The federal government spends over $50 billion annually on construction contracts. Learning how to find and compete for these opportunities can transform your business. This guide shows you exactly where to look and how to position yourself for success.
Understanding Federal Construction Contracting
Federal construction encompasses a wide range of work across numerous agencies.
Major Construction Agencies
| Agency | Annual Spend | Project Types | |--------|-------------|---------------| | Army Corps of Engineers | $15B+ | Military facilities, civil works | | GSA | $8B+ | Federal buildings, courthouses | | VA | $5B+ | Medical centers, clinics | | Navy | $4B+ | Bases, shipyards | | Air Force | $3B+ | Airfields, hangars |
Types of Federal Contracts
1. Sealed Bid (IFB)
- Lowest price technically acceptable
- Clear specifications
- Common for straightforward construction
2. Negotiated (RFP)
- Best value evaluation
- Technical and price factors
- Used for complex projects
3. Task Order Contracts
- IDIQ (Indefinite Delivery/Indefinite Quantity)
- Multiple Award Contracts (MAC)
- Job Order Contracts (JOC)
Primary Sources for Finding Contracts
SAM.gov (Contract Opportunities)
SAM.gov is the official source for federal contract opportunities.
How to Search:
- Go to SAM.gov
- Navigate to "Contract Opportunities"
- Use filters to narrow results
- Save searches for email notifications
Key Filters:
- NAICS code (construction codes: 236xxx, 237xxx, 238xxx)
- Place of performance
- Set-aside type
- Notice type (presolicitation, solicitation, award)
- Posted date range
Notice Types:
- Presolicitation: Advance notice of coming opportunity
- Solicitation: Active bidding opportunity
- Award Notice: Contract has been awarded
- Sources Sought: Market research phase
Agency Forecast Tools
Many agencies publish procurement forecasts:
Army Corps of Engineers:
- Procurement Outlook Conference (annual)
- District-specific forecasts
- USACE Vendor Registration
GSA:
- GSA Forecast Tool
- Regional acquisition forecasts
- Industry days and conferences
VA:
- Construction and Facilities Management forecast
- OSDBU outreach events
Secondary Research Sources
USASpending.gov:
- Historical award data
- Agency spending patterns
- Contractor analysis
FPDS.gov:
- Detailed contract records
- Competition analysis
- Pricing research
GovWin (Private):
- Intelligence on upcoming opportunities
- Bid analysis tools
- Relationship mapping
Registration Requirements
Before bidding, you must complete several registrations.
SAM.gov Registration
Required Information:
- Unique Entity Identifier (UEI)
- CAGE code (automatically assigned)
- Business information
- Banking details for payments
- Representations and certifications
Steps:
- Obtain UEI at SAM.gov
- Complete entity registration
- Update annually
Additional Registrations
Agency-Specific:
- USACE Contractor Registration
- VA Vendor Management System
- Agency vendor databases
Certifications:
- Small business certifications
- DBE/MBE/WBE certifications
- Safety certifications (OSHA, EM 385-1-1)
Building Your Capability Profile
Federal contracting officers evaluate your capabilities carefully.
Past Performance Database
CPARS (Contractor Performance Assessment Reporting System):
- Federal agencies rate contractor performance
- Ratings follow you on future bids
- Review and respond to evaluations
Building Past Performance:
- Complete federal contracts successfully
- Document commercial work thoroughly
- Gather strong references
Capability Statement Development
Your capability statement should include:
Core Competencies:
- Primary construction services
- Geographic coverage
- Bonding capacity
- Personnel expertise
Differentiators:
- Unique capabilities
- Specialized equipment
- Relevant certifications
- Security clearances
Past Performance:
- Relevant federal contracts
- Similar commercial projects
- Contract values and dates
- Agency references
Federal Construction Codes (NAICS)
Understanding NAICS codes helps you find relevant opportunities.
Primary Construction Codes
| NAICS | Description | Size Standard | |-------|-------------|---------------| | 236115 | New Single-Family Housing | $45M | | 236116 | New Multifamily Housing | $45M | | 236210 | Industrial Building | $45M | | 236220 | Commercial/Institutional | $45M | | 237110 | Water/Sewer Line | $45M | | 237120 | Oil/Gas Pipeline | $45M | | 237130 | Power/Communication Line | $45M | | 237310 | Highway/Street | $45M | | 237990 | Other Heavy Construction | $45M |
Specialty Trade Codes
| NAICS | Description | Size Standard | |-------|-------------|---------------| | 238110 | Poured Concrete Foundation | $19M | | 238120 | Structural Steel | $19M | | 238130 | Framing Contractors | $19M | | 238140 | Masonry Contractors | $19M | | 238160 | Roofing Contractors | $19M | | 238210 | Electrical Contractors | $19M | | 238220 | Plumbing/HVAC | $19M |
Strategies for Finding Opportunities
Proactive Research
1. Agency Relationship Building
- Attend industry days
- Meet small business specialists
- Participate in outreach events
- Visit contracting offices
2. Market Intelligence
- Subscribe to SAM.gov notifications
- Monitor agency announcements
- Track congressional appropriations
- Follow trade publications
3. Teaming and Partnerships
- Build relationships with primes
- Joint venture opportunities
- Subcontracting positions
- Mentor-protégé programs
Opportunity Qualification
Not every opportunity is right for your company. Evaluate:
Fit Assessment:
- Experience relevance
- Geographic location
- Project size
- Timeline feasibility
- Competition level
Resource Requirements:
- Bonding capacity
- Personnel availability
- Equipment needs
- Cash flow demands
Task Order and IDIQ Contracts
Multiple award contracts are increasingly common in federal construction.
Understanding IDIQ Contracts
Structure:
- Umbrella contract with multiple holders
- Individual task orders compete among holders
- Minimum and maximum value ranges
- Multi-year periods
Benefits:
- Steady pipeline of opportunities
- Reduced competition (among holders only)
- Streamlined procurement
- Relationship building
Major Construction IDIQs
MATOC (Multiple Award Task Order Contracts):
- Corps of Engineers
- Regional or district-specific
- Specialized construction categories
GSA Schedules:
- Schedule 56 (Buildings and Building Materials)
- Limited construction services
- Professional A/E services
Agency-Specific Vehicles:
- VA MATOC programs
- Air Force SABER contracts
- Navy MACC contracts
Subcontracting Opportunities
Subcontracting provides entry into federal work.
Finding Subcontracting Work
SBA SubNet:
- Database of subcontracting opportunities
- Prime contractor listings
- Notification service
Prime Contractor Outreach:
- Identify contract holders
- Contact small business liaisons
- Respond to subcontracting solicitations
Subcontracting Plan Reviews:
- Large primes must subcontract to small business
- Goals provide opportunities
- Track prime contract awards
Building Prime Relationships
Strategies:
- Excellent performance on current work
- Responsive to bid requests
- Competitive pricing
- Technical expertise
Set-Aside Opportunities
Small business set-asides reduce competition.
Types of Set-Asides
Small Business:
- Open to all qualifying small businesses
- Based on NAICS size standards
8(a) Business Development:
- For certified 8(a) companies
- Sole-source up to $4.5M
- Competitive 8(a) set-asides
HUBZone:
- Historically Underutilized Business Zones
- Sole-source and set-aside options
- Price evaluation preference
SDVOSB:
- Service-Disabled Veteran-Owned
- Set-aside and sole-source
- Priority for VA contracts
WOSB/EDWOSB:
- Women-Owned Small Business
- Industry-specific availability
Maximizing Set-Aside Success
- Obtain all eligible certifications
- Market your certified status
- Build agency relationships
- Track set-aside opportunities specifically
- Compete aggressively on qualified opportunities
Federal Construction Success Tips
Pre-Bid Phase
- Read all documents thoroughly
- Attend site visits
- Submit RFIs early
- Analyze competition
- Make bid/no-bid decision deliberately
Proposal Development
- Respond to all requirements
- Demonstrate understanding
- Highlight relevant experience
- Price competitively but sustainably
- Proofread carefully
Post-Award Success
- Deliver excellent performance
- Document everything
- Communicate proactively
- Manage changes professionally
- Request CPARS reviews
Common Mistakes to Avoid
Searching for Opportunities
- Relying only on SAM.gov
- Not using specific filters
- Ignoring presolicitation notices
- Missing agency forecasts
- Failing to build relationships
Bidding Mistakes
- Not reading entire solicitation
- Missing mandatory requirements
- Failing to acknowledge addenda
- Submitting non-responsive proposals
- Underpricing to win
Technology Tools
Free Government Resources
- SAM.gov opportunity search
- FPDS contract data
- USASpending analysis
- Agency forecast tools
Commercial Intelligence Tools
- GovWin IQ (Deltek)
- Bloomberg Government
- GovTribe
- HigherGov
Next Steps
Ready to pursue federal construction contracts?
- Complete SAM registration - Essential first step
- Obtain certifications - Maximize set-aside eligibility
- Build capability statement - Market your qualifications
- Research target agencies - Focus your efforts
- Attend industry events - Build relationships
- Start bidding - Compete for appropriate opportunities
Related Articles
- Small Business Set-Aside Contracts Guide
- Pre-Qualification Requirements for Government Contracts
- How to Write Winning Construction Bid Proposals
Frequently Asked Questions
How long does SAM registration take? Initial registration typically takes 7-10 business days. Allow extra time for any issues with UEI assignment or entity validation.
Do I need security clearance for federal construction? Most construction work doesn't require individual clearances. Some projects on secure installations may require facility clearance or personnel clearances.
What's the minimum project size for federal work? Federal contracts range from under $25,000 (micro-purchases) to billions of dollars. Many opportunities exist in the $100K-$5M range suitable for small contractors.
How do I compete against larger contractors? Focus on set-aside opportunities, build subcontracting relationships, pursue joint ventures, and develop niche expertise that larger contractors may not offer.
How long from bid to award? Timelines vary widely. Simple sealed bids may award in 30-60 days. Complex negotiated procurements may take 6-12 months from solicitation to award.