DoD's $12.5M Hangar Repair Contract Awarded to TCG Construction Inc. for Structural and Fire Protection Systems

Contract Overview

Contract Amount: $12,554,826 ($12.6M)

Contractor: TCG Construction Inc

Awarding Agency: Department of Defense

Start Date: 2026-01-12

End Date: 2028-01-12

Contract Duration: 730 days

Daily Burn Rate: $17.2K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 3

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: REQUIREMENTS FOR DESIGN-BUILD PROJECT TO REPAIR HANGAR 211 STRUCTURAL AND FIRE PROTECTION SYSTEMS

Place of Performance

Location: MOUNTAIN HOME AFB, ELMORE County, IDAHO, 83648

State: Idaho Government Spending

Plain-Language Summary

Department of Defense obligated $12.6 million to TCG CONSTRUCTION INC for work described as: REQUIREMENTS FOR DESIGN-BUILD PROJECT TO REPAIR HANGAR 211 STRUCTURAL AND FIRE PROTECTION SYSTEMS Key points: 1. The contract value represents a significant investment in maintaining critical Air Force infrastructure. 2. The firm-fixed-price structure aims to provide cost certainty for the government. 3. The duration of the contract suggests a complex and extensive repair project. 4. The project's focus on structural and fire protection systems highlights safety and operational readiness priorities. 5. The award to a single contractor necessitates careful oversight to ensure quality and adherence to scope.

Value Assessment

Rating: fair

Benchmarking the value of this specific contract is challenging without detailed cost breakdowns or comparable repair projects. However, the firm-fixed-price nature suggests an attempt to control costs. The total award amount of $12.5 million for a two-year repair project on a hangar's structural and fire protection systems appears within a reasonable range for complex construction and maintenance, but a detailed cost analysis would be needed for a definitive assessment.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'Full and Open Competition After Exclusion of Sources,' which is an unusual designation. Typically, 'full and open competition' implies broad solicitation. The exclusion of sources suggests that while competition was sought, certain entities were not considered or were excluded for specific reasons, potentially related to specialized capabilities or prior performance. The number of bidders (3) indicates some level of competition, but the exclusion clause warrants further investigation into the rationale behind it.

Taxpayer Impact: The limited competition, even with exclusions, may have resulted in a higher price than if all potential qualified bidders had been included. Taxpayers benefit from the competitive aspect, but the exclusion of sources could limit the potential for achieving the lowest possible price.

Public Impact

The primary beneficiaries are the U.S. Air Force personnel and operations reliant on Hangar 211. The contract delivers essential repairs to structural integrity and fire protection systems, enhancing safety and operational readiness. The geographic impact is localized to the specific Air Force base where Hangar 211 is located. The project will likely involve a workforce of construction professionals, tradespeople, and project managers.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

The 'Full and Open Competition After Exclusion of Sources' designation requires clarification to understand the impact on true market competition and potential price inflation.
Lack of detailed cost breakdowns makes it difficult to assess value for money comprehensively.
The specific nature of structural and fire protection repairs could involve unforeseen complexities that may impact the final cost or timeline.

Positive Signals

The firm-fixed-price contract type provides cost certainty for the government.
The project addresses critical infrastructure needs, ensuring operational readiness and safety.
The award involves a competitive process, even with exclusions, suggesting some level of market engagement.

Sector Analysis

This contract falls within the Commercial and Institutional Building Construction sector, specifically focusing on specialized repair and maintenance of government facilities. The market for such services is competitive, with numerous firms capable of undertaking large-scale construction and repair projects. Government contracts often represent a significant portion of work for specialized construction companies, and projects like this are crucial for maintaining aging military infrastructure.

Small Business Impact

The data indicates that small business participation (sb: false) was not a specific set-aside requirement for this contract. There is no explicit information on subcontracting plans for small businesses. This suggests that the primary contractor, TCG Construction Inc., will likely manage the project with its own resources or through larger subcontractors, potentially limiting direct opportunities for small businesses on this specific award.

Oversight & Accountability

Oversight for this contract will likely be managed by the Department of the Air Force contracting and engineering divisions. Accountability measures will be tied to the contract's performance clauses, delivery schedules, and quality standards. Transparency will be facilitated through contract award announcements and potentially through public reporting on federal spending databases. Inspector General jurisdiction would apply if any fraud, waste, or abuse is suspected.

Related Government Programs

Military Base Infrastructure Maintenance
Air Force Facility Repair and Modernization
Government Construction Contracts
Fire Protection System Installation and Repair
Structural Repair Services

Risk Flags

Potential for cost overruns due to unforeseen structural issues.
Risk of project delays impacting base operations.
Ensuring quality of repairs meets stringent military standards.
Effectiveness of the 'exclusion of sources' in achieving best value.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $12.6 million to TCG CONSTRUCTION INC. REQUIREMENTS FOR DESIGN-BUILD PROJECT TO REPAIR HANGAR 211 STRUCTURAL AND FIRE PROTECTION SYSTEMS

Who is the contractor on this award?

The obligated recipient is TCG CONSTRUCTION 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 $12.6 million.

What is the period of performance?

Start: 2026-01-12. End: 2028-01-12.

What is the track record of TCG Construction Inc. in performing similar large-scale government infrastructure repair projects?

TCG Construction Inc.'s track record in performing similar large-scale government infrastructure repair projects would need to be assessed through their past performance evaluations and contract history. A review of their previous awards, project completion success rates, and any reported issues or disputes would provide insight into their capability and reliability. For this specific contract, the Air Force would have likely reviewed TCG's past performance as part of the source selection process, especially given the 'exclusion of sources' clause which might be tied to specific pre-qualification criteria or past performance.

How does the awarded price of $12.5 million compare to similar hangar repair projects within the Department of Defense or other federal agencies?

Comparing the $12.5 million award for Hangar 211 repairs requires access to a database of similar projects, including their scope, duration, and location. Without such a benchmark, it's difficult to definitively state if the price is high or low. Factors like the specific structural issues, the complexity of the fire protection system upgrade, the age and condition of the hangar, and the geographic location (which affects labor and material costs) all influence pricing. The firm-fixed-price nature suggests the government sought a predictable cost, but the actual value for money depends on the quality of work delivered over the contract's duration.

What are the specific risks associated with repairing structural and fire protection systems in a military hangar, and how are they mitigated in this contract?

Risks in repairing structural and fire protection systems in a military hangar include potential for unforeseen structural damage, disruption to ongoing base operations, safety hazards during construction, and integration issues with existing systems. Mitigation strategies in this contract likely involve detailed site assessments prior to work, phased construction to minimize operational impact, strict safety protocols, and robust quality assurance measures. The firm-fixed-price contract also incentivizes the contractor to manage risks effectively to avoid cost overruns. The specific 'exclusion of sources' might also be a risk mitigation strategy if it was based on ensuring only highly qualified contractors with proven experience in similar environments were considered.

What is the expected impact of these repairs on the operational effectiveness and safety of the Air Force base where Hangar 211 is located?

The repairs are expected to significantly enhance the operational effectiveness and safety of the Air Force base. A structurally sound hangar ensures the protection of valuable aircraft and equipment housed within. Modernized fire protection systems are critical for preventing catastrophic damage and ensuring the safety of personnel. By addressing these critical systems, the contract directly supports the base's mission readiness, reducing the risk of downtime due to infrastructure failure and improving the overall safety environment for military operations.

How has spending on hangar maintenance and repair, specifically for structural and fire protection systems, trended within the Department of the Air Force over the past five years?

Analyzing spending trends for hangar maintenance and repair, particularly for structural and fire protection systems within the Department of the Air Force over the past five years, would require access to historical federal procurement data. Generally, such spending can fluctuate based on infrastructure age, budget allocations, and specific modernization initiatives. A consistent or increasing trend might indicate a growing need to address aging facilities, while a decrease could suggest a shift in priorities or successful completion of major repair cycles. This specific $12.5 million contract represents a significant single investment within this category for the current period.

What does the 'Full and Open Competition After Exclusion of Sources' designation imply about the procurement process and potential bidder pool?

The 'Full and Open Competition After Exclusion of Sources' designation is somewhat contradictory. 'Full and Open Competition' typically means all responsible sources are permitted to submit an offer. However, the 'after exclusion of sources' part indicates that certain potential sources were deliberately excluded from the competition. This exclusion could be based on various factors, such as specific technical requirements, past performance issues, security clearances, or geographic limitations. It implies that while a competitive process was intended, the pool of eligible bidders was intentionally narrowed, which could impact the breadth of competition and potentially the final price achieved compared to a truly unrestricted full and open competition.

Industry Classification

NAICS: Construction › Nonresidential Building Construction › Commercial and Institutional Building Construction

Product/Service Code: MAINT, REPAIR, ALTER REAL PROPERTY › MAINT, ALTER, REPAIR NONBUILDINGS

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Solicitation Procedures: TWO STEP

Solicitation ID: FA489725B0004

Offers Received: 3

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 150 S ADKINS WAY STE 130, MERIDIAN, ID, 83642

Business Categories: 8(a) Program Participant, Asian Pacific American Owned Business, Category Business, Corporate Entity Not Tax Exempt, DoT Certified Disadvantaged Business Enterprise, Minority Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, Subchapter S Corporation, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $12,554,826

Exercised Options: $12,554,826

Current Obligation: $12,554,826

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline