DOT awards $314K for vessel business case analysis, highlighting shipbuilding and repair needs

Contract Overview

Contract Amount: $314,021 ($314.0K)

Contractor: Crowley Government Services, Inc.

Awarding Agency: Department of Transportation

Start Date: 2021-10-27

End Date: 2021-12-31

Contract Duration: 65 days

Daily Burn Rate: $4.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: SURVEY, INSPECTION & FINAL RECOMMENDATION - BUSINESS CASE ANALYSIS (BCA) FOR ARC VESSELS: FREEDOM AND HONOR. CLIN 4A

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20590

State: District of Columbia Government Spending

Plain-Language Summary

Department of Transportation obligated $314,021.4 to CROWLEY GOVERNMENT SERVICES, INC. for work described as: SURVEY, INSPECTION & FINAL RECOMMENDATION - BUSINESS CASE ANALYSIS (BCA) FOR ARC VESSELS: FREEDOM AND HONOR. CLIN 4A Key points: 1. Contract focuses on a critical business case analysis for vessel acquisition, indicating potential future investments in shipbuilding. 2. The award was made under full and open competition, suggesting a robust market for these specialized services. 3. The short duration of the contract (65 days) implies a focused scope of work for the business case analysis. 4. The firm-fixed-price structure aims to control costs for this analytical service. 5. This contract aligns with broader government efforts to assess and modernize maritime assets.

Value Assessment

Rating: good

The contract value of $314,021.40 for a business case analysis appears reasonable given the specialized nature of assessing complex maritime assets like vessels. Benchmarking against similar analytical contracts for large capital projects would provide further context, but the scope suggests a significant undertaking. The firm-fixed-price contract type helps manage cost certainty for the government.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating that multiple qualified vendors had the opportunity to bid. This competitive process is expected to yield a fair market price and ensure the government receives the best value. The specific number of bidders is not provided, but the designation suggests a healthy level of interest from the industry.

Taxpayer Impact: Full and open competition generally benefits taxpayers by driving down prices through market forces and ensuring that the most capable contractors are selected, leading to better outcomes for government investments.

Public Impact

The primary beneficiaries are the Department of Transportation and the Maritime Administration, who will receive crucial data for future vessel acquisition decisions. The service delivered is a business case analysis, a foundational step in evaluating the feasibility and justification of major capital expenditures. The geographic impact is national, as decisions made will affect the U.S. maritime fleet and potentially shipbuilding infrastructure. Workforce implications are indirect, but successful vessel acquisition could lead to jobs in shipbuilding, repair, and maritime operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for scope creep if the business case analysis expands beyond initial parameters.
Reliance on contractor expertise for accurate and unbiased analysis of complex vessel requirements.

Positive Signals

Clear objective for a business case analysis, indicating a well-defined need.
Use of a firm-fixed-price contract to control costs.
Awarded through full and open competition, suggesting market readiness and vendor availability.

Sector Analysis

The contract falls within the shipbuilding and repairing sector (NAICS 336611), a critical industry for national security and economic activity. This sector involves the construction, repair, and conversion of ships and boats. The market size is substantial, with significant government and commercial demand. This specific contract supports strategic decision-making for maritime assets, aligning with broader federal investments in naval and commercial fleet modernization.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside for this particular contract. As a delivery order under a larger contract vehicle, the subcontracting opportunities for small businesses would depend on the terms of the base contract and the prime contractor's strategy. Without more information on the base contract, it's difficult to assess the direct impact on the small business ecosystem.

Oversight & Accountability

Oversight for this contract would primarily reside with the contracting officer and program managers within the Maritime Administration. Accountability is established through the firm-fixed-price contract terms and the deliverable requirements of the business case analysis. Transparency is facilitated by the public nature of federal contract awards, though the detailed findings of the business case analysis itself may be internal.

Related Government Programs

Maritime Security Program
Jones Act Waivers
Shipbuilding and Repair Contracts
Vessel Acquisition Programs

Risk Flags

Potential for analysis bias
Scope creep risk
Timeliness of delivery
Accuracy of data used in analysis

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $314,021.4 to CROWLEY GOVERNMENT SERVICES, INC.. SURVEY, INSPECTION & FINAL RECOMMENDATION - BUSINESS CASE ANALYSIS (BCA) FOR ARC VESSELS: FREEDOM AND HONOR. CLIN 4A

Who is the contractor on this award?

The obligated recipient is CROWLEY GOVERNMENT SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Department of Transportation (Maritime Administration).

What is the total obligated amount?

The obligated amount is $314,021.4.

What is the period of performance?

Start: 2021-10-27. End: 2021-12-31.

What is the track record of Crowley Government Services, Inc. in performing similar business case analyses for maritime assets?

Crowley Government Services, Inc. has a significant history of providing logistics, marine, and energy solutions, including services to government agencies. While specific details on their past performance for 'SURVEY, INSPECTION & FINAL RECOMMENDATION - BUSINESS CASE ANALYSIS (BCA) FOR ARC VESSELS: FREEDOM AND HONOR' are not publicly detailed in this award notice, their broader experience in maritime operations and government contracting suggests a capability to undertake such analyses. Further investigation into their past performance reports and contract history with agencies like the Department of Transportation or the Navy would be necessary to fully assess their specific track record for this type of analytical work. Their involvement in complex maritime projects indicates a potential for relevant expertise.

How does the $314,021.40 award compare to the typical cost of similar business case analyses for major vessel acquisitions?

Benchmarking the cost of this specific business case analysis requires comparing it to similar studies for large maritime assets. Business case analyses for major capital expenditures, especially in the defense or transportation sectors, can vary widely in cost depending on the complexity of the assets, the scope of the analysis (e.g., operational, financial, technical, strategic), and the duration. A $314,021.40 award for a 65-day analysis suggests a focused scope, potentially concentrating on specific aspects of the 'ARC vessels: Freedom and Honor.' Without knowing the exact deliverables and the depth of analysis required, a direct comparison is challenging. However, for significant vessel acquisitions, such analyses can range from hundreds of thousands to millions of dollars, making this award appear to be at the lower to mid-range for a preliminary or focused assessment.

What are the primary risks associated with this contract, and how are they being mitigated?

Key risks for this contract include the potential for the business case analysis to be incomplete, inaccurate, or biased, which could lead to poor future investment decisions. Another risk is the contractor's ability to deliver the analysis within the short 65-day timeframe and fixed budget. Mitigation strategies include the government's oversight through the contracting officer and technical monitors who will review deliverables. The firm-fixed-price contract structure incentivizes the contractor to manage costs and timelines effectively. Furthermore, the requirement for a 'final recommendation' implies a structured review process. The use of full and open competition also mitigates the risk of selecting a contractor without adequate capabilities.

What is the expected effectiveness of this business case analysis in informing future government decisions regarding vessel acquisition?

The effectiveness of this business case analysis hinges on the thoroughness and accuracy of the contractor's work and the government's subsequent utilization of its findings. A well-executed BCA should provide a clear, data-driven rationale for or against acquiring the 'ARC vessels: Freedom and Honor,' outlining potential costs, benefits, risks, and alternative solutions. If the analysis is comprehensive and objective, it can significantly improve the quality of decision-making, ensuring that taxpayer funds are allocated to the most viable and beneficial maritime assets. Conversely, a flawed analysis could lead to costly mistakes or missed opportunities. The Maritime Administration's oversight and review process are critical to ensuring the analysis meets its intended purpose.

What are the historical spending patterns for business case analyses related to vessel acquisition within the Department of Transportation?

Historical spending patterns for business case analyses (BCAs) related to vessel acquisition within the Department of Transportation (DOT) are not readily available in a consolidated public format. BCAs are typically project-specific and may be funded through various program budgets rather than a dedicated line item for 'BCAs.' The Maritime Administration (MARAD), as the awarding agency here, would have its own internal processes and historical spending on such analyses for fleet modernization or new vessel programs. To understand historical patterns, one would need to analyze MARAD's budget justifications, contract databases for similar analytical services, and reports on major vessel acquisition programs over time. The frequency and value of such contracts would likely correlate with the agency's strategic priorities and the lifecycle of its asset portfolio.

Industry Classification

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

Product/Service Code: TECHNICAL REPRESENTATIVE SVCS. › TECHNICAL REPRESENTATIVE SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 9487 REGENCY SQUARE BLVD, JACKSONVILLE, FL, 32225

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

Financial Breakdown

Contract Ceiling: $314,021

Exercised Options: $314,021

Current Obligation: $314,021

Actual Outlays: $314,021

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 693JF721D000007

IDV Type: IDC

Timeline