DHS awards $5M for galley hood and fire suppression systems to G I Industrial-Marine, LLC

Contract Overview

Contract Amount: $5,000 ($5.0K)

Contractor: G I Industrial-Marine, LLC

Awarding Agency: Department of Homeland Security

Start Date: 2026-04-19

End Date: 2026-05-17

Contract Duration: 28 days

Daily Burn Rate: $179/day

Competition Type: COMPETED UNDER SAP

Number of Offers Received: 7

Pricing Type: FIRM FIXED PRICE

Sector: Ship Building and Repairing

Official Description: CGC ALDER - GALLEY HOOD AND FIRE SUPPRESSION

Place of Performance

Location: SAN FRANCISCO, SAN FRANCISCO County, CALIFORNIA, 94130

State: California Government Spending

Plain-Language Summary

Department of Homeland Security obligated $5,000 to G I INDUSTRIAL-MARINE, LLC for work described as: CGC ALDER - GALLEY HOOD AND FIRE SUPPRESSION Key points: 1. The contract is for galley hood and fire suppression systems, a critical component for maritime safety. 2. G I Industrial-Marine, LLC, is the sole awardee, raising questions about competition. 3. The award value is $5 million, with a short performance period of 28 days. 4. The sector is Ship Building and Repairing, with a specific NAICS code of 336611.

Value Assessment

Rating: fair

The award value of $5 million for galley hood and fire suppression systems appears reasonable given the specialized nature of the equipment. Benchmarking against similar, complex maritime safety systems would provide a clearer picture of value.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was competed under SAP (Simplified Acquisition Procedures), suggesting a limited competition approach. While SAP can be efficient for smaller procurements, it may not always yield the best price discovery compared to full and open competition.

Taxpayer Impact: The limited competition may result in a higher cost to taxpayers if a more competitive process could have secured a lower price.

Public Impact

Ensures operational safety for U.S. Coast Guard vessels by maintaining essential fire suppression systems. Supports a specific industry segment within shipbuilding and repair, potentially impacting specialized manufacturers. The short duration suggests a focused need, possibly for a specific vessel or upgrade project.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Ship Building and Repairing sector (NAICS 336611) is highly specialized, often involving complex systems and stringent safety regulations. Spending benchmarks in this area are typically high due to the technical expertise and materials required.

Small Business Impact

Analysis of small business participation is not directly available from the provided data. Further investigation would be needed to determine if small businesses were involved in the subcontracting or if the prime contractor is a small business.

Oversight & Accountability

The award was made via Purchase Order under SAP, which typically involves less extensive documentation and oversight than larger, competitively bid contracts. Accountability relies on the agency's internal controls and the contractor's adherence to the P.O. terms.

Related Government Programs

Risk Flags

Tags

ship-building-and-repairing, department-of-homeland-security, ca, purchase-order, under-100k

Frequently Asked Questions

What is this federal contract paying for?

Department of Homeland Security awarded $5,000 to G I INDUSTRIAL-MARINE, LLC. CGC ALDER - GALLEY HOOD AND FIRE SUPPRESSION

Who is the contractor on this award?

The obligated recipient is G I INDUSTRIAL-MARINE, 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 $5,000.

What is the period of performance?

Start: 2026-04-19. End: 2026-05-17.

What is the specific justification for using SAP and limited competition for this $5 million award?

The justification for using Simplified Acquisition Procedures (SAP) and limited competition likely stems from the specific nature of the galley hood and fire suppression systems, potentially requiring specialized vendors or urgent delivery. Agencies often use SAP for procurements under the threshold where full and open competition may be less efficient or timely. However, the exact rationale would need to be detailed in the contract file.

What are the potential risks associated with a sole awardee for critical safety equipment?

A sole awardee for critical safety equipment presents risks such as potential price gouging, lack of innovation, and dependency on a single supplier. If the supplier fails to deliver or maintain quality, the Coast Guard's operational readiness and safety could be compromised. This also limits future competitive opportunities for other qualified vendors.

How does the short performance period impact the overall effectiveness and value of this contract?

The short 28-day performance period suggests a focused, potentially urgent requirement, such as a specific installation or repair. While this can ensure rapid deployment of necessary equipment, it may limit the contractor's ability to optimize production or offer volume discounts. The effectiveness hinges on the contractor's capacity to meet the tight deadline without compromising quality.

Industry Classification

NAICS: ManufacturingShip and Boat BuildingShip Building and Repairing

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

Competition & Pricing

Extent Competed: COMPETED UNDER SAP

Solicitation Procedures: SIMPLIFIED ACQUISITION

Solicitation ID: 70Z08536Q023738

Offers Received: 7

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 2100 COLUMBIA ST, PORTSMOUTH, VA, 23704

Business Categories: Black American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, HUBZone Firm, Limited Liability Corporation, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business, Veteran Owned Business

Financial Breakdown

Contract Ceiling: $5,000

Exercised Options: $5,000

Current Obligation: $5,000

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Timeline

Start Date: 2026-04-19

Current End Date: 2026-05-17

Potential End Date: 2026-05-17 00:00:00

Last Modified: 2026-04-08

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