DoD Awards $18.6M for Freight Transport Services to Crowley Government Services, Inc
Contract Overview
Contract Amount: $18,613,604 ($18.6M)
Contractor: Crowley Government Services, Inc.
Awarding Agency: Department of Defense
Start Date: 2025-08-01
End Date: 2025-08-31
Contract Duration: 30 days
Daily Burn Rate: $620.5K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT
Sector: Transportation
Official Description: DEFENSE FREIGHT TRANSPORTATION SERVICES (DFTS) II - EXPRESS CAR
Place of Performance
Location: JACKSONVILLE, DUVAL County, FLORIDA, 32225
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $18.6 million to CROWLEY GOVERNMENT SERVICES, INC. for work described as: DEFENSE FREIGHT TRANSPORTATION SERVICES (DFTS) II - EXPRESS CAR Key points: 1. Contract value of $18.6M for a 30-day delivery order. 2. Full and open competition was utilized. 3. Risk is moderate due to the short duration and fixed-price structure. 4. Sector is Transportation, specifically freight logistics.
Value Assessment
Rating: good
The contract value of $18.6M for a 30-day period suggests a high per-diem rate. Benchmarking against similar short-term, high-volume freight contracts would be necessary for a precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
Full and open competition was employed, indicating a robust price discovery process. This method generally leads to more competitive pricing for the government.
Taxpayer Impact: The competitive nature of the award is expected to yield fair market value, minimizing unnecessary taxpayer expenditure for essential transportation services.
Public Impact
Ensures timely delivery of goods for military operations. Supports critical supply chain functions for the Department of Defense. Provides essential transportation infrastructure during a specific period.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for price volatility with economic price adjustment.
- Short contract duration may limit long-term planning.
- Dependence on a single awardee for a critical service.
Positive Signals
- Awarded under full and open competition.
- Supports a vital government function.
- Clear delivery period specified.
Sector Analysis
This contract falls within the Transportation sector, specifically focusing on freight logistics and transportation arrangement services. Spending benchmarks in this area are highly variable based on volume, distance, and urgency.
Small Business Impact
The data indicates this contract was not awarded to a small business. Further analysis would be needed to determine if small businesses had an opportunity to participate as subcontractors.
Oversight & Accountability
USTRANSCOM is responsible for managing this contract. Oversight would focus on ensuring timely delivery, adherence to pricing terms, and overall service performance.
Related Government Programs
- Freight Transportation Arrangement
- Department of Defense Contracting
- USTRANSCOM Programs
Risk Flags
- Economic Price Adjustment clause introduces cost escalation risk.
- Short contract duration may not reflect long-term needs.
- Potential for price increases due to market fluctuations.
- Lack of small business prime awardee.
Tags
freight-transportation-arrangement, department-of-defense, fl, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $18.6 million to CROWLEY GOVERNMENT SERVICES, INC.. DEFENSE FREIGHT TRANSPORTATION SERVICES (DFTS) II - EXPRESS CAR
Who is the contractor on this award?
The obligated recipient is CROWLEY GOVERNMENT SERVICES, INC..
Which agency awarded this contract?
Awarding agency: Department of Defense (USTRANSCOM).
What is the total obligated amount?
The obligated amount is $18.6 million.
What is the period of performance?
Start: 2025-08-01. End: 2025-08-31.
What is the typical cost per mile or per ton for similar freight transportation services awarded under full and open competition?
Benchmarking the cost per mile or ton for similar freight services is crucial. Without specific route and volume data, it's difficult to provide an exact figure. However, contracts awarded through full and open competition typically aim for rates competitive with the commercial market, adjusted for government requirements and potential economic price adjustments.
What are the specific risks associated with the 'FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT' contract type for this service?
The primary risk with Fixed Price with Economic Price Adjustment (FPEPA) is potential cost escalation if fuel or other economic factors rise significantly during the contract period. While intended to protect contractors from unforeseen market shifts, it can lead to higher-than-anticipated costs for the government if not carefully monitored and managed.
How effectively does this contract support the DoD's overall logistical readiness and supply chain resilience?
This contract directly supports logistical readiness by ensuring the movement of goods. Its effectiveness in bolstering supply chain resilience depends on its integration with broader logistics strategies, the reliability of the awarded carrier, and the availability of alternative transportation options should disruptions occur.
Industry Classification
NAICS: Transportation and Warehousing › Freight Transportation Arrangement › Freight Transportation Arrangement
Product/Service Code: TRANSPORT, TRAVEL, RELOCATION › TRANSPORTATION OF THINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Pricing Type: FIXED PRICE WITH ECONOMIC PRICE ADJUSTMENT (K)
Evaluated Preference: NONE
Contractor Details
Address: 9487 REGENCY SQUARE BLVD, JACKSONVILLE, FL, 32225
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Manufacturer of Goods, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $18,613,604
Exercised Options: $18,613,604
Current Obligation: $18,613,604
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: HTC71124DR035
IDV Type: IDC
Timeline
Start Date: 2025-08-01
Current End Date: 2025-08-31
Potential End Date: 2025-08-31 00:00:00
Last Modified: 2025-11-13
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