Department of Defense awards $45.5M for F-22 heavy maintenance and backshop services

Contract Overview

Contract Amount: $45,460,130 ($45.5M)

Contractor: Big-D Construction Corp

Awarding Agency: Department of Defense

Start Date: 2009-07-14

End Date: 2011-09-07

Contract Duration: 785 days

Daily Burn Rate: $57.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 6

Pricing Type: FIRM FIXED PRICE

Sector: Defense

Official Description: F-22 HEAVY MAINTENANCE & BACKSHOP

Place of Performance

Location: HILL AFB, DAVIS County, UTAH, 84056

State: Utah Government Spending

Plain-Language Summary

Department of Defense obligated $45.5 million to BIG-D CONSTRUCTION CORP for work described as: F-22 HEAVY MAINTENANCE & BACKSHOP Key points: 1. Contract awarded to BIG-D CONSTRUCTION CORP for industrial building construction. 2. The contract duration was 785 days. 3. This contract was awarded under full and open competition. 4. The contract was awarded by the Department of the Army. 5. The contract was awarded in Utah. 6. The contract type was Firm Fixed Price.

Value Assessment

Rating: fair

The contract value of $45.5 million for industrial building construction is difficult to benchmark without specific details on the scope of work. However, given the duration of 785 days, the average annual value is approximately $21.2 million. This figure needs to be compared against similar large-scale industrial construction projects to assess value for money. The absence of detailed cost breakdowns or performance metrics makes a precise value assessment challenging.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that multiple bidders were likely considered. With 6 bids received, the competition level suggests a reasonable opportunity for price discovery and potentially competitive pricing. The agency's decision to use full and open competition is generally a positive sign for achieving fair market value.

Taxpayer Impact: Taxpayers likely benefited from a competitive bidding process, which should have driven down costs compared to a sole-source award. The presence of multiple bids increases the likelihood that the awarded price reflects a reasonable market rate.

Public Impact

The primary beneficiaries are the U.S. Air Force's F-22 Raptor program, ensuring the operational readiness of these advanced fighter jets. Services delivered include heavy maintenance and backshop support, crucial for the longevity and performance of the F-22 fleet. The geographic impact is centered in Utah, where the construction and maintenance activities took place. The contract likely supported a workforce of construction professionals, engineers, and specialized maintenance technicians.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if the scope of work was not precisely defined.
Risk of delays impacting F-22 maintenance schedules.
Ensuring quality of construction and maintenance to meet stringent military standards.

Positive Signals

Awarded under full and open competition, suggesting competitive pricing.
Firm Fixed Price contract type helps control costs.
Contract awarded to a single entity, potentially streamlining project management.

Sector Analysis

This contract falls within the Industrial Building Construction sector, a critical component of the defense industrial base. Such contracts are essential for maintaining and upgrading facilities that support complex military hardware. The market for defense-related construction is often characterized by specialized requirements and stringent security protocols. Benchmarking this contract's value would require comparison with other large-scale industrial construction projects, particularly those with similar government contracts.

Small Business Impact

The data indicates this contract was not set aside for small businesses (sb: false). There is no explicit information on subcontracting plans for small businesses. Without this information, it's difficult to assess the direct impact on the small business ecosystem. However, large prime contractors are often encouraged or required to utilize small business subcontractors, which could indirectly benefit them.

Oversight & Accountability

Oversight for this contract would typically be managed by the Department of the Army's contracting and program management offices. Accountability measures would be embedded in the contract's terms and conditions, including performance standards and payment schedules. Transparency is generally facilitated through contract award databases like FPDS. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

F-22 Raptor Sustainment Programs
Department of Defense Industrial Facilities Construction
Air Force Maintenance and Repair Contracts
Heavy Industrial Construction Services

Risk Flags

Potential for scope creep in large construction projects.
Dependence on specialized labor and materials.
Ensuring compliance with stringent military specifications.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $45.5 million to BIG-D CONSTRUCTION CORP. F-22 HEAVY MAINTENANCE & BACKSHOP

Who is the contractor on this award?

The obligated recipient is BIG-D CONSTRUCTION CORP.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $45.5 million.

What is the period of performance?

Start: 2009-07-14. End: 2011-09-07.

What was the specific scope of 'heavy maintenance & backshop' services covered under this contract?

The provided data does not detail the specific scope of 'heavy maintenance & backshop' services. Typically, this would encompass major repair, overhaul, and component-level servicing for the F-22 aircraft and its associated support equipment. This could include structural repairs, engine maintenance, avionics system servicing, and the refurbishment of specialized tooling and ground support equipment housed in backshop facilities. A more granular understanding of the tasks performed would be necessary to fully assess the contract's value and performance.

How does the $45.5 million contract value compare to other F-22 maintenance contracts?

Direct comparison of the $45.5 million contract value to other F-22 maintenance contracts is challenging without access to a comprehensive database of similar awards. However, the value appears substantial, suggesting a significant scope of work over the 785-day period. To benchmark effectively, one would need to identify contracts for comparable heavy maintenance and backshop services for the F-22 or similarly complex aircraft, considering factors like contract duration, specific services rendered, and the economic conditions at the time of award.

What were the key performance indicators (KPIs) used to evaluate BIG-D CONSTRUCTION CORP's performance?

The provided data does not specify the Key Performance Indicators (KPIs) used for this contract. For industrial construction and maintenance contracts of this nature, common KPIs often include on-time completion rates, adherence to budget, quality of workmanship (e.g., defect rates, rework required), safety compliance (e.g., incident rates), and responsiveness to issues. The effectiveness of oversight and the contractor's track record would be assessed against these predefined metrics.

What is the historical spending trend for F-22 heavy maintenance and backshop services?

The provided data only includes a single contract award. To understand historical spending trends for F-22 heavy maintenance and backshop services, a broader analysis of contract awards over multiple fiscal years would be required. This would involve examining the total obligated amounts, the number of contracts awarded, and the primary contractors involved in supporting the F-22 fleet's maintenance needs. Such an analysis could reveal patterns of increasing or decreasing investment in these critical support functions.

Were there any significant risks identified during the bidding or execution of this contract?

The provided data does not explicitly list identified risks for this contract. However, for a project of this scale and nature, potential risks could include technical challenges in performing complex maintenance, supply chain disruptions for specialized parts, labor availability issues, unforeseen site conditions during construction, and potential cost increases due to material price fluctuations. The Firm Fixed Price nature of the contract suggests the government aimed to mitigate cost overrun risks.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Industrial Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W9123809R0001

Offers Received: 6

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 404 W 400 S, SALT LAKE CITY, UT, 90

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $45,460,130

Exercised Options: $45,460,130

Current Obligation: $45,460,130

Contract Characteristics

Cost or Pricing Data: NO

Timeline