DoD Awards $44.7M for MacDill AFB Power Infrastructure to Panhandle Power Solutions

Contract Overview

Contract Amount: $44,753,106 ($44.8M)

Contractor: Panhandle Power Solutions LLC

Awarding Agency: Department of Defense

Start Date: 2023-09-22

End Date: 2026-02-10

Contract Duration: 872 days

Daily Burn Rate: $51.3K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN AND CONSTRUCTION OF ER TRANSMISSION AND SUBSTATIONS SYSTEM MACDILL AIR FORCE BASE, FLORIDA (HILLSBOROUGH COUNTY)

Place of Performance

Location: TAMPA, HILLSBOROUGH County, FLORIDA, 33621

State: Florida Government Spending

Plain-Language Summary

Department of Defense obligated $44.8 million to PANHANDLE POWER SOLUTIONS LLC for work described as: DESIGN AND CONSTRUCTION OF ER TRANSMISSION AND SUBSTATIONS SYSTEM MACDILL AIR FORCE BASE, FLORIDA (HILLSBOROUGH COUNTY) Key points: 1. Significant investment in critical Air Force base infrastructure. 2. Competition method suggests potential for competitive pricing. 3. Contract type is firm fixed price, transferring risk to contractor. 4. Sector focus on construction of power and communication lines.

Value Assessment

Rating: good

The award amount of $44.7M for power and communication line construction appears reasonable for a project of this scale at a major Air Force base. Benchmarking against similar large-scale infrastructure projects would provide further context.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

Full and open competition was utilized, indicating a broad solicitation of potential contractors. This method generally promotes competitive pricing and allows the government to select the best value offer.

Taxpayer Impact: The use of full and open competition aims to ensure taxpayer funds are used efficiently by securing competitive pricing for essential infrastructure upgrades.

Public Impact

Enhances energy resilience and operational capability at MacDill AFB. Supports critical military functions by ensuring reliable power transmission. Potential for job creation in the construction sector within Hillsborough County.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Contract duration of 872 days is substantial.
  • No small business participation noted.

Positive Signals

  • Firm fixed price contract limits cost overrun risk for the government.
  • Full and open competition suggests a robust bidding process.

Sector Analysis

This contract falls within the construction sector, specifically focusing on power and communication infrastructure. Spending in this area is crucial for maintaining operational readiness of military installations.

Small Business Impact

The data indicates no small business participation in this contract. Further analysis could explore if opportunities were missed or if the project scope inherently favored larger firms.

Oversight & Accountability

The Department of the Army, as the procuring agency, is responsible for oversight. The firm fixed price contract structure places performance risk on the contractor, but requires diligent monitoring of progress and quality.

Related Government Programs

  • Power and Communication Line and Related Structures Construction
  • Department of Defense Contracting
  • Department of the Army Programs

Risk Flags

  • No small business participation.
  • Long contract duration may present management challenges.
  • Potential for unforeseen site conditions impacting cost or schedule.

Tags

power-and-communication-line-and-related, department-of-defense, fl, definitive-contract, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $44.8 million to PANHANDLE POWER SOLUTIONS LLC. DESIGN AND CONSTRUCTION OF ER TRANSMISSION AND SUBSTATIONS SYSTEM MACDILL AIR FORCE BASE, FLORIDA (HILLSBOROUGH COUNTY)

Who is the contractor on this award?

The obligated recipient is PANHANDLE POWER SOLUTIONS 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 $44.8 million.

What is the period of performance?

Start: 2023-09-22. End: 2026-02-10.

What is the projected impact of this infrastructure upgrade on MacDill AFB's energy resilience and operational continuity?

The upgrade is expected to significantly enhance energy resilience by modernizing aging transmission and substation systems. This will ensure a more reliable and stable power supply, crucial for uninterrupted operations of critical military functions and personnel support, even during adverse weather events or grid disruptions.

How does the awarded price compare to industry benchmarks for similar power infrastructure projects of this magnitude?

Without specific benchmark data for comparable projects at military installations, a precise comparison is difficult. However, the $44.7M award for a project spanning over two years at a major Air Force base suggests a significant investment. Further analysis would require access to cost data from similar federal or large-scale private sector projects.

What mechanisms are in place to ensure the quality and timely completion of the construction work under the firm fixed price contract?

The Department of the Army will likely employ project managers and contracting officers to oversee the work. Quality assurance surveillance plans (QASPs) and regular site inspections are standard procedures to ensure adherence to specifications and timelines. The firm fixed price contract incentivizes the contractor to manage resources efficiently to meet deadlines and quality standards.

Industry Classification

NAICS: ConstructionUtility System ConstructionPower and Communication Line and Related Structures 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: W9127823R0043

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 4100 LEGENDARY DR, DESTIN, FL, 32541

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $44,753,106

Exercised Options: $44,753,106

Current Obligation: $44,753,106

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline

Start Date: 2023-09-22

Current End Date: 2026-02-10

Potential End Date: 2026-02-10 00:00:00

Last Modified: 2025-07-21

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