IAP Government Services Group President and CEO TG Banks has more than 35 years of experience in the construction industry.

Renovations to the children’s section of the Sycamore branch of the Pickerington, Ohio, public library.

It’s not often that a successful organization decides to restructure and reinvent the way it does business, and even less often that the restructuring leads to even more success. But IAP Government Services Group is a different story. The company was initially founded as TG Banks & Associates in 1990, a private construction firm that did special state and local projects. In 2004, President and CEO Thomas G. (TG) Banks decided to restructure, forming IAP Government Services Group and focusing on pursuing work utilizing his veteran or minority status. Today, IAP Government Services Group is a full-service construction management, design-build and general contracting firm based in Ohio but with more than 30 certifications across multiple states, ranging from New York to Florida to Texas. “We had just six people in 2004, and that’s now grown to 36,” TG says. “And our sales exceeded $30 million last year, up from $1 million in 2004.”

A Wide Network

While most such firms have a small pool of preferred subcontractors, IAP Government Services Group is an active third-party administrator (TPA) and casts a much wider net to recruit veteran-owned and minority-owned contractors to its stable of vendors. As the TPA for Facility Maintenance, Repair and Minor Construction for
the state of Ohio, IAP Government Services Group oversees daily construction management of state agencies and contractors, and manages efforts between field operations, administration, accounting, contractors and government representatives to assure timely completion of projects.

“The backbone of our success is the ability to rely on great subcontractors,” TG says. “All of our subcontractors go through a comprehensive prequalification process before we bring them on. They’re evaluated on bonding, previous experience and capabilities.”

IAP Government Services Group currently has 225 contractors as part of its program, which has full support from the Ohio Governor’s Office. “Gov. John Kasich deserves
a lot of credit for his support of minority programs like this one. It saves time, money and taxpayer dollars through its efficiency. We’ve got contractors of all sizes and capabilities under our program, including 65 minority contractors and 180 non-minority,” TG says.

IAP Government Services Group’s TPA program was created to reduce the financial and administrative burden on government agencies in getting necessary maintenance, repair and minor construction projects completed. Through IAP, the government saves time, money and gets more projects done than it could without the program. TG says the program has proven to be very popular not just with state agencies, but also with cooperative partners with the state, such as libraries, townships, schools or parks and recreation, which do not have the personnel to get these projects completed. Through IAP, the clients receive competitive bids, total project oversight and tremendous cost savings to their budgets.

Subcontractors have been eager to join IAP Government Services Group’s program, and while the requirements for doing so are specific, the company works with prospective contractors to help them qualify.

“New contractors can go to our website and see where they can be prequalified,” says Jennifer Schneider, Senior Vice President of IAP Government Services Group. “We have open enrollment because we’re always looking for good contractors.”

“It’s been a win-win,” TG says. “It’s a great benefit for the state of Ohio and for the taxpayers. It complies with the code (Ohio Revised Code) of the bid process. And it gives contractors a chance to get work on a competitive basis.”

In IAP’s TPA program, Jennifer says there is currently limited competition for more than 260 projects—with a large need for general contractors and paving and roofing specialists. In order to become a qualified contractor, the applicant must be registered to perform work in the state of Ohio, be in business for a minimum of one year, show past performance experience in the field of work in which it would like to be qualified, and show financial capabilities as well as bonding capabilities for projects over $50,000.

IAP Government Services Group plans to expand its TPA program to the national level, reaching five to six states in the next few years, with the hopes of reaching 20 states in the near future. “We’re getting ready to open an office in Atlanta, and we’re looking hard at Florida and Washington, D.C.,” TG notes.

Building Success

The combination of such a large and varied group of contractors, combined with IAP Government Services Group’s years of experience in government and commercial projects, has been a recipe for success.

In 2015, IAP Government Services Group won a bid on a $60 million project for the state of Ohio. TG calls the project a “great stepping stone” for the company, which has completed over 250 projects within the umbrella of that contract, with another couple hundred projects in queue. The current contract runs through the end of 2019 and has three contract renewal options, which could make it effective for another 10 years.

IAP Government Services Group has also been pursuing and winning work with the federal government. Recent jobs include an $18 million renovation, repair and conversion project at Fort Gordon in Georgia, converting the facility into a Sensitive Compartmented Information Facility (SCIF), and a $19 million battle command
training center at Fort Stewart, also in Georgia. Both
of these are design-bid-build projects for the U.S.
Army Corps of Engineers.

“Our military portfolio has nothing but ratings of satisfactory and above from the government,” TG says. “It’s a critical piece of our success and our ongoing relationship with the government. We very much enjoy our relationship and our past ventures with the military and the Army Corps of Engineers. Our SAME (Society of American Military Engineers) and state of Ohio administrative contacts, particularly the Department of Administrative Services, have really opened the doors for the business.”

Laying the Foundation

With its successful model of casting a wide net and acquiring a sizable stable of reliable contractors, one might wonder why others in the industry aren’t following suit. The answer, TG says, is that it isn’t easy.

“There’s a lot of red tape to get through,” TG says. “It’s a walk of faith. You have to work hard and stay focused. The upfront cost of this is substantial—from $2 million to $4 million just for us to get started. We also relied on an outside investment firm for funding.”

“You have to create the whole system,” Jennifer says. “Other places don’t offer the same services we do. We competitively bid. We comply with all the state rules and regulations.
We are above any other option. We help build businesses.”

Saad Barghout, Vice President of Construction and Estimating, praises the inclusivity and opportunity the IAP model offers contractors. “We have an open network, not a closed network,” Saad says. “We offer an open bid process that gives other contractors an opportunity. In the past, other places have had a small pool of 10 or 15 contractors and no one else got any work. Our process is a fair process; anybody can qualify for work if you meet the requirements.”

IAP Government Services Group’s expansive network of subcontractors, its relationships in state and federal government, the diversity of its certifications and the
staff’s extensive experience have combined to chart a roadmap to success for the company—one it intends to continue following.

It hasn’t always been easy, but TG is proud of all his group has achieved. “Our management team is very good,” he says. “I’m the door-opener, but they’re the ones who really get it done. Diversification is key—we’re always able to pivot to where the business is. It’s important to keep your eye on the ball, to keep focusing, building relationships and building trust. Any company has tough times. It’s getting through the tough times and keeping the focus that makes [the experience] valuable.”