The third Agawam (YTB-809) was laid down on 24 August 1970 at Sturgeon Bay, Wisconsin, by Peterson Builders, Inc.; launched on 10 April 1971; completed on 28 July 1971; and placed in service that same day.
Agawam. was assigned to the 5th Naval District and based at Norfolk, Virginia. The tug has spent her entire Navy career providing support for the Navy's ships at the complex of facilities located in and around the Norfolk-Hampton Roads area. As of the beginning of 1987, she was still active in the 5th Naval District.