DoD Awards $208M for Ellsworth AFB B21 Facility Construction to BL Harbert International

Contract Overview

Contract Amount: $208,062,251 ($208.1M)

Contractor: BL Harbert International LLC

Awarding Agency: Department of Defense

Start Date: 2024-02-12

End Date: 2027-03-07

Contract Duration: 1,119 days

Daily Burn Rate: $185.9K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION OF THE B21 WEAPONS GENERATION FACILITY - SITE F (WGF-F) ELLSWORTH AFB, SD

Place of Performance

Location: ELLSWORTH AFB, MEADE County, SOUTH DAKOTA, 57706

State: South Dakota Government Spending

Plain-Language Summary

Department of Defense obligated $208.1 million to BL HARBERT INTERNATIONAL LLC for work described as: CONSTRUCTION OF THE B21 WEAPONS GENERATION FACILITY - SITE F (WGF-F) ELLSWORTH AFB, SD Key points: 1. Significant investment in critical defense infrastructure. 2. BL Harbert International, a large contractor, secured the award. 3. Risk of cost overruns in large-scale construction projects. 4. Construction sector faces material and labor cost volatility.

Value Assessment

Rating: good

The contract value of $208M appears reasonable for a large-scale military construction project of this nature. Benchmarking against similar Department of Defense construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The award was made under full and open competition, suggesting a robust price discovery process. The use of a firm-fixed-price contract aims to control costs, but potential for change orders exists in complex construction.

Taxpayer Impact: Taxpayer funds are being utilized for essential national defense infrastructure. Competitive bidding should ensure value for money, but vigilance against scope creep is necessary.

Public Impact

Enhances U.S. strategic bomber capabilities. Supports economic activity in South Dakota through construction jobs. Potential for long-term operational cost savings due to modern facility.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Positive Signals

Sector Analysis

This project falls within the construction sector, specifically commercial and institutional building. Large federal construction projects often involve significant budgets and are subject to stringent oversight due to their scale and complexity.

Small Business Impact

The data indicates this contract was not awarded to a small business. While large prime contractors are necessary for projects of this magnitude, subcontracting opportunities for small businesses should be explored and encouraged.

Oversight & Accountability

Oversight will be crucial to monitor progress, manage potential risks, and ensure compliance with contract terms. The Department of the Army's contracting activity suggests established oversight mechanisms are in place.

Related Government Programs

Risk Flags

Tags

commercial-and-institutional-building-co, department-of-defense, sd, definitive-contract, 100m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $208.1 million to BL HARBERT INTERNATIONAL LLC. CONSTRUCTION OF THE B21 WEAPONS GENERATION FACILITY - SITE F (WGF-F) ELLSWORTH AFB, SD

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 $208.1 million.

What is the period of performance?

Start: 2024-02-12. End: 2027-03-07.

What is the projected return on investment for this facility in terms of operational efficiency and lifespan?

The return on investment is primarily measured by the facility's contribution to the operational readiness and longevity of the B-21 bomber program. A modern, purpose-built facility is expected to reduce maintenance costs, improve operational turnaround times, and extend the service life of the aircraft compared to utilizing older, less suitable infrastructure.

What specific risk mitigation strategies are in place to address potential cost overruns in this firm-fixed-price contract?

While a firm-fixed-price contract shifts cost risk to the contractor, mitigation strategies likely include detailed initial scope definition, robust contractor pre-qualification, and a clear change order process. The government will likely employ rigorous project management and inspection to ensure work aligns with the contract and to identify potential issues early, minimizing costly deviations.

How will the effectiveness of this new facility be measured post-construction?

Effectiveness will be measured against key performance indicators related to operational availability of the B-21, maintenance turnaround times, energy efficiency, and overall facility lifecycle costs. User feedback from Air Force personnel operating and maintaining the facility will also be critical in assessing its functional success and contribution to mission objectives.

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: W9128F23R0017

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 820 SHADES CREEK PKWY, 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: $208,062,251

Exercised Options: $208,062,251

Current Obligation: $208,062,251

Actual Outlays: $19,168,408

Subaward Activity

Number of Subawards: 37

Total Subaward Amount: $120,992,259

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2024-02-12

Current End Date: 2027-03-07

Potential End Date: 2027-03-07 00:00:00

Last Modified: 2026-01-05

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