DoD's $21.6M Tyndall AFB Renovation Contract Awarded to CCI Energy and Construction Services

Contract Overview

Contract Amount: $21,582,801 ($21.6M)

Contractor: CCI Energy and Construction Services, LLC

Awarding Agency: Department of Defense

Start Date: 2020-09-28

End Date: 2025-09-30

Contract Duration: 1,828 days

Daily Burn Rate: $11.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: B485 RENOVATION TYNDALL AFB, FL

Place of Performance

Location: PANAMA CITY, BAY County, FLORIDA, 32403

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $21.6 million to CCI ENERGY AND CONSTRUCTION SERVICES, LLC for work described as: B485 RENOVATION TYNDALL AFB, FL Key points: 1. Contract awarded for significant base renovation, indicating substantial infrastructure investment. 2. The contract's duration of over 1800 days suggests a complex, multi-phase project. 3. Fixed-price contract type aims to control costs, but scope creep could impact final expenditure. 4. The award was made under full and open competition after exclusion of sources, implying a specific justification for limiting initial bidders. 5. Geographic focus on Florida highlights regional infrastructure development within the DoD. 6. The project falls under commercial and institutional building construction, a broad category with varying cost drivers.

Value Assessment

Rating: fair

Benchmarking the value of this $21.6 million contract is challenging without detailed scope information. However, the duration of over 1800 days suggests a large-scale renovation. The firm-fixed-price structure is generally favorable for cost control, but the final cost will depend heavily on the execution and management of the project. Comparing it to similar large-scale military base renovation projects would provide better context on cost-effectiveness.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources.' This indicates that while the competition was intended to be open, specific sources were excluded, suggesting a pre-qualification or a justification for a narrowed initial pool. The exact number of bidders is not provided, but the 'exclusion of sources' implies a less broad competition than a purely full and open process.

Taxpayer Impact: The exclusion of sources may limit the potential for the most competitive pricing, potentially leading to higher costs for taxpayers compared to a truly unrestricted full and open competition.

Public Impact

The primary beneficiaries are the Department of Defense and military personnel stationed at Tyndall Air Force Base, Florida, who will receive improved facilities. The contract delivers essential renovation and construction services for institutional buildings. The geographic impact is concentrated in Florida, specifically at Tyndall AFB. The project will likely involve a significant construction workforce, potentially creating jobs in the region.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if project scope expands beyond initial estimates.
Risk associated with the 'exclusion of sources' in the competition, which could limit price discovery.
Dependency on contractor's ability to manage a long-duration, complex construction project effectively.

Positive Signals

Firm-fixed-price contract type provides cost certainty for the government.
Awarding to a single contractor for a large project can streamline management and execution.
The project addresses critical infrastructure needs at a major military installation.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector. This sector is characterized by a wide range of projects, from small renovations to large-scale new builds. Federal spending in this area often supports military readiness, government operations, and public infrastructure. The market size for federal construction is substantial, with significant annual outlays. This specific contract represents a portion of the DoD's ongoing investment in maintaining and upgrading its facilities.

Small Business Impact

The data indicates that this contract was not set aside for small businesses (ss: false, sb: false). Therefore, there are no direct subcontracting requirements mandated by a small business set-aside. The prime contractor, CCI Energy and Construction Services, LLC, will likely determine its own subcontracting strategy. The absence of a set-aside means that larger, established construction firms were likely the primary focus of the competition.

Oversight & Accountability

Oversight for this contract would typically be managed by the contracting officer and the relevant contracting command within the Department of the Army. Performance monitoring, quality assurance, and compliance checks are standard oversight mechanisms. Transparency is generally maintained through contract award databases like FPDS. Inspector General jurisdiction may apply if fraud, waste, or abuse is suspected.

Related Government Programs

Tyndall Air Force Base Infrastructure Projects
Department of Defense Facility Modernization
Military Construction (MILCON) Program
Commercial and Institutional Building Construction Contracts

Risk Flags

Potential for cost escalation due to long project duration.
Reduced competition due to 'exclusion of sources' may impact price.
Scope definition clarity is critical for fixed-price contract success.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $21.6 million to CCI ENERGY AND CONSTRUCTION SERVICES, LLC. B485 RENOVATION TYNDALL AFB, FL

Who is the contractor on this award?

The obligated recipient is CCI ENERGY AND CONSTRUCTION SERVICES, LLC.

Which agency awarded this contract?

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

What is the total obligated amount?

The obligated amount is $21.6 million.

What is the period of performance?

Start: 2020-09-28. End: 2025-09-30.

What is the track record of CCI Energy and Construction Services, LLC with federal contracts, particularly within the Department of Defense?

A review of federal contract databases would be necessary to fully assess CCI Energy and Construction Services, LLC's track record. Key metrics to examine would include the number of contracts awarded, their total value, the agencies they have served, and their performance ratings on past projects. Specific attention should be paid to their experience with projects of similar scale and complexity to the B485 Renovation at Tyndall AFB. Understanding their history with fixed-price contracts and their on-time and on-budget completion rates would provide valuable insight into their reliability and capability for this significant undertaking.

How does the awarded amount of $21.6 million compare to similar large-scale base renovation projects undertaken by the DoD?

Comparing the $21.6 million award requires identifying comparable projects based on scope, size of facility renovated, and duration. Large-scale military base renovations can vary significantly in cost depending on the specific buildings, infrastructure upgrades (e.g., utilities, roads), and the extent of modernization required. Without specific details on the scope of the B485 Renovation, a direct cost comparison is difficult. However, projects involving the renovation of multiple buildings or significant structural overhauls on a major air force base could easily run into tens of millions of dollars. Benchmarking against projects with similar square footage renovated or similar types of facilities (e.g., barracks, administrative buildings, hangars) would provide a more accurate assessment of value.

What are the primary risks associated with a firm-fixed-price contract for a project spanning over 1800 days?

While firm-fixed-price (FFP) contracts are designed to provide cost certainty, long-duration projects carry inherent risks. For the contractor, the primary risk is underestimating costs, especially with potential inflation over the project's lifespan or unforeseen site conditions that could increase labor and material expenses. For the government, the risk lies in the contractor potentially cutting corners on quality to maintain profitability if costs escalate, or seeking change orders if the scope is not perfectly defined upfront. Effective project management, clear scope definition, and robust oversight are crucial to mitigate these risks on long-term FFP contracts.

What does the 'after exclusion of sources' clause in the competition type imply for the bidding process and potential cost savings?

The 'after exclusion of sources' designation suggests that the initial solicitation or pre-qualification process narrowed the field of potential bidders from a broader 'full and open' competition. This could be due to specific technical requirements, past performance criteria, or other justifications for limiting the pool. While it aims to ensure qualified bidders, it inherently reduces the breadth of competition. Fewer bidders generally lead to less aggressive pricing, potentially resulting in higher costs for the government compared to a scenario where numerous companies were vying for the contract. The justification for excluding sources would need to be robust to ensure fair value.

How has federal spending on commercial and institutional building construction, particularly for the Department of Defense, trended in recent years?

Federal spending on commercial and institutional building construction, especially by the Department of Defense, has generally remained robust, driven by the need to maintain and modernize military infrastructure. Trends often reflect national security priorities, readiness requirements, and aging facilities. The DoD's Military Construction (MILCON) program, in particular, sees significant annual appropriations. Factors like geopolitical events, base realignment and closure (BRAC) actions, and investments in new technologies can influence spending patterns. Analyzing historical spending data for similar renovation projects at Air Force bases would provide context for the $21.6 million award.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

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

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: TWO STEP

Solicitation ID: W9127817R0043

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 51 3RD ST BLDG 2, SHALIMAR, FL, 32579

Business Categories: 8(a) Program Participant, Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $21,582,801

Exercised Options: $21,582,801

Current Obligation: $21,582,801

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: W9127820D0060

IDV Type: IDC

Timeline