DHS Coast Guard Awards $4.7M Contract for Anchor Windlass Replacement to Schoellhorn-Albrecht

Contract Overview

Contract Amount: $4,694,533 ($4.7M)

Contractor: Schoellhorn - Albrecht Machine CO Inc

Awarding Agency: Department of Homeland Security

Start Date: 2023-09-19

End Date: 2028-09-18

Contract Duration: 1,826 days

Daily Burn Rate: $2.6K/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: WMEC 270 ANCHOR WINDLASS REPLACE FY23

Place of Performance

Location: PORTSMOUTH, PORTSMOUTH CITY County, VIRGINIA, 23703

State: Virginia Government Spending

Plain-Language Summary

Department of Homeland Security obligated $4.7 million to SCHOELLHORN - ALBRECHT MACHINE CO INC for work described as: WMEC 270 ANCHOR WINDLASS REPLACE FY23 Key points: 1. Contract awarded for a critical component in maritime operations. 2. Competition method indicates potential for fair pricing. 3. Fixed-price contract type mitigates cost overrun risk. 4. Manufacturing sector for cranes and hoists is mature.

Value Assessment

Rating: good

The contract value of $4.7M for an anchor windlass replacement appears reasonable given the specialized nature of the equipment and the fixed-price contract type. Benchmarking against similar specialized maritime equipment contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was competed under Simplified Acquisition Procedures (SAP), suggesting a competitive process for procurements below certain thresholds. This method generally allows for adequate price discovery and competition among qualified vendors.

Taxpayer Impact: The use of a competitive process under SAP aims to ensure taxpayer funds are used efficiently for necessary equipment.

Public Impact

Ensures operational readiness of U.S. Coast Guard vessels. Supports the maritime industry through manufacturing contracts. Contributes to the safety and security of U.S. waterways.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for limited competition under SAP for specialized equipment.
  • Long contract duration (5 years) may introduce unforeseen risks.

Positive Signals

  • Fixed-price contract type locks in cost.
  • Competitive award process suggests fair market value.
  • Awarded to a known manufacturer in the sector.

Sector Analysis

This contract falls within the Overhead Traveling Crane, Hoist, and Monorail System Manufacturing sector. Spending in this niche manufacturing area is typically driven by defense, maritime, and industrial infrastructure needs.

Small Business Impact

While the contract was competed under SAP, it was awarded to Schoellhorn-Albrecht Machine Co Inc, a specific company. Further analysis would be needed to determine if small businesses were involved as subcontractors or if opportunities were missed.

Oversight & Accountability

The contract is managed by the Department of Homeland Security, U.S. Coast Guard. Standard oversight procedures for federal contracts should apply, including performance monitoring and payment verification.

Related Government Programs

  • Overhead Traveling Crane, Hoist, and Monorail System Manufacturing
  • Department of Homeland Security Contracting
  • U.S. Coast Guard Programs

Risk Flags

  • Contract duration may exceed the useful life of the specific technology.
  • Potential for limited competition within specialized maritime equipment manufacturing.
  • Reliance on a single awardee for a critical component.
  • Lack of detailed cost breakdown for performance verification.

Tags

overhead-traveling-crane-hoist-and-monor, department-of-homeland-security, va, definitive-contract, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $4.7 million to SCHOELLHORN - ALBRECHT MACHINE CO INC. WMEC 270 ANCHOR WINDLASS REPLACE FY23

Who is the contractor on this award?

The obligated recipient is SCHOELLHORN - ALBRECHT MACHINE CO INC.

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 $4.7 million.

What is the period of performance?

Start: 2023-09-19. End: 2028-09-18.

What is the typical lifespan and maintenance cost of an anchor windlass system to assess the long-term value of this replacement?

The typical lifespan of an anchor windlass system can range from 15 to 30 years, depending on usage, maintenance, and environmental factors. Regular maintenance, including lubrication and inspection, is crucial to extend its life and prevent costly repairs. This contract's five-year duration for replacement suggests a proactive approach to maintaining operational readiness, but understanding the full lifecycle cost is key to evaluating its long-term value.

Are there any potential obsolescence risks associated with the chosen anchor windlass technology given the 5-year contract duration?

While the contract is for a replacement and not new development, the 5-year duration warrants consideration of technological obsolescence. If the chosen system relies on rapidly outdated components or software, future upgrades or replacements could become more complex and expensive. However, anchor windlass technology is generally mature, making significant obsolescence less likely compared to rapidly evolving electronics or IT systems.

How does the unit cost compare to similar anchor windlass systems procured by other federal agencies or the private sector?

Benchmarking the unit cost against similar anchor windlass systems is essential for a comprehensive value assessment. Factors like size, capacity, and specific features influence pricing. Without comparative data from other procurements, it's challenging to definitively state if this $4.7M award represents optimal value for taxpayer dollars. A thorough market analysis would reveal if the price is competitive.

Industry Classification

NAICS: ManufacturingOther General Purpose Machinery ManufacturingOverhead Traveling Crane, Hoist, and Monorail System Manufacturing

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTNON-NUCLEAR SHIP REPAIR

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70Z0823QMECP0011

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1141 RECO AVE, SAINT LOUIS, MO, 63126

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

Financial Breakdown

Contract Ceiling: $12,953,833

Exercised Options: $4,694,533

Current Obligation: $4,694,533

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2023-09-19

Current End Date: 2028-09-18

Potential End Date: 2028-09-18 00:00:00

Last Modified: 2026-02-24

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