Coast Guard Awards $3.77M for USCGC Sequoia Unplanned Drydock Repairs to Fincantieri Marine Group
Contract Overview
Contract Amount: $3,772,440 ($3.8M)
Contractor: Fincantieri Marine Group LLC
Awarding Agency: Department of Homeland Security
Start Date: 2025-06-03
End Date: 2026-04-18
Contract Duration: 319 days
Daily Burn Rate: $11.8K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: USCGC SEQUOIA UNPLANNED DRYDOCK REPAIRS
Place of Performance
Location: STURGEON BAY, DOOR County, WISCONSIN, 54235
Plain-Language Summary
Department of Homeland Security obligated $3.8 million to FINCANTIERI MARINE GROUP LLC for work described as: USCGC SEQUOIA UNPLANNED DRYDOCK REPAIRS Key points: 1. Spending of $3.77M for unplanned drydock repairs on the USCGC Sequoia. 2. Contract awarded to Fincantieri Marine Group LLC, a significant player in shipbuilding and repair. 3. The contract was competed under SAP, suggesting a streamlined procurement process. 4. The repairs are critical for maintaining the operational readiness of a key Coast Guard asset.
Value Assessment
Rating: good
The $3.77M price for unplanned drydock repairs appears reasonable given the specialized nature of marine vessel maintenance. Benchmarking against similar complex repair contracts would provide further validation, but the firm fixed-price structure offers cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under SAP (Simplified Acquisition Procedures), indicating a competitive process within a certain dollar threshold. While not a full and open competition, it likely allowed for multiple bids, contributing to price discovery.
Taxpayer Impact: Taxpayers benefit from the competitive process, even if limited, which aims to secure fair pricing for essential vessel maintenance and ensure the Coast Guard's operational capabilities.
Public Impact
Ensures the operational readiness of the USCGC Sequoia, a vital asset for Coast Guard missions. Supports the maritime industrial base through contracts with established ship repair providers. Represents a necessary investment in maintaining aging government fleet infrastructure. The unplanned nature of the repairs may indicate potential wear and tear issues across similar vessels.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Unplanned nature of repairs could indicate broader fleet maintenance challenges.
- Reliance on a single vendor for critical, unplanned repairs.
Positive Signals
- Firm Fixed Price contract provides cost certainty.
- Competition under SAP likely ensured a reasonable price.
- Contract duration aligns with typical drydock repair timelines.
Sector Analysis
The maritime vessel repair sector is specialized, requiring significant infrastructure and expertise. Spending benchmarks for similar unplanned drydock repairs can vary widely based on vessel size, complexity, and the specific repairs needed.
Small Business Impact
While Fincantieri Marine Group LLC is a large business, the use of SAP may have allowed for subcontracting opportunities for smaller businesses involved in specialized repair services or parts supply.
Oversight & Accountability
The firm fixed-price contract and the competitive SAP process provide a degree of oversight. Further accountability would involve monitoring project milestones, quality of work, and adherence to the schedule.
Related Government Programs
- Ship Building and Repairing
- Department of Homeland Security Contracting
- U.S. Coast Guard Programs
Risk Flags
- Unplanned nature of repairs.
- Potential for cost overruns if unforeseen issues arise during repairs.
- Dependence on a single contractor for critical, time-sensitive work.
- Limited competition under SAP may not yield the absolute best price.
Tags
ship-building-and-repairing, department-of-homeland-security, wi, definitive-contract, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Homeland Security awarded $3.8 million to FINCANTIERI MARINE GROUP LLC. USCGC SEQUOIA UNPLANNED DRYDOCK REPAIRS
Who is the contractor on this award?
The obligated recipient is FINCANTIERI MARINE GROUP LLC.
Which agency awarded this contract?
Awarding agency: Department of Homeland Security (U.S. Coast Guard).
What is the total obligated amount?
The obligated amount is $3.8 million.
What is the period of performance?
Start: 2025-06-03. End: 2026-04-18.
What is the historical maintenance cost and frequency for the USCGC Sequoia to assess if this unplanned repair is an anomaly or part of a trend?
Analyzing historical maintenance logs and costs for the USCGC Sequoia is crucial. This data would reveal if this unplanned drydock repair is an isolated incident due to unforeseen damage or if it reflects a pattern of increased maintenance needs. Understanding this trend helps in forecasting future repair budgets and assessing the overall lifecycle cost of the vessel.
How does the cost of these repairs compare to similar unplanned drydocking events for other vessels of comparable size and class within the Coast Guard or other maritime agencies?
Benchmarking this $3.77M repair cost against similar unplanned drydocking events for comparable vessels is essential for validating its reasonableness. Variations in pricing can highlight differences in repair scope, labor rates, or the efficiency of the contracting process. This comparison ensures taxpayer funds are used effectively and identifies potential cost-saving opportunities.
What specific factors led to the 'unplanned' nature of these drydock repairs, and are there systemic issues within the Coast Guard's preventative maintenance program that need addressing?
Investigating the root causes of the 'unplanned' repairs is vital for long-term cost control and operational readiness. Identifying whether the issue stems from equipment failure, operational stress, or deficiencies in the preventative maintenance schedule allows for targeted improvements. Addressing systemic issues can prevent future costly emergency repairs and enhance the reliability of the Coast Guard's fleet.
Industry Classification
NAICS: Manufacturing › Ship and Boat Building › Ship Building and Repairing
Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › NON-NUCLEAR SHIP REPAIR
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SIMPLIFIED ACQUISITION
Solicitation ID: 70Z08525QIBCT0007
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Segretariato Generale Della Presidenza Della Repubblica
Address: 605 N 3RD AVE, STURGEON BAY, WI, 54235
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Foreign Owned, Foreign-Owned and U.S.-Incorporated Business, Manufacturer of Goods, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $3,772,441
Exercised Options: $3,772,440
Current Obligation: $3,772,440
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Timeline
Start Date: 2025-06-03
Current End Date: 2026-04-18
Potential End Date: 2026-04-18 00:00:00
Last Modified: 2026-03-30
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