NASA Procurement: Proposed Changes to the Jet Propulsion Laboratory Contract
NSIAD-93-178
Published: Jul 15, 1993. Publicly Released: Jul 28, 1993.
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Highlights
Pursuant to a congressional request, GAO reviewed the management and performance contract between the National Aeronautics and Space Administration (NASA) and the California Institute of Technology (Caltech) for research and development at the Jet Propulsion Laboratory (JPL), focusing on: (1) current contract provisions; and (2) proposed contract changes.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| National Aeronautics and Space Administration | Before the JPL contract is renewed, the Administrator, NASA, should ensure that scope of work is as specific as possible for differentiating between work that should be performed by JPL as a federally funded research and development center (FFRDC) and work that should be performed by others. |
Closed – Implemented
The broad nature of work at JPL remains in the new contract. However, the language has been changed to require that tasks for non-NASA agencies "be confined to" efforts that apply JPL expertise. The prior language had been "to focus on." NASA oversight activities at JPL have increased to help ensure that non-NASA work is confined to areas of JPL expertise.
|
| National Aeronautics and Space Administration | Before the JPL contract is renewed, the Administrator, NASA, should ensure that appropriate government regulations will be added or updated and a review of the continued need for JPL as a FFRDC will be completed if contract options are exercised. |
Closed – Not Implemented
The options clause in NASA's proposal was not included in the final contract. GAO will continue to look at this issue in future work relating to the management of JPL.
|
| National Aeronautics and Space Administration | Before the JPL contract is renewed, the Administrator, NASA, should specify in the new contract that working meals are an unallowable cost. |
Closed – Implemented
The unallowability of "working meals" was not included in the new contract. Instead, under new JPL policies, such meals are unallowable. The new policies also strictly limit meals and refreshments at JPL-sponsored functions.
|
| National Aeronautics and Space Administration | Before the JPL contract is renewed, the Administrator, NASA, should decide whether and to what extent NASA should continue paying college tuition support for dependents of JPL employees. |
Closed – Implemented
The contract was renewed before any determination was made on continuing the college tuition benefit. The only review of this issue currently being done is based on its compliance with existing policy, not its reasonableness. OMB Circular A-21 establishes its allowability. A governmentwide GAO review of this matter is recommending a review of the existing A-21 policy. Based on that broader consideration, this recommendation is being closed.
|
| National Aeronautics and Space Administration | Before the JPL contract is renewed, the Administrator, NASA, should authorize a deviation from NASA policy to pay a fee only if its purpose and amount have been adequately justified in writing and, if a fee is authorized, apply the NASA agencywide initiative for contract excellence to the JPL contract and base the fee on management performance. |
Closed – Implemented
The fee under the JPL contract, which had previously been a fixed amount, is now partly variable based on NASA's assessment of JPL's performance.
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