Army Awards $4.5M Shipyard Overhaul to Vigor Marine LLC for FY26

Contract Overview

Contract Amount: $4,554,525 ($4.6M)

Contractor: Vigor Marine LLC

Awarding Agency: Department of Defense

Start Date: 2025-12-04

End Date: 2026-02-23

Contract Duration: 81 days

Daily Burn Rate: $56.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: YAQUINA SHIPYARD OVERHAUL FY26

Place of Performance

Location: PORTLAND, MULTNOMAH County, OREGON, 97217

State: Oregon Government Spending

Plain-Language Summary

Department of Defense obligated $4.6 million to VIGOR MARINE LLC for work described as: YAQUINA SHIPYARD OVERHAUL FY26 Key points: 1. Contract awarded to Vigor Marine LLC for $4.55M. 2. Competition method was 'Full and Open', indicating broad market access. 3. The contract is for ship building and repair services. 4. This award falls under the Department of Defense's shipbuilding sector.

Value Assessment

Rating: good

The award amount of $4.55M for an 81-day overhaul appears reasonable given the sector. Benchmarking against similar shipyard contracts would provide further validation.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The use of 'Full and Open Competition' suggests a robust price discovery process. This method allows multiple qualified vendors to bid, driving competitive pricing.

Taxpayer Impact: The competitive nature of the award is expected to yield a fair price, maximizing taxpayer value for the required services.

Public Impact

Ensures readiness of naval assets through essential maintenance. Supports the maritime industrial base in Oregon. Provides critical repair services for Department of Defense vessels.

Waste & Efficiency Indicators

Waste Risk Score: 56 / 10

Warning Flags

Potential for cost overruns if unforeseen issues arise during overhaul.
Dependence on a single awardee for a critical service.

Positive Signals

Utilizes full and open competition, promoting fairness.
Clear delivery order with defined start and end dates.

Sector Analysis

The shipbuilding and repair sector is capital-intensive and requires specialized facilities and labor. Spending benchmarks vary significantly based on vessel size and complexity of work.

Small Business Impact

While this specific award went to a larger entity, the 'Full and Open Competition' process theoretically allows small businesses to participate if they meet the qualifications, though direct subcontracting opportunities are not specified.

Oversight & Accountability

The award is a delivery order under a larger contract vehicle, suggesting prior vetting. Oversight will focus on adherence to the firm-fixed-price terms and timely completion.

Related Government Programs

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

Risk Flags

Potential for scope creep
Dependence on a single contractor for critical repairs
Market concentration in shipbuilding and repair services
Geographic concentration of awardee

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $4.6 million to VIGOR MARINE LLC. YAQUINA SHIPYARD OVERHAUL FY26

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 Army).

What is the total obligated amount?

The obligated amount is $4.6 million.

What is the period of performance?

Start: 2025-12-04. End: 2026-02-23.

What is the historical performance of Vigor Marine LLC on similar Department of Defense contracts?

Vigor Marine LLC has a history of performing contracts for the Department of Defense, including shipbuilding and repair services. Analyzing past performance metrics, such as on-time delivery, quality of work, and adherence to budget, would provide a clearer picture of their reliability and capability for this specific overhaul project.

Are there any identified risks associated with the specific shipyard or the scope of work for this overhaul?

Potential risks could include unforeseen structural issues discovered during the overhaul, leading to scope creep and cost increases, despite the firm-fixed-price contract. The age and condition of the vessel, as well as the complexity of the required repairs, are key factors to monitor for potential disruptions or delays.

How does the awarded price compare to industry benchmarks for similar vessel overhauls?

The awarded price of $4.55M for an 81-day overhaul needs to be benchmarked against similar contracts for vessels of comparable size and complexity. Factors like the specific type of vessel, the extent of the work required (e.g., hull, propulsion, systems), and the prevailing market rates for shipyard services in the region will influence this comparison.

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: SEALED BID

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Vigor Industrial LLC

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

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

Financial Breakdown

Contract Ceiling: $4,802,368

Exercised Options: $4,802,368

Current Obligation: $4,554,525

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Parent Contract

Parent Award PIID: W9127N24G0002

IDV Type: BOA

Timeline