DHS Awards $180M Vessel Maintenance Contract to Global Maritek Systems Inc

Contract Overview

Contract Amount: $179,680,773 ($179.7M)

Contractor: Global Maritek Systems Inc

Awarding Agency: Department of Homeland Security

Start Date: 2021-04-01

End Date: 2027-03-31

Contract Duration: 2,190 days

Daily Burn Rate: $82.0K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: COST PLUS AWARD FEE

Sector: Other

Official Description: NATIONAL VESSEL MAINTENANCE AND LOGISTICS SUPPORT SERVICES

Place of Performance

Location: FORT LAUDERDALE, BROWARD County, FLORIDA, 33309

State: Florida Government Spending

Plain-Language Summary

Department of Homeland Security obligated $179.7 million to GLOBAL MARITEK SYSTEMS INC for work described as: NATIONAL VESSEL MAINTENANCE AND LOGISTICS SUPPORT SERVICES Key points: 1. The contract is for vessel maintenance and logistics support services. 2. Global Maritek Systems Inc. is the sole awardee. 3. The contract type is Cost Plus Award Fee. 4. The total value is approximately $180 million over five years.

Value Assessment

Rating: fair

The Cost Plus Award Fee structure allows for potential overruns but incentivizes performance. Benchmarking against similar large-scale vessel maintenance contracts is difficult without more detailed cost breakdowns.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a limited competition. This method may not yield the most competitive pricing.

Taxpayer Impact: The significant value of this contract means taxpayers are exposed to potentially higher costs due to limited competition.

Public Impact

Ensures operational readiness of U.S. Customs and Border Protection's vessel fleet. Supports critical maritime security and law enforcement missions. Potential for cost overruns due to the Cost Plus Award Fee structure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Limited competition may lead to suboptimal pricing.
Cost Plus Award Fee structure carries inherent risk of cost escalation.
Lack of detailed cost data hinders precise value assessment.

Positive Signals

Supports critical national security functions.
Long-term contract provides stability for service provider.

Sector Analysis

This contract falls within the Ship Building and Repairing sector, which often involves complex logistics and specialized services. Spending benchmarks for large-scale, multi-year vessel maintenance contracts are highly variable based on fleet size and operational tempo.

Small Business Impact

The data indicates this contract was not awarded to small businesses, suggesting large prime contractors are handling these specialized services.

Oversight & Accountability

The 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' designation warrants further scrutiny to ensure the exclusion of sources was justified and competitive principles were upheld.

Related Government Programs

Ship Building and Repairing
Department of Homeland Security Contracting
U.S. Customs and Border Protection Programs

Risk Flags

Limited competition
Cost Plus Award Fee structure
Potential for cost overruns
Lack of detailed cost transparency

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $179.7 million to GLOBAL MARITEK SYSTEMS INC. NATIONAL VESSEL MAINTENANCE AND LOGISTICS SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is GLOBAL MARITEK SYSTEMS INC.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Customs and Border Protection).

What is the total obligated amount?

The obligated amount is $179.7 million.

What is the period of performance?

Start: 2021-04-01. End: 2027-03-31.

What specific criteria led to the exclusion of other sources in this 'limited' competition, and how was the pricing determined to be fair and reasonable?

The justification for excluding other sources and the methodology for determining fair and reasonable pricing are critical. Without this information, it's difficult to assess if the government secured the best value. The Cost Plus Award Fee structure requires robust oversight to manage performance incentives and prevent unnecessary cost growth.

What are the key performance indicators (KPIs) for Global Maritek Systems Inc. under this contract, and how are they measured to justify award fees?

Understanding the KPIs is essential for evaluating the effectiveness of the Cost Plus Award Fee structure. These metrics should directly relate to vessel readiness, maintenance timeliness, and cost control. Transparent reporting on KPI achievement is necessary to ensure taxpayer funds are used efficiently and that performance targets are met.

How does the total contract value of $180 million compare to historical spending on similar vessel maintenance and logistics support services for the U.S. Customs and Border Protection?

Comparing this contract's value to historical spending provides context for its scale and potential efficiency. A significant increase without a corresponding rise in fleet size or operational tempo could indicate potential overspending or a shift in service requirements. Detailed analysis of past contracts is needed for a definitive comparison.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: 70B02C20R00000028

Offers Received: 2

Pricing Type: COST PLUS AWARD FEE (R)

Evaluated Preference: NONE

Contractor Details

Address: 6080 US 1 N, SAINT AUGUSTINE, FL, 32095

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

Financial Breakdown

Contract Ceiling: $401,584,202

Exercised Options: $179,680,773

Current Obligation: $179,680,773

Actual Outlays: $109,254,512

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline