Navy Awards BAE Systems $32.5M for USS Paul Hamilton Repair, Full Competition
Contract Overview
Contract Amount: $32,449,459 ($32.4M)
Contractor: BAE Systems Maritime Solutions SAN Diego Inc.
Awarding Agency: Department of Defense
Start Date: 2024-06-03
End Date: 2025-06-06
Contract Duration: 368 days
Daily Burn Rate: $88.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: C420A, USS PAUL HAMILTON (DDG-60) FY24 SRA, SSP: TPPC-DDG60-SWRMC24-CN01, DELIVERY ORDER
Place of Performance
Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92136
Plain-Language Summary
Department of Defense obligated $32.4 million to BAE SYSTEMS MARITIME SOLUTIONS SAN DIEGO INC. for work described as: C420A, USS PAUL HAMILTON (DDG-60) FY24 SRA, SSP: TPPC-DDG60-SWRMC24-CN01, DELIVERY ORDER Key points: 1. Significant contract value for ship repair services. 2. Full and open competition indicates a healthy market. 3. Potential for cost savings due to fixed-price contract. 4. Focus on naval readiness and fleet maintenance.
Value Assessment
Rating: good
The $32.5 million award for ship repair is within a reasonable range for complex naval vessel maintenance. Benchmarking against similar DDG-class repair contracts would provide further validation.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting multiple capable vendors participated. This competitive process likely drove a fair price discovery mechanism.
Taxpayer Impact: Taxpayer funds are being used efficiently through a competitive bidding process for essential naval maintenance.
Public Impact
Ensures operational readiness of a key naval asset. Supports jobs in the shipbuilding and repair sector. Contributes to national defense capabilities.
Waste & Efficiency Indicators
Waste Risk Score: 88 / 10
Positive Signals
- Full and open competition
- Firm fixed price contract
- Delivery order for specific needs
Sector Analysis
This contract falls within the Ship Building and Repairing sector, a critical component of national defense spending. Benchmarks for similar naval vessel repair contracts are typically in the millions of dollars.
Small Business Impact
While the prime contractor is BAE Systems, the contract details do not specify any subcontracting goals for small businesses. Further investigation may be needed to assess small business participation.
Oversight & Accountability
The award is a delivery order under a larger contract, suggesting existing oversight mechanisms. The Department of the Navy is responsible for ensuring performance and accountability.
Related Government Programs
- Ship Building and Repairing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for unforeseen technical issues during repair.
- Dependence on a single prime contractor for execution.
- Limited visibility into small business subcontracting.
Tags
ship-building-and-repairing, department-of-defense, ca, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $32.4 million to BAE SYSTEMS MARITIME SOLUTIONS SAN DIEGO INC.. C420A, USS PAUL HAMILTON (DDG-60) FY24 SRA, SSP: TPPC-DDG60-SWRMC24-CN01, DELIVERY ORDER
Who is the contractor on this award?
The obligated recipient is BAE SYSTEMS MARITIME SOLUTIONS SAN DIEGO 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 $32.4 million.
What is the period of performance?
Start: 2024-06-03. End: 2025-06-06.
What is the historical cost performance of BAE Systems Maritime Solutions on similar naval repair contracts?
Analyzing BAE Systems' past performance on comparable DDG-class repair contracts would provide insight into their ability to manage costs effectively. This includes reviewing any cost overruns, schedule delays, or change orders on previous projects to assess their track record and predict future performance.
Are there any specific technical risks associated with the C420A, USS Paul Hamilton (DDG-60) FY24 SRA that could impact cost or schedule?
The specific technical scope of the C420A repair is not detailed here. However, complex naval vessel repairs often involve unforeseen issues like aging systems, corrosion, or component failures. A thorough risk assessment by the Navy would identify these potential challenges and their impact on the contract's cost and timeline.
How does the awarded price compare to the government's independent cost estimate for this repair work?
Comparing the awarded price of $32.5 million to the government's independent cost estimate (if available) is crucial for assessing value. A significant difference could indicate either a highly competitive bid or potential issues with the estimate or the contractor's pricing strategy.
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: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Solicitation ID: N0002421R4427
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Compagnie DE Developpement DE L'eau S.A.
Address: 2205 E BELT ST, SAN DIEGO, CA, 92113
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $35,515,911
Exercised Options: $32,449,459
Current Obligation: $32,449,459
Actual Outlays: $6,222,656
Subaward Activity
Number of Subawards: 118
Total Subaward Amount: $4,319,701
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0002422D4443
IDV Type: IDC
Timeline
Start Date: 2024-06-03
Current End Date: 2025-06-06
Potential End Date: 2025-06-06 00:00:00
Last Modified: 2025-10-15
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