Maritime Administration awards $4.65M contract for pier services, highlighting potential for cost efficiencies in port operations

Contract Overview

Contract Amount: $4,650,902 ($4.7M)

Contractor: Maryland Maritime, Inc.

Awarding Agency: Department of Transportation

Start Date: 2025-06-25

End Date: 2026-06-18

Contract Duration: 358 days

Daily Burn Rate: $13.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: ANT-DEN- LMSR LAYBERTH AND SERVICES IN BALTIMORE, MD PIER 8

Place of Performance

Location: JACKSONVILLE, DUVAL County, FLORIDA, 32210

State: Florida Government Spending

Plain-Language Summary

Department of Transportation obligated $4.7 million to MARYLAND MARITIME, INC. for work described as: ANT-DEN- LMSR LAYBERTH AND SERVICES IN BALTIMORE, MD PIER 8 Key points: 1. Contract value of $4.65M for pier services suggests a significant investment in maritime infrastructure. 2. The contract's firm-fixed-price structure aims to provide cost certainty for the government. 3. Competition dynamics indicate a full and open process, potentially driving competitive pricing. 4. The duration of 358 days allows for sustained service delivery and operational planning. 5. The specific location in Baltimore, MD, points to strategic importance for regional logistics. 6. The award to Maryland Maritime, Inc. warrants a review of their past performance and capacity.

Value Assessment

Rating: good

The contract value of $4.65 million for pier services appears reasonable given the scope of work, which includes layberth and services. Benchmarking against similar contracts for port infrastructure maintenance and operations in major East Coast ports would provide a clearer picture of value for money. The firm-fixed-price nature of the contract helps mitigate cost overrun risks for the government, assuming the initial pricing was competitive.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which suggests that while competition was sought, certain sources may have been excluded based on specific criteria. The number of bidders is not explicitly stated, but this procurement method implies a deliberate effort to ensure a competitive environment while potentially focusing on specialized capabilities. The level of competition, even if limited, should have contributed to price discovery.

Taxpayer Impact: This procurement approach aims to balance the need for specialized services with ensuring taxpayer funds are used efficiently through a competitive process, even with source exclusions.

Public Impact

The primary beneficiaries are likely the U.S. Navy or other government entities requiring layberth and services for vessels in Baltimore. Services delivered include essential support for vessel docking, maintenance, and potentially cargo handling. The geographic impact is concentrated in Baltimore, Maryland, supporting regional maritime economic activity. Workforce implications may include job creation for skilled maritime labor in the Baltimore area.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for limited competition due to 'Exclusion of Sources' could impact long-term pricing.
Dependence on a single awardee for critical pier services introduces operational risk if performance falters.
The specific nature of 'layberth and services' may require specialized equipment and expertise, limiting the pool of qualified contractors.

Positive Signals

Firm-fixed-price contract provides budget certainty.
Full and open competition, even with exclusions, suggests an effort to achieve a competitive outcome.
The contract duration allows for stable service provision and planning.

Sector Analysis

This contract falls within the broader maritime services sector, which is critical for national defense, trade, and logistics. The market for port services is often characterized by specialized firms with significant capital investment in infrastructure and equipment. Spending in this area is influenced by geopolitical factors, trade volumes, and defense readiness requirements. Comparable spending benchmarks would involve analyzing other government contracts for similar port operations and vessel support services.

Small Business Impact

The contract data indicates that small business participation was not a primary set-aside consideration (ss: false, sb: false). This suggests the contract was not specifically targeted for small businesses. However, the prime contractor, Maryland Maritime, Inc., may engage small businesses as subcontractors, depending on the scope and nature of the services required. An analysis of subcontracting plans would be necessary to fully assess the impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically fall under the Department of Transportation's Maritime Administration, potentially involving program managers and contracting officers. Accountability measures are embedded in the firm-fixed-price contract terms, requiring delivery of specified services. Transparency is facilitated through contract databases like FPDS. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Port Infrastructure Development Program
Military Sealift Command Contracts
Naval Facilities Engineering Command Contracts
Army Corps of Engineers Civil Works Projects

Risk Flags

Potential for limited competition due to source exclusion.
Dependence on a single contractor for critical services.
Need to verify contractor's past performance and capacity.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $4.7 million to MARYLAND MARITIME, INC.. ANT-DEN- LMSR LAYBERTH AND SERVICES IN BALTIMORE, MD PIER 8

Who is the contractor on this award?

The obligated recipient is MARYLAND MARITIME, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Maritime Administration).

What is the total obligated amount?

The obligated amount is $4.7 million.

What is the period of performance?

Start: 2025-06-25. End: 2026-06-18.

What is the historical spending pattern for similar pier services contracts by the Maritime Administration or other relevant agencies?

Analyzing historical spending for similar pier services contracts requires accessing detailed procurement data over several fiscal years. Key agencies to examine would include the Maritime Administration (MARAD), Military Sealift Command (MSC), and potentially the U.S. Navy's facilities commands. Spending patterns are influenced by fleet readiness requirements, infrastructure modernization initiatives, and the operational tempo of maritime activities. For instance, periods of increased naval deployment or significant port upgrades would likely correlate with higher spending on pier services. Benchmarking the current $4.65 million award against the average value and duration of comparable contracts awarded over the past 3-5 years would provide context on whether this represents a typical, elevated, or reduced investment for the services rendered.

How does the pricing structure of this contract compare to industry benchmarks for layberth and vessel services?

The firm-fixed-price (FFP) structure of this $4.65 million contract for pier services aims to provide cost certainty. To assess pricing competitiveness, one would need to compare the proposed rates for specific services (e.g., per-day layberth fees, specific service charges) against established industry benchmarks. These benchmarks can be derived from commercial port tariffs, data from other government contracts for similar services, and market research reports on maritime support costs. Factors such as the specific location (Baltimore), the duration (358 days), and the scope of 'services' (which could include security, utilities, waste management, etc.) will influence the applicable rates. A detailed breakdown of the contractor's proposed costs against these benchmarks would reveal whether the government secured a favorable price.

What are the specific risks associated with the 'Full and Open Competition After Exclusion of Sources' procurement method for this contract?

The 'Full and Open Competition After Exclusion of Sources' method, while intended to be competitive, introduces specific risks. The 'exclusion of sources' implies that certain potential bidders were deliberately not considered, potentially narrowing the competitive field. This could lead to less aggressive pricing than true full and open competition. The risk lies in whether the excluded sources possessed unique capabilities or offered more competitive pricing that would have benefited the government. Furthermore, the justification for excluding sources needs to be robust to ensure fairness and prevent potential challenges. If the excluded sources were significant players in the market, the resulting competition might not fully reflect market dynamics, potentially impacting long-term value for money.

What is the track record of Maryland Maritime, Inc. in performing similar government contracts, particularly regarding performance and cost control?

Evaluating the track record of Maryland Maritime, Inc. is crucial for assessing the risk associated with this $4.65 million contract. A review of their past performance on federal contracts, accessible through databases like the Contractor Performance Assessment Reporting System (CPARS), would reveal their history of meeting schedule, cost, and technical requirements. Specific attention should be paid to contracts involving layberth, vessel services, or port operations. Positive indicators would include consistent high ratings, timely completion of projects, and minimal cost overruns. Conversely, a history of performance issues, contract disputes, or significant cost increases would raise concerns about their ability to successfully execute this current award and deliver value for taxpayers.

How does the geographic concentration of this contract in Baltimore, MD, align with broader federal investments in port infrastructure and logistics?

The award of this $4.65 million contract for pier services in Baltimore, MD, aligns with broader federal interests in maintaining and enhancing critical port infrastructure. Baltimore is a significant East Coast port, handling substantial cargo and supporting various economic activities. Federal investments in such locations are often driven by strategic importance for trade, national security (e.g., Navy logistics), and regional economic development. Analyzing this contract in conjunction with other federal spending in the Baltimore port area, such as infrastructure upgrades, dredging projects, or security enhancements, provides a comprehensive view of the government's commitment to the region's maritime capabilities. This specific contract contributes to the operational readiness and efficiency of the port.

Industry Classification

NAICS: Transportation and Warehousing › Support Activities for Water Transportation › Other Support Activities for Water Transportation

Product/Service Code: LEASE/RENT FACILITIES › LEASE/RENTAL OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SEALED BID

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 5036 ORTEGA BLVD, JACKSONVILLE, FL, 32210

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $4,650,902

Exercised Options: $4,650,902

Current Obligation: $4,650,902

Actual Outlays: $1,905,119

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693JF718D000004

IDV Type: IDC

Timeline