DOT Awards $2.2M Fixed Fee for FY26 Ship Management to TOTE Services, LLC

Contract Overview

Contract Amount: $2,221,317 ($2.2M)

Contractor: Tote Services, LLC

Awarding Agency: Department of Transportation

Start Date: 2025-10-01

End Date: 2026-04-30

Contract Duration: 211 days

Daily Burn Rate: $10.5K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Transportation

Official Description: CAPE SABLE FY26 SHIP MANAGER FIXED FEES TSI-SBL26-1002 A

Place of Performance

Location: SAN FRANCISCO, SAN FRANCISCO County, CALIFORNIA, 94124

State: California Government Spending

Plain-Language Summary

Department of Transportation obligated $2.2 million to TOTE SERVICES, LLC for work described as: CAPE SABLE FY26 SHIP MANAGER FIXED FEES TSI-SBL26-1002 A Key points: 1. Contract Value: $2.22 million for ship management services. 2. Competition: Awarded under full and open competition. 3. Risk: Firm Fixed Price contract type mitigates cost overrun risk. 4. Sector: Maritime Administration within the Department of Transportation.

Value Assessment

Rating: good

The $2.22 million fixed fee for approximately 7 months of service appears reasonable given the scope of ship management. Benchmarking against similar contracts for vessel operation and maintenance would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through full and open competition, suggesting a competitive bidding process. This method generally leads to better price discovery and value for the government.

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

Public Impact

Ensures continued operation of maritime assets critical for national supply chains. Supports the U.S. maritime industry and associated jobs. Provides essential services for the Maritime Administration's fleet.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This contract falls within the transportation sector, specifically deep sea freight transportation. Spending in this area is crucial for maintaining national and international trade routes and supporting defense readiness.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors. Further analysis would be needed to assess small business participation in this contract.

Oversight & Accountability

The Maritime Administration is responsible for overseeing this contract. Standard oversight mechanisms should be in place to ensure performance and compliance with contract terms.

Related Government Programs

Risk Flags

Tags

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

Frequently Asked Questions

What is this federal contract paying for?

Department of Transportation awarded $2.2 million to TOTE SERVICES, LLC. CAPE SABLE FY26 SHIP MANAGER FIXED FEES TSI-SBL26-1002 A

Who is the contractor on this award?

The obligated recipient is TOTE SERVICES, LLC.

Which agency awarded this contract?

Awarding agency: Department of Transportation (Maritime Administration).

What is the total obligated amount?

The obligated amount is $2.2 million.

What is the period of performance?

Start: 2025-10-01. End: 2026-04-30.

What is the historical cost performance of TOTE Services, LLC on similar maritime contracts?

Historical cost performance data for TOTE Services, LLC on similar contracts would be valuable for assessing the reasonableness of the current fixed fee. Analyzing past contract execution, including any cost overruns or savings, can provide insights into the contractor's efficiency and pricing strategies. This information helps determine if the current fee aligns with their demonstrated capabilities and market rates.

Are there any potential risks associated with the firm fixed price contract type for this specific service?

While a firm fixed price contract offers cost certainty, risks can arise if unforeseen operational challenges or regulatory changes significantly increase costs beyond what was reasonably anticipated. The government must ensure the scope of work is clearly defined to prevent contractor claims for additional compensation due to scope creep or unforeseen circumstances not covered by the contract.

How does the awarded fee compare to industry benchmarks for similar ship management services?

Comparing the awarded fixed fee of $2.22 million to industry benchmarks for comparable ship management services is crucial for validating value. Benchmarking against rates charged by other reputable maritime service providers for similar vessel types, operational scope, and contract durations will indicate if the fee is competitive and reflects fair market value.

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: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 10401 DEERWOOD PARK BLVD, JACKSONVILLE, FL, 32256

Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $2,221,317

Exercised Options: $2,221,317

Current Obligation: $2,221,317

Actual Outlays: $815,299

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 693JF725D000022

IDV Type: IDC

Timeline

Start Date: 2025-10-01

Current End Date: 2026-04-30

Potential End Date: 2026-04-30 00:00:00

Last Modified: 2026-01-15

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