Preferred Electric, LLC

Preferred Electric, LLC, a service-disabled veteran-owned small business based in Minneapolis, Minnesota, operates exclusively as a prime contractor (100% of recent awards) delivering electrical, mechanical, and construction services to the Department of Veterans Affairs, Department of the Air Force, Federal Aviation Administration, and Department of Agriculture. The company is a Limited Liability Company owned by parent entity Horwitz LLC and competes across both set-aside and full-and-open vehicles, with SDVOSB designations recurring across roughly 60% of named prime awards, particularly in VA and emergency repair work.

Preferred Electric's customer concentration is extreme. The Department of Veterans Affairs Veterans Integrated Service Network (VISN) 23 accounts for 77 awards worth $163 million in combined potential value—86% of the vendor's total award footprint across 90 prime awards valued at $233 million. Within this VA relationship, the work centers on facility maintenance, electrical and mechanical infrastructure upgrades, and emergency repairs at the Minneapolis VA Health Care System. The Air National Guard ranks second at four awards with $49.4 million combined potential value, anchored by a $49 million multiple-award Indefinite Delivery Indefinite Quantity (IDIQ) construction contract running through February 2028 that Preferred Electric holds as one of up to seven competing task-order contract holders. The FAA places regular work through three awards worth $5.8 million, including a $4.3 million single-award IDC for construction services at the Minneapolis Air Route Traffic Control Center ending October 2029. The concentration signal is sharp: VISN 23 alone dominates 96% of recent award count.

Preferred Electric's vehicle position rests on three named IDIQs. The largest is the $49 million Air National Guard multiple-award construction MATOC (awarded February 2023, ultimate completion February 2028), which has generated delivery orders for HVAC replacements, facility upgrades, and emergency repairs at Minnesota National Guard installations. The FAA $4.3 million single-award IDC for Minneapolis ARTCC construction services (awarded October 2024, completion October 2029) funds electrical, mechanical, and facility infrastructure work at the air traffic control center. Within the VA system, Preferred Electric executes work against at least two named contract vehicles: IDC 36C26319D0093, a low-voltage maintenance IDIQ with 20 task orders worth $25.5 million, and IDC 36C26320D0057, a related maintenance vehicle with 15 task orders worth $403 thousand. Representative work on these vehicles includes a $4.85 million SDVOSB-set-aside definitive contract awarded September 2024 for electrical deficiency corrections and main switchgear replacement at the Minneapolis VA Health Care System (completion December 2027), a $7.17 million SDVOSB delivery order for mechanical deficiency corrections across the same facility (August 2023, completion October 2024), a $3.5 million emergency delivery order for flood damage remediation (May 2022, extended completion April 2023), and a $979,826 delivery order for medical vacuum system replacement (January 2023, completion March 2024). Emergency repairs and facility maintenance dominate the task-order volume against both low-voltage maintenance IDIQs, with dozens of orders under $250 thousand each.

Activity has grown from nine awards in 2021 to a peak of 17 in 2023, declining to eight in 2024 and one recorded award in 2026 (as of March). This trajectory suggests pipeline volatility centered on large VISN 23 project completion and initiation cycles. Only two awards (combined potential value $4.9 million) reach ultimate completion within the next twenty-four months, presenting modest recompete exposure. The $4.3 million FAA single-award IDC and $49 million Air National Guard MATOC each carry multi-year runways and represent the vendor's largest non-VA vehicles.

On SCI-reportable federal service contracts above the $150,000 threshold, Preferred Electric recorded $23 million in invoiced revenue across FY2023–FY2024 (no FY2022 SCI records), with $7.1 million in FY2023 and $15.9 million in FY2024. Across SCI-reportable prime contracts, the vendor delivered roughly 3.7 FTEs in FY2023 and 12.2 FTEs in FY2024, reflecting growth in captured labor-based work. Government-paid hourly rates on prime contracts ran a median of $400.34/hour, with rates spanning from $182.34/hour at the 10th percentile through $1,413.19/hour at the 90th percentile, indicating a mix of field technicians and specialized engineering or supervisory labor. Across SCI-reportable prime contracts, subcontractors accounted for an average 30% share of total contractor hours, with 53 named subcontractors reported across the contract set—signaling meaningful reliance on specialty trade subs for plumbing, HVAC, painting, and other trade work, though the vendor performs core electrical and project management work in-house.

The top NAICS categories reflect the facility-services portfolio: Commercial and Institutional Building Construction (52 awards), Electrical Contractors and Other Wiring Installation Contractors (26 awards), and Plumbing, Heating, and Air-Conditioning Contractors (4 awards). The product services classification concentrates on maintenance of hospitals and infirmaries (36 awards), construction of hospitals and infirmaries (13 awards), and repair or alteration of hospitals and infirmaries (8 awards). This is a facility-trades company whose federal profile is almost wholly consumed by a single customer—VISN 23—where it operates across standing maintenance IDIQs and compete-and-win delivery orders for emergency repairs and planned infrastructure modernization at the Minneapolis VA Health Care System.

Preferred Electric is a SDVOSB that specializes in Commercial, Residential and Industrial Electrical wiring and service.