# Armed Services Board Awards KiewitPhelps $125M

The Armed Services Board of Contract Appeals has upheld a $125 million award to KiewitPhelps in a dispute with the U.S. Army Corps of Engineers concerning the construction of a replacement complex for the U.S. Strategic Command at Offutt Air Force Base, Nebraska. This resolution relates to a 2012 contract valued at $524 million and represents a significant reimbursement to the prime contractor following a multi-year appeals process.

- **Why this matters:** Procurement professionals should note the impact of contract disputes and appeals on project timelines and contractor reimbursements, especially in large-scale federal construction projects.
- The decision underscores the importance of thorough contract management and dispute resolution mechanisms within military infrastructure procurements.
- Contractors engaged in federal base construction can consider the implications of this ruling for risk management and claims strategies.
- Agencies may evaluate contract terms and oversight practices to mitigate prolonged disputes and ensure timely project delivery.

**Jurisdictions:** federal
**Industries:** Construction & Infrastructure
**Topics:** Physical Infrastructure
**Published:** September 25, 2026

### Government Entities
- U.S. Army Corps of Engineers
- Armed Services Board of Contract Appeals
- U.S. Strategic Command (USSTRATCOM)

### Vendors
- KiewitPhelps (prime contractor)
