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January 22, 2020 | International, Naval

Industry protest ensnares Germany’s multibillion-dollar combat ship

By: Sebastian Sprenger

COLOGNE, Germany — The losing bidder for Germany's MKS 180 large-frigate program has filed a protest against the government's pick of Dutch shipyard Damen for the $6.7 billion job.

German Naval Yards, based in Kiel, Germany, on Monday said it had “serious doubts about the legality of the decision” and would “exhaust all legal possibilities at our disposal” to have the decision overturned.

The Defence Ministry announced Jan. 13 it selected Damen to build an initial four copies of the new multipurpose combat ships. The pick capped a source-selection process that had become controversial because the government decided to compete the project throughout the European Union. The strategy followed the bloc's principle of a unified market, but it left the domestic shipbuilding lobby miffed.

The protest by German Naval Yards and its bid partner ThyssenKrupp Marine Systems kicks off a dispute process that begins with the Defence Ministry reviewing the complaint and then, if it remains unresolved, could wind its way through the German court system.

There is no telling how long the process will take — some protests get resolved within weeks, but the process can take a year or longer. The Defence Ministry is expected to offer an indication later this month on whether its attorneys believe the Damen pick can withstand legal scrutiny.

Damen has said it wants to build the ships at the shipyards of its German bid partner Lürssen, vowing to invest 80 percent of the contract's value in Germany.

The protest comes at a time when Berlin is adopting a new policy that grants an exception to the EU competition mandate when national security is at stake. Specifically, the construction of surface warships would be designated as a “key technology area” so worthy of protection that future programs would be automatically awarded to German manufacturers.

For that to be the case, however, two political initiatives have yet to play out: The German parliament must approve a revision of national source-selection rules from October 2019, which formally enable EU acquisition exceptions on national security grounds. In addition, the Cabinet has to greenlight a draft strategy document on nurturing domestic security- and defense-related industries, currently in interagency review, that confers the rank of “key technology area” to naval surface combatants.

The strategy document, overseen by the Federal Ministry for Economic Affairs and Energy, is expected to be ready for Cabinet consideration within weeks, as Defense News reported last week.

Legal experts said the “key technology” debate has no immediate bearing on the German Naval Yards protest. At the same time, it is possible that the complaint's resolution, whichever way it goes, will come at a time when a domestic award preference for similar contracts is already in effect.

https://www.defensenews.com/global/europe/2020/01/21/industry-protest-ensnares-germanys-multibillion-dollar-combat-ship/

On the same subject

  • 4 big problems the intelligence community faces moving to a new data system

    August 21, 2019 | International, C4ISR

    4 big problems the intelligence community faces moving to a new data system

    By: Nathan Strout The Defense Intelligence Agency wants to move quickly in developing the Machine-assisted Analytic Rapid-repository System, but the massive project, which will transform how the intelligence community uses data, faces some hard problems. The Defense Intelligence Agency is responsible for informing war fighters and policy makers on the military capabilities of foreign nations. Currently, the agency relies on the Modernized Integrated Database to house foundational military intelligence, but the 20-year old database wasn't built for the 21st century data landscape. The DIA wants to replace MIDB with MARS, a comprehensive, adaptable, scalable and rigorous data environment. With more data that is better labeled and organized, MARS will allow analysts to use applications to sort and process that data to make connections they couldn't otherwise. Last year, the DIA issued a broad agency announcement to solicit industry feedback from MARS. They've spent the year going over that information and are now preparing to actually build it. “2019 was about learning,” said Terry Busch, chief of DIA's integrated analysis and methodologies division. “This was the year of prepping to get started. In 2020 we get started ... We're going to move from designing to building very very quickly." Irving Townsend, also of the DIA, added that the agency was working to make some components of MARS available to the United States' closest allies in 2020 so leaders in those countries can begin looking at how they can use that data. In summer 2020, the MARS application programming interface will be released to the public, Busch said. But even as the DIA gears up to begin building MARS, the agency has four big problems left to solve. Resolving data inconsistency Perhaps the most pressing problem with creating a unified resource such as MARS is ensuring that the data fed into the system has been labeled and handled in a uniform way. That's easier said than done. According to Busch, there are 1,300 different data standards in the Department of Defense. “I work a lot with (the National Geospatial-Intelligence Agency) and DIA because we have a very similar path for our data,” said Busch. “The NGA has done some wonderful work with some of their data standardization and modeling (...) because NGA's been in the data making business for a long time.” Making the data collected by the various agencies and services interoperable is essential for the MARS enterprise. Data storage The amount of data collected by the intelligence community that MARS needs to encompass is staggering. Hosting images and videos, like those collected by the National Reconnaissance Office, for instance, takes up a lot of space. Because of this, MARS will not actually host all of the data itself. Instead, MARS will refer to intelligence hosted by other agencies. Instead, MARS needs to be able to index that intelligence. Theoretically, users will be able to click a link to access that data hosted on other servers. The DIA will have to figure out how this solution for MARS to operate effectively. The black box problem In developing a massive dataset of intelligence, the DIA wants all intelligence to be explainable, meaning that analysts need to be able to see how the intelligence was arrived at. In other words, can analysts and systems show their work? “It's really, really important to understand that we're not going to accept a black box,” said Townsend. “Our analysts are not going to accept that.” This is a problem for intelligence agencies and contractors who don't want to reveal their methods or proprietary information. Townsend noted that companies are going to have to figure out how to explain their intelligence without giving away that information. Legacy systems Another problem with moving to MARS? Many legacy systems will not be able to move to the MARS framework. While MARS will incorporate all of the MIDB data, some legacy systems will not be able to use the new system and will instead remain reliant on MIDB. “The transition is difficult. Many of our war fighters are impinged by legacy technology,” said Busch. “There is not turning MIDB off. Not for the foreseeable future.” Busch noted that while Congress may not like funding both programs simultaneously, it is necessary until those legacy systems can be replaced or upgraded. The DIA will discuss these problems at a MARS industry day Sept. 10, where they are expected to explain what the agency wants from industry. https://www.c4isrnet.com/intel-geoint/2019/08/19/4-big-problems-the-intelligence-community-faces-moving-to-a-new-data-system/

  • Pentagon terminates program for redesigned kill vehicle, preps for new competition

    August 21, 2019 | International, Land

    Pentagon terminates program for redesigned kill vehicle, preps for new competition

    By: Jen Judson UPDATE: This story has been updated to include a statement from Raytheon. WASHINGTON — The Pentagon has moved from taking a “strategic pause” on the Redesigned Kill Vehicle program to outright killing it. The Department of Defense decided to terminate the current Boeing contract to develop the RKV — effective Aug. 22 — “due to technical design problems,” according to an Aug. 21 statement by the department. Raytheon is the actual developer of the RKV and serves as a sub-contractor to Boeing. The RKV would have replaced the current Exoatmospheric Kill Vehicle (EKV) on the Ground-Based Interceptor, which makes up the Ground-based Midcourse Defense (GMD) system designed to protect the homeland from ballistic missile threats. It would have also been fielded on all future ground-based interceptors — a total of 64 ultimately. The EKV is designed to destroy targets in high-speed collisions after separating from the booster rocket. The EKV required technical changes in the past several years due to issues in tests. The Missile Defense Agency decided to initiate a program to redesign the kill vehicle. In the meantime, MDA has had several successful tests of the GMD system with the EKV following engineering changes. Now that the RKV is dead in the water, the Pentagon plans to move forward with a new, next-generation interceptor competition, the statement said. According to a defense official, no more ground-based interceptors will be built, and all future interceptors that are fielded as part of the GMD system will be the new interceptors. “Ending the program was the responsible thing to do,” Mike Griffin, undersecretary of defense for research and engineering, said in the statement. “Development programs sometimes encounter problems. After exercising due diligence, we decided the path we're going down wouldn't be fruitful, so we're not going down that path anymore. This decision supports our efforts to gain full value from every future taxpayer dollar spent on defense.” With the blessing of the undersecretary of defense, Griffin made the decision on Aug. 14 to terminate the program, one week after he told reporters at the Space and Missile Defense Symposium in Huntsville, Alabama, to expect a decision on the way forward for RKV soon. MDA and Boeing in December 2018 deferred a critical design review of the RKV “due to the failure of certain critical components to meet technical requirements as specified in the development contract,” the statement noted. After MDA assessed the issues, it issued a stop work order on the contract in May to analyze alternative options. “The department ultimately determined the technical design problems were so significant as to be either insurmountable or cost-prohibitive to correct,” the statement said. The DoD plans to take data garnered from research and testing of the RKV prior to its cancellation to inform the next-generation interceptor program, “which will include a new kill vehicle,” according to the statement. “The U.S. Missile Defense Agency is updating its requirements in the face of an increasingly complex threat environment," Raytheon said in a statement. The company “supports their decision to cease work on the Redesigned Kill Vehicle (RKV) and initiate a competition for the next-generation interceptor to meet these advanced threats. Raytheon will continue to develop and offer a wide range of advanced missile defense technologies available to protect the United States now and in the future.” There are 44 ground-based interceptorss in place at Fort Greely, Alaska, and Vandenberg Air Force Base, California, with plans to add 22 additional missile silos at Fort Greely to support 20 more ground-based interceptors. The defense official said the Pentagon is still working through the details of a new, next-generation interceptor competition, including when it will be initiated and the pace at which the technology will be developed and fielded. https://www.defensenews.com/pentagon/2019/08/21/dod-tanks-redesigned-kill-vehicle-program-for-homeland-defense-interceptor/

  • Contract Awards by US Department of Defense - December 10, 2018

    December 14, 2018 | International, Aerospace, Naval, Land, C4ISR, Security

    Contract Awards by US Department of Defense - December 10, 2018

    DEFENSE LOGISTICS AGENCY Caterpillar Inc., Peoria, Illinois, has been awarded a maximum $118,172,545 fixed-price with economic-price-adjustment contract for commercial portable power equipment. Other contracts are expected to be awarded under this solicitation (SPE8EC-17-R-0010), and awardees will compete for a portion of the maximum dollar value. This was a competitive acquisition with seven offers received. This is a five-year contract with no option periods. Locations of performance are Indiana, Texas and the United Kingdom, with a Dec. 9, 2023, performance completion date. Using customers are Army Navy Air Force Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2019 through 2024 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE8EC-19-D-0034). Honeywell International Inc., Tempe, Arizona, has been awarded a maximum $11,137,310 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for modulating valves. 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 options periods. Location of performance is Arizona, with a Nov. 30, 2023, performance completion date. Using military service is Army. Type of appropriation is fiscal 2019 through 2023 Army working capital funds. The contracting activity is the Defense Logistics Agency Aviation, Redstone Arsenal, Alabama (SPRRA1-19-D-0035). (Awarded Dec. 6, 2018) The Boeing Co., St. Louis, Missouri, has been awarded a $7,957,022 cost-plus-fixed-fee delivery order (SPRPA1-19-F-0003), against a three-year, six-month contract (SPRPA1-14-D-002U), with no option periods for F-15 parts and engineering. This was a sole-source acquisition using justification 10 U.S. Code. 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. Location of performance is Missouri, with a May 18, 2022, performance completion date. Using military service is Air Force. Type of appropriation is fiscal 2019 through 2022 Defense working capital funds. The contracting activity is the Defense Logistics Agency Aviation, Philadelphia, Pennsylvania. (Awarded Dec. 6, 2018) NAVY CH2M Hill Constructors Inc., Englewood, Colorado (N62470-13-D-6019); Environmental Chemical Corp., Burlingame, California (N62470-13-D-6020); Kellogg, Brown & Root Services Inc., Arlington, Virginia (N62470-13-D-6021); URS Group Inc., Morrisville, North Carolina (N62470-13-D-6022), are awarded an $86,000,000 modification to increase the maximum dollar value of an indefinite-delivery/indefinite-quantity, multiple award contract for global contingency construction projects worldwide. The construction and related engineering services would respond to natural disasters humanitarian assistance conflict, or projects with similar characteristics. Work will be predominately construction. The contractor, in support of the construction effort, may be required to provide initial base operating support services, which will be incidental to construction efforts. After award of this modification, the total cumulative contract value will be $886,000,000. Work will be performed worldwide and the term of the contract is not to exceed 68 months with an expected completion date of February 2019. No funds will be obligated at time of award, funds will be obligated on individual task orders as they are issued. The Naval Facilities Engineering Command, Atlantic, Norfolk, Virginia, is the contracting activity. PAE Applied Technologies LLC, Fort Worth, Texas, is awarded $72,000,552 for modification P00074 to a previously awarded cost-plus-fixed-fee contract (N00421-14-C-0038), to exercise an option for range engineering, operations and maintenance services in support of the Naval Air Warfare Center Aircraft Division, Atlantic Test Range, and the Atlantic Targets and Marine Operations Division. Services to be provided include system operations; laboratory and field testing; marine operations and target support; engineering; range sustainability; maintenance, data reduction, and analysis. Work will be performed in Patuxent River, Maryland, and is expected to be completed in December 2019. Fiscal 2019 working capital fund (Defense and Navy); and Major Range and Test Facility Base funds in the amount of $35,209,082 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Warfare Center Aircraft Division, Patuxent River, Maryland, is the contracting activity. BAE Systems Hawaii Shipyards Inc., Honolulu, Hawaii, was awarded a $50,605,368 cost-plus-award-fee, cost-plus-incentive-fee contract modification to previously awarded contract (N00024-14-C-4412), for scheduled Extended Docking Selected Restricted Availability (EDSRA) on USS Hopper (DDG-70). The ship is homeported in Honolulu, Hawaii. The scheduled EDSRA is the opportunity in the ship's life cycle primarily to conduct repair and alteration to systems that will update and improve the ship's military and technical capabilities. This repair modification will include repair and alteration requirements. A focal point of the work is to support alteration installation team modernization packages. Work will be performed at Pearl Harbor, Hawaii, and is expected to be completed by July 2020. Fiscal 2019 operations and maintenance (Navy); and fiscal 2018 other procurement (Navy) funding in the amount of $25,302,684 will be obligated at time of award and funding in the amount of $25,138,776 will expire at the end of the current fiscal year. The Pearl Harbor Naval Shipyard and Intermediate Maintenance Facility, Pearl Harbor, Hawaii, is the contracting activity. (Awarded Dec. 3, 2018) Northrop Grumman Systems Corp., Aerospace Systems, Melbourne, Florida, is awarded $49,885,708 for firm-fixed-price modification P00004 to a previously awarded advance acquisition contract (N00019-18-C-1037), for long-lead parts and associated support for the full rate production of two Lot 7 E-2D Advanced Hawkeye aircraft. Work will be performed in Syracuse, New York (29 percent); El Segundo, California (29 percent); Melbourne, Florida (14 percent); Rolling Meadows, Illinois (7 percent); Menlo Park, California (6 percent); Greenlawn, New York (4 percent); Owego, New York (2 percent); Indianapolis, Indiana (2 percent); Edgewood, New York (2 percent); Woodland Hills, California (2 percent); Marlborough, Massachusetts (1 percent); Independence, Ohio (1 percent); and various locations within the continental U.S. (1 percent), and is expected to be completed in December 2023. Fiscal 2019 aircraft procurement (Navy) funds in the amount of $49,885,708 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. Bechtel Plant Machinery Inc., Monroeville, Pennsylvania, is awarded a $44,665,555 cost-plus-fixed-fee contract modification to previously awarded contract (N00024-16-C-2106) for Naval nuclear propulsion components. This contract modification includes options which, if exercised, would bring the cumulative value of this contract to $139,923,083. Work will be performed in Monroeville, Pennsylvania (94 percent); and Schenectady, New York (6 percent). No completion date or additional information is provided on Naval nuclear propulsion program contracts. Fiscal 2019 shipbuilding and conversion (Navy) funding in the amount of $44,665,555 will be obligated at time of award and funds will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity. Northrop Grumman, Sykesville, Maryland, is awarded a $35,143,328 five-year, firm-fixed requirements, long-term contract for the repair of nine items of the aircraft launch and recovery equipment systems under the Advanced Recovery Control system. Work will be performed in Sykesville, Maryland, and work is expected to be completed by December 2023. Working capital funds (Navy) will be obligated as individual task orders are issued and funds will not expire at the end of the current fiscal year. This contract was a sole-source pursuant to the authority set forth in 10 U.S. Code. 2304(C)(1) and Federal Acquisition Regulation 6.302-1, with one offer received. Naval Supply Systems Command Weapon Systems Support, Philadelphia, Pennsylvania, is the contracting activity (N00383-19-D-PY01). Raytheon Co., Integrated Defense Systems, San Diego, California, is awarded a $21,327,364 cost-plus-incentive-fee contract modification for contract (N00024-14-C-5128) for continued platform systems engineering agent support of the ship elf defense system MK 2. Work will be performed in San Diego, California and is expected to be completed by June 2019. Fiscal 2019 research, development, test, and evaluation (Navy); fiscal 2019 other procurement (Navy); fiscal 2019 operations and maintenance (Navy); and fiscal 2014 shipbuilding and conversion (Navy) funding in the amount of $21,327,364 will be obligated at the time of award and will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity. Aretè Associates Inc.,* Northridge, California, is awarded a $17,083,516 modification to a previously awarded indefinite-delivery/indefinite-quantity contract (N61331-18-D-0012) to exercise an option for coastal battlefield reconnaissance and analysis (COBRA) systems. Work will be performed in Tucson, Arizona (35 percent); Destin, Florida (35 percent); and Santa Rosa, California (30 percent), and is expected to be completed by July 2021. No funding will be obligated at the time of award. Funds will be obligated as delivery orders are issued. The Naval Surface Warfare Center Panama City Division, Panama City, Florida, is the contracting activity. Jacobs Government Services Co., Arlington, Virginia, is awarded $15,000,000 firm-fixed-price modification under a previously awarded indefinite-quantity architect-engineering contract (N40080-17-D-0018), to exercise Option Two for engineering and design services for industrial and research facilities within the Naval Facilities Engineering Command. The total contract amount after exercise of this option will be $75,000,000. No task orders are being issued at this time. Work will be performed at various administrative facilities within the Naval Facilities Engineering Command, Washington area of responsibility, including but not limited to, Maryland (45 percent); Washington, District of Columbia (30 percent); Virginia (20 percent), and may also be performed in the remainder of the U.S. (5 percent). Work for this options is expected to be completed December 2019. No funds will be obligated at time of award; funds will be obligated on individual task orders as they are issued. Task orders will be primarily funded by fiscal 2019 operations and maintenance (Navy and Marine Corps); and fiscal 2019 Navy working capital funds. The Naval Facilities Engineering Command, Washington, Washington, District of Columbia, is the contracting activity. AIR FORCE Florida Turbine Technologies Inc., Jupiter, Florida, has been awarded a not-to-exceed $50,000,000 indefinite-delivery/indefinite-quantity contract for Advanced Turbine Technologies for Affordable Mission (ATTAM)- capability Phase I. The mission of the ATTAM Phase I program is to develop, demonstrate, and transition advanced turbine propulsion, power and thermal technologies that provides improvement in affordable mission capability. Work will be performed in Jupiter, Florida, and is expected to be completed by December 2026. This award is the result of a competitive acquisition and 54 offers were received. No specific funds are obligated on the basic IDIQ, although in conjunction with the basic IDIQ award, the first task order, a cost-share task order, is fully funded with fiscal 2018 research, development, test and evaluation funds in the amount of $8,000, and fiscal 2019 research, development, test and evaluation funds in the amount of $99,714 at time of award. Air Force Research Laboratory, Wright-Patterson Air Force Base, Dayton, Ohio, is the contracting activity (contract FA8650-19-D-2056 and initial task order FA8650-19-F-2086). ARMY Harris Corp., Palm Bay, Florida, was awarded a $34,606,257 cost, firm-fixed-price contract for procurement of FliteScene digital map software licenses maintenance agreements software support upgrades and releases engineering services materials, and travel. One bid was solicited with one bid received. Work locations and funding will be determined with each order, with an estimated completion date of June 30, 2023. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity (W58RGZ-19-D-0011). Pavement Technical Solutions Inc.,* Ashburn, Virginia (W9128F-19-D-0024); and RDM International Inc.,* Chantilly, Virginia (W9128F-19-D-0025); Applied Pavement Technology Inc.,* Urbana, Illinois (W9128F-19-D-0026), and All About Pavements Inc.,* Purcellville, Virginia (W9128F-19-D-0027), will share in a $20,000,000 firm-fixed-price contract for management system implementation on roads, parking areas and airfields and updating, testing, and maintenance. Nine bids were solicited with four bids received. Work locations and funding will be determined with each order, with an estimated completion date of Dec. 9, 2023. U.S. Army Corps of Engineers, Omaha, Nebraska, is the contracting activity. *Small business https://dod.defense.gov/News/Contracts/Contract-View/Article/1709400/

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