Navy Extends Ammo Charter with Waterman Transport for $31.1M, Awarded via Full and Open Competition

Contract Overview

Contract Amount: $31,117,765 ($31.1M)

Contractor: Waterman Transport Inc

Awarding Agency: Department of Defense

Start Date: 2022-11-04

End Date: 2024-04-16

Contract Duration: 529 days

Daily Burn Rate: $58.8K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: N103A/N321A/E.N.HATCHER - 90 DAY DRY CARGO TIME CHARTER EXTENDED TERM AMMO CHARTER

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33602

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $31.1 million to WATERMAN TRANSPORT INC for work described as: N103A/N321A/E.N.HATCHER - 90 DAY DRY CARGO TIME CHARTER EXTENDED TERM AMMO CHARTER Key points: 1. The Department of the Navy awarded a $31.1 million contract to Waterman Transport Inc. for dry cargo time charter services. 2. Awarded under full and open competition, indicating a competitive bidding process. 3. The contract duration is 529 days, with a firm-fixed-price structure. 4. This spending falls within the Deep Sea Freight Transportation sector.

Value Assessment

Rating: good

The contract value of $31.1 million for a 529-day charter appears reasonable given the nature of deep-sea freight transportation. Benchmarking against similar long-term cargo charters would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting multiple bidders likely participated. This method generally promotes competitive pricing and ensures the government receives fair market value.

Taxpayer Impact: Taxpayer funds are being used for essential defense logistics, with competition aiming to optimize cost-effectiveness.

Public Impact

Ensures continued logistical support for ammunition transport, a critical defense function. Supports maritime transportation industry and associated jobs. Provides a stable, long-term service for a key government requirement.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Potential for price escalation in fuel or operational costs over the contract term.
  • Dependence on a single provider for a critical service.

Positive Signals

  • Awarded through full and open competition.
  • Firm-fixed-price contract limits cost uncertainty.
  • Long-term duration provides service stability.

Sector Analysis

This contract is within the Deep Sea Freight Transportation sector, which is crucial for global supply chains and military logistics. Spending benchmarks for similar long-term charters are typically in the millions of dollars, depending on vessel size and duration.

Small Business Impact

The contract was awarded to Waterman Transport Inc., a single entity. Analysis of whether small businesses were involved as subcontractors or if the prime contractor is an SMB is not provided in the data.

Oversight & Accountability

The award through full and open competition suggests a structured procurement process. Further oversight would involve monitoring contract performance and adherence to terms.

Related Government Programs

  • Deep Sea Freight Transportation
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Contract duration is substantial, increasing exposure to market fluctuations.
  • Potential for unforeseen operational challenges in deep-sea transport.
  • Dependence on a single contractor for a critical logistical function.
  • Limited insight into the specific performance history of the contractor.

Tags

deep-sea-freight-transportation, department-of-defense, fl, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $31.1 million to WATERMAN TRANSPORT INC. N103A/N321A/E.N.HATCHER - 90 DAY DRY CARGO TIME CHARTER EXTENDED TERM AMMO CHARTER

Who is the contractor on this award?

The obligated recipient is WATERMAN TRANSPORT 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 $31.1 million.

What is the period of performance?

Start: 2022-11-04. End: 2024-04-16.

What is the historical performance of Waterman Transport Inc. on similar government contracts?

Historical performance data for Waterman Transport Inc. on similar government contracts is not provided in this dataset. A thorough review would require accessing past performance evaluations and contract completion records to assess reliability, timeliness, and quality of service in previous engagements. This information is crucial for understanding the contractor's track record and potential risks.

How does the daily charter rate compare to industry benchmarks for similar vessels and routes?

The provided data does not include a daily charter rate or specific route details, making direct comparison difficult. However, the total contract value of $31.1 million over 529 days averages approximately $58,824 per day. This figure should be benchmarked against current market rates for comparable dry cargo time charters, considering vessel size, age, and operational scope.

What are the contingency plans if Waterman Transport Inc. fails to meet contractual obligations?

Contingency plans for contractor failure are typically outlined within the contract's terms and conditions, often including clauses for default, termination for convenience, and remedies for non-performance. The Department of the Navy would likely have procedures to secure alternative transportation services, potentially through re-competition or by exercising options with other pre-qualified vendors, to mitigate disruptions.

Industry Classification

NAICS: Transportation and WarehousingDeep Sea, Coastal, and Great Lakes Water TransportationDeep Sea Freight Transportation

Product/Service Code: TRANSPORT, TRAVEL, RELOCATIONTRANSPORTATION OF THINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N3220522R4144

Offers Received: 4

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2 S WATER ST FL 4, MOBILE, AL, 36602

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

Financial Breakdown

Contract Ceiling: $31,117,765

Exercised Options: $31,117,765

Current Obligation: $31,117,765

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Timeline

Start Date: 2022-11-04

Current End Date: 2024-04-16

Potential End Date: 2024-04-16 00:00:00

Last Modified: 2024-09-30

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