NASA’s John F. Kennedy Space Center in Florida has chosen
Boeing Space Operations Co., Titusville, Fla., for the
Checkout, Assembly and Payload Processing Services (CAPPS)
contract. CAPPS is the follow-on contract to the Payload
Ground Operations Contract that has been performed by the
Boeing Company since 1987.

CAPPS has a four-year basic period of performance with a
potential total contract period of 10 years if NASA exercises
all options for extensions. The value of the contract for the
initial four-year period is $332 million. There are two three-
year priced options for a potential ten-year contract value of
$810 million.

The contract provides for management and technical support of
payload processing for the Space Shuttle, International Space
Station, expendable launch vehicles and other payload
programs. Boeing will perform all aspects of payload support,
including the planning and receiving of payloads, payload
processing, maintenance of associated payload ground systems,
integration of payloads with the space shuttle, launch support
and space shuttle post-landing payload activities.

CAPPS is a cost-plus-performance and award-fee contract with
75 percent of the available fee consisting of a performance
award, tied to contractor achievement of performance goals.
The remaining 25 percent of available fee is a basic award
fee. The contract contains the flexibility to obtain
additional labor skills on a task order “indefinite delivery,
indefinite quantity” basis to meet short-term needs for
government-led studies, analyses and new technology
development projects to support future programs and
initiatives not on the manifest.

The work is to be performed at Kennedy; Cape Canaveral Air
Force Station, Fla.; Vandenberg Air Force Base, Calif.; space
shuttle landing sites; and at various payload-associated work
locations within and outside the United States. The Boeing
Space Operations Co. is a wholly owned subsidiary of The
Boeing Company.