THE REGENTS OF THE UNIVERSITY OF CALIFORNIA

# Vendor Assessment: The Regents of the University of California

## Executive Summary

The Regents of the University of California demonstrates extreme concentration risk despite serving three federal agencies. With $93.8B (99.6%) of total obligated value derived from Department of Energy contracts, the vendor faces significant revenue vulnerability to DOE budget fluctuations or policy shifts. This singular dependency substantially outweighs diversification benefits from NASA and Commerce relationships.

## Key Risk Metrics

Agency Concentration: DOE represents virtually all revenue, creating critical single-agency exposure. NASA ($393.1M) and Commerce ($184K) provide minimal portfolio balance.

Contract Expiry Exposure: Only $61K expires within 18 months, indicating stable near-term funding. However, this minimal expiration figure suggests most DOE awards have extended durations, potentially masking renewal risk beyond the assessment window.

NAICS Diversification: Four NAICS codes provide moderate operational diversity. Research and development (541710) dominates with three awards, while space vehicle manufacturing (336419) represents two awards. Educational services (611310) and specialized research (541513) provide limited revenue contribution.

## Strategic Outlook

The vendor should prioritize DOE contract renewal planning and actively pursue NASA expansion opportunities. Current NASA engagement ($393.1M) offers a foundation for growth to reduce DOE dependency. Developing capabilities in emerging federal research priorities—particularly clean energy and advanced manufacturing—could strengthen DOE relationships while attracting additional agencies. Immediate focus should target diversifying beyond physical sciences research into applied development contracts.