DOD's $157.7M Nellis AFB F-16 Hangar Construction Awarded to Jaynes Corporation

Contract Overview

Contract Amount: $15,772,247 ($15.8M)

Contractor: Jaynes Corporation

Awarding Agency: Department of Defense

Start Date: 2009-09-28

End Date: 2012-08-02

Contract Duration: 1,039 days

Daily Burn Rate: $15.2K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 17

Pricing Type: FIRM FIXED PRICE

Sector: Construction

Official Description: DESIGN BUILD CONSTRUCTION F-16 AGGRESSOR HANGAR AND GREEN FLAG OPERATIONS FACILITY, NELLIS AFB, NV

Place of Performance

Location: NELLIS AFB, CLARK County, NEVADA, 89191

State: Nevada Government Spending

Plain-Language Summary

Department of Defense obligated $15.8 million to JAYNES CORPORATION for work described as: DESIGN BUILD CONSTRUCTION F-16 AGGRESSOR HANGAR AND GREEN FLAG OPERATIONS FACILITY, NELLIS AFB, NV Key points: 1. Contract awarded under full and open competition, suggesting a competitive bidding process. 2. The contract type is Firm Fixed Price, which shifts cost risk to the contractor. 3. The project duration of 1039 days indicates a significant construction undertaking. 4. The award was made by the Department of the Army, part of the Department of Defense. 5. The North American Industry Classification System (NAICS) code 236220 points to commercial and institutional building construction. 6. The contract was awarded in Nevada, a state with a notable military presence.

Value Assessment

Rating: fair

Benchmarking the value of this specific construction contract is challenging without detailed cost breakdowns and comparable project data. However, the firm fixed-price nature suggests that the initial bid was considered competitive by the awarding agency. The duration of the project (over 1000 days) implies a substantial scope, and the final cost should be evaluated against the initial estimates and any change orders. Without access to the original solicitation and bid analysis, a precise value-for-money assessment is limited.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit bids. The presence of 17 bidders suggests a robust level of competition for this project. A higher number of bidders generally leads to more competitive pricing and a greater likelihood of the government securing a fair market price.

Taxpayer Impact: The extensive competition for this construction project likely resulted in taxpayer savings by driving down the final contract price compared to a sole-source or limited competition scenario.

Public Impact

The primary beneficiaries are the U.S. Air Force units operating F-16 aircraft at Nellis AFB, who will gain improved maintenance and operational facilities. The project delivers essential infrastructure for supporting advanced military aviation operations, specifically for aggressor training. The geographic impact is concentrated at Nellis Air Force Base in Nevada, a key training and testing facility. The construction project will likely create numerous jobs in the construction sector within Nevada and potentially surrounding areas.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Potential for cost overruns if unforeseen site conditions or material price escalations occur, despite the fixed-price contract.
Delays in construction could impact operational readiness and training schedules at Nellis AFB.
Ensuring quality of construction to meet stringent military standards requires diligent oversight.

Positive Signals

Firm fixed-price contract structure transfers significant cost risk to the contractor.
Full and open competition with 17 bidders suggests a competitive pricing environment.
The project addresses a critical infrastructure need for advanced military aviation support.

Sector Analysis

This contract falls within the broader construction sector, specifically commercial and institutional building construction. The market for large-scale military facility construction is specialized, often involving stringent security, environmental, and operational requirements. Comparable spending benchmarks would typically involve other military base construction projects of similar scale and complexity, such as hangars, maintenance facilities, or operational support buildings. The size of this award suggests it is a significant project within its specific niche.

Small Business Impact

The contract details do not indicate any specific small business set-aside provisions. Given the scale and specialized nature of military construction projects like this, large, established construction firms are often the primary bidders. Subcontracting opportunities may exist for smaller businesses in specialized trades or material supply, but the prime contract was not set aside for small businesses.

Oversight & Accountability

Oversight for this Department of Defense contract would typically be managed by the contracting officer and the Defense Contract Management Agency (DCMA). Quality assurance surveillance plans (QASPs) would be in place to monitor construction progress, adherence to specifications, and overall quality. Transparency is generally maintained through contract award databases and reporting requirements, though detailed project-specific oversight reports are not always publicly accessible.

Related Government Programs

Nellis AFB Infrastructure Projects
F-16 Support Facilities
Military Hangar Construction
Air Force Base Operations Support
Department of Defense Construction Contracts

Risk Flags

Potential for construction delays impacting military readiness.
Risk of cost escalation if unforeseen issues arise, despite fixed-price contract.
Ensuring compliance with stringent military construction standards requires robust oversight.

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $15.8 million to JAYNES CORPORATION. DESIGN BUILD CONSTRUCTION F-16 AGGRESSOR HANGAR AND GREEN FLAG OPERATIONS FACILITY, NELLIS AFB, NV

Who is the contractor on this award?

The obligated recipient is JAYNES CORPORATION.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Army).

What is the total obligated amount?

The obligated amount is $15.8 million.

What is the period of performance?

Start: 2009-09-28. End: 2012-08-02.

What was the original estimated cost for this project, and how did the final award amount compare?

The provided data indicates the final award amount was $157,722,470. Without access to the original solicitation documents or pre-award cost estimates, it is impossible to definitively state the original estimated cost. However, the fact that it was awarded under full and open competition with 17 bidders suggests that the final award amount was considered competitive and represented a fair market price at the time of award. Post-award analysis of any change orders or modifications would be necessary to understand any deviations from the initial contract value.

What specific challenges or risks were identified during the bidding process or construction phase?

The provided data does not detail specific risks identified during the bidding or construction phases. However, for a project of this magnitude and duration (1039 days), common risks in large construction projects include unforeseen site conditions, weather delays, material price fluctuations, labor availability, and ensuring compliance with stringent military specifications. The firm fixed-price contract structure shifts the primary financial risk of cost overruns to the contractor, Jaynes Corporation. The Department of the Army would have oversight mechanisms to monitor progress and quality, and address any contractor-identified risks or issues that could impact performance.

How does the cost per square foot of this hangar compare to similar military aviation facility construction projects?

The provided data does not include the total square footage of the F-16 aggressor hangar and operations facility, making a cost per square foot calculation impossible. To perform such a comparison, detailed architectural plans and final build-out dimensions would be required. Benchmarking would involve identifying other recently awarded military hangar or aviation support facility contracts of similar scope and complexity, and then comparing their total award amounts against their respective square footage.

What is the track record of Jaynes Corporation in completing large-scale federal construction projects, particularly for the Department of Defense?

Jaynes Corporation is a significant construction firm with a history of undertaking large projects. While specific details on their track record with the Department of Defense are not provided in this data snippet, their ability to win a competitive bid for a project of this scale at Nellis AFB suggests they possess the necessary experience, bonding capacity, and technical expertise. A comprehensive assessment would involve reviewing their past performance ratings on federal contracts, any past performance issues or disputes, and their portfolio of similar military construction projects.

What are the long-term implications of this facility for F-16 operations and training at Nellis AFB?

The construction of this F-16 aggressor hangar and operations facility is intended to provide modern, efficient, and potentially expanded capabilities for supporting F-16 aircraft used in aggressor training roles at Nellis AFB. This could lead to improved maintenance turnaround times, enhanced operational readiness, and potentially allow for more complex or sustained training exercises. The facility's design likely incorporates features necessary for the latest F-16 variants and associated support equipment, ensuring the base remains a premier location for advanced air combat training.

Were there any specific performance metrics or key performance indicators (KPIs) tied to this contract's success?

The provided data does not specify any unique performance metrics or Key Performance Indicators (KPIs) beyond the standard requirements for construction quality, schedule adherence, and safety. For a construction contract of this nature, success is typically measured by the contractor's ability to complete the facility according to the specified design, within the agreed-upon budget (especially critical for a fixed-price contract), and by the established deadline. The quality of the finished product, meeting all military construction standards, would also be a primary measure of 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

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: W912PL09R0001

Offers Received: 17

Pricing Type: FIRM FIXED PRICE (J)

Evaluated Preference: NONE

Contractor Details

Address: 3675 W CHEYENNE AVE STE 200, NORTH LAS VEGAS, NV, 04

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

Financial Breakdown

Contract Ceiling: $15,772,247

Exercised Options: $15,772,247

Current Obligation: $15,772,247

Contract Characteristics

Cost or Pricing Data: NO

Timeline