Nov. 22 (UPI) -- BAE Systems San Diego Ship Repair Inc. has been awarded a modified contract to complete the fitting out availability process for the USS Portland LPD-27, a San Antonio-class amphibious transport dock ship for the U.S. Navy.
The deal, announced Tuesday by the Department of Defense, is worth more than $8.7 million under a cost-plus-award-fee modified contract, so BAE Systems will be given a base amount fee which is fixed at the inception of the contract, in addition to an award amount determined by the U.S. government that they believe provide sufficient motivation for excellence in contract performance.
The contract seeks to "exercise the option for the accomplishment of the fitting out availability for the LPD 27 amphibious transport dock ship and for continued efforts associated with the post shakedown availability for the USS John P. Murtha LPD-26 amphibious transport dock ship."
The USS John P. Murtha in April 2016 successfully completed acceptance trials conducted by the Navy's Board of Inspection and Survey. The Navy said the tests included a full-power run, self-defense detect-to-engage exercises, steering checks, boat handling, anchoring and rapid ballast and de-ballast demonstrations.
The vessels, which can carry 800 Marines and their equipment, can operate independently or as part of Amphibious Readiness Groups, Expeditionary Strike Groups or Joint Task Forces. They feature a flight deck for CH-53 helicopters and V-22 Ospreys, and a well-deck for the launch and recovery of landing craft and amphibious vehicles.
San Antonio-class LPDs are 684 feet long, 105 feet in the beam, and have a speed of more than 22 knots.
BAE systems will additionally provide "program management, planning, engineering, design, liaison, scheduling, labor and procurement of incidental material in support of the availabilities."
Work on the contract will be performed in San Diego, Calif., with work on the USS John P. Murtha expected to be completed by February 2018 and work on the USS Portland completed in October 2018.
The U.S. Navy's fiscal 2017 shipbuilding and conversion fund will pay BAE Systems more than $5 million at the time of the award, and the funds will not expire at the end of the current fiscal year.