DOT Awards $138M for Ship Maintenance to Crowley Government Services Under Full and Open Competition

Contract Overview

Contract Amount: $138,059,250 ($138.1M)

Contractor: Crowley Government Services, Inc.

Awarding Agency: Department of Transportation

Start Date: 2021-07-08

End Date: 2027-07-07

Contract Duration: 2,190 days

Daily Burn Rate: $63.0K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CLIN 6 VAM SHIP 6 PURCHASE

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $138.1 million to CROWLEY GOVERNMENT SERVICES, INC. for work described as: CLIN 6 VAM SHIP 6 PURCHASE Key points: 1. Significant contract value of $138M for ship maintenance. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. Potential risks include long contract duration and reliance on a single vendor for this specific order. 4. Spending falls within the Ship Building and Repairing sector.

Value Assessment

Rating: good

The contract value of $138M for ship maintenance appears reasonable given the 5-year duration and the nature of the services. Benchmarking against similar large-scale maritime maintenance 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, suggesting that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and ensures the government receives the best value.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more favorable price than a sole-source or limited competition scenario.

Public Impact

Ensures continued operational readiness for maritime assets. Supports jobs within the shipbuilding and repairing industry. Impacts the Department of Transportation's ability to maintain its fleet.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Long contract duration (5 years) could lead to price increases or missed opportunities for better deals.
Reliance on a single awardee for this specific order may limit flexibility.
Potential for scope creep or unforeseen costs in long-term maintenance contracts.

Positive Signals

Awarded through full and open competition, maximizing potential for competitive pricing.
Firm fixed price contract provides cost certainty.
Supports critical national infrastructure.

Sector Analysis

This contract falls under the Ship Building and Repairing sector, which is crucial for national defense and economic activity. Spending benchmarks for similar large-scale maintenance contracts are typically in the tens to hundreds of millions of dollars.

Small Business Impact

While the contract was awarded through full and open competition, there is no specific indication of small business participation in this particular delivery order. Further analysis would be needed to determine if small businesses were involved as subcontractors.

Oversight & Accountability

The contract was awarded via a delivery order under a larger contract, suggesting existing oversight mechanisms. The firm fixed price structure provides some cost control, but the long duration warrants monitoring for performance and potential cost overruns.

Related Government Programs

Ship Building and Repairing
Department of Transportation Contracting
Maritime Administration Programs

Risk Flags

Long contract duration may lead to price escalation or missed opportunities.
Potential for vendor lock-in for specific maintenance needs.
Dependence on a single awardee for this delivery order.
Lack of explicit small business participation noted.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $138.1 million to CROWLEY GOVERNMENT SERVICES, INC.. CLIN 6 VAM SHIP 6 PURCHASE

Who is the contractor on this award?

The obligated recipient is CROWLEY GOVERNMENT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Maritime Administration).

What is the total obligated amount?

The obligated amount is $138.1 million.

What is the period of performance?

Start: 2021-07-08. End: 2027-07-07.

What is the historical performance of Crowley Government Services, Inc. on similar maritime maintenance contracts?

Assessing Crowley's past performance on comparable contracts is crucial for evaluating the reliability and efficiency of this award. Reviewing their track record for on-time delivery, adherence to budget, and quality of work on previous government contracts will provide insight into their capabilities and potential risks associated with this $138M award.

How does the firm fixed price compare to the estimated costs for similar ship maintenance services over the contract's duration?

A firm fixed price contract offers cost certainty, but it's essential to benchmark this price against industry standards and the estimated costs for comparable ship maintenance services. Understanding the government's cost estimation process and comparing it to market rates will reveal if the fixed price represents good value or if potential savings were missed.

What mechanisms are in place to ensure effective oversight and accountability for this 5-year contract?

Given the substantial value and long duration of this contract, robust oversight is paramount. The government must have clear performance metrics, regular progress reviews, and mechanisms for addressing any deviations or issues promptly. Accountability should be tied to meeting defined service levels and maintaining the condition of the vessels throughout the contract period.

Industry Classification

NAICS: Manufacturing › Ship and Boat Building › Ship Building and Repairing

Product/Service Code: TECHNICAL REPRESENTATIVE SVCS. › TECHNICAL REPRESENTATIVE SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9487 REGENCY SQUARE BLVD, JACKSONVILLE, FL, 32225

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $138,059,250

Exercised Options: $138,059,250

Current Obligation: $138,059,250

Actual Outlays: $138,059,250

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $122,850,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 693JF721D000007

IDV Type: IDC

Timeline