Air Force Awards $19.8M for Runway Repair to United Crane and Excavation

Contract Overview

Contract Amount: $19,817,205 ($19.8M)

Contractor: United Crane and Excavation, Inc.

Awarding Agency: Department of Defense

Start Date: 2025-12-29

End Date: 2026-09-20

Contract Duration: 265 days

Daily Burn Rate: $74.8K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONTRACTOR SHALL PROVIDE ALL MATERIALS, PLANS, TRAVEL, PLANT, LABOR, AND EQUIPMENT NECESSARY TO CONSTRUCT REPAIR RUNWAY 18/36 IN THE GENERAL AREAS OF WORK IDENTIFIED IN THIS SOW.

Place of Performance

Location: GRAND FORKS AFB, GRAND FORKS County, NORTH DAKOTA, 58205

State: North Dakota Government Spending

Plain-Language Summary

Department of Defense obligated $19.8 million to UNITED CRANE AND EXCAVATION, INC. for work described as: CONTRACTOR SHALL PROVIDE ALL MATERIALS, PLANS, TRAVEL, PLANT, LABOR, AND EQUIPMENT NECESSARY TO CONSTRUCT REPAIR RUNWAY 18/36 IN THE GENERAL AREAS OF WORK IDENTIFIED IN THIS SOW. Key points: 1. Significant investment in critical infrastructure for runway maintenance. 2. Competition method suggests potential for price discovery, but exclusion of sources warrants scrutiny. 3. Risk of cost overruns or delays exists in large construction projects. 4. Construction sector spending is substantial, with this contract representing a portion of infrastructure investment.

Value Assessment

Rating: good

The contract value of $19.8 million for runway repair appears reasonable given the scope of work involving materials, plans, travel, and labor. Benchmarking against similar large-scale airfield construction projects would provide a more precise assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES,' indicating a competitive process but with specific limitations. This method may impact the extent of price discovery compared to unrestricted full and open competition.

Taxpayer Impact: Taxpayer funds are being utilized for essential military infrastructure upgrades, aiming for long-term operational benefits.

Public Impact

Ensures continued operational readiness of a key Air Force facility. Supports economic activity through construction contracts and associated labor. Potential for disruption during construction phases, impacting flight schedules or base operations.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Limited competition may not yield the best possible price.
  • Construction projects are susceptible to unforeseen issues and cost escalations.
  • Exclusion of sources requires justification to ensure fairness and value.

Positive Signals

  • Addresses critical infrastructure need for runway repair.
  • Firm Fixed Price contract provides cost certainty for the government.
  • Defined project scope and duration.

Sector Analysis

This contract falls within the Highway, Street, and Bridge Construction sector, a significant area of government spending for infrastructure development and maintenance. Benchmarks for similar airfield construction projects are essential for evaluating cost-effectiveness.

Small Business Impact

The contract was awarded to United Crane and Excavation, Inc. There is no indication in the provided data whether small businesses were involved as subcontractors or if the prime contractor is a small business. Further analysis would be needed to assess small business participation.

Oversight & Accountability

The Department of the Air Force is responsible for overseeing this contract. Standard oversight mechanisms for construction projects, including site inspections and progress reviews, should be in place to ensure quality and adherence to the contract terms.

Related Government Programs

  • Highway, Street, and Bridge Construction
  • Department of Defense Contracting
  • Department of the Air Force Programs

Risk Flags

  • Potential for cost overruns due to construction complexities.
  • Limited competition may not represent the best value.
  • Dependence on contractor's ability to manage project risks.
  • Need for robust government oversight to ensure quality and compliance.

Tags

highway-street-and-bridge-construction, department-of-defense, nd, delivery-order, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $19.8 million to UNITED CRANE AND EXCAVATION, INC.. CONTRACTOR SHALL PROVIDE ALL MATERIALS, PLANS, TRAVEL, PLANT, LABOR, AND EQUIPMENT NECESSARY TO CONSTRUCT REPAIR RUNWAY 18/36 IN THE GENERAL AREAS OF WORK IDENTIFIED IN THIS SOW.

Who is the contractor on this award?

The obligated recipient is UNITED CRANE AND EXCAVATION, INC..

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Air Force).

What is the total obligated amount?

The obligated amount is $19.8 million.

What is the period of performance?

Start: 2025-12-29. End: 2026-09-20.

What specific criteria led to the exclusion of certain sources in the competition?

The exclusion of sources in a 'full and open competition after exclusion of sources' award typically stems from specific technical requirements, unique capabilities, or prior performance history that only a limited number of contractors can meet. Understanding these criteria is crucial to determine if the exclusion was justified and if it potentially limited the government's ability to secure the most competitive pricing.

What are the potential risks associated with the firm-fixed-price contract type for this large-scale construction project?

While a firm-fixed-price contract offers cost certainty, it shifts the risk of cost overruns to the contractor. For a large construction project like runway repair, unforeseen site conditions, material price fluctuations, or labor shortages could significantly challenge the contractor's ability to complete the work within the agreed price, potentially leading to disputes or contractor default if not managed carefully.

How will the effectiveness of the runway repair be measured and ensured post-completion?

Effectiveness will likely be measured through post-construction inspections, material testing, and performance metrics defined in the SOW, such as load-bearing capacity and surface integrity. The Air Force's quality assurance personnel will monitor the construction process and verify that the completed repairs meet all specified standards and operational requirements for runway 18/36.

Industry Classification

NAICS: ConstructionHighway, Street, and Bridge ConstructionHighway, Street, and Bridge Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTYMAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1201 N 83RD STREET, GRAND FORKS, ND, 58203

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $19,817,205

Exercised Options: $19,817,205

Current Obligation: $19,817,205

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: FA465924D0001

IDV Type: IDC

Timeline

Start Date: 2025-12-29

Current End Date: 2026-09-20

Potential End Date: 2026-09-20 00:00:00

Last Modified: 2025-09-26

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