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September 24, 2020 | Information,

AIA’s Fanning: Civil aviation’s nosedive endangers Pentagon supplies

WASHINGTON ― The Pentagon's shared supply chains with battered commercial aviation companies will suffer if Washington doesn't provide that sector with aid soon, the Aerospace Industries Association warned Wednesday.

The trade group released its recovery plan for the broad aerospace and defense sector as Congress has begun a fierce Supreme Court replacement battle, shifting attention away from passing another stimulus package to defray the impact of the coronavirus pandemic.

But AIA President and CEO Eric Fanning suggested some aviation companies have little time to wait.

“If the commercial side doesn't get some relief, you are going to see companies in the supply chain go out of business, and that will impact the defense side,” Fanning said in a teleconference with reporters. “We're going to see bankruptcies, consolidation, closures in the supply chain, and she of them are single points of failure.”

The defense subsector, declared essential at the pandemic's start, enjoys steady demand from the Pentagon, which has accelerated payments to prime contractors and directed stimulus funds toward its suppliers. However, sagging demand for commercial air travel will fuel a $100 billion revenue loss in the U.S. this year, Fanning said.

AIA's analysis concluded another 220,0000 civil aviation jobs are at risk beyond 100,000 already lost. The study and its recommendations were prepared by Avascent, Boston Consulting Group, and McKinsey & Company, combined with input from AIA member companies.

Beyond any federal aid, the civil aviation industry, the agency said, can highlight the steps it's taken to make air travel safer; increase communication between original equipment manufacturers, prime contractors, and suppliers, and support flexibility in the supply chain if private companies offer balance-sheet support and share inventory risk.

The report called for stable Defense Department funding from Congress, but also said DoD can relieve stress on the industrial base by accelerating procurements of systems and services, with a focus on suppliers with notable commercial aerospace exposure. DoD can also keep making increased payments against ongoing contracts as they reach development and production milestones.

AIA also continues to advocate for industry reimbursements for costs incurred during the COVID-19 pandemic, as authorized by Section 3610 of the CARES Act. Defense officials have said they need roughly $10 billion, and that without added funding from Congress, the Pentagon would have to dip into modernization and readiness funds.

AIA's call comes a day after key House progressives, Reps. Marc Pocan and Barbara Lee, demanded an investigation and public hearings into the use of economic stimulus funding for defense contractors, calling it a “Pentagon misuse of COVID funds.” The Pentagon, which reported its intent to Congress in May, refuted that characterization.

When asked, Fanning said it was important for the Pentagon to shore up previously identified supply chain weaknesses that the pandemic might exacerbate.

“This money was put into contracts, so the war fighter is getting something for that,” Fanning said. “But I think the important thing is the critical nature of this industrial base, not just to the nation's economy, which is the health and safety of American's citizens writ large, but also to our nation's security.”

A larger obstacle to winning further aid for the sector is that Congress has deadlocked over continued stimulus funding overall.

AIA's report proposed that the government establish an investment fund that would send government-backed capital to civil aerospace suppliers; subsidize the airlines' major maintenance, repair, and overhaul visits, and continue to payroll assistance to support employees.

Fanning told reporters that AIA found bipartisan backing for the idea of a payroll cost-share program, but there has been no legislative vehicle behind it.

“The real problem is there's no bill,” Fanning said. “Congress hasn't been able to come together with the administration and itself to get a bill in place.”

https://www.defensenews.com/congress/2020/09/23/aias-fanning-civil-aviations-nosedive-endangers-pentagon-supplies/

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  • Canadian Surface Combatant

    December 4, 2017 | Information, Naval

    Canadian Surface Combatant

    Offering the most advanced and modern warship design with Canadian-developed combat and platform systems, BAE Systems, CAE, Lockheed Martin Canada, L3 Technologies, MDA, and Ultra Electronics Maritime Systems Inc. (Ultra) are partnering (on a non-exclusive basis) as Canada's Combat Ship Team for the Royal Canadian Navy's future fleet of Canadian Surface Combatants (CSC). http://canadascombatshipteam.com/canadian-suppliers/ https://twitter.com/CSCHomeTeam

  • Contract Awards by US Department of Defense – September 17, 2020

    September 18, 2020 | Information, Aerospace, Naval, Land, Security, Other Defence

    Contract Awards by US Department of Defense – September 17, 2020

    NAVY Collins Aerospace, Cedar Rapids, Iowa, is awarded a $316,733,831 modification (P00015) to previously awarded firm-fixed-price contract N00421-18-D-0004. This modification exercises an option for the procurement of 11,313 AN/ARC-210(v) radios for installation in over 400 strategic and tactical airborne, seaborne and land based (mobile and fixed) platforms for the Navy, Marine Corps, Army, Coast Guard, other government agencies and Foreign Military Sales customers. Work will be performed in Cedar Rapids, Iowa, and is expected to be completed by September 2023. No funds are being obligated at time of award. Funds will be obligated on individual delivery orders as they are issued. The Naval Air Warfare Center Aircraft Division, Patuxent River, Maryland, is the contracting activity. Marathon Construction Corp., Lakeside, California (N62473-16-D-1802); Granite-Healy Tibbitts JV, Watsonville, California (N62473-16-D-1803); Reyes Construction Inc., Pomona, California (N62473-16-D-1804); Manson Construction, Seattle, Washington (N62473-16-D-1805); and R.E. Staite Engineering Inc.,* San Diego, California (N62473-16-D-1806), are awarded $75,000,000 to increase the aggregate capacity of the previously awarded suite of firm-fixed-price, indefinite-delivery/indefinite-quantity, multiple award construction contracts. The maximum dollar value including the base year and four option years for all five contracts combined is increased from $240,000,000 to $315,000,000. The contracts are for new construction, repair and renovation of various waterfront facilities at various locations predominantly within the Naval Facilities Engineering Command (NAVFAC) Southwest area of responsibility (AOR). Work will be performed predominantly within the NAVFAC Southwest AOR including, but not limited to, California (98%), and will be available to the NAVFAC Atlantic AOR (2%) as approved by the contracting officer. No funds are being obligated on this award and no funds will expire. Future task orders will be primarily funded by military construction (Navy); operations and maintenance (O&M) (Navy); O&M (Marine Corps); and Navy working capital funds. The original contract was competitively procured via the Navy Electronic Commerce Online website, with 13 proposals received. NAVFAC Southwest, San Diego, California, is the contracting activity. Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is awarded a $70,847,707 modification (P00023) to previously awarded cost-plus-incentive-fee contract N00019-19-C-0010. This modification provides requirements decomposition through system functional review for the F-35 Super Multi-Function Aircraft Data Link Band 5 receiver warning capability in support of the Navy, Air Force, Marine Corps, and non-Department of Defense (DOD) participants. Work will be performed in Nashua, New Hampshire (35%); San Diego, California (20%); Fort Worth, Texas (20%); Baltimore, Maryland (15%); and Hunt Valley, Maryland (10%), and is expected to be completed by June 2023. Fiscal 2020 research, development, test and evaluation (Navy) funds in the amount of $821,960; fiscal 2020 research, development, test and evaluation (Air Force) funds in the amount of $821,960; non-DOD participant funds in the amount of $356,080 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Testek LLC, Wixom, Michigan, is awarded a $38,071,331 firm-fixed-price, indefinite-delivery/indefinite-quantity contract. This contract is for the production and delivery of up to 42 Aircraft Generator Test Stands (AGTS), 41 for the Navy and one for a Foreign Military Sales customer. The AGTS will be used to conduct full functional testing of the new F/A-18E/F and EA-18G G4 generator converter units, the V-22 Constant Frequency Generator and Variable Frequency Generator, the ALQ-99 Ram Air Turbine Generator and generators tested by the legacy Aircraft Engine Component Test Stand (AECTS) at those sites where the AECTS is being replaced by the AGTS. Work will be performed in Wixom, Michigan, and is expected to be completed by September 2026. No funds will be obligated at the time of award. Funds will be obligated on individual orders as they are issued. This contract was competitively procured via an electronic request for proposal, two offers were received. The Naval Air Warfare Center Aircraft Division, Lakehurst, New Jersey, is the contracting activity (N68335-20-D-0048). General Electric Aviation, Lynn, Massachusetts, is awarded a $19,631,873 cost-plus-fixed-fee order (N00019-20-F-0748) against previously issued basic ordering agreement N00019-16-G-0005. This order provides project management as well as recurring and non-recurring engineering support, materials and documentation to implement, manage and report on the B-Sump Additive Manufacturing, Temperature Distortion Sensitivity Test, second source bearing, second source external hose and fittings, Second Source Accessory Gear Box, and emergency oil system elimination cost reduction initiatives in support of the CH-53K T408 engine. Work will be performed in Lynn, Massachusetts (80%); Patuxent River, Maryland (15%); and Evendale, Ohio (5%), and is expected to be completed by December 2024. Fiscal 2018 aircraft procurement (Navy) funds in the amount of $14,997,273; and fiscal 2019 aircraft procurement (Navy) funds in the amount of $4,634,600 will be obligated at time of award, $14,997,273 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. U.S. SPECIAL OPERATIONS COMMAND Battelle Memorial Institute, Columbus, Ohio, received a ceiling increase modification in the amount of $140,000,000 to an indefinite-delivery/indefinite-quantity contract for the production of Non-Standard Commercial Vehicle 2 (H92222-16-D-0043). This modification raises the contract ceiling to $310,000,000 to account for additional emergent Special Operations Forces requirements. The work will be performed in Columbus, Ohio, and is expected to be completed by July 2023. This modification was awarded through a sole-source acquisition in accordance with 10 U.S. Code 2304(c)(1) and Federal Acquisition Regulation 6.302.1. U.S. Special Operations Command, Tampa, Florida, is the contracting activity. MISSILE DEFENSE AGENCY Modern Technology Solutions Inc. (MTSI),* Huntsville, Alabama, is being awarded a noncompetitive cost-plus-fixed-fee contract with a total value of $68,503,410. Under this new contract, the contractor will support the extension of Missile Defense System capabilities through evaluation, identification and maturation of new technologies and future concepts (e.g. hypersonics, cruise missiles, cyber offense and defense, artificial intelligence/machine learning, quantum science, left-through-right-of-launch integration, fully networked command and control and directed energy) to support the Concepts and Performance Lab (CAPL) under the Missile Defense Agency's Advanced Technology initiative. The CAPL program shall support these initiatives by maturing advanced interceptor and sensor concepts models and simulations, algorithm development/implementations, laboratory experiments and/or ground and flight-testing required for technical and operational assessment of capabilities. The work will be performed in Huntsville, Alabama. The period of performance is Sept. 17, 2020, through Sept. 16, 2023, with two one-year options. Fiscal 2020 research, development, test and evaluation funds in the amount of $3,800,000 are being obligated on this award. The Missile Defense Agency, Redstone Arsenal, Alabama, is the contracting activity (HQ0860-20-C-0006). DEFENSE LOGISTICS AGENCY LOC Performance Products Inc.,* Plymouth, Michigan, has been awarded a maximum $47,634,898 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for left and right final drives. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a five-year contract with no option periods. Location of performance is Michigan, with an Aug. 30, 2025, ordering period end date. Using military service is Army. Type of appropriation is fiscal 2020 through 2025 defense working capital funds. The contracting activity is the Defense Logistics Agency Land and Maritime, Warren, Michigan (SPRDL1-20-D-0093). Golden State Medical Supply Inc., Camarillo, California, has been awarded a maximum $10,306,354 fixed-price, requirements contract for Duloxetine HCL DR (hydrochloride, delayed release) capsules. This was a competitive acquisition with three responses received. This is a one-year base contract with four one-year option periods. Locations of performance are California and Spain, with a Sept. 16, 2021, performance completion date. Using customers are Department of Defense, Department of Veterans Affairs, Indian Health Services and Federal Bureau of Prisons. Type of appropriation is fiscal 2020 through 2021 defense working capital funds. The contracting agency is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE2D2-20-D-0098). ARMY Marinex Construction Inc., Charleston, South Carolina, was awarded a $33,998,700 firm-fixed-price contract for maintenance and new work dredging. Bids were solicited via the internet with four received. Work will be performed in Charleston, South Carolina, with an estimated completion date of July 10, 2022. Fiscal 2020 civil construction funds in the amount of $31,639,750 were obligated at the time of the award. U.S. Army Corps of Engineers, Charleston, South Carolina, is the contracting activity (W912HP-20-C-0008). Benaka Inc.,* New Brunswick, New Jersey, was awarded a $9,162,000 firm-fixed-price contract for design and build renovations and additions for an Army Reserve Center. Bids were solicited via the internet with four received. Work will be performed in Orangeburg, New York, with an estimated completion date of Sept. 7, 2022. Fiscal 2020 operations and maintenance (Army) Reserve funds in the amount of $9,162,000 were obligated at the time of the award. U.S. Army Corps of Engineers, Louisville, Kentucky, is the contracting activity (W912QR-20-C-0038). General Dynamics Information Technology, Falls Church, Virginia, was awarded an $8,204,786 modification (P00026) to contract W81XWH-17-F-0078 for administrative support services for the U.S. Army Medical Materiel Activity. Work will be performed at Fort Detrick, Maryland, with an estimated completion date of Sept. 30, 2021. Fiscal 2020 operations and maintenance (Army) funds in the amount of $8,204,786 were obligated at the time of the award. U.S. Army Medical Research Acquisition Activity, Fort Detrick, Maryland, is the contracting activity. Zodiac-Poettker HBZ JV LLC,* St. Louis, Missouri, was awarded a $7,516,000 firm-fixed-price contract to design and construct a dining facility for the Veterans Affairs (VA) Law Enforcement Training Center and Eugene J. Towbin Healthcare Center. Bids were solicited via the internet with six received. Work will be performed in North Little Rock, Arkansas, with an estimated completion date of April 12, 2022. Fiscal 2019 VA minor construction funds in the amount of $7,516,000 were obligated at the time of the award. U.S. Army Corps of Engineers, Little Rock, Arkansas, is the contracting activity (W9127S-20-C-6013). DEFENSE ADVANCED RESEARCH PROJECTS AGENCY Strategic Analysis Inc., Arlington, Virginia, has been awarded a $10,040,273 modification (P00008) to previously awarded contract HR0011-19-F-0101 for engineering, artificial intelligence and machine learning, social science, chemistry, physics, mathematics, materials and front office technical and administrative support services. The modification brings the total cumulative face value of the contract to $19,805,466 from $9,765,193. Work will be performed in Arlington, Virginia, with an expected completion date of September 2021. Fiscal 2020 research, development, test and evaluation funds in the amount of $2,237,061 are being obligated at time of award. The Defense Advanced Research Projects Agency, Arlington, Virginia, is the contracting activity. WASHINGTON HEADQUARTERS SERVICES Logistics Management Institute, Tysons, Virginia, has been awarded a $7,714,127 firm-fixed-price-level-of-effort and time-and-materials contract. The contract provides a broad range of Department of Defense logistics and program support operations to the Assistant Secretary of Defense for Sustainment, the Office of Deputy Assistant Secretaries of Defense for Logistics and the Office of Deputy Assistant Secretaries of Defense for Materiel Readiness. This includes analytic support, meeting facilitation, statistical and data analyses and subject matter expertise in various logistics disciplines and government/commercial supply chain practices; strategic communications; operational contract support; private security contractors; vendor threat mitigation; and strategic integration. Fiscal 2020 operations and maintenance funds in the amount of $7,714,127 are being awarded. The expected completion date is June 25, 2025. Washington Headquarters Services, Arlington, Virginia, is the contracting activity (HQ0034-20-F-0505). AIR FORCE Riverside Research Institute, New York, New York, has been awarded a $7,051,887 cost-plus-fixed-fee contract for the research and development of algorithms and tools to produce high-quality radio frequency modeling data. Work will be performed at Wright-Patterson Air Force Base, Ohio, and is expected to be completed by Sept. 30, 2025. Fiscal 2020 research, development, test and evaluation funds in the amount of $1,140,000 are being obligated at the time of award. Air Force Research Laboratory, Wright-Patterson AFB, Ohio, is the contracting activity (FA8650-20-C-1131). *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2352082/source/GovDelivery/

  • Managing Intellectual Property in Defence and Marine Procurement

    January 9, 2018 | Information, Naval

    Managing Intellectual Property in Defence and Marine Procurement

    Industry and government collaborate on Principles for the Management of Intellectual Property in Defence and Marine Procurement In 2017 Public Services and Procurement Canada, the Department of National Defence, Innovation Science Economic Development Canada and the Canadian Coast Guard worked with Canadian defence industry representatives such as Canadian Association of Defence and Security Industries (CADSI) and Aerospace Industries Association of Canada (AIAC), through the Defence Industry Advisory Group, to develop principles for the management of IP in defence and marine procurement. The Principles for the Management of IP in Defence and Marine Procurement (Principles) provide a broad policy foundation for IP management in defence and marine procurement by the Government of Canada that: reflect the Government's national interests and strategic defence and marine capability needs reflect the defence industry's interests in the protection of privately developed IP as valuable business and economic assets and as a factor in creating and sustaining an innovative Canadian defence and marine industry recognize that the development, protection and commercialization of IP are critical among several priorities to advance a broader Canadian socio-economic agenda, including economic growth and jobs recognize that IP management occurs between the Government and defence industry in strategic and dynamic sectors subject to rapid technological changes, and emerging defence capabilities and vulnerabilities serve as a framework for adaptable, flexible, principles-based and outcome-based approaches using IP management strategies that help government secure needed capabilities and ensure value for money while bolstering industry innovation and sustainability, and serve as a framework to help define IP requirements, draft contracts and design bid evaluations at earliest stages in procurements, while also helping guide the management of IP throughout the lifecycle of defence and marine assets The Principles align with the Canadian Government's Contracting Policy and Policy on Title to Intellectual Property Arising Under Crown Procurement Contracts, which prescribed a whole-of-government approach to IP management and addresses the ownership and licensing of intellectual property arising during a Crown procurement contract. Principles for the management of intellectual property in defence and marine procurement The Principles reflect key points of agreement between government and the Canadian defence industry on how government intends to approach the management of IP throughout the life cycle of defence and marine assets. The Principles serve as a framework for government and industry on the framing of requirements, the design of bid evaluations, and the drafting of contracts. They should also guide the management of IP during the life cycle of assets, seeking to balance the national interests of the government and the industry's interests to maximize benefits for Canada. The Principles recognize that the development, protection, and commercialization of IP are among several priorities to advance the broader Canadian socio-economic agenda, such as economic growth and jobs. The Principles also recognize that IP management discussions between governments and defence suppliers occur in strategic sectors subject to rapid technological changes, and emerging defence capabilities and vulnerabilities. As a result, governments are facing shorter and shorter procurement life cycles and having to return to market sooner to benefit from technological changes, while ensuring value for money. Defence firms, on the other hand, are in a position to offer technological evolution through the lifecycle of products and offer new products and services which may significantly alter the performance or the cost of the item procured. Being able to take advantage of this dynamic market will require that IP discussions take place very early on during the procurement phase and be considered as a function of the life cycle of the product or service. In this context, adapted, flexible, principles-based and outcome-based IP management strategies can help the Government secure needed capabilities, while ensuring value for money and working with industry to foster technological advantages and economic benefits. http://www.tpsgc-pwgsc.gc.ca/app-acq/amd-dp/propriete-intellec-property-eng.html

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