DoD's $33M Ship Repair Contract with University of Washington: Limited Competition Raises Concerns
Contract Overview
Contract Amount: $33,052,993 ($33.1M)
Contractor: University of Washington
Awarding Agency: Department of Defense
Start Date: 2014-09-22
End Date: 2018-12-31
Contract Duration: 1,561 days
Daily Burn Rate: $21.2K/day
Competition Type: NOT COMPETED
Number of Offers Received: 1
Pricing Type: COST NO FEE
Sector: Defense
Official Description: IGF: :CL: :IGF
Place of Performance
Location: SEATTLE, KING County, WASHINGTON, 98195
Plain-Language Summary
Department of Defense obligated $33.1 million to UNIVERSITY OF WASHINGTON for work described as: IGF: :CL: :IGF Key points: 1. The contract awarded to the University of Washington for ship building and repairing services represents a significant expenditure. 2. Limited competition for this $33M contract may indicate potential inefficiencies or missed opportunities for cost savings. 3. The lack of competition raises questions about the effectiveness of the procurement process and potential risks to taxpayer value. 4. This contract falls within the broader Defense sector, specifically focusing on naval shipbuilding and repair.
Value Assessment
Rating: questionable
The contract's cost-plus-no-fee structure, combined with a lack of competition, makes a direct pricing assessment difficult. Benchmarking against similar, competitively bid ship repair contracts would be necessary to determine if the $33 million awarded represents fair value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was not competed, suggesting a limited or sole-source justification was likely employed. This significantly restricts price discovery and may lead to higher costs than if multiple vendors had competed.
Taxpayer Impact: The absence of robust competition for a $33 million contract could result in taxpayers paying more than necessary for these ship repair services.
Public Impact
Naval readiness and operational capabilities could be impacted by the efficiency and cost of these repair services. The University of Washington's role in defense contracting highlights the diverse entities involved in supporting military operations. Taxpayers may be concerned about the justification for not competing a contract of this magnitude.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of Competition
- Potential for Overpricing
- Limited Transparency
Positive Signals
- Supports Naval Operations
- Long-term Relationship
Sector Analysis
This contract falls within the Defense sector, specifically naval shipbuilding and repair. Spending in this area is critical for national security, but often involves complex, high-value contracts where competition is essential for cost control.
Small Business Impact
There is no indication that small businesses were involved in this contract, either as prime contractors or subcontractors. The focus appears to be on a large, established entity.
Oversight & Accountability
The lack of competition warrants further oversight to ensure the University of Washington is providing services at a reasonable cost and meeting all contractual obligations effectively.
Related Government Programs
- Ship Building and Repairing
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Non-competitive award
- Potential for inflated costs
- Lack of transparency in pricing
- Limited accountability through competition
Tags
ship-building-and-repairing, department-of-defense, wa, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $33.1 million to UNIVERSITY OF WASHINGTON. IGF: :CL: :IGF
Who is the contractor on this award?
The obligated recipient is UNIVERSITY OF WASHINGTON.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $33.1 million.
What is the period of performance?
Start: 2014-09-22. End: 2018-12-31.
What was the specific justification for not competing this $33 million contract, and were alternative procurement strategies considered?
The provided data indicates the contract was 'NOT COMPETED.' A thorough review would be needed to ascertain the specific justification, such as unique capabilities or urgent needs. However, for a contract of this value and duration, exploring competitive options is standard practice to ensure best value for the government.
How does the cost of this contract compare to similar ship repair services procured through competitive bidding?
Without access to detailed cost breakdowns and performance metrics, a direct comparison is challenging. However, the absence of competition inherently raises a red flag regarding potential cost overruns. Benchmarking against competitively awarded contracts for similar scope and complexity is crucial for assessing value.
What mechanisms are in place to ensure the effectiveness and efficiency of the services provided by the University of Washington under this non-competed contract?
Standard contract oversight mechanisms, including performance monitoring, quality assurance checks, and milestone reviews, should be rigorously applied. Given the lack of competition, the Department of the Navy must ensure robust oversight to prevent potential inefficiencies and ensure the services meet all requirements.
Industry Classification
NAICS: Manufacturing › Ship and Boat Building › Ship Building and Repairing
Product/Service Code: RESEARCH AND DEVELOPMENT › C – National Defense R&D Services
Competition & Pricing
Extent Competed: NOT COMPETED
Solicitation Procedures: ONLY ONE SOURCE
Offers Received: 1
Pricing Type: COST NO FEE (S)
Evaluated Preference: NONE
Contractor Details
Address: 4333 BROOKLYN AVE NE, SEATTLE, WA, 98195
Business Categories: Category Business, Educational Institution, Government, Higher Education, U.S. Local Government, U.S. National Government, Not Designated a Small Business, Higher Education (Public)
Financial Breakdown
Contract Ceiling: $33,052,993
Exercised Options: $33,052,993
Current Obligation: $33,052,993
Contract Characteristics
Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED
Cost or Pricing Data: NOT OBTAINED - WAIVED
Timeline
Start Date: 2014-09-22
Current End Date: 2018-12-31
Potential End Date: 2018-12-31 00:00:00
Last Modified: 2018-04-19
More Contracts from University of Washington
- FY23 Stafac Amfip Production — $55.5M (Department of Defense)
- B599 — $34.5M (Department of Health and Human Services)
- Biomedical (basic) — $32.7M (Department of Health and Human Services)
- Nhlbi DNA Resequencing and Genotyping Service: Laboratory Center — $29.5M (Department of Health and Human Services)
- Robotic Autonomy in Complex Environments With Resiliency (racer) Phase II — $25.3M (Department of Defense)
Other Department of Defense Contracts
- Federal Contract — $51.3B (Humana Government Business Inc)
- Lrip LOT 12 Advance Acquisition Contract — $35.1B (Lockheed Martin Corporation)
- SSN 802 and 803 Long Lead Time Material — $34.7B (Electric Boat Corporation)
- 200204!008532!1700!AF600 !naval AIR Systems Command !N0001902C3002 !A!N! !N! !20011026!20120430!008016958!008016958!834951691!n!lockheed Martin Corporation !lockheed Blvd !fort Worth !tx!76108!27000!439!48!fort Worth !tarrant !texas !+000026000000!n!n!018981928201!ac15!rdte/Aircraft-Eng/Manuf Develop !a1a!airframes and Spares !2ama!jast/Jsf !336411!E! !3! ! ! ! ! !99990909!B! ! !A! !a!n!r!2!002!n!1a!a!n!z! ! !N!C!N! ! ! !a!a!a!a!000!a!c!n! ! ! !Y! !N00019!0001! — $34.2B (Lockheed Martin Corporation)
- KC-X Modernization Program — $32.0B (THE Boeing Company)