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NAICS Newsletter January 14, 2013

NAICS 532412

Construction, Mining, and Forestry Machinery and Equipment Rental and Leasing

Government Contract and Procurement Analysis Report

Report Summary

This report, offered by epipeline, contains a brief analysis of the Federal government's procurement practices with regards to purchasing Construction, Mining, and Forestry Machinery and Equipment Rental and Leasing.


You will find information on the top federal government agencies that purchase these services, as well as their procurement strategy (i.e. full and open competition, set-asides and more). Finally, there is a review of the top companies that are awarded federal government contracts for Construction, Mining, and Forestry Machinery and Equipment Rental and Leasing.


To get a more comprehensive analysis and learn more about how epipeline can help you identify current and future bid opportunities, register for a live Demo.

This report takes an in-depth look at the 'Construction, Mining, and Forestry Machinery and Equipment Rental and Leasing' industry, NAICS 532412. epipeline's Contract History Plus* provides you with a broad context and several perspectives that enable you to develop the best positioning and strategy for your company to more effectively compete for government contracts. The following graph illustrates one such perspective: the top Government departments/agencies buying these services over the last four fiscal years.

Top 10 Federal Agencies by % of Total Market FY09 through FY13 for NAICS 532412

WHAT IS NAICS 532412?

This U.S. industry comprises establishments primarily engaged in renting or leasing heavy equipment without operators that may be used for construction, mining, or forestry, such as bulldozers, earthmoving equipment, well-drilling machinery and equipment, or cranes.

The size standard associated with NAICS 532412 is $7 million (effective November 5, 2010), which means that a company, including its affiliates, would be considered a "small business" if their average annual earnings do not exceed $7,000,000 for each of the pay periods for the preceding completed 12 calendar months.

Total reported spending under NAICS 532412 for the period of Fiscal Year 2009 (FY09) through Fiscal Year 2013 (FY13) was $187 million. FY13 reported spending of $1.1 million for services under NAICS 532412. The chart below illustrates the reported** spending by year for FY09 through FY13.

Reported Contract Spending for NAICS 532412 FY09 through FY13

Source: epipeline's Contract History Plus*

WHO ISSUES THE CONTRACTS?

The Army was the largest procurer for these services for the last five fiscal years (FY09 through FY13), with more than $112 million in contract spending, comprising almost 60% of the market share for NAICS 532412. The Agency for International Development took the second spot, with $23.9 million in reported spending for this period. The Navy came in third with $11.3 million, making the top three a combined market share of almost 80% for all spending in NAICS 532412.

The Bureau of Reclamation, Forest Service, and the National Park Service all topped $4 million for NAICS 532412.

Top 10 Federal Agencies by % of Total Market FY09 through FY13 for NAICS 532412

Source: epipeline's Contract History Plus*

WHO WINS THE CONTRACTS?

The two charts below identify the top 10 Companies, by market share, for the period of FY09 through FY13. The first chart represents the top 10 companies that were awarded their contracts under ANY type of competition, whether it was full and open, small business set-aside, sole-sourced, etc. This list primarily consists of large businesses. The second chart, however, lists the top 10 companies that won their contracts under RESTRICTED competition. Specifically, epipeline limited this to those contracts awarded under the acquisition strategies listed below. The contract dollars represented on this second chart may not include all contract dollars for the individual contractor.

  • 8(a) Competed
  • 8(a) Small Disadvantaged (SDB) set-aside
  • 8(a) sole-source
  • SDB set-aside
  • SDB, 8(a) with HUBZone
  • Combination HUBZone and 8(a)
  • HUBZone set-aside
  • HUBZone sole-source
  • Service Disabled Veteran-Owned Small Business (SDVOSB) set-aside
  • SDVOSB sole-source
  • Emerging Small Business set-aside
  • Very Small Business set-aside
  • Reserved for Small Businesses ($2501 to $100,000)
  • Total Small Business set-aside

SPSA LLC achieved the top spot on the unrestricted competition list, with over $40 million in contract dollars for FY09 to FY13 and more than 22% of market share. International Relief and Development landed over $12 million in contract dollars with Phillips Contracting Co Inc, and Lamar Construction Inc both earning over $9 million. Hertz Equipment Rental Corporation and Apco-Arcon, LLC both topped $6 million for the same period.

PLEASE NOTE: as this is a listing by Company name, rather than PARENT company, some companies may have more than one ranking, which may not be reflected in the chart below.

Top 10 NAICS 532412 Contractors by % of Total Market for FY09 through FY13 - All Acquisition Strategies

Source: epipeline's Contract History Plus*

The combined contract spending for contracts awarded under "restricted competition," as outlined above, totaled over $44 million for FY09 through FY13. Phillips Contracting Co Inc takes the top spot, with reported spending of almost $7 million for this period, or over 15% of market share. Winall Pro A Joint Venture, ENT Consultants, I5 Rentals Inc all topped $1 million.

PLEASE NOTE: as this is a listing by Company name, rather than PARENT company, some companies may have more than one ranking, which may not reflected in the chart below.

Top 10 NAICS 532412 Contractors by % of Total Market for FY09 through FY13 - Restricted Competition

Source: epipeline's Contract History Plus*

HOW ARE THESE CONTRACTS PROCURED?

75% of contract spending reported for the FY09 through FY13 timeframe under NAICS 532412 used full and open (unrestricted aka "N/A") competition. This equated to over $141 million. Small business set-aside contracts topped $36 million. 8a Sole Source, and HUBZone set-aside both exceeded $1 million.

Acquisition Breakout under NAICS 532412 for FY09 through FY13

Source: epipeline's Contract History Plus*

WHERE ARE THESE CONTRACTS PERFORMED?

These contracts are being performed across the United States with a reported spending for the FY09 through FY13 period of $187 million.

The highest total of reported contract spending is reported for the California, with $19 million. Arizona ($10.5 million) and Illinois ($8.7 million) took the second and third spots. Together, the top five states represent over 25% of market under NAICS 532412. Nine of the top ten states reported at least $4 million for NAICS 532412 during this time period.

Contract Place of Performance under NAICS 532412 for FY09 through FY13

Source: epipeline's Contract History Plus*

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