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

Positive Signals

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

Risk Flags

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: ConstructionNonresidential Building ConstructionCommercial and Institutional Building Construction

Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIESCONSTRUCTION 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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