DHS Coast Guard awards $1.29M for WMSL engine part repairs to Rolls-Royce Solutions America Inc

Contract Overview

Contract Amount: $1,285,764 ($1.3M)

Contractor: Rolls-Royce Solutions America Inc

Awarding Agency: Department of Homeland Security

Start Date: 2026-01-08

End Date: 2027-04-06

Contract Duration: 453 days

Daily Burn Rate: $2.8K/day

Competition Type: FULL AND OPEN COMPETITION

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: REPAIR SERVICE FOR VARIOUS WMSL ENGINE PARTS FOR CLINS: R-4, R-10 AND R-11

Place of Performance

Location: GRANITEVILLE, AIKEN County, SOUTH CAROLINA, 29829

State: South Carolina Government Spending

Plain-Language Summary

Department of Homeland Security obligated $1.3 million to ROLLS-ROYCE SOLUTIONS AMERICA INC for work described as: REPAIR SERVICE FOR VARIOUS WMSL ENGINE PARTS FOR CLINS: R-4, R-10 AND R-11 Key points: 1. Contract value represents a significant investment in maintaining critical Coast Guard assets. 2. The award to a single, established provider suggests a focus on specialized expertise. 3. Fixed-price contract type aims to control costs and provide budget certainty. 4. The duration of the contract indicates a long-term need for these repair services. 5. Geographic focus on South Carolina highlights regional operational support. 6. The contract falls under 'Other Engine Equipment Manufacturing', a niche industrial sector.

Value Assessment

Rating: good

The contract value of $1.29 million for engine part repairs appears reasonable given the specialized nature of Rolls-Royce engines and the multi-year duration. Benchmarking against similar specialized engine repair contracts would provide a more precise value-for-money assessment. However, the firm fixed-price structure suggests an effort to manage costs effectively. The specific CLINs (R-4, R-10, R-11) indicate a defined scope of work, which aids in cost control.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple vendors had the opportunity to bid. The specific number of bidders is not provided, but the fact that it was competed openly suggests a competitive process was initiated. This approach is generally expected to yield fair market pricing and encourage a range of solutions.

Taxpayer Impact: Full and open competition is the most taxpayer-friendly approach, as it maximizes the potential for competitive pricing and ensures that the government receives the best value by considering all qualified sources.

Public Impact

The U.S. Coast Guard benefits from the continued operational readiness of its WMSL (Wheeled Mobile Serviceable Logistics) vessels. Essential repair services for critical engine components ensure the reliability of maritime safety and security operations. The contract's geographic focus on South Carolina supports regional maintenance and operational capabilities. The contract supports specialized technical jobs within the engine repair and maintenance sector.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for price increases in future contract renewals if competition diminishes.
Dependence on a single contractor for specialized parts could lead to supply chain vulnerabilities.

Positive Signals

Firm fixed-price contract provides cost certainty for the duration of the award.
Full and open competition suggests a robust initial bidding process.
Long contract duration indicates a stable, predictable need for services.

Sector Analysis

This contract operates within the 'Other Engine Equipment Manufacturing' sector, which encompasses specialized repair and maintenance services for complex machinery. The market for such services is often characterized by a limited number of highly specialized providers due to the technical expertise and proprietary knowledge required. Comparable spending benchmarks would likely focus on maintenance and repair contracts for large-scale, specialized engines within the defense and maritime industries.

Small Business Impact

The data indicates that small business participation was not a specific set-aside for this contract (ss: false, sb: false). While Rolls-Royce Solutions America Inc. is a large business, there is no explicit information on subcontracting plans for small businesses. Further investigation into the contractor's subcontracting goals would be necessary to assess the impact on the small business ecosystem.

Oversight & Accountability

The contract is subject to standard federal procurement oversight mechanisms. As a delivery order under a larger contract, its execution will be monitored by the U.S. Coast Guard contracting office. Transparency is facilitated through contract databases like FPDS. The Inspector General for the Department of Homeland Security would have jurisdiction in cases of fraud, waste, or abuse.

Related Government Programs

Coast Guard Vessel Maintenance Contracts
Maritime Engine Repair Services
Department of Homeland Security Procurement
Rolls-Royce Defense Contracts

Risk Flags

Potential for sole-source dependency in future renewals.
Limited visibility into specific number of bidders for full and open competition.
Need for detailed performance metrics to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $1.3 million to ROLLS-ROYCE SOLUTIONS AMERICA INC. REPAIR SERVICE FOR VARIOUS WMSL ENGINE PARTS FOR CLINS: R-4, R-10 AND R-11

Who is the contractor on this award?

The obligated recipient is ROLLS-ROYCE SOLUTIONS AMERICA INC.

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 $1.3 million.

What is the period of performance?

Start: 2026-01-08. End: 2027-04-06.

What is the historical spending pattern for WMSL engine part repairs by the U.S. Coast Guard?

Analyzing historical spending for WMSL engine part repairs requires accessing detailed procurement data over several fiscal years. This would involve identifying previous contracts awarded for similar services, noting the contractors, contract values, and durations. A trend analysis could reveal if spending has been consistent, increasing, or decreasing, and whether the same contractors have been awarded work repeatedly. Understanding past spending patterns helps in assessing the current award's value and identifying potential long-term budgetary needs or shifts in maintenance strategies for the WMSL fleet.

How does the pricing of this contract compare to similar engine repair services for maritime vessels?

Benchmarking the pricing of this $1.29 million contract against similar engine repair services for maritime vessels is crucial for assessing value for money. This comparison would ideally involve looking at contracts awarded by other agencies (e.g., Navy, NOAA) or even commercial entities for repairs on comparable engine types or vessel classes. Factors such as the specific engine model (WMSL), the scope of repairs (CLINs R-4, R-10, R-11), labor rates, and parts costs would need to be considered. Without direct comparative data, it's challenging to definitively state if the pricing is competitive, but the firm fixed-price nature suggests an attempt to lock in costs.

What is the track record of Rolls-Royce Solutions America Inc. in fulfilling government contracts, particularly for engine repair?

Rolls-Royce Solutions America Inc. has a significant track record in providing engine solutions and support, including for defense and maritime applications. Their history with government contracts would need to be reviewed for performance metrics, past issues (e.g., contract disputes, performance failures), and overall reliability. Examining past awards, completion rates, and any documented performance feedback would provide insight into their capability to successfully execute this current contract. Given their established presence, it is likely they have extensive experience, but due diligence on specific past performance is always warranted.

What are the potential risks associated with relying on a single provider for specialized engine part repairs?

Relying on a single provider like Rolls-Royce Solutions America Inc. for specialized WMSL engine part repairs presents several potential risks. These include a lack of competitive pressure on pricing for future needs, potential supply chain disruptions if the sole provider faces operational issues, and limited flexibility if technological advancements require different repair approaches. Furthermore, the government might have less leverage in negotiating terms or addressing performance issues. Mitigating these risks often involves robust contract management, clear performance standards, and potentially exploring alternative sourcing strategies for the future.

How does the contract's duration (453 days) align with the expected operational lifespan and maintenance cycle of WMSL engines?

The contract duration of 453 days (approximately 15 months) needs to be evaluated against the typical maintenance schedule and operational lifespan of WMSL engines. If these engines require frequent or extensive overhauls, a 15-month contract might cover a specific major maintenance event or a series of smaller repairs. Conversely, if major overhauls are less frequent, this duration might be for routine servicing or addressing wear and tear over a defined period. Understanding the engine's maintenance philosophy and the specific scope tied to CLINs R-4, R-10, and R-11 is key to assessing if the duration is appropriate for ensuring sustained operational readiness.

What is the significance of the 'Other Engine Equipment Manufacturing' (NAICS 336318) classification for this contract?

The NAICS code 336318, 'Other Engine Equipment Manufacturing,' indicates that the contract falls into a specialized segment of the manufacturing industry focused on components and parts for engines, rather than the complete assembly of engines themselves. This classification suggests the contract is for specific, likely complex, parts or repair services related to the engine's auxiliary systems or internal components. It implies a market with fewer, more specialized suppliers compared to broader manufacturing categories, potentially influencing competition and pricing dynamics.

Industry Classification

NAICS: Manufacturing › Engine, Turbine, and Power Transmission Equipment Manufacturing › Other Engine Equipment Manufacturing

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENT › MAINT, REPAIR, REBUILD OF EQUIPMENT

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Rolls-Royce Holdings PLC

Address: 39525 MACKENZIE DR, NOVI, MI, 48377

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: $1,285,764

Exercised Options: $1,285,764

Current Obligation: $1,285,764

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z08524D34001B00

IDV Type: IDC

Timeline