DoD's $26.2M Marine Cargo Handling Contract Awarded to Ports America Texas, Inc
Contract Overview
Contract Amount: $26,226,037 ($26.2M)
Contractor: Ports America Texas, Inc.
Awarding Agency: Department of Defense
Start Date: 2006-01-31
End Date: 2010-07-31
Contract Duration: 1,642 days
Daily Burn Rate: $16.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Transportation
Place of Performance
Location: BEAUMONT, JEFFERSON County, TEXAS, 77701
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $26.2 million to PORTS AMERICA TEXAS, INC. for work described as: Key points: 1. Significant contract value of $26.2 million for essential marine cargo handling services. 2. Awarded under full and open competition, suggesting a competitive bidding process. 3. Potential risk associated with reliance on a single vendor for critical port operations. 4. Contract falls within the broad category of logistics and transportation services.
Value Assessment
Rating: good
The contract value of $26.2 million over approximately 4 years appears reasonable for specialized marine cargo handling services. Benchmarking against similar large-scale port operations contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, indicating that multiple vendors had the opportunity to bid. This method generally promotes price discovery and competitive pricing.
Taxpayer Impact: The competitive nature of the award suggests taxpayers likely received fair market value for the services rendered, minimizing potential overspending.
Public Impact
Ensures efficient movement of military equipment and supplies through Texas ports. Supports U.S. military readiness by maintaining critical logistical infrastructure. Potential impact on local employment and businesses within the Texas port region.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Vendor lock-in risk if performance issues arise.
- Geographic concentration of services in Texas.
- Potential for scope creep or change orders impacting final cost.
Positive Signals
- Awarded via full and open competition.
- Firm fixed price contract limits cost uncertainty.
- Long-term contract provides service stability.
Sector Analysis
This contract is within the logistics and transportation sector, specifically focusing on marine cargo handling. Spending in this area is crucial for military deployment and supply chain management, with benchmarks varying widely based on port size and service complexity.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or partners in this contract. Further analysis would be needed to determine the extent of small business participation.
Oversight & Accountability
The contract was awarded by the Department of the Army, a component of the Department of Defense. Standard DoD oversight mechanisms would apply, including performance monitoring and financial audits.
Related Government Programs
- Marine Cargo Handling
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for vendor dependency.
- Geographic concentration risk.
- Contract duration may exceed actual need.
- Lack of specific performance metrics in provided data.
Tags
marine-cargo-handling, department-of-defense, tx, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $26.2 million to PORTS AMERICA TEXAS, INC.. See the official description on USAspending.
Who is the contractor on this award?
The obligated recipient is PORTS AMERICA TEXAS, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $26.2 million.
What is the period of performance?
Start: 2006-01-31. End: 2010-07-31.
What specific types of cargo were handled under this contract, and how did their nature influence the contract's value and complexity?
The contract focused on general marine cargo handling. The specific types of cargo, such as vehicles, equipment, or supplies, would directly influence the handling requirements, necessary equipment, labor intensity, and associated risks, thereby impacting the overall contract value and complexity. Without detailed cargo manifests, a precise assessment is difficult.
Were there any performance issues or disputes reported during the contract's duration, and how were they resolved?
Information regarding performance issues or disputes is not provided in the data. Typically, such issues would be documented through contract modification records, performance reviews, or dispute resolution logs. The absence of this information suggests either smooth performance or that such details are not publicly accessible through this data source.
How does the per-unit cost of cargo handling compare to industry benchmarks for similar port operations?
A direct per-unit cost benchmark is not available as the contract is a firm fixed price for overall services, not itemized per unit. To assess this, one would need to analyze the total value against the volume and type of cargo handled, then compare that derived rate to industry data for similar ports and cargo types.
Industry Classification
NAICS: Transportation and Warehousing › Support Activities for Water Transportation › Marine Cargo Handling
Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: American International Group, Inc. (UEI: 044691103)
Address: 8222 MANCHESTER ST, HOUSTON, TX, 77012
Business Categories: Category Business, Not Designated a Small Business
Contract Characteristics
Commercial Item: COMMERCIAL ITEM
Parent Contract
Parent Award PIID: W81GYE06D0025
IDV Type: IDC
Timeline
Start Date: 2006-01-31
Current End Date: 2010-07-31
Potential End Date: 2010-07-31 00:00:00
Last Modified: 2018-10-17
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