designed to provide specialized capabilities that might not be readily available through traditional competitive procurement, potentially offering long-term value.

Public Impact

Benefits the scientific community through access to JPL's research and facilities. Delivers critical data and insights for Earth science and space exploration missions. Geographic impact is national, with research influencing global scientific understanding. Workforce implications include supporting highly skilled scientists, engineers, and technicians at JPL.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for cost overruns in long-term research projects.
  • Reliance on a single entity for critical FFRDC operations.

Positive Signals

  • Established relationship with a reputable research institution.
  • Clear alignment with NASA's strategic science objectives.
  • FFRDC structure promotes long-term research and development.

Sector Analysis

This contract falls within the Research and Development sector, specifically focusing on physical, engineering, and life sciences. The market for specialized aerospace research and development is dominated by a few key institutions and government-funded centers. NASA's spending on FFRDCs like JPL is crucial for maintaining a competitive edge in space exploration and Earth observation.

Small Business Impact

This contract is not directly related to small business set-asides, as it is a sole-source agreement with a large educational institution for FFRDC operations. However, JPL, as a large research center, may engage small businesses as subcontractors for specific goods and services, contributing to the broader small business ecosystem.

Oversight & Accountability

Oversight is provided by the NASA Management Office (NMO) through contracting officers who issue task orders and monitor performance. The FFRDC structure itself implies a high degree of government oversight and accountability, ensuring alignment with national research goals. Transparency is maintained through regular reporting and reviews.

Related Government Programs

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

Risk Flags

  • Sole-source nature limits competitive price discovery.
  • Long-term nature of research projects can introduce cost uncertainty.
  • Dependency on a single FFRDC provider.

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

National Aeronautics and Space Administration awarded $34.2 million to CALIFORNIA INSTITUTE OF TECHNOLOGY. IGF::CL::IGF TROPOSPHERIC IR EMISSION SPECTROMETER (TES) 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 OR

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 $34.2 million.

What is the period of performance?

Start: 2012-10-01. End: 2019-09-29.

What is the historical spending trend for the Jet Propulsion Laboratory (JPL) FFRDC contract with NASA?

The provided data reflects a total award of $341,877,49.57 for the period of 2012-2019. While this specific data point represents a significant sum, understanding the historical trend would require examining prior and subsequent contract awards for JPL's FFRDC operations. Typically, FFRDC contracts are long-term and involve substantial, consistent funding to maintain specialized capabilities. Analyzing year-over-year spending or comparing total contract values across different performance periods would reveal whether this award represents an increase, decrease, or stable level of investment in JPL's research functions.

How does the cost-plus-fixed-fee (CPFF) contract type impact the value for money in this NASA-JPL agreement?

The Cost-Plus-Fixed-Fee (CPFF) contract type aims to balance flexibility with cost control. For a research-intensive FFRDC like JPL, where the exact scope and challenges of scientific inquiry can evolve, CPFF allows NASA to reimburse allowable costs incurred by Caltech while providing a fixed fee as profit. This structure incentivizes the contractor to manage costs effectively to protect their fee, but it also means NASA bears the risk of cost overruns if actual expenses exceed projections. Value for money is assessed by comparing the research outcomes and scientific advancements achieved against the total costs. The fixed fee component provides some predictability in contractor profit, but the overall cost efficiency relies heavily on NASA's oversight and JPL's internal cost management.

What are the primary risks associated with a sole-source FFRDC contract like the one between NASA and Caltech for JPL?

The primary risks associated with a sole-source FFRDC contract involve a lack of direct price competition and potential complacency. Since JPL is the designated FFRDC, there is no competitive bidding process to establish the contract's price, meaning NASA relies on negotiation and benchmarking to ensure fair pricing. There's also a risk that without competitive pressure, the contractor might be less incentivized to innovate in cost-saving measures or operational efficiencies. Furthermore, a sole-source arrangement creates a dependency; if the relationship were to deteriorate or if JPL's capabilities were to become outdated, transitioning to a new FFRDC provider would be exceptionally difficult and disruptive. Robust oversight and performance metrics are crucial to mitigate these risks.

How does the performance context of JPL as an FFRDC influence the assessment of this contract's effectiveness?

JPL's performance context as a Federally Funded Research and Development Center (FFRDC) is critical. FFRDCs are established to meet long-term research and development needs that cannot be effectively met through traditional contracting. JPL's effectiveness is measured not just by adherence to task orders but by its contribution to NASA's strategic scientific goals, its ability to attract and retain top talent, and its pioneering research output. The contract's effectiveness is therefore tied to JPL's success in advancing Earth science, space exploration, and related technological innovations, often pushing the boundaries of current knowledge and capabilities. NASA's oversight focuses on ensuring JPL maintains its unique capabilities and objectivity.

What are the implications of the 'Research and Development in the Physical, Engineering, and Life Sciences' NAICS code for this contract?

The NAICS code 541712, 'Research and Development in the Physical, Engineering, and Life Sciences (except Biotechnology),' signifies that the core work under this contract involves scientific research and experimental development. This includes activities like theoretical analysis, basic and applied research, and experimental product development. For this NASA-JPL contract, it means the funding is directed towards scientific inquiry, engineering solutions for space missions, and understanding physical phenomena in space and on Earth. This classification helps in benchmarking spending against similar R&D efforts across the government and private sector, and it highlights the contract's focus on innovation and discovery rather than routine services or product manufacturing.

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: $40,561,886

Exercised Options: $40,561,886

Current Obligation: $34,187,750

Actual Outlays: $83,141

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: 2012-10-01

Current End Date: 2019-09-29

Potential End Date: 2019-09-29 00:00:00

Last Modified: 2021-12-07

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