On February 17th the Associated General Contractors of America posted on AGC News information relating to the reduction in spending for all federal construction programs for 2013. The proposed 2013 federal budget would institute a 31% reduction in Military/DOD construction and a 6% decline in the amount for the Corps of Engineers’ civil construction projects. The reductions would total over $4 billion with only modest increases in GSA and VA spending of approximately $75 million.
Historically, when federal spending for new facility construction starts to decline the use of leasing begins to accelerate. The commercial modular industry has always been uniquely positioned to help meet this demand due to its ability to provide high quality permanent and temporary buildings using operating leases. Typically, these leases are for three to five years, however in keeping with federal contract law they must allow for cancellation after each year. Hundreds of modular building projects have successfully been completed over the last ten years on military bases, at VA hospitals, and other GSA installations. On more sophisticated federal projects, many modular companies often partner with large general contractors and A/E firms. To meet the SBA requirements for many federal projects, some modular companies also have teaming agreements with 8(a), HubZone, and other Minority Business Enterprises or Service Disabled Veteran companies.
Ramtech Building Systems, Inc. continues to be a leader within the commercial modular industry for the design, manufacture, construction and leasing of facilities for the federal government. Our website dedicated to the government marketplace reflects our ability to handle both temporary and permanent buildings ranging from 1,000 to 200,000 square feet in size.
