DOT Awards $2.4M for Fuel & Lube Services to Crowley Government Services Under Full and Open Competition

Contract Overview

Contract Amount: $2,400,000 ($2.4M)

Contractor: Crowley Government Services, Inc.

Awarding Agency: Department of Transportation

Start Date: 2021-07-08

End Date: 2027-07-07

Contract Duration: 2,190 days

Daily Burn Rate: $1.1K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: CLIN 10 FUEL & LUBE SHIP 6

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 $2.4 million to CROWLEY GOVERNMENT SERVICES, INC. for work described as: CLIN 10 FUEL & LUBE SHIP 6 Key points: 1. The contract is for fuel and lube services for ships, a critical component of maritime operations. 2. Crowley Government Services, Inc. secured the award, indicating potential competition within the maritime logistics sector. 3. The firm fixed price contract type suggests a defined cost structure, potentially mitigating cost overrun risks. 4. The contract duration of five years (2021-2027) implies a long-term need for these services.

Value Assessment

Rating: fair

The contract value of $2.4 million over five years averages $480,000 annually. Without specific benchmarks for fuel and lube services for a fleet of this size, it's difficult to definitively assess pricing, but it appears moderate for the duration.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

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

Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for essential maritime services.

Public Impact

Ensures the operational readiness of vessels through reliable fuel and lubrication. Supports the Department of Transportation's mission in maintaining and operating the U.S. merchant marine fleet. Contributes to the economic activity within the maritime services industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Lack of specific performance metrics for fuel and lube quality.
Potential for price fluctuations in fuel costs impacting overall value.
Dependence on a single contractor for a critical operational need over five years.

Positive Signals

Awarded through full and open competition.
Firm fixed price contract type provides cost certainty.
Long-term contract ensures consistent service delivery.

Sector Analysis

The maritime sector relies heavily on specialized services like fuel and lubrication to maintain fleet operational status. Spending benchmarks for such services can vary significantly based on fleet size, vessel type, and operational tempo.

Small Business Impact

The data does not indicate if small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine the extent of small business participation in this contract.

Oversight & Accountability

The contract was awarded by the Maritime Administration, a sub-agency of the Department of Transportation, suggesting internal oversight. The firm fixed price structure and full and open competition also imply standard procurement oversight.

Related Government Programs

Ship Building and Repairing
Department of Transportation Contracting
Maritime Administration Programs

Risk Flags

Lack of detailed performance metrics.
Potential for fuel price volatility.
Long-term reliance on a single provider.
Limited visibility into small business participation.

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.4 million to CROWLEY GOVERNMENT SERVICES, INC.. CLIN 10 FUEL & LUBE SHIP 6

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 $2.4 million.

What is the period of performance?

Start: 2021-07-08. End: 2027-07-07.

What is the benchmark cost for fuel and lube services per vessel or per operational hour in the maritime industry to assess the value of this $2.4 million contract?

Establishing a precise benchmark for fuel and lube services requires detailed information on the specific vessels serviced, their operational tempo, and prevailing market rates for fuel and lubricants. Industry averages can range widely, but for a fleet requiring consistent service over five years, $2.4 million suggests a moderate annual expenditure. Without fleet specifics, a direct comparison is challenging, but this figure should be evaluated against similar government contracts or commercial fleet service agreements.

What are the specific risks associated with relying on Crowley Government Services for five years for critical fuel and lube operations, beyond general contract risks?

Beyond standard contract risks like performance issues or financial instability, a key risk is the potential for complacency or reduced innovation from the contractor over a long duration. Furthermore, if fuel prices experience extreme volatility, the firm fixed price contract might become disadvantageous to either party, leading to potential disputes or requests for modification. Dependence on one provider also limits flexibility if operational needs change significantly.

How effectively does this contract contribute to the Maritime Administration's overall mission of supporting the U.S. merchant marine fleet?

This contract directly supports the Maritime Administration's mission by ensuring the operational readiness and maintenance of vessels through essential fuel and lubrication services. Reliable access to these services is fundamental for fleet availability, enabling the U.S. merchant marine to fulfill its role in national security and economic support. The competitive award process suggests an effective approach to securing these necessary services.

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: $2,400,000

Exercised Options: $2,400,000

Current Obligation: $2,400,000

Actual Outlays: $1,054,896

Subaward Activity

Number of Subawards: 3

Total Subaward Amount: $2,772,843

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: YES

Parent Contract

Parent Award PIID: 693JF721D000007

IDV Type: IDC

Timeline