DOT awards $155K for essential regulatory inspections and support to Crowley Government Services

Contract Overview

Contract Amount: $155,000 ($155.0K)

Contractor: Crowley Government Services, Inc.

Awarding Agency: Department of Transportation

Start Date: 2025-12-23

End Date: 2026-11-30

Contract Duration: 342 days

Daily Burn Rate: $453/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST NO FEE

Sector: Transportation

Official Description: CORTES-CROWLEY GOVERNMENT SERVICES-CORTES26-1003A-FISCAL YEAR 26 MAINTENANCE & REPAIRS REGULATORY FEES & SUPPORT A IS TO PROVIDE FOR ALL NECESSARY, MANDATORY, AND ESSENTIAL PHASE M REGULATORY INSPECTIONS, ASSOCIATED REGULATORY FEES, SUBCONT

Place of Performance

Location: PASCAGOULA, JACKSON County, MISSISSIPPI, 39567

State: Mississippi Government Spending

Plain-Language Summary

Department of Transportation obligated $155,000 to CROWLEY GOVERNMENT SERVICES, INC. for work described as: CORTES-CROWLEY GOVERNMENT SERVICES-CORTES26-1003A-FISCAL YEAR 26 MAINTENANCE & REPAIRS REGULATORY FEES & SUPPORT A IS TO PROVIDE FOR ALL NECESSARY, MANDATORY, AND ESSENTIAL PHASE M REGULATORY INSPECTIONS, ASSOCIATED REGULATORY FEES, SUBCONT Key points: 1. Contract focuses on mandatory Phase M regulatory inspections and associated fees. 2. Competition was full and open, suggesting a competitive bidding process. 3. The contract duration is approximately one year, aligning with typical regulatory cycles. 4. The award is a delivery order under a larger contract vehicle. 5. The service area is Mississippi, indicating a specific geographic focus. 6. The contract type is Cost No Fee, which requires detailed cost reporting.

Value Assessment

Rating: fair

The contract value of $155,000 for approximately one year of service appears reasonable for specialized regulatory inspections and support. Benchmarking against similar contracts for maritime regulatory compliance is difficult without more specific service details. However, the Cost No Fee structure implies that the government will reimburse actual costs incurred by the contractor, plus a negotiated fee, which can sometimes lead to higher overall costs if not managed tightly. The absence of a fixed price or ceiling price raises a slight concern regarding cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under a full and open competition, indicating that multiple bidders had the opportunity to submit proposals. The specific number of bidders is not provided, but the open competition suggests a healthy level of market interest and potential for price discovery. This approach is generally favored as it allows the government to solicit the best value from a wide range of qualified contractors.

Taxpayer Impact: A full and open competition generally benefits taxpayers by fostering a competitive environment that can lead to more favorable pricing and a wider selection of qualified service providers.

Public Impact

The primary beneficiaries are likely the Department of Transportation and the Maritime Administration, ensuring compliance with regulatory requirements. Services delivered include mandatory Phase M regulatory inspections and associated fees. The geographic impact is focused on Mississippi, where the inspections will be conducted. The contract supports the regulatory framework for maritime operations, indirectly impacting the maritime workforce and industry.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Cost No Fee contract type requires diligent oversight to manage contractor expenses and ensure fair pricing.
Limited detail on the specific scope of 'support' beyond inspections could lead to scope creep if not clearly defined.

Positive Signals

Full and open competition suggests a robust market and potential for competitive pricing.
The contract addresses essential, mandatory regulatory functions, indicating a critical need.
The award is a delivery order, implying it's part of a pre-established, potentially more efficient contracting mechanism.

Sector Analysis

This contract falls within the broader transportation sector, specifically focusing on maritime regulatory compliance. The North American Industry Classification System (NAICS) code 483111, Deep Sea Freight Transportation, suggests a connection to the operational aspects of this industry. Spending in this area is crucial for ensuring safety, environmental protection, and adherence to international maritime standards. Comparable spending benchmarks would typically involve other contracts for regulatory inspections, maritime safety audits, and compliance support services within federal agencies.

Small Business Impact

The provided data indicates that small business participation (ss: false, sb: false) was not a specific set-aside requirement for this particular delivery order. Therefore, the direct impact on small businesses through set-asides is unlikely. However, the prime contractor, Crowley Government Services, Inc., may engage small businesses as subcontractors, depending on their own subcontracting plans and the nature of the services required. Further analysis would be needed to determine if subcontracting opportunities exist for small businesses within the scope of this contract.

Oversight & Accountability

Oversight for this contract will likely be managed by the awarding agency, the Maritime Administration (MARAD), a sub-agency of the Department of Transportation. As a Cost No Fee contract, rigorous financial oversight and auditing of the contractor's expenses will be critical to ensure that costs are reasonable and allowable. Transparency will be facilitated through contract reporting mechanisms and potentially through public contract databases. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Maritime Administration Regulatory Compliance Programs
Department of Transportation Safety and Security Contracts
Federal Maritime Commission Oversight
Coast Guard Vessel Inspection Contracts

Risk Flags

Cost Control Risk (CNF Contract)
Scope Definition Ambiguity
Contractor Performance Monitoring

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $155,000 to CROWLEY GOVERNMENT SERVICES, INC.. CORTES-CROWLEY GOVERNMENT SERVICES-CORTES26-1003A-FISCAL YEAR 26 MAINTENANCE & REPAIRS REGULATORY FEES & SUPPORT A IS TO PROVIDE FOR ALL NECESSARY, MANDATORY, AND ESSENTIAL PHASE M REGULATORY INSPECTIONS, ASSOCIATED REGULATORY FEES, SUBCONT

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 $155,000.

What is the period of performance?

Start: 2025-12-23. End: 2026-11-30.

What is the specific nature of the 'Phase M regulatory inspections' and what standards do they adhere to?

Phase M regulatory inspections are typically associated with the International Safety Management (ISM) Code, which is a mandatory standard for the safe operation of ships. These inspections ensure that a ship's safety management system is in place and functioning effectively. They cover various aspects of ship operations, including cargo handling, emergency preparedness, maintenance, and crew training. The inspections are conducted by recognized organizations (ROs) authorized by flag states or directly by flag state administrations. Adherence to the ISM Code is crucial for international maritime safety and environmental protection, and these inspections are a key component of regulatory compliance for vessel operators.

How does the 'Cost No Fee' contract structure compare to other contract types for similar services, and what are the implications for cost control?

The 'Cost No Fee' (CNF) contract type is less common for routine services compared to fixed-price or cost-plus-incentive-fee contracts. In a CNF contract, the government reimburses the contractor for all allowable costs incurred in performing the work, but the contractor does not receive a separate fee for profit. This structure is often used when the scope of work is uncertain or when the contractor is performing a service that is not typically profit-driven, such as certain types of government-furnished support or specific regulatory functions. For cost control, CNF contracts place a significant burden on the government to meticulously audit and approve all contractor expenses to ensure they are reasonable, allocable, and allowable. Unlike fixed-price contracts, there is no inherent incentive for the contractor to minimize costs beyond what is necessary to perform the work, as their profit is not directly tied to cost savings. This necessitates robust government oversight and detailed reporting from the contractor.

What is Crowley Government Services, Inc.'s track record with the Department of Transportation or similar agencies for maritime regulatory services?

Crowley Government Services, Inc. has a significant history of providing a wide range of services to government agencies, including the Department of Transportation and its sub-agencies like MARAD. Their expertise often includes logistics, vessel operations, maintenance, and support services for government fleets and maritime infrastructure. While specific details on their performance for 'Phase M regulatory inspections' under a CNF contract would require deeper research into past performance evaluations and contract histories, Crowley's established presence in the maritime sector suggests they possess the necessary qualifications and experience. Their broader government contracting experience indicates a familiarity with federal procurement regulations and oversight requirements.

Given the full and open competition, how many bids were likely received, and what does this suggest about the market for these specialized services?

While the exact number of bids is not provided in the summary data, 'full and open competition' implies that the solicitation was widely advertised, and any responsible source could submit an offer. For specialized services like mandatory regulatory inspections, the number of bidders can vary. If the market is robust with many qualified providers, several bids might be expected. If the required expertise is highly specialized or limited to a few firms, the number of bids could be lower. However, the fact that it was competed openly suggests that the government believed multiple capable contractors existed, which is generally positive for ensuring a competitive landscape and potentially achieving better value for the government.

What are the potential risks associated with a Cost No Fee contract for regulatory inspections, and how might they be mitigated?

The primary risk with a Cost No Fee (CNF) contract is the potential for cost overruns if not managed diligently. Since the contractor is reimbursed for actual costs without a fixed profit margin tied to efficiency, there can be less incentive for cost control compared to fixed-price contracts. This could lead to higher overall government expenditure if the contractor's costs are not closely scrutinized. Mitigation strategies include robust government oversight, detailed cost reporting requirements, regular audits of contractor expenses, and clear definitions of allowable costs. Establishing strong communication channels between the contracting officer's representative (COR) and the contractor is also crucial to address any issues proactively and ensure the work is performed efficiently and within the spirit of the contract's objectives.

Industry Classification

NAICS: Transportation and Warehousing › Deep Sea, Coastal, and Great Lakes Water Transportation › Deep Sea Freight Transportation

Product/Service Code: OPERATION OF GOVT OWNED FACILITY › OPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: COST NO FEE (S)

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: $155,000

Exercised Options: $155,000

Current Obligation: $155,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693JF725D000021

IDV Type: IDC

Timeline