Michigan Awards $3.4M for Vessel State Room Fabrication and Installation to Central Marine Logistics Inc

Contract Overview

Contract Amount: $3,443,458 ($3.4M)

Contractor: Central Marine Logistics Inc

Awarding Agency: Department of Transportation

Start Date: 2026-01-06

End Date: 2027-05-01

Contract Duration: 480 days

Daily Burn Rate: $7.2K/day

Competition Type: NOT AVAILABLE FOR COMPETITION

Number of Offers Received: 1

Pricing Type: COST NO FEE

Sector: Transportation

Official Description: STATE OF MICHIGAN-FY26 GENERAL AGENT SUPPORT SERVICES COST REIMBURSABLE ITEMS PROVIDED BY THE GENERAL AGENT FOR THE FABRICATION AND INSTALLATION OF THE VESSEL'S STATE ROOMS.

Place of Performance

Location: TRAVERSE CITY, GRAND TRAVERSE County, MICHIGAN, 49684

State: Michigan Government Spending

Plain-Language Summary

Department of Transportation obligated $3.4 million to CENTRAL MARINE LOGISTICS INC for work described as: STATE OF MICHIGAN-FY26 GENERAL AGENT SUPPORT SERVICES COST REIMBURSABLE ITEMS PROVIDED BY THE GENERAL AGENT FOR THE FABRICATION AND INSTALLATION OF THE VESSEL'S STATE ROOMS. Key points: 1. Contract awarded for state room fabrication and installation on vessels. 2. Central Marine Logistics Inc. is the sole provider for this service. 3. The contract duration is 480 days, ending May 1, 2027. 4. This falls under the Deep Sea Freight Transportation sector.

Value Assessment

Rating: fair

The contract is cost-reimbursable with no fee, making direct price comparison difficult. The provided benchmark of $7,174 for a similar contract suggests potential for cost overruns if not managed closely.

Cost Per Unit: N/A

Competition Analysis

Competition Level: sole-source

This contract was not available for competition, indicating a sole-source award. This limits price discovery and potentially leads to higher costs for taxpayers as competitive pressures are absent.

Taxpayer Impact: Taxpayers may bear higher costs due to the lack of competition and the cost-reimbursable nature of the contract.

Public Impact

Enhances maritime infrastructure by improving vessel accommodations. Supports the state's transportation and logistics capabilities. Ensures operational readiness for state-owned vessels.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract is within the Deep Sea Freight Transportation sector, which is critical for state commerce and logistics. Spending benchmarks for similar fabrication and installation services can vary widely based on complexity and materials.

Small Business Impact

There is no indication that small businesses were involved in this contract, as it was awarded directly to Central Marine Logistics Inc. without a competitive bidding process.

Oversight & Accountability

Oversight will be crucial to monitor the cost-reimbursable aspects of this contract, ensuring that expenditures are reasonable and directly related to the fabrication and installation of vessel state rooms.

Related Government Programs

Risk Flags

Tags

deep-sea-freight-transportation, department-of-transportation, mi, delivery-order, 1m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $3.4 million to CENTRAL MARINE LOGISTICS INC. STATE OF MICHIGAN-FY26 GENERAL AGENT SUPPORT SERVICES COST REIMBURSABLE ITEMS PROVIDED BY THE GENERAL AGENT FOR THE FABRICATION AND INSTALLATION OF THE VESSEL'S STATE ROOMS.

Who is the contractor on this award?

The obligated recipient is CENTRAL MARINE LOGISTICS INC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Maritime Administration).

What is the total obligated amount?

The obligated amount is $3.4 million.

What is the period of performance?

Start: 2026-01-06. End: 2027-05-01.

What specific factors justify the sole-source award for vessel state room fabrication and installation?

The justification for a sole-source award typically stems from unique capabilities, proprietary technology, or urgent needs where only one vendor can fulfill the requirement. Without further documentation, it's difficult to ascertain the precise reasons, but it suggests Central Marine Logistics Inc. possesses specialized expertise or holds exclusive rights essential for this project.

How will the state ensure cost control and prevent overruns in this cost-reimbursable contract?

Effective cost control will rely on robust oversight mechanisms, including detailed review of all reimbursable expenses, regular progress audits, and clear performance metrics. Establishing a not-to-exceed limit, even within a cost-reimbursable framework, and requiring detailed justifications for all costs will be essential to mitigate financial risks.

What is the expected impact of these state room upgrades on vessel operational efficiency and crew morale?

Upgraded state rooms are expected to positively impact operational efficiency by providing improved living and working conditions for vessel crews, potentially leading to increased morale and reduced crew turnover. This can indirectly contribute to better vessel performance and reliability in deep-sea freight transportation operations.

Industry Classification

NAICS: Transportation and WarehousingDeep Sea, Coastal, and Great Lakes Water TransportationDeep Sea Freight Transportation

Product/Service Code: OPERATION OF GOVT OWNED FACILITYOPERATE GOVT OWNED BUILDINGS

Competition & Pricing

Extent Competed: NOT AVAILABLE FOR COMPETITION

Solicitation Procedures: ONLY ONE SOURCE

Offers Received: 1

Pricing Type: COST NO FEE (S)

Evaluated Preference: NONE

Contractor Details

Address: 445 N BROAD ST, GRIFFITH, IN, 46319

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $3,443,458

Exercised Options: $3,443,458

Current Obligation: $3,443,458

Actual Outlays: $172,429

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693JF723G000005

IDV Type: BOA

Timeline

Start Date: 2026-01-06

Current End Date: 2027-05-01

Potential End Date: 2027-05-01 00:00:00

Last Modified: 2026-01-07

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