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NAICS NewsletterJune 3, 2010

NAICS 541310

Architectural Services

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 Architectural Services.


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 Architectural Services.


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 'Architectural Services' industry, NAICS 541310. To understand the future, one must study the past. epipeline's Contract History Plus* provides you with a broad context and several perspectives that enables 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 FY05 through FY09 for NAICS 541310

WHAT IS NAICS 541310?

NAICS 541310 is made up of establishments engaged primarily in planning and designing residential, institutional, leisure, commercial, and industrial buildings and structures by applying knowledge of design, construction procedures, zoning regulations, building codes, and building materials.

The description of NAICS 541310 is further broken out to include these additional specific topics:

  • Architects' (except landscape) offices
  • Architects' (except landscape) private practices
  • Architectural (except landscape) consultants' offices
  • Architectural (except landscape) design services
  • Architectural (except landscape) services
  • Building architectural design services

The size standard associated with NAICS 541310 is $4.5 million (effective August 22, 2008), which means that a company, including its affiliates, would be considered a "small business" if their average annual gross receipts does not exceed $4.5 million for the past three years. If a company has not been in business for three years, the average weekly revenue for the number of weeks the company has been in business is multiplied by 52 to determine the average annual receipts.

Total reported spending under NAICS 541310 for the period of Fiscal Year 2005 (FY05) through the Fiscal Year 2009 (FY09) was over $8.1 billion. FY09 reported spending of $1.45 Billion for services under NAICS 541310. The chart below illustrates the reported** spending by year for FY05 through FY09.

Reported Contract Spending for NAICS 541310 FY05 through FY09

Source: epipeline's Contract History Plus*

** Note: it is possible that some Defense spending for the more recent fiscal years (FY05 to present) is not as widely reported as earlier years. These numbers will likely increase as more departments and agencies report their current and historic contract spending.

WHO ISSUES THE CONTRACTS?

The Federal Emergency Management Agency was the largest buyer for these services for the last five fiscal years (FY05 through FY09), with over $2.06 billion in contract spending, comprising over 25% of the market share for NAICS 541310. The United States Army took the second spot, with just over $2.009 billion in reported spending for this period. The GSA's Public Building Service and the Department of Veteran's Affairs took third and fourth places, respectively, making up a combined market share of over 19% for all spending in NAICS 541310.

The United States Air Force and the National Institutes of Health each spent over $350 million during this time period with the rest of the top ten reporting spending just under $1 billion for NAICS 541310.

Top 10 Federal Agencies by % of Total Market FY05 through FY09 for NAICS 541310

Source: epipeline's Contract History Plus*

WHO WINS THE CONTRACTS?

According to the Central Contractor Registry (CCR), there are 9,850 companies registered under NAICS 541310 (source: active registrants, www.ccr.gov as of 05/31/2010). Of this number, 5,880 qualify as small businesses, which includes the following breakout by socioeconomic categories (some companies may qualify under more than one category):

  • 466 SBA Certified 8(a) contractors;
  • 186 SBA Certified HUBZone contractors; and
  • 603 Service Disabled Veteran Owned Small Businesses (SDVOSB).

NOTE, the CCR website states, "As of the July 30, 2008 release (4.08.2), CCR-registered vendors may elect not to display their registration in the CCR/FedReg Public Search." This could mean that there are more active contractors registered with the CCR than the resulting totals above represent.

The two charts below identify the top 10 Companies, by market share, for the period of FY05 through FY09. 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

Fluor Enterprises holds the top spot on the unrestricted competition list, with $1.5 billion in contract dollars for FY05 - FY09 and over 23% of the market share; it should be noted that over 90% of this total was awarded in 2006 alone. SPSA LLC, NISTAC, Gauthier Industries, and CH2M Hill filled out the top five spots with a combined $1.4 billion in contract dollars. Along with all the companies in the top ten, there are two additional firms that are/were holding contracts with at least $50 million in contract dollars, with another eighteen firms having $25 million or more.

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 541310 Contractors by % of Total Market for FY05 through FY09 - All Acquisition Strategies

Source: epipeline's Contract History Plus*

The combined contract spending for contracts awarded under "restricted competition," as outlined above, totaled over $546 million for FY05 through FY09. Forrester Construction lands the top spot, with reported spending of $96 million for this period, or 17.61% of market share; it's worth noting that they are also listed in the seventh spot on the previous chart. Tremco also reported spending above $10 million for this period. The remaining firms in the top ten, as well as another five companies, exceeded $5 million in reported spending for NAICS 541310.

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 541310 Contractors by % of Total Market for FY05 through FY09 - Restricted Competition

Source: epipeline's Contract History Plus*

HOW ARE THESE CONTRACTS PROCURED?

Over 88% of contract spending reported for the FY05 through FY09 timeframe under NAICS 541310 used full and open (unrestricted aka "N/A") competition. This equated to over $7.1 billion. Contracts that did not indicate their acquisition strategy (which means they could represent any acquisition strategy) reported contract spending of over $340 million. Contracts that were small business set-aside reported spending over $419 million. The combined value of contracts awarded to 8a firms (sole source and competitive) was over $88 million, representing just over 1% of the market.

Acquisition Breakout under NAICS 541310 for FY05 through FY09

Source: epipeline's Contract History Plus*

WHERE ARE THESE CONTRACTS PERFORMED?

These contracts are being performed across the continental United States and abroad. The 50 states plus Washington, DC have reported spending for the FY05 through FY09 period of $6.3 billion and contracts for locations outside the United States (or unlisted) totaled approximately $1.8 billion.

The state with the highest total of reported contract spending is the District of Columbia, with $1.1 billion. Louisiana ($1.1 billion) and Maryland ($599 million) took the second and third spots. Together the top three states represent almost 35% of market under NAICS 541310. Besides those in the top ten, an additional two states reported at least $100 million for NAICS 541310 during this time period.

Contract Place of Performance under NAICS 541310 for FY05 through January 2009

Source: epipeline's Contract History Plus*

Identify, Qualify & Win More Government Contracts for Architectural Services

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