DoD Awards $269M Design-Build Contract for WEG Maintenance Hangar and Apron Facilities
Contract Overview
Contract Amount: $268,880,394 ($268.9M)
Contractor: BL Harbert International LLC
Awarding Agency: Department of Defense
Start Date: 2022-07-12
End Date: 2026-02-16
Contract Duration: 1,315 days
Daily Burn Rate: $204.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: WEG AC MAINTENANCE HANGAR TWO-PHASE DESIGN-BUILD OF ZONE 3 WEG HQ-MAINTENANCE HANGAR AND APRON FACILITIES
Place of Performance
Location: PANAMA CITY BEACH, BAY County, FLORIDA, 32407
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $268.9 million to BL HARBERT INTERNATIONAL LLC for work described as: WEG AC MAINTENANCE HANGAR TWO-PHASE DESIGN-BUILD OF ZONE 3 WEG HQ-MAINTENANCE HANGAR AND APRON FACILITIES Key points: 1. Significant investment in critical infrastructure for the Department of the Army. 2. BL Harbert International LLC secured a large contract, indicating strong capabilities in large-scale construction. 3. The project faces potential risks associated with complex, multi-phase design-build execution and long duration. 4. Construction sector spending remains robust, with large infrastructure projects like this being common.
Value Assessment
Rating: good
The contract value of $269 million for a two-phase design-build project appears reasonable given the scope. Benchmarking against similar large-scale hangar and apron construction projects would provide a more precise assessment, but the scale suggests a competitive bidding process likely yielded a fair price.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which is ideal for price discovery and ensuring the best value for taxpayers. This method allows multiple qualified contractors to bid, driving down costs and fostering innovation.
Taxpayer Impact: Full and open competition is expected to maximize taxpayer value by ensuring the lowest possible price for this significant infrastructure investment.
Public Impact
Enhances critical maintenance capabilities for Army aviation assets. Supports regional economic activity through construction jobs and material procurement in Florida. Long-term asset development for national defense readiness.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Long project duration (over 3 years) increases risk of cost overruns and schedule delays.
- Complex two-phase design-build process can introduce coordination challenges.
- Potential for unforeseen site conditions impacting apron and hangar construction.
Positive Signals
- Awarded under full and open competition, maximizing value.
- Firm Fixed Price contract provides cost certainty.
- Experienced contractor (BL Harbert International LLC) likely to manage project effectively.
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector, a significant area of federal spending. Large infrastructure projects like hangars and aprons are common for the Department of Defense, reflecting substantial investment in maintaining operational readiness.
Small Business Impact
While the prime contractor is BL Harbert International LLC, the contract details do not specify small business subcontracting goals. Further analysis would be needed to determine the extent of small business participation in this large project.
Oversight & Accountability
The Department of the Army's contracting process, utilizing full and open competition for a firm-fixed-price contract, suggests a structured approach to oversight. However, the long duration necessitates ongoing monitoring to ensure adherence to schedule and budget.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Schedule Overruns
- Cost Overruns
- Design Deficiencies
- Unforeseen Site Conditions
- Coordination Issues between Design and Build Phases
Tags
commercial-and-institutional-building-co, department-of-defense, fl, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $268.9 million to BL HARBERT INTERNATIONAL LLC. WEG AC MAINTENANCE HANGAR TWO-PHASE DESIGN-BUILD OF ZONE 3 WEG HQ-MAINTENANCE HANGAR AND APRON FACILITIES
Who is the contractor on this award?
The obligated recipient is BL HARBERT INTERNATIONAL 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 $268.9 million.
What is the period of performance?
Start: 2022-07-12. End: 2026-02-16.
What is the estimated cost per square foot for the hangar and apron facilities compared to industry benchmarks?
Without detailed architectural plans and specifications, calculating a precise cost per square foot is challenging. However, given the $269 million contract value and the likely extensive square footage for a maintenance hangar and apron, the cost per square foot would need to be benchmarked against similar large-scale, specialized aviation facilities. Factors like specialized equipment, environmental controls, and apron load-bearing capacity will influence this metric.
What are the specific risks associated with the two-phase design-build approach for this project?
The primary risks of a two-phase design-build involve potential disconnects between the design and construction phases if not managed meticulously. Phase I (design) might not fully anticipate all construction challenges, leading to change orders or delays in Phase II (construction). Ensuring seamless communication and robust oversight between the design team and the builder is crucial to mitigate these risks and maintain cost and schedule control.
How will the effectiveness of the new hangar and apron facilities be measured post-completion?
Effectiveness will likely be measured by the facility's ability to support scheduled maintenance operations without delays, reduce aircraft turnaround times, and improve overall operational readiness. Key performance indicators could include maintenance backlog reduction, equipment uptime, and user satisfaction surveys from aviation units. Post-occupancy evaluations and operational data analysis will be critical.
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
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: W9127820R0028
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 820 SHADES CREEK PKWY STE 3000, BIRMINGHAM, AL, 35209
Business Categories: Category Business, Limited Liability Corporation, Not Designated a Small Business, Partnership or Limited Liability Partnership, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $269,800,058
Exercised Options: $268,880,394
Current Obligation: $268,880,394
Subaward Activity
Number of Subawards: 44
Total Subaward Amount: $47,369,475
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2022-07-12
Current End Date: 2026-02-16
Potential End Date: 2026-02-16 00:00:00
Last Modified: 2026-01-09
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