NASA says it will run a competition for the next contract to manage and operate its federally funded research and development centre at the Jet Propulsion Laboratory (JPL) in Southern California, ending decades of sole-source awards to the California Institute of Technology (Caltech).
Caltech has managed JPL since the laboratory’s origins in the 1930s. NASA said management and operations contracts have been awarded on a sole-source basis since JPL was transferred from the U.S. Army to NASA in 1958.
According to NASA, growth in the U.S. space economy suggests there may now be a viable competitive market for elements of JPL’s programmatic and institutional operations. The agency said competing the contract would allow it to assess alternative management approaches, including potential impacts on mission performance, innovation, and cost and operational efficiency, in line with federal competition requirements.
NASA said the move is part of broader governmentwide efforts to “find efficiencies, strengthen performance, and drive mission outcomes faster and more affordably.”
“The Jet Propulsion Laboratory has delivered some of the most extraordinary scientific and engineering achievements in NASA’s history,” said NASA Administrator Jared Isaacman. “As America’s space economy evolves, we have a responsibility to the American people and the scientific community to evaluate how we can execute faster, operate more efficiently, and continue to deliver world-class science and engineering at the highest level. The decision to compete this contract reflects NASA’s commitment to strong stewardship of taxpayer resources and positions Jet Propulsion Laboratory to continue driving world-changing scientific discovery and technological innovation for decades to come.”
NASA said it is committed to maintaining continuity for active and future missions throughout the procurement process and intends to keep the FFRDC’s existing physical location.
The agency said the approach aligns with practices in other parts of the U.S. government, citing the Department of Energy, which has held full and open competitions for five of its 16 FFRDC management and operations contracts over the past 10 years.
NASA’s current contract with Caltech began Oct. 1, 2018, and runs through Sept. 30, 2028, with a potential maximum value of $30 billion if all options are exercised. NASA said it has initiated the procurement process now to allow time for a comprehensive competition and award cycle while maintaining continuity for ongoing missions and laboratory operations.
