6200 Lake Otis Parkway, Ste 202, Anchorage, AK 99507 | (907) 345-1400 | (907) 345-1553 fx
COST SAVINGS PLAN
F-35 Fighter Jet Hangars
In 2009-10 McGee Industries built fifteen (15) Hangars to house the F-22 Fighter Jets at Elmendorf Air Force Base, Anchorage, Alaska. We reduced an $82 million project to $39 million, saving the Air Force and the American tax payer $43 million dollars. We provided a superior product and completed the project in only 290 days. The Army Corps of Engineers took two and a quarter years to build only seven (7) hangars at more than double the cost.
$43 million
tax payer dollars saved
15
hangars built
290
days to complete
-50%
of the cost of the typical government contracting method
THE KEY TO COST SAVINGS
While efficient construction methods, innovative ideas, re-design and value engineering contributed to the cost and time savings, the real key was the removal of the Army Corp of Engineers from the contracting process. The Air Force instead contracted directly through the GSA procurement system. This allowed all the above cost saving methods to be introduced into the design and construction process.
The up-coming F-35 Fighter Hangar Project in Fairbanks Alaska could use the GSA procurement system and simply do what we have already done. This applies to F-35 Fighter Bases throughout the United States as well. The Pacific Air Force (PACAF), asked the Army Corp of Engineers to release the construction of these Hangars back to the Air Force. They refused. Getting a superior product and saving the American taxpayer millions is not their priority.
The more hangars we build, the more money the taxpayer saves. The original F-22 design would require only modest engineering changes to meet local conditions and codes. Efficiencies of repetition, Economies of scale and Mass Purchase of materials and equipment will only help increase savings to the American Tax Payer.
It is not known how many of the Air Force’s 1700 F-35 planes will need similar hangars, but if only 1000 did so the savings would be more than $3 billion.
43 MILLION DOLLARS IN SAVINGS
$43 million, that’s a lot of savings on a $82 million project.
Here’s how we did it…
1. Invented A New Auxiliary Power Unit Exhaust System
The APU is a non-propulsion jet that powers the plane’s weapons, electrical and diagnostic systems while the plane is in a closed hangar. The exhaust is toxic, 600 degrees Fahrenheit and moves at 253 feet per second. Previous exhaust systems were very heavy requiring extra structural steel, had lots of moving parts, were very expensive and did not work well, if at all. One of these systems back-drafted and burnt the radar absorbing paint off the plane. Not a good idea for a Jet Fighter that is supposed to be invisible.
We thought, with the exhaust traveling at 253 feet per second and the roof at 45 feet above the plane, if we just got out of the way, the exhaust would be out of the building in about 1/6th of a second.
So, we designed a totally new stainless steel duct only system that had no moving parts, no fans, no motors, weighed only a few hundred pounds versus thousands, required no maintenance and worked flawlessly. The Air Force was thrilled.
2. Heating Ventilation and Air Conditioning (HVAC) and Plumbing Re-design
We replaced expensive, heavy and complicated roof top units for HVAC with light and simple unit heaters. We placed fans on the ceiling to bring hot air down to the floor and installed wall louvers to provide make-up and combustion air, as well as cooling and fresh air as needed. These devises were tied to the heaters and APU exhaust system. Cheap, simple, low maintenance and built-in redundancy. When the Army Corp of Engineers system goes down there is no heat, period, the system fails. If one of our unit heaters fails, 3 more units will pick up the load and continue to provide heat. Just one of our heaters can take any hangar at 20 degrees below zero and raise the temperature to 60 degrees in 20 minutes. Each hangar has 4 unit heaters. In addition, we replaced a complicated half million-dollar ($500,000) control system with $20 thermostats. Because the building is occupied 24/7, the airmen simply control the heat and cooling by adjusting the thermostats as needed.
The result of the HVAC and Plumbing re-design was to lower cost, lower maintenance, lower operating cost, provide redundancy, and increase efficiency.
Total savings: $3.4 million dollars.
3. Vestibules
Moved entries and connecting walkways out of the weather. Provided safe locations for electrical disconnects during refueling.
4. Electrical
We built separate, heated rooms for electrical and plumbing between every two hangars. This provided savings due to the reduction in “Explosion Proof” devices needed and kept piping used by the emergency eyewash and showers from freezing. These and other electrical innovations saved over $500,000.
5. Fire Rated Demising Wall Panels
Cost and time savings achieved by using mineral wool filled, 2-hour fire rated, metal panels versus very expensive concrete block construction to separate hangar bays. This met code, saved money and time, and will reduce future building maintenance.
6. Roof Insulation
Our system saved money and reflected light back to the floor and the planes. This aided in ease of maintenance of the Jets, saved money and provided a clean and attractive white ceiling appearance.
7. Superior Hangar Doors
We advised the Air Force that the Hangar Doors the Army Corp of Engineers planned to use on their hangars would not work. The Air Force asked the Army Corp of Engineers to use the same doors we used. They refused. Their doors failed. This cost both time and money. They tried to repair and rework the doors. This did not work either. They eventually replaced their doors, with our doors.
8. Earthquake Insurance Deductible Credit (Savings $740,000)
The required Earthquake Insurance in addition to the cost of the premium had a deductible of $740,000. Instead of the standard practice of adding the cost of the deductible to the overall cost of the project, we made it contingent on use. In the event of substantial damage, we would have to pay this amount out of pocket and would have expected to be reimbursed. Since there had not been a serious earthquake in this area in over 50 years, we thought it was unfair for the Air Force to pay for a deductible that was unlikely to be needed. So, unlike most if not all other contractors, rather than taking this money as extra profit, we proposed to credit this money back to the Air Force unless it was needed to pay the deductible. At the end of the project, it was credited back.
9. Additional Project Cost Savings Examples
- Up-graded of office and restroom finishes. No cost to the Air Force.
- Encased electrical lines in concrete (not in our scope). No cost to the Air force. Our cost $100,000.
- Concrete Fly-Ash design and placement. Army Corps of Engineers hangar got it wrong. Replaced the entire 10-inch thick floor.
- Re-designed concrete Hangar floor system. Saved money.
- Up-graded Oil/Water Separator ow and Storage capacity. No extra cost to the Air Force.
- Fire hydrant elevations and locations. Not in our scope. No cost to the Air Force.
At McGee Industries, Inc. we take pride in the work we do. We do not throw money at problems, we find innovative, inexpensive solutions.
Contact Us
6200 Lake Otis Parkway, Ste 202
Anchorage, AK 99507
Ph: (907) 345-1400
Fx: (907) 345-1553
Thomas D. McGee, President
(907) 242-8280
tom@mcgeeindustries.com