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September 26, 2019 | International, Aerospace, Naval, Land

Faulty $5 Parts Cause 18-Month, $1 Billion Delay to Navy, Air Force Nuclear Upgrades

Defects found in a $5 electrical component will delay the Navy and Air Force nuclear warhead refurbishment program by 18 months and cost more than $1 billion to fix, a National Nuclear Security Administration official said during a congressional hearing Wednesday.

The faulty components are small commercially available capacitors that were to be used in upgrades to the Navy's W88 nuclear warheads. These weapons are deployed on the Trident II D5 submarine-launched ballistic missile systems. Similar capacitors are needed to upgrade the Air Force's B61-12 gravity bomb, Charles Verdon, deputy administrator for defense programs at the National Nuclear Security Administration, told members of the House Armed Services subcommittee on strategic forces during the unclassified portion of Wednesday's hearing.

When engineers evaluated available parts, they ran tests to determine if the off-the-shelf capacitors were compatible with the systems due for upgrades, Verdon said. Initial results suggested the components would work in the short-term.

“Early tests on the capacitors now in question and subsequent tests including component, major assembly and full-up integrated system flight tests demonstrated that these components meet requirement today. Industry best practices were used to stress the components beyond their design planned usage as a way to establish confidence that they will continue to work over the necessary lifetime of the warhead,” Verdon said. “During stress testing, a few of these commercially available capacitors did not meet the reliability requirements.”

The problem is, these parts used in the warhead upgrades must survive for decades, up to 30 years after production, Verdon said. However, the quality of each capacitor production lot varied, which led to the stress testing failure. Instead of using the capacitors and risking readiness in the future, Verdon said his agency decided to delay the upgrade work, initially scheduled to begin in December.

Replacement capacitors are being produced but will cost about $75 per unit, compared with the $5 per unit cost of the off-the-shelf capacitors that failed stress testing.

“The use of commercial-off-the-shelf electric components needs to be improved to reduce future COTS-related risk,” Verdon said.

The Navy is working with U.S. Strategic Command to understand how the 18-month delay will affect near-term deployments, Vice Adm. Johnny Wolfe, the director of strategic systems programs for the Navy, told the panel.

“Currently, today, based on what we're doing with STRATCOM, we will meet the requirements as we move forward,” Wolfe said.

The Navy and STRATCOM are developing a mitigation plan which includes is reevaluating how to turn around the submarine-based nuclear missile stockpile and how to schedule warheads for upgrades in the future, Wolfe said. More details on the Navy's plan to be discussed in a classified hearing.

“If you look at the age of these systems and the technology we're using, these are tough, tough issues to solve, and it's critical technology that we're learning as we modernize these,” Wolfe said.

Rep. Jim Cooper (D-Tenn.), chair of the strategic forces subcommittee, said he held the hearing because he wanted more information on what NNSA was doing to avoid more delays. He called the recapitalization “both necessary and hugely expensive” in his written opening statement.

“Maintaining Congress and the public's confidence in these programs, and their effective execution, is imperative,” he wrote.

https://news.usni.org/2019/09/25/faulty-5-parts-cause-18-month-1-billion-delay-to-navy-air-force-nuclear-upgrades

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  • Contract Awards by US Department of Defense - September 04, 2020

    September 8, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - September 04, 2020

    DEFENSE HEALTH AGENCY International SOS Government Services Inc., Trevose, Pennsylvania, was awarded a $960,362,689 single-award, indefinite-delivery/indefinite-quantity, fixed-price task order contract for health care support services by the Defense Health Agency (DHA). This contract supports the TRICARE Overseas Program (TOP) by supplementing the healthcare capabilities and capacities of overseas military treatment facilities and provides healthcare in remote overseas locations. This was a full and open competitive acquisition. The TOP contract is for $19,803,735 operations and maintenance funds for a base year (transition-in) and seven one-year option periods. It provides a wide range of health care support services for TRICARE eligible beneficiaries outside the U.S. and Washington, D.C. The performance completion date is Aug. 31, 2028. The DHA Managed Care Contracting Division, Aurora, Colorado, is the contracting activity (HT9402-20-D-0002). (Awarded Aug 31, 2020) NAVY Raytheon Technologies Corp., Pratt and Whitney Military Engines, East Hartford, Connecticut, is awarded a $579,837,316 indefinite-delivery/indefinite-quantity contract, which includes $146,269,941 firm-fixed-price undefinitized line items and $433,567,375 firm-fixed-price, fixed-price-incentive-firm-target, cost-plus-fixed-fee definitized line items. This contract provides unit and depot level F-135 propulsion system spare parts, spare engines and modules in support of the F-135 propulsion initial spares requirements for the Air Force, Navy, Marine Corps, non-Department of Defense participants and Foreign Military Sales customers. Work will be performed in East Hartford, Connecticut (93%); Indianapolis, Indiana (6%); and Bristol, United Kingdom (1%), and is expected to be completed in December 2024. No funds will be obligated at the time of award. Funds will be obligated on individual orders as they are issued. This contract was not competitively procured pursuant to 10 U.S. Code 2304(c)(1). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N00019-20-D-0013). Bell Textron Inc., Fort Worth, Texas, is awarded a $272,161,641 fixed-price-incentive-firm-target contract for the production and delivery of eight UH-1Y and four AH-1Z helicopters for the government of the Czech Republic. Work will be performed in Fort Worth, Texas (60%); and Amarillo, Texas (40%), and is expected to be completed in November 2023. Foreign Military Sales funds in the amount of $272,161,641 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to 10 U.S. Code 2304(f)(2)(e). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N00019-20-C-0061). Advex Corp., Hampton, Virginia (N00164-20-D-GW63); Chesapeake Machining and Fabrication, Baltimore, Maryland (N00164-20-D-GW06); Kodiak Manufacturing, Allison, Pennsylvania (N00164-20-D-GW07); and Merrill Technologies Group, Saginaw, Michigan (N00164-20-D-GW08), will compete for each order of the $50,000,000 firm-fixed-price, indefinite-delivery/indefinite-quantity, multiple award contracts for machining and fabrication requirements in support of the development, maintenance and sustainment of systems, sub-systems, equipment and components. The Platform and Launch Systems Division, Naval Surface Warfare Center, Crane, Indiana, in support of the strategic systems program, requires the establishment of multiple award contracts for the purpose of competing machining and fabrication requirements to manufacture new parts, and major overhaul of existing parts for systems in the operation and sustainment phase of their lifecycle. This acquisition provides support for Trident missile launcher subsystems, fire control and guidance subsystems and navigational subsystems. Work locations will be determined by individual task orders and is expected to be complete by September 2025, and if all options are exercised, work is expected to be complete by September 2030. Fiscal 2020 shipbuilding and conversion (Navy) funds in the amount of $19,250 will be obligated at time of award and will not expire at the end of the current fiscal year. These multiple award contracts were set-aside for small business concerns in accordance with 10 U.S. Code 2304(b)(2). The Naval Surface Warfare Center, Crane Division, Crane, Indiana, is the contracting activity. MEB General Contractors Inc., Chesapeake, Virginia, is awarded a $43,681,000 firm-fixed-price contract for construction of dry dock flood protection improvements located at Norfolk Naval Shipyard, Virginia. The work includes subsurface cutoff wall for construction of cast-in-place concrete flood wall with manual flood gates, utility valve vaults, Dry Dock 1 and 3 caisson gunwale and seal extension and incidental related work in the small dock area of Norfolk Naval Shipyard. Work will be performed in Portsmouth, Virginia, and is expected to be completed by June 2023. Fiscal 2020 military construction contract funds in the amount of $43,681,000 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the beta.SAM.gov website with six proposals received. Naval Facilities Engineering Command Mid-Atlantic, Norfolk, Virginia, is the contracting activity (N40085-20-C-0063). Huntington Ingalls Inc., Pascagoula, Mississippi (N00024-20-C-6319); Lockheed Martin Corp., Baltimore, Maryland (N00024-20-C-6320); Bollinger Shipyards Lockport LLC, Lockport, Louisiana (N00024-20-C-6316); Marinette Marine Corp., Marinette, Wisconsin (N00024-20-C-6317); Gibbs & Cox Inc., Arlington, Virginia (N0002420C6318); and Austal USA LLC, Mobile, Alabama (N00024-20-C-6315), are each being awarded a firm-fixed price contract for studies of a Large Unmanned Surface Vessel with a combined value across all awards of $41,985,112. Each contract includes an option for engineering support, that if exercised, would bring the cumulative value for all awards to $59,476,146. The contract awarded to Huntington Ingalls Inc. is $7,000,000; the contract awarded to Lockheed Martin Corp. is $6,999,978; the contract awarded to Bollinger Shipyards Lockport LLC, is $6,996,832; the contract awarded to Marinette Marine Corp. is $6,999,783; the contract awarded to Gibbs & Cox Inc. is $6,989,499; and the contract awarded to Austal USA LLC is $6,999,020. Work will be performed in various locations in the contiguous U.S. in accordance with each contract and is expected to be complete by August 2021, and if option(s) are exercised, work is expected to be complete by May 2022. Fiscal 2020 research, development, test and evaluation (Navy) funds in the amount $41,985,112 will be obligated at time of award and will not expire at the end of the current fiscal year. These contracts were competitively procured via Federal Business Opportunities (now beta.SAM.gov) with eight offers received. The Naval Sea Systems Command, Washington, D.C., is the contracting activity. National Steel and Shipbuilding Co., San Diego, California, is awarded a $35,553,202 fixed-price-incentive modification to previously-awarded contract N00024-19-C-2235 to incorporate Engineering Change Proposal H-004, Forward House Habitability Modification in support of Expeditionary Sea Base (ESB) 6 and ESB 7. This Engineering Change Proposal is applicable to ESB 6 and ESB 7 to modify the existing ESB class berthing requirement to support an additional 100 military crewmembers and is deemed essential to Fleet operational requirements planned for this class of ships. Work will be performed in San Diego, California, and is expected to be completed by January 2024. Fiscal 2019 shipbuilding and conversion (Navy) funds in the amount of $18,511,945 (52%); and fiscal 2018 shipbuilding and conversion (Navy) funds in the amount of $17,041,257 (48%), will be obligated at time of award and will not expire at the end of the current fiscal year. The Supervisor of Shipbuilding, Bath, Detachment San Diego, San Diego, California, is the contracting activity. Lockheed Martin Rotary and Mission Systems, Moorestown, New Jersey, is awarded a $12,529,557 cost-plus-fixed-fee modification to previously awarded contract N64267-18-C-0132 to exercise options for Aegis design agent field engineering services. The services include test and evaluation, engineering change development, ordnance and ship alterations, modernization engineering, logistics and technical support, ordnance alterations kit development, integration and test support, AN/SPY-1 series radar antenna refurbishment and Coast Guard deep-water program design agent field engineering support. These services are in support of Aegis-equipped guided missile cruisers and destroyers, allied Aegis-equipped ships and Coast Guard Aegis-configured ships. Work will be performed in Norfolk, Virginia (30%); San Diego, California (30%); Yokosuka, Japan (17%); Wallops Island, Virginia (6%); Pearl Harbor, Hawaii (5%); Pascagoula, Mississippi (4%); Port Hueneme, California (4%); and Rota, Spain (4%), and is expected to be completed by September 2021. Fiscal 2020 other procurement (Navy) funds in the amount of $1,566,205 (75%); and fiscal 2020 operations and maintenance (Navy) funds in the amount of $272,303 (25%), will be obligated at time of award and $272,303 will expire at the end of the current fiscal year. The Naval Surface Warfare Center, Port Hueneme Division, Port Hueneme, California, is the contracting activity. Invicta Defense LLC,* Fort Worth, Texas, is awarded a $8,064,483 indefinite-delivery/indefinite-quantity contract for transportation management and logistic support services at Naval Support Activities Andersen Air Force Base, Guam. The work to be performed provides for all labor, supervision, management, tools, material, equipment, facilities, transportation and other items necessary to accomplish all work to perform transportation management and logistics support services at Naval Support Activities, Andersen Air Force Base, Guam. The maximum dollar value including the base period and one option period is $22,300,325. Work will be performed at Naval Support Activities, Andersen Air Force Base, Guam, and is expected to be completed by June 2022. Fiscal 2020 operations and maintenance (O&M) (Navy); and O&M (Air Force) in the amount of $8,064,483 are obligated on this award. This contract was competitively procured via the beta.sam.gov with five proposals received. Naval Facilities Engineering Command Marianas, Guam, is the contracting activity (N40192-20-D-7040). ARMY Carnegie Mellon University, Pittsburgh, Pennsylvania, was awarded a $70,000,000 cost-no-fee contract to research and develop a new translational research methodology that leverages autonomy and artificial intelligence to minimize time spent on low-impact, high-time activities. Bids were solicited via the internet with 999 received. Work locations and funding will be determined with each order, with an estimated completion date of Sept. 3, 2025. U.S. Army Contracting Command, Aberdeen Proving Ground, Maryland, is the contracting activity (W911QX-20-D-0008). (Awarded Sept. 3, 2020) Goldbelt Frontier LLC,* Alexandria, Virginia, was awarded a $36,828,500 hybrid (firm-fixed-price, time-and-materials) contract for equipment maintenance and repair and administrative, advisory, inventory and training services at U.S. Army Medical Research and Development Command/Defense Health Agency. Bids were solicited via the internet with three received. Work locations and funding will be determined with each order, with an estimated completion date of Sept. 4, 2025. U.S. Army Medical Research Acquisition Activity, Fort Detrick, Maryland, is the contracting activity (W81XWH-20-D-0062). SLSCO Ltd, Galveston, Texas, was awarded a $29,177,910 modification (P00007) to contract W912PP-19-C-0018 to provide all labor, material and equipment necessary to design and construct approximately 48.4 miles of three-phase power distribution, lighting and all necessary supports, closed circuit, linear ground detection system and electronic equipment shelters. Work will be performed in Santa Teresa, New Mexico, with an estimated completion date of Sept. 2, 2021. Fiscal 2019 and 2020 operations and maintenance (Army) funds in the amount of $29,177,910 were obligated at the time of the award. U.S. Army Corps of Engineers, Albuquerque, New Mexico, is the contracting activity. Lockheed Martin Missile Fire Controls, Grand Prairie, Texas, was awarded a $23,067,054 modification (P00017) to contract W31P4Q-19-C-0101 for the purchase of production parts for the production of M142 High Mobility Artillery Rocket System launchers. Work will be performed in Camden, Arizona, with an estimated completion date of Dec. 30, 2023. Fiscal 2019 missile procurement (Army) funds; 2020 United States Marine Corp funds; and 2020 Foreign Military Sales (Romania, Singapore, United Arab Emirates, Jordan and Finland) funds in the amount of $23,067,054 were obligated at the time of the award. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity. WHH Nisqually-Garco JV 2,* Olympia, Washington, was awarded a $20,217,000 firm-fixed-price contract for construction of a 29,000 square-foot modified tactical equipment maintenance facility. Bids were solicited via the internet with four received. Work will be performed in Yakima, Washington, with an estimated completion date of May 17, 2022. Fiscal 2019 military construction (Army Reserve) funds in the amount of $20,217,000.00 were obligated at the time of the award. U.S. Army Corps of Engineers, Louisville, Kentucky, is the contracting activity (W912QR-20-C-0035). Kokosing Construction Co.; and O'Brien & Gere JV, Fredericktown, Ohio, was awarded a $10,281,100 firm-fixed-price contract to provide 24/7 construction management services that include extensive water treatment management services and dredging material disposal and related services at the Indiana Harbor & Canal Confined Disposal Facility. Bids were solicited via the internet with one received. Work locations and funding will be determined with each order, with an estimated completion date of Sept. 30, 2021. U.S. Army Corps of Engineers, Chicago, Illinois, is the contracting activity (W912P6-16-D-0004). Technical and Project Engineering LLC,* Alexandria, Virginia, was awarded a $9,221,888 firm-fixed-price contract to provide computer programming support services to Headquarters, Department of the Army; U.S. Army Training and Doctrine Command; U.S. Army Special Operations Command; the Office of the Chief of Army Reserve; Army National Guard; and TRADOC Centers of Excellence. Bids were solicited via the internet with three received. Work will be performed in Alexandria, Virginia, with an estimated completion date of Sept. 6, 2024. Fiscal 2020 operations and maintenance (Army) funds in the amount of $9,221,888 were obligated at the time of the award. U.S. Army Contracting Command, Aberdeen Proving Ground, Maryland, is the contracting activity (W91CRB-20-F-0446). K&K Industries Inc.,* Junction City, Kansas, was awarded an $8,431,214 firm-fixed-price contract for construction of a maintenance storage facility at Whiteman Air Force Base. Bids were solicited via the internet with eight received. Work will be performed at Whiteman Air Force Base, Missouri, with an estimated completion date of Sept. 30, 2021. Fiscal 2020 military construction (defense-wide) funds in the amount of $8,431,214 were obligated at the time of the award. U.S. Army Corps of Engineers, Kansas City, Missouri, is the contracting activity (W912DQ-20-C-4009). Huckstep Holdings Corp., doing business as Techwise,* Colorado Springs, Colorado, was awarded a $7,891,131 firm-fixed-price contract to provide air traffic control service for Fort Bliss, Texas. Bids were solicited via the internet with four received. Work locations and funding will be determined with each order, with an estimated completion date of Sept. 4, 2025. The 418th Contracting Support Brigade, Fort Bliss, Texas, is the contracting activity (W911SG-20-D-0002). Triumph Engine Control Systems LLC, West Hartford, Connecticut, was awarded a $7,697,480 firm-fixed-price contract for the overhaul and repair of fuel engine controls for the CH-47 Chinook. Bids were solicited via the internet with one received. Work will be performed in West Hartford, Connecticut, with an estimated completion date of July 31, 2021. Fiscal 2020 Army working capital funds in the amount of $7,697,480 were obligated at the time of the award. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity (W58RGZ-20-F-0556). Definitive Logic Corp., Arlington, Virginia, was awarded a $7,090,619 modification (P00004) to contract W912HZ-18-F-0339 to provide all personnel, supervision and services necessary to maintain and integrate the Comprehensive Planning Platform. Work will be performed in Arlington, Virginia, with an estimated completion date of Sept. 3, 2021. Fiscal 2018, 2019 and 2020 operations and maintenance (Air Force) funds in the amount of $7,090,619 were obligated at the time of the award. U.S. Army Corps of Engineers, Vicksburg, Mississippi, is the contracting activity. AIR FORCE Northrop Grumman Systems Corp., Warner Robins, Georgia, has been awarded an estimated $66,851,248 requirements contract for the supply chain management of the AN/ALQ-155, AN/ALQ-161, AN/ALQ-184 and AN/APN-241 systems. This contract provides for repairs, spares and engineering services for the mentioned systems. Work will be performed at Warner Robins, Georgia, and is expected to be completed Sept. 9, 2028. This award is the result of a sole-source acquisition. Fiscal 2020 defense working capital funds are being used and no funds are being obligated at the time of the award. Air Force Sustainment Center, Robins Air Force Base, Georgia, is the contracting activity (FA8524-20-D-0012). Northrop Grumman Systems Corp., Herndon, Virginia, has been awarded a $33,394,848 cost-plus, award-fee task order under the Ground Subsystems Sustainment contract to definitize an undefinitized contract action issued for Minuteman III general sustainment. Work will be performed in Ogden, Utah, and is expected to be completed Aug. 31, 2021. Fiscal 2020 operations and maintenance funds in the amount of $4,177,579 are being obligated at the time of award. The Air Force Nuclear Weapons Center, Hill Air Force Base, Utah, is the contracting activity (FA8214-20-F-0082-PZ0001). Hamilton Sundstrand Corp., Windsor Locks, Connecticut, has been awarded an estimated $24,296,844 firm-fixed-price requirements contract for the repair and overhaul of augmentor fuel control and augmentor fuel pump located on the F100-PW-229 engine. Work will be performed in Windsor Locks, Connecticut, and is expected to be completed Sept. 3, 2025. This contract includes Foreign Military Sales contract line items and is the result of a sole-source acquisition. Air Force Sustainment Center, Tinker Air Force Base, Oklahoma, is the contracting activity (FA8121-20-D-0010). Benham Design, Oklahoma City, Oklahoma (FA4419-20-D-0002); and SLA+Cyntergy JV, Wichita Falls, Texas (FA4419-20-D-0003), have collectively been awarded a multiple year $20,000,000 indefinite-delivery/indefinite-quantity architect and engineer contract. This contract provides for architect and engineering Services at Altus Air Force Base, Oklahoma; and Sheppard AFB, Texas. Work is expected to be completed Sept. 3, 2025, and is the result of a competitive acquisition with seven offers received. Fiscal 2020 operations and maintenance funds in the total amount of $57,990 will be obligated at the time of award. The 97th Contracting Flight Altus AFB, Oklahoma, is the contracting activity. DEFENSE LOGISTICS AGENCY Campbell Oil Co.,* Elizabethtown, North Carolina (SPE605-20-D-8505, $53,178,404); Petroleum Traders Corp.,* Fort Wayne, Indiana (SPE605-20-D-8526, $31,184,840); Brad Hall and Associates Inc.,* Idaho Falls, Idaho (SPE605-20-D-8512, $14,957,834); and Lykins Energy Solutions,* Milford, Ohio (SPE605-20-D-8514, $12,104,624), have each been awarded a minimum fixed-price with economic-price-adjustment contract under solicitation SPE605-20-R-0028 for various types of fuel. These were competitive acquisitions with 45 responses received. They are five-year contracts with one one-month option period. Locations of performance are Idaho, Ohio, Indiana, Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, Missouri, North Carolina and South Carolina, with a Sept. 30, 2025, performance completion date. Using customers are Army, Navy, Air Force, Marine Corps, National Guard, Defense Logistics Agency, Department of Defense, National Aeronautics and Space Administration and federal civilian agencies. Type of appropriation is fiscal 2020 through 2025 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Virginia. (Awarded August 31, 2020) Akorn Inc., Lake Forest, Illinois, has been awarded a maximum $42,080,784 indefinite-delivery/indefinite-quantity contract for numerous pharmaceutical products. This was a competitive acquisition with one response received. This is a one-year base contract with nine one-year option periods. Location of performance is Illinois, with a Sept. 3, 2021, ordering period end date. Using customers are Army, Navy, Air Force, Marine Corps and federal civilian agencies. Type of appropriation is fiscal 2020 through 2021 defense warstopper funds. The contracting agency is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE2D0-20-D-0011). Airgas Nitrogen Services LLC, Abita Springs, Louisiana, has been awarded a maximum $17,649,805 firm-fixed-price, requirements type contract for gaseous nitrogen. This was a restricted acquisition using justification 10 U.S. Code 2304 (c)(2), as stated in Federal Acquisition Regulation 6.302-2. This is a five-month contract with no option periods. Locations of performance are Louisiana and California, with a Jan. 31, 2021, performance completion date. Using customer is Space Force. Type of appropriation is fiscal 2020 through 2021 defense working capital funds. The contracting agency is the Defense Logistics Agency Energy-Aerospace Energy, San Antonio, Texas (SPE601-20-D-1502). Stonewin LLC,* Miami, Florida, has been awarded a minimum $14,397,083 fixed-price with economic-price-adjustment contract under solicitation SPE605-20-R-0028 for various types of fuel. This was a competitive acquisition with 45 responses received. This is a five-year contract with one six-month option period. Locations of performance are Alabama, Arkansas, Florida, Georgia, Louisiana, Mississippi, Missouri, North Carolina and South Carolina, with a Sept. 30, 2025, performance completion date. Using services are Army, Navy, Air Force, Marine Corps, National Guard, Defense Logistics Agency, Department of Defense, National Aeronautics and Space Administration and federal civilian agencies. Type of appropriation is fiscal 2020 through fiscal 2025 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Virginia (SPE605-20-D-8525). (Awarded Sept. 2, 2020) CORRECTION: The contracts announced on Aug. 28, 2020, for Petro Star, Inc.,* Anchorage, Alaska (SPE605-20-D-4008, $62,088,432); Delta Western LLC, Seattle, Washington (SPE605-20-D-4002, $32,629,727); Crowley Government Services, Jacksonville, Florida (SPE605-20-D-4005, $26,468,885); and Petro 49 Inc.,* doing business as Petro Marine Services, Seward, Alaska (SPE605-20-D-4009, $15,852,473), under solicitation SPE0600-20-R-0222, were announced with an incorrect award date. The correct award date is Aug. 30, 2020. *Small Business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2337845/source/GovDelivery/

  • Trump memo demands new fleet of Arctic icebreakers be ready by 2029

    June 11, 2020 | International, Naval, Security

    Trump memo demands new fleet of Arctic icebreakers be ready by 2029

    By: David B. Larter , Joe Gould , and Aaron Mehta WASHINGTON — U.S. President Trump ordered a review of the country's requirements for icebreaking capabilities in the Arctic and Antarctic regions, with the goal of getting a fleet in place by 2029, according to a memo released Tuesday. The memo was directed at the Defense, State, Commerce and Homeland Security departments, as well as the Office of Management and Budget. Much of it directs work already in progress — including building a fleet of at least three heavy icebreakers — but says the remaining ships not under contract should be reviewed for what can be done to maximize their utility in the frozen poles. The memo calls for “an assessment of expanded operational capabilities, with estimated associated costs, for both heavy and medium [polar security cutters] not yet contracted for, specifically including the maximum use of any such PSC with respect to its ability to support national security objectives.” That assessment is due in 60 days. Trump's directive to assess the current plan to field an Arctic maritime capability over the next decade is the latest sign that the administration is increasingly concerned about Russian and Chinese activity in the northern region, which could threaten America's interests in crucial chokepoints, such as the Greenland-Iceland-United Kingdom Gap. In April 2019, the U.S. Coast Guard announced it had signed a $746 million contract with VT Halter Marine of Pascagoula, Mississippi, for the detailed design and construction of its first polar security cutter — the first of the heavy icebreakers. And with the fiscal 2021 budget submission now before Congress, the Coast Guard says it can fully fund a second polar security cutter, according to a Congressional Research Service report. But the memo calls for a review of what the appropriate mix of ships should be for an Arctic fleet, suggesting that some changes to the three planned medium polar security cutters could be on the table. The memo asks for “use cases in the Arctic that span the full range of national and economic security missions (including the facilitation of resource exploration and exploitation and undersea cable laying and maintenance) that may be executed by a class of medium PSCs, as well as analysis of how these use cases differ with respect to the anticipated use of heavy PSCs for these same activities." “These use cases shall identify the optimal number and type of polar security icebreakers for ensuring a persistent presence in both the Arctic and, as appropriate, the Antarctic regions,” he memo continues. It also raises the possibility of nuclear-powered icebreakers, currently only operated by Russia, which would give the polar security cutter more persistent presence in the Arctic, since it would not need to refuel. The memo also calls for the study to identify two basing locations in the United States for its ice-hardened fleet, as well as two international locations. A study mandated by last year's National Defense Authorization Act mandated that the Defense Department study locations for a port in the Arctic. Furthermore, given that the Coast Guard has a lone operational heavy icebreaker, the 44-year-old Polar Star, the memo calls for the agencies to identify potential vessels that could be leased as a stop-gap measure. The 2029 date set by Trump corresponds with the year that both the Coast Guard's current ice breakers, the medium icebreaker Healy and the heavy icebreaker Polar Star are slated to be out of service. Alaska Republican Sen. Dan Sullivan, a forceful advocate on the Senate Armed Services Committee for directing more resources toward the Arctic, said the memo would “add weight” to ongoing efforts to build up America's presence in the Arctic. “Our adversaries are well ahead of the United States when it comes to Arctic infrastructure,” Sullivan said in a statement. “We have one heavy and one medium functioning Polar-class icebreakers, while Russia has more than 50. “I have fought for five years to bring Arctic issues to the forefront, including in the FY19 NDAA to authorize the building of six such icebreakers and my bill, the Strategic Arctic Naval Focus Act, to develop the capabilities and basing locations needed to support persistent presence in the Arctic.” While the president's memo appeared to catch regional observers by surprise, its content lines up with the administration's rhetoric on the region, said Erik Brattberg, director of the Europe Program at the Carnegie Endowment for International Peace. “The Trump administration has shown a greater interest in Arctic issues in recent years, driven especially by China's growing presence in the region,” Brattberg said. “While America's allies and partners in Northern Europe would welcome a greater U.S. presence in the Arctic, they are also wary of the region becoming increasingly marked by zero-sum, great power competition between the U.S., Russia and China.” Leasing icebreakers If the U.S. were to lease icebreakers for missions such as the annual breaking out of the National Science Foundation's research facility in Antarctica, McMurdo Station, three nations seem most likely to be able to fill the niche: Canada, Finland and Sweden. All three have rare excess icebreaker capacity, and all three would likely welcome the business. Finland, whose industry claims to have “designed about 80 percent of the world's icebreakers” and produced “about 60 percent” of the world's fleet, has hoped to break into the American market for years. The leasing opportunity could provide a foothold for Helsinki, although issues may arise with the U.S. Jones Act that may complicate the act of America outright buying a Finnish-made icebreaker. The law is meant to provide stability to the U.S. maritime industry by supporting domestic business. “The White House announcement will likely be music in the ears of Finland, which has been trying to sell or lease icebreakers to the U.S. for years,” Brattberg said. It is also possible that Sweden and Finland — two European Union, non-NATO states that have close relations — could try to create some form of joint offering for America's needs. The U.S. has leased icebreakers for the McMurdo mission from Sweden and Russia as late as 2012 — just prior to the souring of relations between the West and Russia over the latter's annexation of Crimea. But such an arrangement often limits how the vessel can be used under the terms of the lease. In 2017, a study by the National Academies of Science, Engineering, and Medicine mandated by Congress the year before, concluded that leasing icebreakers was not a viable path for the Coast Guard. “Chartering (an operating lease) is not a viable option,” the study found. “The availability of polar icebreakers on the open market is extremely limited. (The committee is aware of the sale of only one heavy icebreaker since 2010.) U.S. experience with chartering a polar icebreaker for the McMurdo resupply mission has been problematic on two prior charter attempts. “Chartering is workable only if the need is short term and mission specific. The committee notes that chartering may preclude USCG from performing its multiple missions.” In the Coast Guard's own 2019 environmental impact study for the Polar Security Cutter program, the service concluded that there were no vessels available to lease that would “substantially meet” the operational requirement for its icebreaking needs. Furthermore, any lease would need to be such that the Coast Guard provide the manning, training and equipping of the vessel — assuming all the costs — while still paying for the privilege of having it, making such an arrangement a financially dubious prospect. Frozen flashpoint The White House's decree comes in the context of a larger refocusing of national attention to the Arctic, as warming waters and melting ice open more time-efficient shipping routes and give nations greater access to natural resources that may have once been cost-prohibitive to reach. Russia in particular has made clear to the international community that it has core economic interests there and will defend them, even building icebreakers with cruise missiles and deck guns to patrol frozen waters. The country, with 7,000 miles of Arctic coast, sees the region as both a security liability and a key to its long-term economic success. President Vladimir Putin in 2017 put estimates of the mineral wealth in the region at $30 trillion. In a February hearing before the congressional Transportation and Maritime Security Subcommittee, the State Department's deputy assistant secretary for European and Eurasian affairs, Michael Murphy, testified that Russia's military buildup in the Arctic threatens the United States' and NATO's northern flank. Although Russia has cooperated on oil spill response and search-and-rescue missions, the U.S. views the country's moves with suspicion, especially in the establishment of an Arctic base and the installation of coastal missile batteries, early warning radars and air defenses, Murphy said in testimony. “The Russian military buildup in the Arctic has implications beyond its waters,” he said. “From a geostrategic perspective, the Arctic and the North Atlantic are inextricably linked. The Arctic provides Russian ships and submarines with access to a critical naval chokepoint: the GIUK gap that plays an outsized role in NATO's defense and deterrence strategy. Underwater trans-Atlantic cables also run through this area." “In short, NATO's northern flank must once again command the attention of the United States and its allies,” he added. Similar to its concerns for freedom of navigation in the South China Sea, which has become a flashpoint in Sino-U.S. relations, the U.S. is taking issue with Russia's attempt to force shippers to use Russian pilots and pay for use of the Northern Sea Route, which runs through Russia's exclusive economic zone. Russia has heavily invested in icebreakers to keep the Northern Sea Route open for as long as possible each year, and therefore the country views it as something of a toll road. “Russia's restrictions on the freedom of navigation in the Northern Sea Route are inconsistent with international law,” Murphy said. https://www.defensenews.com/naval/2020/06/09/trump-memo-demands-new-fleet-of-arctic-icebreakers-to-be-ready-by-2029/

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