DoD awards $22.6M contract for USNS Mercy ROH/DD to Vigor Marine LLC under full and open competition

Contract Overview

Contract Amount: $22,634,523 ($22.6M)

Contractor: Vigor Marine LLC

Awarding Agency: Department of Defense

Start Date: 2014-12-01

End Date: 2015-05-02

Contract Duration: 152 days

Daily Burn Rate: $148.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: USNS MERCY ROH/DD

Place of Performance

Location: PORTLAND, MULTNOMAH County, OREGON, 97217, UNITED STATES OF AMERICA

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $22.6 million to VIGOR MARINE LLC for work described as: USNS MERCY ROH/DD Key points: 1. Contract awarded to Vigor Marine LLC for ship repair services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. The contract value is $22.6 million for a 152-day duration. 4. This falls under the Ship Building and Repairing sector.

Value Assessment

Rating: good

The contract value of $22.6 million for 152 days of service appears reasonable given the specialized nature of naval ship repair. Benchmarking against similar complex vessel maintenance contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of full and open competition indicates that multiple bidders were likely considered, promoting price discovery and potentially leading to a more competitive price. The award to DCA suggests a thorough evaluation process.

Taxpayer Impact: The competitive nature of the award is beneficial for taxpayers, as it likely resulted in a fair market price for essential naval maintenance services.

Public Impact

Ensures readiness of the USNS Mercy, a critical medical treatment vessel. Supports maritime industry jobs in the shipbuilding and repair sector. Demonstrates the Department of Defense's commitment to maintaining its fleet.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Positive Signals

Full and open competition utilized
Awarded for critical naval asset maintenance

Sector Analysis

This contract falls within the Ship Building and Repairing sector, which is crucial for maintaining the operational readiness of naval assets. Spending in this sector can fluctuate based on fleet modernization and maintenance needs.

Small Business Impact

The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small business participation was sought or achieved through subcontracting.

Oversight & Accountability

The award was made by the Department of the Navy, a component of the Department of Defense, which has established oversight mechanisms for contract execution and performance.

Related Government Programs

Ship Building and Repairing
Department of Defense Contracting
Department of the Navy Programs

Risk Flags

Limited duration of contract performance
No small business participation indicated

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.6 million to VIGOR MARINE LLC. USNS MERCY ROH/DD

Who is the contractor on this award?

The obligated recipient is VIGOR MARINE LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $22.6 million.

What is the period of performance?

Start: 2014-12-01. End: 2015-05-02.

What was the specific scope of work for the USNS Mercy ROH/DD repair and how does it compare to industry standards for similar vessels?

The specific scope of work for the USNS Mercy ROH/DD repair would detail the exact maintenance, overhaul, and modernization tasks performed. Comparing this to industry standards for similar hospital ships or large naval vessels would involve assessing the complexity, duration, and specialized labor required. This comparison helps determine if the $22.6 million price reflects fair market value for the services rendered.

Were there any performance issues or cost overruns associated with this contract, and how were they managed?

Information regarding performance issues or cost overruns for this specific contract is not provided in the data. Typically, contract management by the Department of the Navy would involve monitoring progress against the schedule and budget, addressing any deviations through change orders or corrective actions, and ensuring final delivery meets specifications. Post-award reviews would detail any such management activities.

What is the long-term impact of this type of maintenance on the operational lifespan and readiness of the USNS Mercy?

Regular and comprehensive maintenance, such as that provided under this contract, is crucial for extending the operational lifespan and ensuring the readiness of the USNS Mercy. This includes maintaining its complex medical facilities, propulsion systems, and hull integrity. Proactive repairs prevent minor issues from escalating, reducing the risk of mission-critical failures and ensuring the vessel can fulfill its vital humanitarian and medical support role.

Industry Classification

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

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › NON-NUCLEAR SHIP REPAIR

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N3220514R5003

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Vigor Industrial LLC (UEI: 153727818)

Address: 5555 N CHANNEL AVE BLDG 71, PORTLAND, OR, 97217

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,931,696

Exercised Options: $22,634,523

Current Obligation: $22,634,523

Contract Characteristics

Cost or Pricing Data: NO

Timeline