Ship Dismantling/Recycling

The Maritime Administration conducts ship dismantling/recycling via vessel purchase agreements and fee-for-service contracts.  To be eligible to participate in sales offers or fee-for-service price requests a company must submit a general technical proposal and become a technically acceptable vendor. Only offerors whose general technical proposal have been evaluated and found to be technically acceptable will be allowed into the pool. Once in the pool of technically acceptable vendors all vendors are requested to submit competitive sales offers and/or price revisions in response to specific vessel solicitations issued by the Maritime Administration on a periodic basis.

Maritime Administration has incorporated two ship disposal solicitations within the Virtual Office of Acquisition (https://voa.marad.dot.gov) for offerors to submit general technical proposals for the dismantlement/recycling of obsolete National Defense Reserve vessels. The two options are:

1.  Request for Quotation (RFQ) DTMA1Q09001 in which Maritime Administration (MARAD) pays for ship dismantlement services
2.  Vessel Sales Invitation for Bid SDPEXC-08001 in which Maritime Administration (MARAD) sells the vessel, for dismantlement.

Due to legislation passed in the House and pending in the Senate that may restrict the Maritime Administration’s ability to utilize foreign recycling facilities; new general technical proposals from Offerors proposing to recycle ships at foreign facilities are not currently being accepted.  If the restrictions are not passed, the sales solicitation may be amended to permit proposals from foreign facilities provided environmental export issues can be resolved. Export of obsolete vessels for dismantling/recycling is subject to compliance with the Toxic Substance Control Act, which prohibits the export of polychlorinated biphenyl’s (PCB’s) in concentration above regulated limits. For the procurement of services, Congress has mandated utilization of domestic sources to the maximum extent practicable.

The Environmental Protection Agency has published “ A Guide for  Ship Scrappers: Tips for Regulatory Compliance” which provides ship recycling facilities with an overview of the most pertinent environmental and worker health and safety requirements to assist them in ensuring compliance at their facilities. The guide is structured by specific processes (e.g., asbestos removal, metal cutting, fuel and oil removal) that occur in ship recycling operations. Ship recycling can review key environmental, safety, and health requirements for each process. References of where to find the requirements in the Code of Federal Regulations have been provided throughout the guide.

Requirements for Technical Compliance Plan (TCP)

Virtual Office of Acquisition