DoD Awards $22.6M F-22 Composite Repair Facility to Pacific Federal Contractors LLC in Hawaii

Contract Overview

Contract Amount: $22,597,772 ($22.6M)

Contractor: Pacific Federal Contractors LLC

Awarding Agency: Department of Defense

Start Date: 2020-04-22

End Date: 2026-02-27

Contract Duration: 2,137 days

Daily Burn Rate: $10.6K/day

Competition Type: FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES

Number of Offers Received: 2

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: CONSTRUCTION PROJECT KNMD189008 F-22 COMPOSITE REPAIR FACILITY FOR THE HAWAII ANG, JBPHH-HI. -CONSTRUCT LO/CRF BAY ADDITION -RECONFIGURE EXISTING MECHANICAL AREAS -SITEWORK AND UTILITIES -OPTION 7 KNMD162546 REPAIR FIRE SUPPRESSION B3408

Place of Performance

Location: HICKAM AFB, HONOLULU County, HAWAII, 96853

State: Hawaii Government Spending

Plain-Language Summary

Department of Defense obligated $22.6 million to PACIFIC FEDERAL CONTRACTORS LLC for work described as: CONSTRUCTION PROJECT KNMD189008 F-22 COMPOSITE REPAIR FACILITY FOR THE HAWAII ANG, JBPHH-HI. -CONSTRUCT LO/CRF BAY ADDITION -RECONFIGURE EXISTING MECHANICAL AREAS -SITEWORK AND UTILITIES -OPTION 7 KNMD162546 REPAIR FIRE SUPPRESSION B3408 Key points: 1. Significant investment in critical aircraft maintenance infrastructure for the F-22 fleet. 2. Competition method ('FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES') warrants scrutiny for potential price discovery limitations. 3. Project duration of 2137 days (nearly 6 years) suggests potential for cost overruns and schedule delays. 4. Lack of small business participation is noted.

Value Assessment

Rating: fair

The contract value of $22.6 million for a composite repair facility addition and reconfiguration appears substantial. Benchmarking against similar specialized construction projects is difficult without more detailed cost breakdowns, but the long duration raises concerns about overall value realization.

Cost Per Unit: N/A

Competition Analysis

Competition Level: limited

The contract was awarded under 'FULL AND OPEN COMPETITION AFTER EXCLUSION OF SOURCES'. This suggests that while competition was sought, certain sources may have been excluded, potentially limiting the breadth of competition and impacting price discovery.

Taxpayer Impact: The substantial investment of taxpayer funds for this specialized facility requires careful monitoring to ensure cost-effectiveness and prevent potential overruns due to the extended project timeline.

Public Impact

Enhances readiness and operational capability for the F-22 Raptor fighter jet fleet. Supports military personnel and operations at Joint Base Pearl Harbor-Hickam. Potential for long-term economic impact in Hawaii through construction and facility operation.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Extended project duration (2137 days).
Limited competition method.
No small business participation.
Potential for scope creep in a multi-year project.

Positive Signals

Addresses critical infrastructure need for F-22 maintenance.
Firm Fixed Price contract type can help control costs if scope is well-defined.

Sector Analysis

This project falls within the Commercial and Institutional Building Construction sector. Spending in this sector for defense infrastructure can be highly variable, influenced by specific military asset needs and base modernization efforts. Benchmarks are difficult without specific project scope.

Small Business Impact

The data indicates that small businesses were not involved in this contract (sb: false). This represents a missed opportunity to leverage small business capabilities and potentially foster competition.

Oversight & Accountability

The extended duration of this project necessitates robust oversight to manage scope, schedule, and budget effectively. Regular progress reviews and performance assessments will be crucial for accountability.

Related Government Programs

Commercial and Institutional Building Construction
Department of Defense Contracting
Department of the Army Programs

Risk Flags

Extended project duration.
Limited competition method.
Lack of small business participation.
Potential for cost overruns due to long timeline.
Complexity of specialized composite repair facility construction.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $22.6 million to PACIFIC FEDERAL CONTRACTORS LLC. CONSTRUCTION PROJECT KNMD189008 F-22 COMPOSITE REPAIR FACILITY FOR THE HAWAII ANG, JBPHH-HI. -CONSTRUCT LO/CRF BAY ADDITION -RECONFIGURE EXISTING MECHANICAL AREAS -SITEWORK AND UTILITIES -OPTION 7 KNMD162546 REPAIR FIRE SUPPRESSION B3408

Who is the contractor on this award?

The obligated recipient is PACIFIC FEDERAL CONTRACTORS 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 $22.6 million.

What is the period of performance?

Start: 2020-04-22. End: 2026-02-27.

What specific factors led to the exclusion of certain sources in the competition, and how did this impact the final price?

The rationale behind excluding specific sources needs detailed examination. If the exclusion was based on highly specialized capabilities, it might be justifiable. However, if it was arbitrary, it could have artificially limited competition, potentially leading to a higher price than achievable under broader competition. Understanding the pre-qualification criteria is key to assessing price discovery.

Given the nearly six-year duration, what risk mitigation strategies are in place to manage potential cost escalations and schedule slippage?

A project spanning 2137 days inherently carries risks of inflation, material cost fluctuations, and unforeseen site conditions. Robust risk mitigation likely involves detailed contingency planning, regular contract performance reviews, and potentially phased funding releases tied to milestones. Proactive management of potential delays and cost increases is essential for taxpayer value.

How will the effectiveness of the new composite repair facility be measured post-completion to ensure it meets the F-22 program's long-term needs?

Effectiveness will be measured by the facility's ability to reduce F-22 maintenance turnaround times, improve repair quality, and contribute to overall fleet readiness. Key performance indicators (KPIs) should be established, tracking metrics like repair completion rates, defect rates, and operational availability of the F-22s serviced. Post-occupancy evaluations will confirm its functional success.

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 AFTER EXCLUSION OF SOURCES

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912J619R5000

Offers Received: 2

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 1938 HAU ST, HONOLULU, HI, 96819

Business Categories: Alaskan Native Corporation Owned Firm, Category Business, Limited Liability Corporation, Minority Owned Business, Native American Owned Business, Partnership or Limited Liability Partnership, Self-Certified Small Disadvantaged Business, Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $22,597,772

Exercised Options: $22,597,772

Current Obligation: $22,597,772

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED

Cost or Pricing Data: NO

Timeline