DoD Awards $18.3M Contract for Vessel Support Services to Seaward Services, Inc

Contract Overview

Contract Amount: $18,338,895 ($18.3M)

Contractor: Seaward Services, Inc.

Awarding Agency: Department of Defense

Start Date: 2022-05-09

End Date: 2026-05-09

Contract Duration: 1,461 days

Daily Burn Rate: $12.6K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: COST PLUS FIXED FEE

Sector: Other

Official Description: VESSEL AND SUPPORT SERVICES

Place of Performance

Location: NEW ALBANY, FLOYD County, INDIANA, 47150

State: Indiana Government Spending

Plain-Language Summary

Department of Defense obligated $18.3 million to SEAWARD SERVICES, INC. for work described as: VESSEL AND SUPPORT SERVICES Key points: 1. Contract awarded to Seaward Services, Inc. for vessel and support services. 2. The contract has a total value of $18.3 million. 3. Competition method was 'Full and Open Competition'. 4. The contract type is 'Cost Plus Fixed Fee'. 5. Services are categorized under 'All Other Professional, Scientific, and Technical Services'.

Value Assessment

Rating: fair

The Cost Plus Fixed Fee contract type can lead to cost overruns if not managed carefully. Benchmarking against similar contracts for vessel support services is difficult without more specific service details.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the Cost Plus Fixed Fee structure may not always yield the lowest price compared to fixed-price contracts.

Taxpayer Impact: Taxpayer funds are being used for essential vessel and support services, with the expectation that competition ensured a reasonable price. Oversight is crucial to manage costs effectively.

Public Impact

Ensures operational readiness for naval vessels through essential support services. Supports a private sector company, Seaward Services, Inc., contributing to the maritime industry. The contract duration of approximately four years impacts long-term planning for naval support. Potential for cost increases due to the Cost Plus Fixed Fee structure.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Cost Plus Fixed Fee contract type may lead to higher costs.
  • Lack of specific service details makes detailed cost analysis challenging.

Positive Signals

  • Awarded under full and open competition.
  • Contract supports critical naval operations.

Sector Analysis

This contract falls under professional, scientific, and technical services, specifically related to maritime operations. Spending in this sector is often driven by defense needs and the complexity of specialized services.

Small Business Impact

The data indicates that small businesses were not directly awarded this contract, as Seaward Services, Inc. is the prime contractor. Further analysis would be needed to determine if small businesses are involved as subcontractors.

Oversight & Accountability

The Department of the Navy is the contracting agency, responsible for oversight. The contract's Cost Plus Fixed Fee nature necessitates robust monitoring to ensure costs are reasonable and services are delivered effectively.

Related Government Programs

  • All Other Professional, Scientific, and Technical Services
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Cost Plus Fixed Fee structure.
  • Broad service category lacks specificity.
  • Potential for cost escalation.
  • Limited insight into subcontractor utilization.

Tags

all-other-professional-scientific-and-te, department-of-defense, in, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $18.3 million to SEAWARD SERVICES, INC.. VESSEL AND SUPPORT SERVICES

Who is the contractor on this award?

The obligated recipient is SEAWARD SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $18.3 million.

What is the period of performance?

Start: 2022-05-09. End: 2026-05-09.

What specific vessel and support services are included in this contract, and how do they align with operational needs?

The contract details are limited, but 'VESSEL AND SUPPORT SERVICES' suggests a broad range of activities potentially including maintenance, repair, logistics, and operational support for naval vessels. These services are critical for maintaining fleet readiness and ensuring the Navy can execute its missions effectively, covering everything from routine upkeep to specialized technical assistance.

What are the primary risks associated with the Cost Plus Fixed Fee contract structure for these services?

The main risk with a Cost Plus Fixed Fee (CPFF) contract is that the government pays the actual costs incurred by the contractor plus a predetermined fixed fee. This can incentivize contractors to incur higher costs, as their fee remains constant. Effective oversight and detailed cost auditing are essential to mitigate the risk of cost overruns and ensure value for taxpayer money.

How does the 'All Other Professional, Scientific, and Technical Services' classification impact the assessment of value and effectiveness?

This broad classification makes it challenging to benchmark against specific industry standards or similar contracts without more granular detail. While it indicates specialized services are being procured, the lack of specificity requires a deeper dive into the contract's statement of work to truly assess value for money and the effectiveness of the services rendered.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesOther Professional, Scientific, and Technical ServicesAll Other Professional, Scientific, and Technical Services

Product/Service Code: LEASE/RENT EQUIPMENTLEASE OR RENTAL OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N0016722R0008

Offers Received: 2

Pricing Type: COST PLUS FIXED FEE (U)

Evaluated Preference: NONE

Contractor Details

Address: 203 W 1ST ST, NEW ALBANY, IN, 47150

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

Financial Breakdown

Contract Ceiling: $29,598,813

Exercised Options: $21,327,455

Current Obligation: $18,338,895

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2022-05-09

Current End Date: 2026-05-09

Potential End Date: 2027-05-09 00:00:00

Last Modified: 2025-12-19

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