DOT Awards $9.98M for Maritime Operations Fuel to Crowley Government Services

Contract Overview

Contract Amount: $9,984,662 ($10.0M)

Contractor: Crowley Government Services, Inc.

Awarding Agency: Department of Transportation

Start Date: 2023-02-24

End Date: 2025-04-30

Contract Duration: 796 days

Daily Burn Rate: $12.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: COST NO FEE

Sector: Transportation

Official Description: CURTISS OPERATION MISSION OPS FUEL CGS-CRT23-2002 A

Place of Performance

Location: SAN DIEGO, SAN DIEGO County, CALIFORNIA, 92136

State: California Government Spending

Plain-Language Summary

Department of Transportation obligated $10.0 million to CROWLEY GOVERNMENT SERVICES, INC. for work described as: CURTISS OPERATION MISSION OPS FUEL CGS-CRT23-2002 A Key points: 1. Significant contract value of nearly $10 million for fuel services. 2. Full and open competition was utilized, suggesting a competitive bidding process. 3. Potential risk associated with fuel price volatility impacting cost. 4. Maritime sector spending, focused on operational fuel needs.

Value Assessment

Rating: fair

The contract is a delivery order with a 'Cost No Fee' pricing structure. This structure can make direct price comparisons difficult without understanding the underlying cost components and fee arrangements.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, indicating multiple bidders likely participated. This method generally promotes price discovery and competitive pricing.

Taxpayer Impact: Taxpayer funds are being used for essential operational fuel, with competition aiming to secure the best possible price.

Public Impact

Ensures continued operation of maritime vessels through fuel supply. Supports critical transportation infrastructure and supply chains. Potential impact on fuel prices for other government contracts.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Fuel price volatility
Contract type (Cost No Fee)

Positive Signals

Full and open competition
Supports critical infrastructure

Sector Analysis

This contract falls within the Maritime Administration's spending on operational support for vessels. Benchmarks for fuel contracts can vary widely based on volume, type, and market conditions.

Small Business Impact

No specific indication of small business participation or set-aside in the provided data. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The award is a delivery order under a larger contract, suggesting existing oversight mechanisms. The 'Cost No Fee' structure may require diligent monitoring of costs.

Related Government Programs

Deep Sea Freight Transportation
Department of Transportation Contracting
Maritime Administration Programs

Risk Flags

Fuel price volatility risk
Potential for cost overruns with 'Cost No Fee' structure
Limited visibility into specific cost components
Dependence on contractor's cost management

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $10.0 million to CROWLEY GOVERNMENT SERVICES, INC.. CURTISS OPERATION MISSION OPS FUEL CGS-CRT23-2002 A

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 $10.0 million.

What is the period of performance?

Start: 2023-02-24. End: 2025-04-30.

What is the projected fuel consumption and how does the 'Cost No Fee' structure ensure value for money?

The 'Cost No Fee' structure means the government reimburses the contractor for actual costs incurred without an additional fee. To ensure value, the government must have robust mechanisms to audit and verify the reasonableness and allocability of these costs against projected fuel consumption. Without this, there's a risk of inflated costs being passed on.

What are the specific risks associated with fuel price fluctuations under this contract?

The primary risk is significant price volatility in the fuel market. If fuel prices surge unexpectedly, the government's expenditure could substantially exceed initial estimates, even with a 'Cost No Fee' structure. Mitigation strategies might include price adjustment clauses or hedging, which are not detailed here.

How effective is 'full and open competition' in achieving optimal pricing for specialized maritime fuel?

Full and open competition is generally effective in driving down prices by encouraging multiple bids. However, for specialized maritime fuel, the number of qualified suppliers might be limited, potentially reducing the competitive pressure. The effectiveness hinges on the actual number and competitiveness of the bidders who participated.

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, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $9,984,662

Exercised Options: $9,984,662

Current Obligation: $9,984,662

Actual Outlays: $9,984,662

Subaward Activity

Number of Subawards: 1

Total Subaward Amount: $47,132

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: DTMA98D16016

IDV Type: IDC

Timeline