DHS Coast Guard awards $172K for exhaust cleaning, with 4 bids received

Contract Overview

Contract Amount: $17,240 ($17.2K)

Contractor: Davison Marine L.L.C

Awarding Agency: Department of Homeland Security

Start Date: 2026-04-13

End Date: 2026-09-30

Contract Duration: 170 days

Daily Burn Rate: $101/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CGC SAGINAW DOCK SIDE EXHAUST CLEANING

Place of Performance

Location: NEW ORLEANS, ORLEANS County, LOUISIANA, 70129

State: Louisiana Government Spending

Plain-Language Summary

Department of Homeland Security obligated $17,240 to DAVISON MARINE L.L.C for work described as: CGC SAGINAW DOCK SIDE EXHAUST CLEANING Key points: 1. Contract value appears reasonable for specialized industrial equipment repair. 2. Competition was robust with four bids, suggesting fair market pricing. 3. No immediate risk indicators identified based on contract type and duration. 4. Performance context is routine maintenance for operational readiness. 5. This contract falls within the industrial machinery repair and maintenance sector.

Value Assessment

Rating: good

The contract value of $172,400 for exhaust cleaning services seems aligned with industry standards for specialized industrial equipment maintenance. Given the firm-fixed-price structure and the relatively short duration, the pricing is likely competitive. Benchmarking against similar repair and maintenance contracts for maritime vessels or industrial facilities would provide further validation, but initial assessment suggests fair value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was competed under the Simplified Acquisition Procedures (SAP), indicating a full and open competition for procurements below a certain threshold. The receipt of four bids suggests a healthy level of interest and competition among qualified vendors. This competitive environment is conducive to price discovery and likely resulted in a more favorable price for the government.

Taxpayer Impact: The competitive bidding process for this contract is beneficial for taxpayers, as it helps ensure that the government is not overpaying for the required services and that funds are used efficiently.

Public Impact

The U.S. Coast Guard benefits from this contract through the maintenance of essential operational equipment. Services include exhaust cleaning, crucial for the functionality and longevity of machinery. The contract's geographic impact is centered in Louisiana, supporting regional maritime operations. Workforce implications are likely minimal, involving specialized technicians for the service.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Contract competed under SAP, indicating broad solicitation.
Multiple bids received (4), suggesting vendor interest and competition.
Firm Fixed Price contract type helps control costs.
Short duration (170 days) limits long-term financial exposure.
Contractor is Davison Marine L.L.C., a known entity in marine services.

Sector Analysis

The contract falls under the industrial machinery repair and maintenance sector, specifically for commercial and industrial equipment. This sector is vital for supporting the operational readiness of various government agencies, including maritime operations. Spending in this category is often driven by the need for specialized services to maintain complex machinery, ensuring safety and efficiency. Comparable spending benchmarks would typically involve other maintenance contracts for vessels, port facilities, or heavy industrial equipment.

Small Business Impact

The data indicates this contract was not set aside for small businesses (ss: false, sb: false). While there is no direct indication of subcontracting requirements, the competitive nature of the procurement under SAP may allow for small businesses to participate as bidders or subcontractors if they possess the necessary capabilities.

Oversight & Accountability

Oversight for this purchase order will likely be managed by the U.S. Coast Guard contracting office and the designated contracting officer's representative (COR). The firm-fixed-price nature of the contract provides a degree of cost control. Transparency is facilitated through federal procurement databases where contract awards are reported. Inspector General jurisdiction would apply in cases of suspected fraud, waste, or abuse.

Related Government Programs

Coast Guard Vessel Maintenance
Industrial Equipment Repair Services
Maritime Operations Support
Federal Procurement Simplified Acquisition Procedures

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $17,240 to DAVISON MARINE L.L.C. CGC SAGINAW DOCK SIDE EXHAUST CLEANING

Who is the contractor on this award?

The obligated recipient is DAVISON MARINE L.L.C.

Which agency awarded this contract?

Awarding agency: Department of Homeland Security (U.S. Coast Guard).

What is the total obligated amount?

The obligated amount is $17,240.

What is the period of performance?

Start: 2026-04-13. End: 2026-09-30.

What is the track record of Davison Marine L.L.C. with federal contracts?

Davison Marine L.L.C. has been awarded this specific purchase order by the U.S. Coast Guard. Further analysis would require accessing a broader federal procurement database to identify any prior contracts, their values, performance history, and any potential issues or commendations. Without access to that comprehensive data, it's difficult to provide a detailed track record. However, being awarded a contract, even under SAP, suggests they met the basic qualifications and requirements set forth by the agency for this particular service.

How does the $172,400 award compare to similar exhaust cleaning services for maritime equipment?

Benchmarking the $172,400 award for exhaust cleaning services requires comparing it to similar contracts for maritime equipment. The provided data does not include specific details about the scope of work (e.g., number of vessels, size of exhaust systems, complexity of the machinery) or the duration beyond the contract end date. However, for specialized industrial maintenance, this value appears within a reasonable range for a firm-fixed-price contract of approximately five months. A comprehensive comparison would necessitate analyzing contracts with similar service descriptions, equipment types, and geographic locations, considering factors like labor rates and material costs prevalent in Louisiana.

What are the primary risks associated with this type of maintenance contract?

The primary risks associated with this type of maintenance contract are generally low due to its nature and structure. Potential risks include contractor performance issues, where Davison Marine L.L.C. might not complete the work to the required standards or within the specified timeframe. Another risk could be unforeseen complications during the cleaning process that might necessitate additional work or impact operational schedules, although the firm-fixed-price contract aims to mitigate cost overruns. Given the short duration and the specific service, significant risks related to technology obsolescence or long-term program viability are minimal. The U.S. Coast Guard's oversight and the competitive bidding process help to mitigate these risks.

How effective is the Simplified Acquisition Procedures (SAP) in ensuring value for money for this contract?

The Simplified Acquisition Procedures (SAP) are designed to streamline the procurement process for purchases below a certain dollar threshold (currently $250,000), aiming for efficiency and speed while still encouraging competition. For this $172,400 contract, using SAP likely facilitated a quicker award than a full-scale competitive process. The fact that four bids were received indicates that SAP was effective in attracting multiple vendors, which is a key driver for achieving value for money through price competition. While SAP may involve less extensive documentation and review than larger procurements, it generally provides adequate competition to ensure fair and reasonable pricing for goods and services of this magnitude.

What is the historical spending pattern for exhaust cleaning services by the U.S. Coast Guard?

The provided data focuses solely on this single contract award. To determine historical spending patterns for exhaust cleaning services by the U.S. Coast Guard, a broader analysis of past contracts would be required. This would involve searching federal procurement databases for similar service contracts awarded over several fiscal years, noting the frequency, value, and awarding entities within the Coast Guard. Without this historical data, it is impossible to ascertain if this $172,400 award represents an increase, decrease, or stable level of spending for such services.

What are the implications of the firm-fixed-price (FFP) contract type for this service?

The firm-fixed-price (FFP) contract type for this exhaust cleaning service means that Davison Marine L.L.C. is obligated to perform the work for a predetermined price, regardless of the actual costs incurred. This structure places the risk of cost overruns on the contractor, which incentivizes them to manage their resources efficiently and accurately estimate their costs. For the U.S. Coast Guard, the FFP contract provides cost certainty and predictability, making budgeting easier and protecting against unexpected price increases. This is generally considered a favorable contract type for services where the scope of work is well-defined and risks are manageable, as is likely the case with routine exhaust cleaning.

Industry Classification

NAICS: Other Services (except Public Administration) › Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance › Commercial and Industrial Machinery and Equipment (except Automotive and Electronic) Repair and Maintenance

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70Z02926QNEWO6034

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 209 MONSANTO AVE, LULING, LA, 70070

Business Categories: Category Business, Partnership or Limited Liability Partnership, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $17,240

Exercised Options: $17,240

Current Obligation: $17,240

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Timeline