DoD Awards $175M Firm Fixed Price Contract for Tyndall AFB Construction to BL Harbert International
Contract Overview
Contract Amount: $174,899,592 ($174.9M)
Contractor: BL Harbert International LLC
Awarding Agency: Department of Defense
Start Date: 2022-07-21
End Date: 2026-01-12
Contract Duration: 1,271 days
Daily Burn Rate: $137.6K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 5
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: TYNDALL AIR FORCE BASE ZONE 5 - CE/CONS/USACE COMPLEX AND LRS COMPLEX
Place of Performance
Location: TYNDALL AFB, BAY County, FLORIDA, 32403
State: Florida Government Spending
Plain-Language Summary
Department of Defense obligated $174.9 million to BL HARBERT INTERNATIONAL LLC for work described as: TYNDALL AIR FORCE BASE ZONE 5 - CE/CONS/USACE COMPLEX AND LRS COMPLEX Key points: 1. Significant investment in critical Air Force infrastructure at Tyndall AFB. 2. BL Harbert International, a large contractor, secured the award. 3. Potential for cost overruns or schedule delays in large construction projects. 4. Construction sector spending is substantial, with this contract representing a portion of that.
Value Assessment
Rating: good
The contract is a Firm Fixed Price (FFP) award, which typically provides good value by shifting risk to the contractor. The award amount of $175M is substantial for a single construction project.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, indicating a robust price discovery process. This method generally leads to more competitive pricing.
Taxpayer Impact: Taxpayers benefit from competitive bidding, which aims to secure the best value for the government on this significant infrastructure project.
Public Impact
Modernization of critical Air Force facilities at Tyndall AFB. Supports economic activity in the Florida region through construction jobs. Ensures operational readiness and improved living/working conditions for service members.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Large contract value increases risk of cost overruns.
- Long duration (over 3 years) can lead to unforeseen issues.
- No small business participation noted.
Positive Signals
- Firm Fixed Price contract structure.
- Full and open competition.
- Awarded to an experienced large contractor.
Sector Analysis
This contract falls within the Commercial and Institutional Building Construction sector. Federal spending in this sector is significant, supporting military base infrastructure and other government facilities. Benchmarks for similar large-scale construction projects vary widely based on scope and location.
Small Business Impact
The data indicates that this contract was not awarded to a small business (ss: false, sb: false). There is no indication of subcontracting goals for small businesses within this award.
Oversight & Accountability
The contract was awarded by the Department of the Army, USACE, indicating oversight from a major federal agency. The firm fixed price nature and competitive award process suggest a degree of accountability in pricing.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- No small business participation.
- Long contract duration increases risk exposure.
- Large contract value presents significant financial risk.
- Potential for unforeseen site conditions in construction.
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 $174.9 million to BL HARBERT INTERNATIONAL LLC. TYNDALL AIR FORCE BASE ZONE 5 - CE/CONS/USACE COMPLEX AND LRS COMPLEX
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 $174.9 million.
What is the period of performance?
Start: 2022-07-21. End: 2026-01-12.
What is the projected return on investment for the infrastructure improvements at Tyndall AFB funded by this contract?
The return on investment (ROI) for infrastructure improvements is typically measured by factors such as increased operational efficiency, reduced maintenance costs, enhanced force protection, and improved quality of life for personnel. Specific ROI metrics for the Tyndall AFB project would require detailed analysis of the project's scope, expected lifespan of the new facilities, and projected operational savings compared to current conditions.
What are the primary risks associated with the long duration and large value of this construction contract?
The primary risks include potential cost escalation due to inflation over the multi-year period, unforeseen site conditions requiring change orders, contractor performance issues, and potential delays impacting the Air Force's operational timelines. The large value amplifies the financial impact of any such risks, necessitating robust project management and oversight from the contracting agency.
How effectively does the firm fixed price contract structure mitigate potential cost overruns for the government in this specific project?
The firm fixed price (FFP) structure is designed to transfer most cost overrun risk to the contractor. However, effectiveness can be limited by poorly defined scope, leading to change orders that increase costs, or by contractor default. For this project, the success of the FFP will depend on the clarity of the contract's specifications and the contractor's ability to manage their own costs effectively.
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: W9127820R0041
Offers Received: 5
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: $176,203,772
Exercised Options: $174,899,592
Current Obligation: $174,899,592
Subaward Activity
Number of Subawards: 16
Total Subaward Amount: $20,766,140
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2022-07-21
Current End Date: 2026-01-12
Potential End Date: 2026-01-12 00:00:00
Last Modified: 2025-09-12
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