(KRON) -- Following the announcement of Mare Island Dry Dock (MIDD) closing its facility in Vallejo and eliminating the jobs of 84 workers, Bay Area leaders are questioning why the U.S. Coast Guard awarded a recent contract to a bidder who reportedly wanted $1.5 million more than MIDD. Losing the m ulti-million dollar bid to repair the USCGC Healy, the Coast Guard fleet’s largest and most technologically advanced polar icebreaker ship, was cited by Mare Island Dry Dock last week as causing an immediate impact on the financial stability of the company. MIDD had previously completed two contracts since 2020 to repair the Healy. In a letter led by Congressman John Garamendi and addressed Tuesday to USCG Admiral Kevin Lunday, the Fairfield representative requested answers as to why MIDD's contract was passed in favor of a reportedly more expensive drydock. This summer 2018 photo provided by NOAA shows the USCG Icebreaker Healy on a research cruise in the Chukchi Sea of the Arctic Ocean. (Devin Powell/NOAA via AP) “Despite reportedly bidding a million dollars less than the eventual winner of the USCG Healy bid, Mare Island Dry Dock did not receive the $10 million contract,” said Congressman John Garamendi in a statement Wednesday. “This raises serious questions about how taxpayer dollars are being spent.” According to Rep. Garamendi’s office, the Healy contract would have supported 150 jobs at the Vallejo facility with continued employment for three to four months. “The Coast Guard’s recent decision to award the USCG Healy drydock availability to another yard, for what we understand is a significantly higher cost, is perplexing,” the letter reads. “It is our understanding that the Coast Guard weighs considerations beyond cost when considering potential yards. We request additional information regarding what, if any, other factors contributed to the Coast Guard’s decision.” The old ferry boat Sherman is dismantled and scrapped at Mare Island Dry Dock in Vallejo, Calif. on Friday, Dec. 13, 2019. (Photo By Paul Chinn/The San Francisco Chronicle via Getty Images) Rep. Garamendi serves as a senior member of the House Transportation and Infrastructure Committee’s Coast Guard and Maritime Transportation Subcommittee and as a ranking member of the House Armed Services Subcommittee on Readiness. The letter was cosigned by fellow California congressional representatives Lateefah Simon, Jared Huffman, Mark DeSaulnier, Josh Harder and Mike Thompson. The letter continues, “With its close proximity to USCG Alameda, strategic location on the west coast, and robust maritime workforce, Mare Island can and must continue to be a strong partner with the Coast Guard and Navy.” Garamendi letter to USCG on Mare Island Dry Dock contractDownload The City of Vallejo stated last week that it would help MIDD employees who are out of a job to transition to new opportunities. ...read more read less