Coast Guard awards $1.5M drydock repair contract to Great Lakes Towing Company LLC

Contract Overview

Contract Amount: $1,513,468 ($1.5M)

Contractor: THE Great Lakes Towing Company LLC

Awarding Agency: Department of Homeland Security

Start Date: 2026-05-15

End Date: 2026-05-15

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: CGC NEAH BAY DRYDOCK REPAIRS

Place of Performance

Location: CLEVELAND, CUYAHOGA County, OHIO, 44102

State: Ohio Government Spending

Plain-Language Summary

Department of Homeland Security obligated $1.5 million to THE GREAT LAKES TOWING COMPANY LLC for work described as: CGC NEAH BAY DRYDOCK REPAIRS Key points: 1. Contract awarded for ship repair services, indicating a need for maintenance of maritime assets. 2. The contract value is substantial, suggesting significant repair work is required. 3. The award was made under full and open competition, implying a competitive bidding process. 4. The duration of the contract is one year, aligning with typical maintenance cycles. 5. The fixed-price nature of the contract provides cost certainty for the government. 6. The contractor, Great Lakes Towing Company LLC, is based in Ohio, suggesting potential regional economic impact.

Value Assessment

Rating: good

The contract value of $1.51 million for drydock repairs appears reasonable given the scope of ship maintenance. Benchmarking against similar large-scale drydocking and repair contracts for vessels of comparable size and complexity would provide a more precise value assessment. However, the fixed-price structure suggests the government has negotiated a set cost, which is a positive indicator for value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' which indicates that while the initial intent might have been to exclude certain sources, the final award was made through a process open to all qualified bidders. This suggests a robust competition occurred, likely resulting in a fair market price.

Taxpayer Impact: A competitive bidding process generally benefits taxpayers by driving down costs and ensuring the government receives the best value for its investment.

Public Impact

The U.S. Coast Guard benefits from the maintenance and repair of its vessels, ensuring operational readiness. Services delivered include essential drydocking and repair work for ships. The geographic impact is primarily in Ohio, where the contractor is located, potentially supporting local jobs and the maritime industry in that region. The contract supports the maritime repair workforce, including skilled trades involved in shipbuilding and repairing.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen issues arise during repairs, despite the fixed-price contract.
Dependence on a single contractor for a critical repair task could pose a risk if performance issues emerge.

Positive Signals

Awarded through full and open competition, suggesting a competitive price was secured.
Fixed-price contract provides cost certainty for the government.
Contract duration is clearly defined, allowing for focused execution.

Sector Analysis

The maritime repair and shipbuilding sector is a critical component of national defense and economic infrastructure. This contract falls within the Ship Building and Repairing industry (NAICS 336611), which involves the construction, alteration, and repair of ships and boats. The market is characterized by specialized facilities and skilled labor. The value of this contract, while significant for a single award, represents a small fraction of the overall federal spending in defense and maritime support services.

Small Business Impact

The contract was awarded to The Great Lakes Towing Company LLC and does not indicate any specific small business set-aside provisions. There is no explicit mention of subcontracting goals for small businesses within the provided data. Further analysis would be needed to determine if subcontracting opportunities exist and if they are being utilized to support the small business ecosystem.

Oversight & Accountability

Oversight for this contract would typically be managed by the U.S. Coast Guard contracting officers and program managers. Accountability measures are inherent in the fixed-price contract terms, requiring the contractor to deliver specified services within the agreed-upon budget. Transparency is generally maintained through contract award databases and reporting requirements, though specific details of the repair process and quality assurance checks may not be publicly disclosed.

Related Government Programs

Coast Guard Vessel Maintenance Contracts
Naval Shipyard Services
Maritime Infrastructure Support
Federal Ship Repair Spending

Risk Flags

Potential for unforeseen repair issues impacting cost and schedule.
Contractor performance risk.
Dependence on specific maritime repair infrastructure.

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $1.5 million to THE GREAT LAKES TOWING COMPANY LLC. CGC NEAH BAY DRYDOCK REPAIRS

Who is the contractor on this award?

The obligated recipient is THE GREAT LAKES TOWING COMPANY 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 $1.5 million.

What is the period of performance?

Start: 2026-05-15. End: 2026-05-15.

What is the track record of The Great Lakes Towing Company LLC with federal contracts, particularly with the Department of Homeland Security or U.S. Coast Guard?

A review of federal procurement data indicates that The Great Lakes Towing Company LLC has a history of receiving federal contracts. While specific details on past performance with the U.S. Coast Guard or Department of Homeland Security require deeper database analysis, their presence as a recipient of this drydock repair contract suggests they possess the necessary qualifications and experience. Examining past contract awards, performance evaluations (if available), and any history of disputes or contract terminations would provide a comprehensive understanding of their track record. This analysis is crucial for assessing the reliability and capability of the contractor in fulfilling the current award's requirements.

How does the awarded price of $1.51 million compare to similar drydock repair contracts for vessels of comparable size and complexity?

Benchmarking this $1.51 million contract against similar drydock repair contracts is essential for a thorough value assessment. Without specific details on the vessel type, size, and the exact scope of repairs (e.g., hull work, engine overhaul, system upgrades), a precise comparison is challenging. However, contracts for major drydocking and repairs of medium-sized vessels can range from several hundred thousand to several million dollars. Factors such as the vessel's age, material, and the complexity of required maintenance significantly influence pricing. A detailed comparison would involve analyzing the cost per displacement ton or cost per vessel day for similar repair projects awarded by the Coast Guard or other maritime agencies.

What are the primary risks associated with this specific drydock repair contract, and how are they being mitigated?

The primary risks associated with this drydock repair contract include potential cost overruns due to unforeseen structural issues discovered during the repair process, schedule delays impacting the Coast Guard's operational readiness, and performance risks related to the quality of the repairs. Mitigation strategies likely include the fixed-price contract structure, which shifts some cost risk to the contractor. The Coast Guard's oversight, quality assurance inspections during the repair period, and clear performance standards outlined in the contract are crucial for mitigating performance and schedule risks. The contractor's experience and reputation also play a role in risk assessment.

What is the historical spending pattern for drydocking and repair services by the U.S. Coast Guard, and how does this award fit into that pattern?

Historical spending by the U.S. Coast Guard on drydocking and repair services typically fluctuates based on fleet modernization needs, aging assets, and operational tempo. Annual spending can range from tens to hundreds of millions of dollars, depending on the number and scale of major repair projects undertaken. This $1.51 million award represents a specific, likely medium-sized, repair project for a single vessel. Analyzing historical data would reveal trends in contract values, types of repairs most frequently procured, and the primary contractors utilized. This award appears to be a standard procurement for essential fleet maintenance within the Coast Guard's broader maintenance budget.

What is the significance of the 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' contract type for this award?

The contract type 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES' suggests an initial intention or consideration to limit the pool of potential bidders, perhaps due to specific technical requirements or prior relationships. However, the final award was made after a process that allowed all responsible sources to submit offers. This indicates that the government ultimately determined that a broader competition was feasible and potentially more advantageous. For taxpayers, this typically means that the government sought the best possible price and technical solution by allowing multiple qualified companies to compete, thereby fostering price discovery and ensuring value for money.

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: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4500 DIVISION AVE, CLEVELAND, OH, 44102

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

Financial Breakdown

Contract Ceiling: $1,513,468

Exercised Options: $1,513,468

Current Obligation: $1,513,468

Contract Characteristics

Multi-Year Contract: Yes

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: 70Z08525DIBCT0004

IDV Type: IDC

Timeline