Two Helicopter Programs Start Over
The Pentagon has recently announced that they are starting two helicopter programs canceled in 2009 up again. A new contest will be held to find a...2nd MEB Commander to Brief Live From Afghanistan
2nd MEB Commander to Brief Live From AfghanistanMarch 3, 2010
Marine Brig. Gen. Lawrence D. Nicholson, commander of the 2nd Marine Expeditionary Brigade, will brief live from Afghanistan at 11 a.m. EST, March 4, in the DoD Briefing Studio, Pentagon 2E973, to provide an update on Operation Moshtarak.
Journalists without a Pentagon building pass will be picked up at the River Entrance only. Plan to arrive no later than 45 minutes prior to the event; have proof of affiliation and two forms of photo identification. Please call 703-697-5131 for escort into the building.
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Afghanistan, USMC (US Marine Corps)
As Expected Alabama Press Critical Of Air Force RFP
Filed under: Alabama, Boeing, EADS, KC-X, KC-X Tanker News, Northrop Grumman Corp., Syndicated Industry News
Writing in support of Northrop Grumman and the “Mobile region” the Mobile Press-Register has and editorial summing up the situation on the new RFP from their view. They do not demand that the RFP be changed or the contract be given to Northrop and EADS but they do point out that:
“If Northrop pulls out of the contest, Boeing may get the tanker contract, but the entire deal will be tainted — first by Boeing’s own corruption and collusion with some Pentagon officials several years ago over an earlier version of the tanker deal, and second by a decision-making process that puts politics above defense needs.”
It is true that a single bid competition is not much of a competition.
Leaked Budget Document Shows Restructure Of JSF Program
A leaked document about the 2011 budget shows that the Pentagon is going to restructure the JSF program to spend more on development and less on...OSD Committed To Current KC-X Strategy
Filed under: Boeing, Congress, EADS, KC-X, KC-X Tanker News, Syndicated Industry News, logistics
Ashton Carter the Undersecretary of Defense for Acquisition, Technology and Logistics (USD (AT&L), who is the head “weapons buyer” at the Pentagon had a press availability recently. At this he stated he is committed to the current plan for the KC-X program with a final RFP coming out by the end of the year. The draft RFP in his eyes was less subjective then past ones and the questions from industry are being used to shape the final RFP. He is confident that the Air Force will get it right on their third try. It will have to be seen if this is true.
Starting Over With Or Without The VH-71
The Pentagon discussed starting a new program to buy the President a helicopter. The last attempt was the VH-71 but this was canceled by the Obama...Lockheed Martin To Continue IT Support For Pentagon
Filed under: Business Line, Companies, Contract Awards, Department of Defense, Events, IT, Lockheed Martin, Services, logistics
The Department of Defense awarded a contract to Lockheed Martin to continue to provide network and IT support for the world’s largest office building, The Pentagon. The contract is worth almost $300 million. This contract is a continuation of one awarded in 2000.
The Pentagon has been undergoing renovation since the late Nineties with further work required due to the attack on 9/11. This has meant significant upgrades to the networks and capability installed in the building. At the same time the U.S. military has invested heavily in data and computer technology. This contract will have Lockheed Martin running the Network Infrastructure Service Center for the building.
Iran threatened by U.S. buster bomb
TEHRAN, Oct. 8 (UPI) -- The Pentagon has acknowledged that it is speeding up plans to deploy a massive bomb capable of knocking out deeply buried enemy facilities.
Air Mobility Command welcomes KC-X program
SCOTT AIR FORCE BASE, Ill., Sept. 28 (UPI) -- U.S. Air Mobility Command welcomed a Pentagon announcement that it approved a request for a replacement for the KC-135 Stratotanker and KC-10 Extender.
Israel’s bid for F-35s stalls
TEL AVIV, Israel, Sept. 11 (UPI) -- Israel's drive to acquire Lockheed Martin F-35 stealth fighters has been stalled by the Pentagon's refusal to allow the Israeli air force to integrate its own systems into the aircraft.
Gulf states seek U.S. aircraft, upgrades
RIYADH, Saudi Arabia, Aug. 18 (UPI) -- The Royal Saudi Air Force wants the Pentagon to upgrade its AWACS and aerial tanker aircraft, a deal worth $1.5 billion.
Boost For General Dynamics In House Version Of Defense Budget
Update — Facing strong pressure against this addition to the budget in the Senate as well as strong criticism from the Obama Administration, the Pentagon and the media the House will probably remove the extra aircraft. It may have to be done in conference or perhaps they will bring the bill up for a [...]House Moves To Keep VH-71 Increment One Alive
Filed under: Agusta Westland, Business Line, Companies, Congress, Contract Awards, Department of Defense, Events, Federal Budget Process, Lockheed Martin, Military Aviation, Restructuring, Services, U.S. Navy, development program, production program
The various defense appropriations and authorization bills are working their way through the House and Senate. Many items have been included not requested by the Obama Administration or Secretary of Defense Robert Gates. This really is not surprising as Gates attempted to cut a lot very quickly. He spared no service cutting Air Force F-22 and C-17 aircraft, Navy VH-71 and destroyers, and Army vehicle and missile defense systems. Congress has pushed back on certain programs.
One that they are trying to keep alive is the VH-71 helicopter for use in transporting the President. This program has not only been unfunded in the President’s 2010 budget but Lockheed Martin has been told to stop work. The company and the Pentagon are negotiating termination costs.
The House Appropriation Defense sub-committee, though, included almost half a billion dollars to try and utilize the Increment One aircraft already procured. The program was structured with two increments of aircraft, the first being basic ones to be used to support testing and development. A larger buy in five or so years would have all the required equipment. To date the U.S. has invested about $3 billion in the program. The House wants to see if some use could be derived of the aircraft already delivered.
While the current fleet of VH-2 and VH-60 aircraft have served the President well they are somewhat dated. The VH-71 would have more modern survivability and communications equipment with greater range and lift. The strenuous requirements are what led to the programs cost and schedule growth. There will be more to come on this issue to say the least.
Despite Gates’ Proposed Reforms New Satellites to go Forward
Filed under: Business Line, Congress, Department of Defense, Events, Federal Budget Process, NGIA, Proposal, Satellites, Services, U.S. Air Force, development program, space
As Federal Computer Week writes the Obama administration has decided to go ahead and begin development of a new spy satellite. In the past these black space programs have been heavily criticized for not only cost and schedule growth but the fact that due to their secret nature that there is no public oversight. Part of the impetus for this system is the recent North Korean missile launch. For monitoring programs like this and the Iranian nuclear one satellites are the most efficient way of doing so. This system will also utilize commercial imagery systems that are available. Of interest an earlier attempt at upgrading the U.S. capability, the Future Imagery Architecture project, was not successful. Perhaps this program will be able to demonstrate that Secretary Gates has been able to reform some aspects of acquisition at the Pentagon.
Oklahoma Congressional Delegation Not Happy with FCS Decisions
Filed under: BAE Systems, Boeing, Business Line, Companies, Congress, Department of Defense, Events, Federal Budget Process, Proposal, Restructuring, Services, U.S. Army, development program
In yet another story of Congressional reaction to the decisions by Secretary Gates in next year’s budget. The one recommending cancellation of the Army’s Future Combat Systems (FCS) manned vehicles had the Oklahoma Senators and Representatives expressing strong reservations. The Oklahoman writes that Senator Inhofe who has been a strong supporter of the Non-Line of Sight Cannon (NLOS) system blames President Obama for this plan. The system would be assembled at a BAE plant in Elgin, OK. This is yet another example of how even though the Pentagon may propose cuts or ending programs Congress will have the ability to keep them going through adding funding in the Appropriations bill. Inhofe has always supported the system which was planned to enter into limited production in the near future. The FCS vehicles are planned to be lighter, faster and more fuel efficient then the current suite of heavy, tracked vehicles used by the U.S. Army. They would make up for there lack of armor through speed and reaction time. The FCS envisioned a heavily networked system that would allow greater situational awareness that would help U.S. troops engage faster. This decision by Gates is just one of several that will end up being decided in Congress.
SAIC Revenue Reaches Milestone
Filed under: Business Line, Companies, Earnings, Events, IT, S&T, SAIC, SETA, logistics
Fox Business reports that SAIC reached an annual revenue of over $10 billion when it reported its Fiscal Year 2009 results. SAIC is one of the top ten defense contractors and primarily provides engineering and consulting services to the Pentagon. Last year it generated an operating income of $776 million which is a growth of 15% over 2008. The company also provided strong guidance for 2010 due to a backlog of almost $17 billion in contracts.
Minority Set Aside Contracts Still Banned in DoD
Filed under: Business Line, Congress, Department of Defense, Events, Federal Budget Process, IT, Justice Department, Protest, Services
In November a Federal Appeals Court ruled against the Pentagon’s program of minority set asides in contracting. This case is under review about whether it will be appealed to the Supreme Court. Government Executive writes that the Defense Department announced while this process is ongoing it will continue not using these contracting rules. The company that won the law suit sued because they submitted a lower bid then the winner who was a minority owned corporation. The appeals court based their ruling on the fact that the rules benefited minorities not proven to be discriminated in the past by Defense contracting. The Department has maintained a program where five percent of contracts had to go to these designated disadvantaged businesses. More to come in the future on this as one would presume that the Obama administration would support this program in the Federal Courts.
Congressional Research Service Recommends Holding Down Military Pay
Filed under: Careers, Commentary, Congress, Department of Defense, Events, Federal Budget Process, Services
The CRS did a review of the future budget plans for the Pentagon and came to the conclusion they were underfunded. The Federal Times writes that one aspect of this review was a recommendation to reduce future military pay raises. Personnel costs are a large part of the defense budget and the operations over the last seven years have only increased those. The military and Congress have also moved to increase pay and benefits due to the stress military personnel have been under. They recommend reducing future raises and targeting special pay and bonuses. To be honest any attempt that looks like the military were being short changed on pay and benefits would not fly with the Congress, or the American people for that matter.
Lockheed Martin Plans for Contract End
Filed under: Contract Awards, Department of Defense, IT, Lockheed Martin, logistics
This article at The Business Review reports that Lockheed Martin filed a report with the State of Virginia that it might be laying off 250 people in sixty days. This would be if they did not win the recompete to provide data management to the Pentagon. This is a formality and is part of the process as their current contract ends. That does not mean they won’t win the recompete for the work they have been doing for the last eight years; just that they are not sure. There is also a good chance that if another company wins the contract they will hire all of the incumbent personnel. This is just part of the planning for a business where you are not guaranteed work after every five years or so.
England Bets on Gates
Filed under: BAE Systems, Business Line, Department of Defense, England, Federal Budget Process, IT, Military Aviation, commercial aviation, development program, logistics, production program
Many of the major English defense contractors rely on a great deal of American business. The biggest is BAE but there are many other companies selling goods and services to the Pentagon. Several have purchased US companies to expand their reach. There was concern with the Obama administration cutting back heavily on defense spending, but as The Times reports with the retention of Secretary Gates that concern has been alleviated somewhat. The major outstanding contract that is important to the UK and Europe is the KC-X contract. Taken away from EADS due to protest the hope is that the company will win it on the recompete. Many jobs in UK rely on building the wings for the tanker aircraft and it was a blow when the protest was upheld.
KC-X Advertisement Makes DoD Unhappy
Filed under: Boeing, Contract Awards, Department of Defense, EADS, Federal Budget Process, GAO, Military Aviation, Northrop Grumman Corp., Proposal, Protest, U.S. Air Force, commercial aviation, logistics, production program
Northrop Grumman took out an ad this week in the Washington Post supporting its proposal for the KC-X mission. The Wall Street Journal reports that the content of the advertisement made folks over at DoD most unhappy. That is because it quotes an unidentified official as saying the A-330 was $3 Billion cheaper then the B-767 overall. Read more
President signs defense budget
The last step for any of the appropriation bills passed by Congress is the approval of the President. This year after going through the House and Senate, and then Conference; before finally being rolled into a large omnibus spending bill the defense bill was signed by President Bush in early October. Last week he signed the companion Authorization Bill. The Authorization Bill comes out of the House and Senate Armed Services committees and specifies what the money given in the Appropriation Bill can buy. This is the largest Defense budget in US history, and based on comments by Congressional Democrats looking forward to a Democratic President may be the peak. Read more
KC-45 fallout continues
Filed under: Boeing, Contract Awards, Department of Defense, EADS, GAO, Military Aviation, Northrop Grumman Corp., Proposal, Protest, U.S. Air Force, commercial aviation, logistics, production program
With the decision to not go ahead with the KC-45 recompete and the cancellation of the planned source selection, the Pentagon has decided that due to the decision to cancel the original contract Northrop Grumman, and EADS, will receive some termination fee. This will pay the company for any work that the did while the contract was active prior to the protest and GAO recommendation to recompete the proposal. Termination fees are common for when the Government cancels the contract for administrative reasons. If ti is canceled due to non-performance then it gets a little more difficult. Due to the high visibility of this decision, I am sure the Congress will take a look at any money payed to Northrop Grumman.
See the Los Angeles Times for more on this.
Bush administration rushing to complete overseas sales
Filed under: Congress, Contract Awards, Department of Defense, FMS, Federal Budget Process, Military Aviation, Proposal, logistics
According to an article in the International Herald Tribune; the Bush administration is moving quickly to ok deals for foriegn partners on US weapon systems. The Pentagon plays a role in organizing and having Congress approve these deals. There has been a rash of equipment for Iraq and Afghanistan lately as well for former Soviet and Eastern Europe states. This is seen as building good will with them, as well as counteracting other nation’s attempts to sell weapons. The deals also help out US contractors.
See the article here.
Representative Asks For Tanker Bid Delay
Filed under: Contract Awards, EADS, Military Aviation, Pratt & Whitney, U.S. Air Force
U.S. Rep. Joseph D. Courtney, from Connecticut, has written to Secretary of Defense Robert Gates to ask him to delay the renewed bidding for the $35 billion aerial refueling tanker contract. “It is important to get this decision right,” Courtney said, because it is “one of the most critical components of our national security.” Courtney is particularly concerned that there be adequate time for the RFP “to be vetted by the competitors and evaluated by Congress.”
The Pentagon is committed to a quick timetable, but Courtney argues that such an “unnecessarily aggressive timeline for a final decision, will once again tilt the outcome” in favor of EADS. Courtney is very interested in the process, because the Boeing tanker’s engines would be made by East Hartford-based Pratt & Whitney.
More details on Courtney’s letter can be found at Hartford Business.
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