July 12, 2007
Navy awards NGSS $99 million for post-Katrina yard fixes
The Navy today awarded two contracts worth up to $98.7 million to Northrop Grumman Ship Systems (NGSS) for infrastructure improvements at three of its shipyards damaged by Hurricane Katrina.
NGSS is being awarded an $86,254,072 firm-fixed-price contract for infrastructure improvements to NGSS shipyards in Pascagoula and Gulfport, Miss. and a $12,394,672 option for infrastructure improvements to NGSS shipyard in New Orleans, La., for a total firm-fixed-price amount of $98,648,744 (basic plus option).
This contract is for infrastructure improvements at Northrop Grumman Ship Systems Gulf Coast shipyards damaged by Hurricane Katrina in calendar year 2005.
The infrastructure improvements are for a Panel Assembly Line at NGSS Ingalls Facility in Pascagoula, Miss., a composite manufacturing facility at NGSS Gulfport Facility in Gulfport, Miss., and a panel assembly line at NGSS Avondale Facility in New Orleans, La.
The contracted improvements at NGSS facilities are the first of a series of contracts with Gulf Coast shipbuilders to be awarded under Section 2203 of Public Law 109-234, Emergency Supplemental Appropriations for Defense, The Global War on Terror and Hurricane Recovery 2006. The purpose is to expedite recovery of shipbuilding capability in areas affected by Hurricane Katrina by repairing and /or replacing shipbuilding facilities, to make lasting improvement in shipyard facilities that would result in measurable cost reductions in current and future Navy shipbuilding contracts, and to improve the ability of shipbuilding facilities on the Gulf Coast to withstand damage from potential hurricanes or other natural disasters.
Work will be performed in Gulfport, Miss. (61 percent); Pascagoula, Miss. (26 percent); New Orleans, La. (13 percent), and work is expected to be completed by September 2010. Contract funds will not expire at the end of the current fiscal year. The contract was competitively procured and advertised via the Internet, with 18 proposals received from seven offerors.
The Naval Sea Systems Command, Washington, D.C., is the contracting activity (N00024-07-C-2309).