Navy Awards $36.6M Contract for USNS Joshua Humphreys Overhaul to Detyens Shipyards

Contract Overview

Contract Amount: $36,642,950 ($36.6M)

Contractor: Detyens Shipyards Inc

Awarding Agency: Department of Defense

Start Date: 2024-05-20

End Date: 2025-02-24

Contract Duration: 280 days

Daily Burn Rate: $130.9K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Other

Official Description: N104A1 / PM1 / A. AMORY / USNS JOSHUA HUMPHREYS (T-AO 188) REGULAR OVERHAUL AND DRY-DOCKING

Place of Performance

Location: NORTH CHARLESTON, CHARLESTON County, SOUTH CAROLINA, 29405

State: South Carolina Government Spending

Plain-Language Summary

Department of Defense obligated $36.6 million to DETYENS SHIPYARDS INC for work described as: N104A1 / PM1 / A. AMORY / USNS JOSHUA HUMPHREYS (T-AO 188) REGULAR OVERHAUL AND DRY-DOCKING Key points: 1. The contract value of $36.6 million is for regular overhaul and dry-docking services. 2. Competition was full and open after exclusion of sources, indicating a structured procurement process. 3. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 4. The sector is Ship Building and Repairing, a critical component of naval readiness.

Value Assessment

Rating: good

The $36.6 million price for a regular overhaul and dry-docking appears reasonable given the scope of work for a T-AO 188 class vessel. Benchmarking against similar complex ship repair contracts would provide a more definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The procurement utilized full and open competition after exclusion of sources, suggesting that while some sources may have been initially excluded, the final award was made through a competitive process. This method aims to ensure fair pricing and access to a broad range of qualified contractors.

Taxpayer Impact: The competitive nature of the award is expected to yield a fair price, maximizing the value of taxpayer funds for essential naval maintenance.

Public Impact

Ensures operational readiness of the USNS Joshua Humphreys, a critical fleet support vessel. Supports the maritime industrial base, specifically ship repair capabilities in South Carolina. The firm-fixed-price contract protects the government from cost overruns during the overhaul.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

The Ship Building and Repairing sector is vital for maintaining naval fleet capabilities. Spending in this area is often project-specific and driven by maintenance cycles and modernization needs, with significant capital investment required for facilities and skilled labor.

Small Business Impact

The data indicates this contract was awarded to Detyens Shipyards Inc. There is no explicit information provided regarding small business participation or subcontracting goals within this award. Further analysis would be needed to determine the extent of small business involvement.

Oversight & Accountability

The award was made under a definitive contract, which typically involves detailed terms and conditions. Oversight will be crucial to ensure the contractor meets all performance requirements and adheres to the fixed-price agreement throughout the overhaul period.

Related Government Programs

Risk Flags

Tags

ship-building-and-repairing, department-of-defense, sc, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $36.6 million to DETYENS SHIPYARDS INC. N104A1 / PM1 / A. AMORY / USNS JOSHUA HUMPHREYS (T-AO 188) REGULAR OVERHAUL AND DRY-DOCKING

Who is the contractor on this award?

The obligated recipient is DETYENS SHIPYARDS INC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $36.6 million.

What is the period of performance?

Start: 2024-05-20. End: 2025-02-24.

What specific services are included in the 'regular overhaul and dry-docking' to justify the $36.6 million cost?

The 'regular overhaul and dry-docking' likely encompasses a comprehensive range of services including hull inspection and repair, propulsion system maintenance, auxiliary machinery servicing, tank cleaning, and necessary safety upgrades. Specifics would be detailed in the contract's Statement of Work (SOW), which outlines all required tasks, inspections, and certifications to ensure the vessel's seaworthiness and operational readiness.

What were the 'sources' excluded prior to the full and open competition, and what was the rationale?

The exclusion of specific sources prior to full and open competition typically occurs when certain pre-qualification criteria, security clearances, or specialized capabilities are required that only a limited number of firms possess. The rationale is usually to ensure that only capable and vetted contractors participate, thereby streamlining the process while still allowing broader competition among eligible entities.

How does the 280-day duration compare to typical overhauls for this class of vessel, and does it pose any risk to fleet readiness?

A 280-day duration for a regular overhaul and dry-docking is substantial and suggests a thorough maintenance and repair cycle. Comparing this to historical data for similar vessels is key to assessing efficiency. If this duration is longer than average without clear justification, it could pose a risk to fleet readiness by extending the vessel's unavailability.

Industry Classification

NAICS: ManufacturingShip and Boat BuildingShip Building and Repairing

Product/Service Code: MAINT, REPAIR, REBUILD EQUIPMENTNON-NUCLEAR SHIP REPAIR

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: N3220524R4148

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Parent Company: Detyens Shipyards, Inc.

Address: 1670 DRYDOCK AVE BIDG 236, N CHARLESTON, SC, 29405

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

Financial Breakdown

Contract Ceiling: $37,189,560

Exercised Options: $36,642,950

Current Obligation: $36,642,950

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2024-05-20

Current End Date: 2025-02-24

Potential End Date: 2025-02-24 00:00:00

Last Modified: 2025-03-07

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