DoD Awards $10.5M for DREDGE ESSAYONS Overhaul to Pacific Shipyards International
Contract Overview
Contract Amount: $10,492,030 ($10.5M)
Contractor: Pacific Shipyards International, LLC
Awarding Agency: Department of Defense
Start Date: 2025-12-03
End Date: 2026-03-02
Contract Duration: 89 days
Daily Burn Rate: $117.9K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Defense
Official Description: FY 26 DREDGE ESSAYONS OVERHAUL
Place of Performance
Location: HONOLULU, HONOLULU County, HAWAII, 96817
State: Hawaii Government Spending
Plain-Language Summary
Department of Defense obligated $10.5 million to PACIFIC SHIPYARDS INTERNATIONAL, LLC for work described as: FY 26 DREDGE ESSAYONS OVERHAUL Key points: 1. Contract awarded for a significant overhaul of the DREDGE ESSAYONS. 2. Pacific Shipyards International, LLC, a single entity, secured the award. 3. The contract falls under the Ship Building and Repairing NAICS code. 4. A firm fixed price contract type was utilized. 5. The award value is $10,492,030.16 for a 89-day duration.
Value Assessment
Rating: fair
The award value of $10.5M for an 89-day overhaul appears substantial. Benchmarking against similar large-scale vessel repair contracts is necessary to determine if this pricing is competitive.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the specific details of the price discovery mechanism and the number of bids received are not provided, making a full assessment of price reasonableness challenging.
Taxpayer Impact: Taxpayer funds are being utilized for a critical military asset's maintenance. Ensuring competitive pricing and efficient execution is key to maximizing the value of this expenditure.
Public Impact
Ensures readiness of a key naval asset for maritime operations. Supports the shipbuilding and repair industry, potentially creating jobs. Investment in maintaining specialized military equipment.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Limited duration of the contract (89 days) may indicate a focused scope or potential for follow-on work.
- Lack of detailed bid information hinders a complete price reasonableness assessment.
Positive Signals
- Awarded under full and open competition.
- Firm fixed price contract provides cost certainty.
Sector Analysis
This contract falls within the shipbuilding and repair sector, which is crucial for national defense and maritime infrastructure. Spending benchmarks for similar overhauls of specialized vessels are essential for evaluating cost-effectiveness.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to assess small business participation in this contract.
Oversight & Accountability
Oversight will be critical to ensure the overhaul is completed on time, within budget, and meets all specified requirements. The Department of Defense's contracting and inspection processes will be key accountability mechanisms.
Related Government Programs
- Ship Building and Repairing
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential for cost overruns if unforeseen issues arise during overhaul.
- Dependence on a single contractor for a critical asset's repair.
- Risk of schedule delays impacting operational availability.
- Ensuring the quality of repairs meets long-term operational needs.
Tags
ship-building-and-repairing, department-of-defense, hi, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $10.5 million to PACIFIC SHIPYARDS INTERNATIONAL, LLC. FY 26 DREDGE ESSAYONS OVERHAUL
Who is the contractor on this award?
The obligated recipient is PACIFIC SHIPYARDS INTERNATIONAL, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $10.5 million.
What is the period of performance?
Start: 2025-12-03. End: 2026-03-02.
What is the historical cost and performance data for the DREDGE ESSAYONS to establish a baseline for this overhaul's value?
Historical data on previous maintenance, repairs, and operational performance of the DREDGE ESSAYONS is crucial for establishing a baseline. This includes past overhaul costs, downtime, and any recurring issues. Understanding this history allows for a more accurate assessment of whether the current $10.5M award represents good value and if the scope of work adequately addresses past performance deficiencies or preventative needs.
How many bids were received, and what was the range of pricing to confirm competitive pressure on the awarded price?
Knowing the number of bids received and the range of proposed prices is vital for assessing competitive pressure. If multiple bids were submitted and the awarded price is within a reasonable range of the others, it suggests effective price discovery. Conversely, a low number of bids or a wide price spread could indicate potential market limitations or issues with the solicitation that may have impacted the final negotiated price.
What specific technical requirements and performance standards must the overhaul meet, and how will their successful completion be verified?
The specific technical requirements and performance standards for the DREDGE ESSAYONS overhaul are paramount. Verification methods, such as rigorous testing, inspections, and acceptance criteria, must be clearly defined and adhered to. This ensures the vessel is returned to operational status meeting all necessary safety, functional, and mission-readiness benchmarks, thereby validating the effectiveness of the awarded contract.
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
Solicitation Procedures: SEALED BID
Solicitation ID: W9127N25BA008
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 705 N NIMITZ HWY, HONOLULU, HI, 96817
Business Categories: Asian Pacific American Owned Business, Category Business, Limited Liability Corporation, Manufacturer of Goods, Minority Owned Business, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $10,492,030
Exercised Options: $10,492,030
Current Obligation: $10,492,030
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: W9127N23G0002
IDV Type: BOA
Timeline
Start Date: 2025-12-03
Current End Date: 2026-03-02
Potential End Date: 2026-03-02 00:00:00
Last Modified: 2026-01-12
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