North Carolina Military Business Center Military Construction Opportunities September 22, 2009

North Carolina Military Business Center

Military Construction Opportunities

September 22, 2009

Mission and Goals

• Mission: – To leverage military and other federal business

opportunities for economic development and quality of life in North Carolina

• Goals: – Increase military business for NC companies– Integrate military/families into workforce– Support defense-related recruitment

• Community College System, 12 offices in NC

Services and Metrics

• Business Development: – Identify, source opportunities and assist

businesses

• Technology Resources (ncmbc.us,

MatchForce.org): – Contract and employment intel, matching,

notification

CY2009 123 Contracts $750 - $1,444 million

CY2005-2009 700 Contracts $1,819 - $3,435 million

14,363 NC Businesses 30,217 Individuals

7,165 Contract Opportunities 3,932 Job Opportunities

Data as of: 21 SEP 2009

Strategic Focus2008 - 2009

• Pre-positioning: NC teams for future opportunities

• Subcontracting: with major defense primes• Aerospace Alliance, Defense Machining Initiative• Leveraging base growth in North Carolina• Leveraging military construction opportunities

($5 - 7 billion in NC by 2012)

Military Construction Marketplace

• Transformation of the force

• Relocation of forces from overseas

• Base Realignment and Closure (BRAC)

• Higher quality of life standards (new, SRM)

• Commercialized family housing

• Sustainable installations

• “Grow the Force”

• American Recovery and Reinvestment Act (ARRA)


• Prime and subcontracts

• Family housing (commercialized)

• Military Construction (MILCON)

• Sustainment, restoration, modernization (SRM)

• American Recovery and Reinvestment Act

(ARRA)

Fort Bragg / Pope AFB

• Population increase: 8,203 military + families

• Military Construction (MILCON): see table

• SRM Construction/ Repair: >$100m FY09

• Housing Privatization (Generals, FY10, $5.4m)

• Water/Waste Water (ONUS, $575m)

FY08 $644.8BRAC, MILCON, SOF, GTF

FY09 $414.0BRAC, MILCON, SOF, WIT, DODEA

FY10 $479.0BRAC, MILCON, SOF, GTF, DODEA

FY11 $510.9 MILCON, SOF

FY12 $276.3MILCON, SOF, DODEA

FY13 $93.5MILCON, SOF, DODEA

Fort Bragg / Pope AFB FY10

• Regular MILCON (Army)– Veh Maintenance Shop, 525th BFSB, $19.5M– Battle Command Training Center, $50.0M– Veh Maintenance Shop, 7th Trans, $17.5M– SF Prep Course Barracks & DFAC, $16.5M– Company Ops Roundout, 192d EOD, $3.3M

• Schools– Albritton Junior High School Addition, $3.5M


• Special Operations Forces (SOF) Construction– SF Prep Training Facility, $24.6M– SOF Civil Affairs Bn HQ, 95th CA Bde, $13.0M– SOF Group HQ, 3d SF Group, $15.5M– SOF Unmanned Aerial Vehicle Hangar, $2.9M– SOF Military Working Dog Facility, $5.9M– SOF N Operations Addition, $28.0M


• Special Operations Forces (SOF) Construction Cont. – SOF Operations Support Additions, $14.0M– SOF Civil Affairs Bn Complex, $17.6M– SOF Bn Operations Complex, $24.1M

• BRAC– Combined FORSCOM/USARC HQ, Ph 2, $146M– Consolidated Troop Med Clinic (Pope), $28.0M


• BRAC MILCON Cont. – Band Training Facility, $4.2M– Family Housing Privatization – General

Officers Quarters, $5.4M

• Grow The Army – Hospital – Freestanding Clinic, $32.0M– Automated Multi-Purpose Gun Range,

$4.4M

• Total: $479.0 Million

Sustainment, Restoration and Modernization (SRM)

Mix of work in FY09:

• Structures (Roofs, Renovations, and Small Buildings): $40M

• Mechanical (HVAC, Plumbing): $20M

• Roads, Grounds, Utilities: $20M

• Small Projects (HVAC, Renovations): $20M

Construction Opportunities

Camp Lejeune

and MCAS Cherry Point


Camp Lejeune / Cherry Point

• Population increase: 11,477 military + families

• Military Construction (MILCON): $3B in 4 years

• SRM Construction / Repair: >$100m in FY09• Housing Privatization: up to 850 new units

through public private venture (AMCC and Lincoln Properties)

Camp Lejeune / Cherry Point FY10

• EMS/Fire Vehicle Facility $10.6M• Modify K-Ranges, Phase II $20.2M• GTF Multi-Purpose Gun Range $17.2M• Pre-Trial Detainee Facility $18.5M• Tactical Support Van Pad (MACC) $5.4M• MP Working Dog Kennel (MACC) $8.3M• Ordnance Magazines (MACC) $12.3M• SOI East Facilities (MACC) $56.9M

Camp Lejeune / Cherry Point FY10

• Field Training Facility (MACC) $37.1M• Consolidated Info/Telecom Complex$46.1M• New Base Entry Point & Road, Ph I $79.1M• Utility Expansion $56.2M• Parallel Taxiway $17.8M• Apron Expansion, Ph II $35.6M• Naval Hospital Addition $64.3M• Naval Hospital Renovation & Addition

$57.9M

Trends and Factors

• Design Build delivery method predominates• Performance-based requirements: EPAct 2005,

LEED Silver• All construction types (I-V), including modular• Standardization: design (USA), processes,

RFPs• MILCON transformation, centers of

standardization, 8 (Corps of Engineers)• Major increase in use of MATOC/SATOC

(Corps) and MACCs (NAVFAC, USCG)

Trends and Factors

• “Focus on safety, quality and speed”

• Meet small business goals

• Corps, NAVFAC encourage mentor-protégé, Joint Ventures, subcontracting and competing

• Market flush with NC and out-of-state contractors

• Quality facilities for military and families!

Challenges

• Regulatory and policy issues– experience factor (level playing field)

– proximity (non)factor

– lower familiarity with NC contractors

– cost to compete in DB, 2-phase environment

– consolidation, standardization, MACC/MATOC

– proposal development time too short

– no short list announcements (Navy projects)

– high liquidated damages (Navy projects)

Challenges

• Market related issues– high competition: market flooded with new

contractors

– awards often 30-40% below government estimate

– cost to execute (margins smaller)

– “Design build divorce:” GC’s dumping partners

– joint ventures offer opportunities (growing interest among NC contractors)


American Recovery and

Reinvestment Act (ARRA)

Military Construction (ARRA)

• Fort Bragg– Child Development Center: $11.3m– Energy Management/Control System: $1.0m

• Camp Lejeune / Cherry Point– Facility Energy Upgrades: $13.7m– Repair Bachelor Enlisted Quarters: $3.0m– Solar Training Pool: $0.7m– Facility Energy Improvements: $0.4m

• Raleigh– Armed Forces Reserve Center (JFHQ): $39.5m

SRM Projects (ARRA)

• Fort Bragg: $98.9m• Camp Lejeune: $39.8m• Pope AFB: $5.9m• Seymour Johnson AFB: $16.0m• Gastonia, Armory: $0.7m• Charlotte, Navy Operational Spt Fac:

$8.0m• Greensboro, Navy Operational Spt Fac: $7.5m• Total $194.8m


Finding and Competing For

Military Construction

Opportunities

(Strategies and NCMBC Tools)

Current Prime Contractors

Current Multiple Award Contracts

Constr 3987X

Future MILCON Projects

North Carolina Capabilities Matrix

Construction CompanyMarket Entry Strategies

• Team with successful GCs or form new DB team

• Compete on prime contract solicitations

• Compete for MACC solicitations (mechanical, roofing, etc) for specialized, small work

• Subcontract with GCs and MACC holders (NCMBC current prime, MACC lists)

• Subcontract to housing PPV’s (AMCC, Picerne Military Housing – online registration then visit

What Businesses Need to Do

• Follow checklist on Links page (ncmbc.us)• Register MatchForce.org• Register, capabilities matrix (ncmbc.us)• Register, subcontracting page (ncmbc.us)• Register as government contractor, ccr.gov• Market to DB teams, primes (spreadsheets on

ncmbc.us), housing PPVs• Attend NCMBC MILCON events: Summit OCT 27

Contact Information

• Scott D. Dorney, Executive Director, (910) 323-4824, [email protected]

• Carolyn Bunting, MatchForce Administrator. (910) 578-2579, [email protected]

• All NCMBC staff, including BD and MILCON Specialists, “contact us” tab at www.ncmbc.us

Documents

North Carolina Military Business Center Military Construction Opportunities September 22, 2009