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Strategic Intelligence · Domestic (U.S.) · Procurement

NASA Awards $817.6M IDIQ to SYNCOM for Consolidated Ground Operations; Cost-Plus Structure Locks Incentive Model

NASA awarded SYNCOM SPACE SERVICES LLC an $817.6M Indefinite Delivery/Indefinite Quantity (IDIQ) contract on 1 February 2016 for consolidated operations and maintenance under a cost-plus-incentive-fee structure. The contract consolidates multiple ground support functions under a single vehicle.
AI synthesis, editor-reviewed · 1 source · February 21, 2026 · Confidence high (primary document)

Cost-plus-incentive-fee IDIQ contracts reduce NASA's ability to enforce cost discipline on ground operations without renegotiating the entire vehicle, which increases the likelihood of budget growth on any mission extension or scope addition.

If ground operations costs inflate faster than other NASA procurement categories, this single-contractor lock-in will amplify that pressure across all missions dependent on SYNCOM's infrastructure, making it harder for NASA to absorb cost growth elsewhere in the portfolio.

WHY IT MATTERS

This IDIQ structure commits NASA to a single contractor for an undefined quantity of work over an unspecified period, locking the agency into cost-plus incentive pricing for ground operations.

SYNCOM becomes the sole incumbent for consolidated NASA ground operations, creating high switching costs for any future competitive rebid. The cost-plus model means NASA absorbs cost overruns beyond the incentive threshold, reducing pressure on SYNCOM to control labor and facility expenses — relevant for program managers tracking ground support inflation across the agency's portfolio.

The lack of a performance ceiling in the contract description suggests no hard cap on total obligation.

WHAT THIS DOESN’T TELL US

The source does not specify: (1) the contract period or task order ceiling; (2) which specific NASA centers or missions fall under 'consolidated operations and maintenance'; (3) the incentive fee structure (percentage, performance metrics); (4) whether this replaced prior multi-contractor arrangemen...

In this deal: SYNCOM SPACE SERVICES, NASA
Sources: USAspending.gov
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