DoD Awards $17.1M for RAAF Tindal Squadron Operations Facility Construction
Contract Overview
Contract Amount: $17,119,389 ($17.1M)
Contractor: C.C. Pines PTY. Limited
Awarding Agency: Department of Defense
Start Date: 2024-05-03
End Date: 2026-04-30
Contract Duration: 727 days
Daily Burn Rate: $23.5K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: FY22 MCAF PAF180700, SQUADRON OPERATIONS FACILITY, ROYAL AUSTRALIAN AIR FORCE BASE TINDAY, AUSTRALIA
Plain-Language Summary
Department of Defense obligated $17.1 million to C.C. PINES PTY. LIMITED for work described as: FY22 MCAF PAF180700, SQUADRON OPERATIONS FACILITY, ROYAL AUSTRALIAN AIR FORCE BASE TINDAY, AUSTRALIA Key points: 1. Construction contract awarded to C.C. Pines Pty. Limited for a facility at RAAF Base Tindal. 2. The contract is for Firm Fixed Price, indicating a clear cost structure. 3. Full and open competition was utilized, suggesting a competitive bidding process. 4. The project duration is 727 days, spanning nearly two years. 5. No small business participation was noted in this award.
Value Assessment
Rating: fair
The award amount of $17.1M for a squadron operations facility appears within a reasonable range for a specialized construction project of this scale and duration. Benchmarking against similar international military construction projects would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, which typically fosters competitive pricing. The use of a definitive contract suggests a well-defined scope of work, allowing bidders to provide accurate cost proposals.
Taxpayer Impact: Taxpayer funds are being used for a critical infrastructure project supporting allied military operations, with the expectation of value derived from competitive procurement.
Public Impact
Enhances operational capabilities for the Royal Australian Air Force. Supports U.S. defense cooperation and presence in the Indo-Pacific region. Contributes to local economic activity through construction jobs and material sourcing. Represents a long-term investment in shared defense infrastructure.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Lack of small business participation.
- Potential for cost overruns in international construction projects.
- Geopolitical risks impacting project timeline or scope.
Positive Signals
- Awarded via full and open competition.
- Firm Fixed Price contract type.
- Supports key U.S. strategic interests in Australia.
Sector Analysis
This contract falls under the Commercial and Institutional Building Construction sector. Spending in this sector for defense infrastructure can vary significantly based on global strategic needs and base development priorities. The $17.1M award is substantial for a single facility but aligns with major infrastructure investments.
Small Business Impact
The award notice indicates that small business participation was not a factor in this specific contract. This could be due to the nature of the prime contractor or the specialized requirements of the project, which may not have been suitable for small business subcontracting.
Oversight & Accountability
The Department of the Navy, acting as the procuring agency, is responsible for overseeing this contract. Oversight would focus on ensuring C.C. Pines Pty. Limited adheres to the contract terms, schedule, and quality standards throughout the construction period.
Related Government Programs
- Commercial and Institutional Building Construction
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for cost escalation due to international location.
- Dependency on a single prime contractor for project completion.
- Limited visibility into subcontracting opportunities for small businesses.
- Geopolitical factors affecting long-term stability and project execution.
Tags
commercial-and-institutional-building-co, department-of-defense, definitive-contract, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $17.1 million to C.C. PINES PTY. LIMITED. FY22 MCAF PAF180700, SQUADRON OPERATIONS FACILITY, ROYAL AUSTRALIAN AIR FORCE BASE TINDAY, AUSTRALIA
Who is the contractor on this award?
The obligated recipient is C.C. PINES PTY. LIMITED.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $17.1 million.
What is the period of performance?
Start: 2024-05-03. End: 2026-04-30.
What is the specific breakdown of costs within the $17.1M award, and how does it compare to industry benchmarks for similar facilities?
The provided data does not include a detailed cost breakdown. A comprehensive analysis would require access to the contract's line-item details to compare labor, materials, overhead, and profit against established construction cost indices and benchmarks for military facilities of comparable size and complexity.
What are the primary risks associated with constructing a facility in Australia for a U.S. Department of Defense contract, and how are they being mitigated?
Key risks include navigating Australian building codes and regulations, potential supply chain disruptions for specialized materials, currency exchange rate fluctuations, and logistical challenges of managing an international project. Mitigation strategies likely involve close coordination with local authorities, robust project management, and contingency planning for unforeseen issues.
How effectively does this facility construction contribute to the overall mission readiness and operational goals of the Royal Australian Air Force and U.S. Forces?
The facility is designed to support squadron operations, implying a direct enhancement to the unit's ability to perform its mission. Its effectiveness is measured by its contribution to improved operational tempo, enhanced training capabilities, and better logistical support, ultimately bolstering the combined operational readiness in the region.
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: N6274223R1316
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 1000 OXFORD FALLS RD, OXFORD FALLS
Business Categories: Category Business, Foreign Owned, Not Designated a Small Business, Special Designations
Financial Breakdown
Contract Ceiling: $17,119,389
Exercised Options: $17,119,389
Current Obligation: $17,119,389
Actual Outlays: $1,829,182
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2024-05-03
Current End Date: 2026-04-30
Potential End Date: 2026-04-30 00:00:00
Last Modified: 2025-09-17
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