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  • Contract Awards by US Department of Defense - May 8, 2019

    May 9, 2019 | International, Aerospace, Naval, Land, C4ISR, Security, Other Defence

    Contract Awards by US Department of Defense - May 8, 2019

    ARMY BFBC, Bozeman, Montana (W9126G-19-D-0018); Texas Sterling Construction Co., Houston, Texas (W9126G-19-D-0019); Bristol Construction Services LLC,* Anchorage, Alaska (W9126G-19-D-0023); Burgos Group LLC,* Albuquerque, New Mexico (W9126G-19-D-0026); Gibraltar-Caddell JV, Montgomery, Alabama (W9126G-19-D-0022); Fisher Sand & Gravel, Dickinson, North Dakota (W9126G-19-D-0027); Southwest Valley Constructors Co., Albuquerque, New Mexico (W9126G-19-D-0017); Randy Kinder Excavating Inc.,* Dexter, Missouri (W9126G-19-D-0024); Martin Brothers Construction,* Sacramento, California (W9126G-19-D-0028); SLSCO Ltd., Galveston, Texas (W9126G-19-D-0021); Posillico Civil Inc. Coastal Environmental Group Inc., Farmingdale, New York (W9126G-19-D-0020); and CJW JV, Santa Ana, California (W9126G-19-D-0025), will compete for each order of the $5,000,000,000 firm-fixed-price contract for design-build, design-bid-build horizontal construction task orders in support of the Department of Homeland Security San Diego, El Centro, Yuma and Tucson Border Patrol sectors, and the U.S. Army Corps of Engineers South-Western Division and South Pacific Division. Bids were solicited via the internet with 38 received. Work locations and funding will be determined with each order, with an estimated completion date of May 7, 2024. U.S. Army Corps of Engineers, Fort Worth, Texas, is the contracting activity. Science and Engineering Services LLC,* Huntsville, Alabama (W58RGZ-19-D-0045); Y-Tech Services Inc.,* Huntsville, Alabama (W58RGZ-19-D-0046); and Tyonek Worldwide Services Inc.,* Madison, Alabama (W58RGZ-19-D-0047), will compete for each order of the $2,440,000,000 hybrid (cost, cost-plus-fixed-fee, cost-plus-incentive-fee, and firm-fixed-price) contract to provide modifications to aviation systems. Bids were solicited via the internet with five received. Work locations and funding will be determined with each order, with an estimated completion date of May 3, 2024. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity. Ashridge Inc.,* St. Stephen, South Carolina, was awarded a $16,951,622 firm-fixed-price contract for the Savannah Harbor oysterbed revetment repair, rock along the shoreline to prevent erosion, repairing the boat dock, and repairing the barge dock. Bids were solicited via the internet with eight received. Work will be performed in Hardeeville, South Carolina, with an estimated completion date of Sept. 29, 2020. Fiscal 2018 civil works; and operations and maintenance, Army funds in the amount of $16,951,622 were obligated at the time of the award. U.S. Army Corps of Engineers, Savannah, Georgia, is the contracting activity (W912HN-19-C-5003). Southeast Cherokee Construction Inc.,* Montgomery, Alabama, was awarded a $13,341,000 firm-fixed-price contract for Judge Advocate General School expansion. Bids were solicited via the internet with three received. Work will be performed in Montgomery, Alabama, with an estimated completion date of Nov. 20, 2020. Fiscal 2017 military construction funds in the amount of $13,341,000 were obligated at the time of the award. U.S. Army Corps of Engineers, Mobile, Alabama, is the contracting activity (W91278-19-C-0017). NAVY ICF Inc. LLC, Fairfax, Virginia, is awarded a $330,714,321 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $802,045,896. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3409). Leidos Inc., Reston, Virginia, is being awarded a $304,326,147 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $741,278,402. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3410). Perspecta Engineering Inc., Chantilly, Virginia, is awarded a $303,565,184 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $739,941,512. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3415). Parsons Government Services Inc., Pasadena, California, is awarded a $293,786,547 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $710,979,159. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3412). BAE Systems Technology Solutions & Services Inc., Rockville, Maryland, is awarded a $276,573,342 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $677,769,136. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3407). Booz Allen Hamilton Inc., McLean, Virginia, is awarded a $273,941,498 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $672,034,026. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3408). Northrop Grumman Systems Corp., Herndon, Virginia, is awarded a $273,242,902 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $673,172,297. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3411). Scientific Research Corp., Atlanta, Georgia, is awarded a $240,305,587 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $577,918,499. All work will be performed in San Diego, California, and is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3414). Science Applications International Corp., Reston, Virginia, is awarded a $234,743,621 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract for professional technical and management support services to establish and maintain cyberspace operations and enable product lines, programs and projects to include interoperability of systems, services and capabilities at the tactical, operational and strategic levels. This is one of nine multiple award contracts. All awardees will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two two-year option periods which, if exercised, would bring the cumulative value of this contract to an estimated $569,177,650. All work will be performed in San Diego, California, and work is expected to be completed May 6, 2022. If all options are exercised, the period of performance would extend through May 6, 2026. No funds will be obligated at the time of award. Funds will be obligated as task orders are issued using research, development, test, and evaluation (Navy); other procurement (Navy); operations and maintenance (Navy); and potential other funding to include Defense Working Capital Fund and Foreign Military Sales funding. This contract was competitively procured via request for proposal N66001-18-R-0001 which was published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website. Eighteen offers were received and nine were selected for award. Naval Information Warfare Center Pacific, San Diego, California, is the contracting activity (N66001-19-D-3413). Raytheon Co., Largo, Florida, is awarded a $15,267,422 cost-plus-incentive-fee, firm-fixed-price, cost-plus-fixed-fee, and cost-only contract for design agent and engineering services efforts to support the Cooperative Engagement Capability (CEC). The CEC program provides a sensor network with integrated fire control capability that significantly improves strike force air and missile defense capabilities by coordinating measurement data from strike force air search sensors on CEC-equipped units into a single, integrated real-time, composite track air picture. CEC improves battle force effectiveness by improving overall situational awareness and by enabling longer range, cooperative, multiple, or layered engagement strategies. This contract includes options which, if exercised, would bring the cumulative value of this contract to $279,340,117. Work will be performed in St. Petersburg, Florida (95 percent); and Largo, Florida (5 percent), and is expected to be complete by September 2022. If all options are exercised, work will continue through April 2024. Fiscal 2019 research, development, test and evaluation (Navy) funding in the amount of $8,009,206 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with one offer received. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-19-C-5200). Northrop Grumman Systems Corp., Aerospace Systems, Melbourne, Florida, is awarded $15,264,314 for modification P00025 to a previously awarded cost-plus-fixed-fee, firm-fixed-price contract (N00019-14-C-0036). This modification increases the ceiling and period of performance of the contract. In addition, this modification increases the full-scale fatigue repair time on contract to achieve the required simulated flight hours. Work will be performed in El Segundo, California (59 percent); Melbourne, Florida (35 percent); and Bethpage, New York (6 percent), and is expected to be completed in May 2022. No funds will be obligated at time of award. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. L3 Technologies Inc., doing business as L3 KEO, Northampton, Massachusetts, is awarded a $14,110,638 firm-fixed-price modification to previously awarded contract N00024-16-C-5366 for MK 20 MOD 1 Electro-Optical Sensor Systems, radar cross section kits, shock ring kits, engineering support services, and spares for both the Navy and Coast Guard. The MK 20 Electro-Optical Sensor System is a major component of the MK 34 Gun Weapon Systems employed by the DDG 51 class, CG 47 class and the Coast Guard's offshore patrol centers. The systems procured are required to support the Gun Weapon Systems by performing safety check-sighting, look-point-shoot, target ranges, identification of air and surface targets in support of anti-air warfare and anti-surface warfare. This contract modification includes options, which, if exercised, would bring the cumulative value of this contract to $79,453,206. Work will be performed in Northampton, Massachusetts, and is expected to be completed by August 2021. If all options are exercised, work will continue through November 2021. Fiscal 2018 and 2019 other procurement (Navy); and fiscal 2019 shipbuilding and conversion (Navy) funding in the amount of $14,110,638 will be obligated at time of the 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. L3 Technologies Inc., Salt Lake City, Utah, is awarded $13,686,773 for modification P00004 to a previously awarded cost-plus-fixed-fee contract (N0001919C0014) to expand the analysis and design of the Next Generation Jammer Low Band (NGJ LB) controller, receiver, exciter, and power generation subsystems. In addition, this modification provides for NGJ LB technique development, incorporation of updated goals documents, and environmental testing of the transmitter group. Work will be performed in Salt Lake City, Utah (53 percent); Carlsbad, California (15 percent); Boulder, Colorado (14 percent); Stuart, Florida (14 percent); Guthrie, Oklahoma (2 percent); and Fullerton, California (2 percent), and is expected to be completed in June 2020. Fiscal 2019 research, development, test and evaluation (Navy) funds in the amount of $13,686,773 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. Northrop Grumman Systems Corp., Bethpage, New York, is awarded a $13,517,069 modification (P00003) to a previously awarded cost-plus-fixed-fee contract (N0001919C0015) to expand the analysis and design of the Next Generation Jammer Low Band (NGJ LB) controller, receiver, exciter, and power generation subsystems. In addition, this modification provides for NGJ LB technique development, incorporation of updated goals documents, and environmental testing of the transmitter group. Work will be performed in Bethpage, New York (40 percent); Linthicum, Maryland (32 percent); North Amityville, New York (12 percent); Tempe, Arizona (12 percent); and Melville, New York (4 percent), and is expected to be completed in June 2020. Fiscal 2019 research, development, test and evaluation (Navy) funds in the amount of $13,517,069 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. Georgia Tech Research Corp., Atlanta, Georgia, is awarded an $8,138,096 cost reimbursement contract for development of vector sensors and arrays for deep and shallow water applications. Work will be performed at the contractor's facility in Atlanta, Georgia, and is expected to be completed March 31, 2024. Fiscal 2019 research, development, test and evaluation (Navy) funds in the amount of $332,401 will be obligated at the time of award. No funds will expire at end of current fiscal year. This contract was competitively procured under long range broad agency announcement (BAA) N00014-18-S-B001 for science and technology projects for advancement and improvement of Navy and Marine Corps operations. Proposals will be received throughout the year under the long range BAA; therefore, the number of proposals received in response to the solicitation is unknown. The Office of Naval Research, Arlington, Virginia, is the contracting activity (N00014-19-C-2045). AIR FORCE M1 Support Services L.P., Denton, Texas, has been awarded a $23,342,767 firm-fixed-price modification (P00088) to previously awarded contract FA8106-13-C-0008 for C-21 sustainment. This modification provides for the exercise of Option Six, which includes maintenance and repair support of the C-21 fleet. Work will be performed at various locations worldwide, and is expected to be complete by May 31, 2020. This modification brings the total cumulative face value of the contract to $124,152,363. Fiscal 2019 operations and maintenance funds in the full amount are being obligated at the time of award. Air Force Life Cycle Management Center, Tinker Air Force Base, Oklahoma, is the contracting activity. DEFENSE LOGISTICS AGENCY Arkansas Lighthouse for the Blind,** Little Rock, Arkansas, has been awarded a maximum $11,085,645 modification (P00015) exercising the second one-year option period of a one-year base contract (SPE1C1-17-D-B019) with two-one-year option periods for flame resistant, operational camouflage pattern, intermediate weather outer layer jackets. This is a firm-fixed price, indefinite-delivery/indefinite-quantity contract. Location of performance is Arkansas, with an Oct. 31, 2020, performance completion date. Using military service is Army. Type of appropriation is fiscal 2019 through 2020 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania. *Small business **Mandatory source https://dod.defense.gov/News/Contracts/Contract-View/Article/1842189/source/GovDelivery/

  • DARPA Awards Contracts for Autonomous ‘Sea Train’

    November 3, 2020 | International, Naval

    DARPA Awards Contracts for Autonomous ‘Sea Train’

    11/2/2020 By Connie Lee The Defense Advanced Research Projects Agency has awarded contracts for its Sea Train program, which seeks to enable autonomous vessels to perform long-range transit operations. In September, Applied Physical Sciences Corp., Gibbs & Cox Maritime Solutions and Mar Technologies were chosen for the program, which will include two 18-month phases. The contract awards' total potential values were $31.2 million, $30.4 million and $28.5 million, respectively. Through the effort, DARPA wants “to provide some operational flexibility for medium-sized unmanned surface vessels,” said Andrew Nuss, a program manager within the agency's tactical technology office. Each company is “developing a unique approach to be able to address the goals of the Sea Train program.” Unmanned surface vessels are generally limited in operational range, typically 3,500 to 4,000 nautical miles, he said in an interview. However, DARPA hopes to extend that to about 14,000 nautical miles under the Sea Train program. Usually unmanned surface vessels must undergo multiple refuelings to go farther distances, he noted. “It's sort of a vicious cycle at that point, where you're constantly chasing efficiencies and whatnot,” he said. However, a Sea Train platform — which is expected to be 40 meters long and carry a 35-ton payload — could give an operational commander “the flexibility to deploy these highly capable medium-sized unmanned surface vessels from many different locations without having to rely on ... refueling operations.” DARPA plans to extend the range of USVs more efficiently by creating a “train” in which four autonomous vessels are physically connected until they reach their destination. The platforms would then detach, conduct their individual operations and then reconnect before returning to their starting point, Nuss said. Unmanned boats must overcome resistance and friction from waves as they move, but attaching the platforms may help increase their efficiency and allow them to travel longer distances, he said. “By physically connecting multiple vessels together, and extending the length of that interconnected system, we could move — in our case — four vessels with ... approximately the same efficiency of a single vessel,” Nuss said. The medium-sized platforms were picked for proof of concept, but the idea could be applied to smaller vessels or manned systems as well, he noted. https://www.nationaldefensemagazine.org/articles/2020/11/2/darpa-awards-contracts-for-autonomous-sea-train

  • The Pentagon wants a $10B defense industry cash injection. Is Congress listening?

    July 16, 2020 | International, Aerospace, Naval, Land, C4ISR, Security

    The Pentagon wants a $10B defense industry cash injection. Is Congress listening?

    By: Joe Gould WASHINGTON — Pentagon leaders need “around $10 billion” in the next pandemic aid package to cover defense contractors' coronavirus-related costs, according to a top defense leader. But it's unclear how the hefty funding handout will square with Republican skepticism of new deficit spending after already approving aid packages worth trillions. On Monday, Deputy Under Secretary of Defense for Acquisition & Sustainment Alan Shaffer said the money is needed to cover a host of defense contractors' coronavirus-related expenses. Without it, the Department of Defense will have to dip into modernization and readiness funds, potentially jeopardizing smaller firms in the defense industrial base waiting for the cash. “If there is another supplemental or stimulus package for realistic economic adjustment, we could be looking at somewhere around $10 billion in additional program costs,” Shaffer said on the Government Matters television show that aired Monday. Last week, the leaders of Lockheed Martin, General Dynamics, Boeing, Raytheon, BAE Systems, Huntington Ingalls, Textron, and L3Harris Technologies sent letters to Pentagon acquisition chief Ellen Lord and acting White House budget chief Russell Vought, worried about the health of their smaller subcontractors without additional aid. The CEOs, noting their sector employs 2 million people, warned such a defense budget disruption “would create a ripple effect throughout the defense industrial base, leading to less investment in new technologies and significant job losses in pivotal states just as we are trying to recover from the pandemic,” they wrote in the letter to Vought. It's potentially a potent message for the White House as recent polls show President Donald Trump faces a rockier path to reelection. Trump is trailing Democratic challenger Joe Biden in six battleground states he won in 2015, according to a New York Times survey, and a Real Clear Politics average of polls showed Biden leading Trump by nine points Tuesday. Section 3610 of the Coronavirus Aid, Relief, and Economic Security Act allows defense firms to seek reimbursement for pandemic-related expenses, for which Lord has said DoD would request in the “lower end” of “tens of billions of dollars.” But the Democrat-led House Appropriations committee passed a fiscal 2021 defense spending bill Tuesday that included far less: $758 million. “We need to do something,” the subpanel's ranking member Ken Calvert, R-Calif., told Defense News. “The defense industry is not immune to what's happening from COVID-19, like every other sector of the economy, and they've suffered the last few months, just like any business. They've had slowdowns, cost increases, they've had to acquire a lot of [personal protective equipment], and implement new safety guidelines.” Loren Thompson, a defense-industry consultant and analyst with the Lexington Institute, estimates the sector's pandemic-related expenses could total more than $20 billion. Additional emergency money is thought to not only help major firms, but small and medium-sized firms whose slim profit margins and minimal cash reserves mean they're more apt to furlough employees in a pinch — potentially triggering production breaks for major programs. “As far as I know, the big system integrators have not been furloughing defense workers, but at the subcontractor level, some of those shops just don't have a choice,” he said. Still, many GOP lawmakers under pressure from conservative groups have been lukewarm about President Donald Trump's push for tax cuts and infrastructure spending on top of the $3 trillion in funds approved so far. Senate Majority Leader Mitch McConnell, R-Ky., — who has been in weeks-long discussions with Treasury Secretary Steve Mnuchin on the next phase of coronavirus relief — outlined a proposal last week that emphasized a liability shield for companies operating during the pandemic, but with no mention of defense industry aid. In a recent appearance in Kentucky, McConnell acknowledged the concerns of GOP colleagues who are worried about the mounting deficit. “It does raise a good deal of concern because we now have a debt, a cumulative debt, the size of our economy for the first time since World War II,” he said. “Believe me, we would not have done that under any circumstances.” Some lawmakers from both parties have been wary of new spending that favors a specific industry, particularly after the Pentagon won a timely budget at record levels, said an industry source. Defense firms pleading their case are being asked whether they have tapped other provisions in the CARES Act, like payroll tax deferrals, the employee retention tax credit or a $17 billion emergency loan fund. (Many defense firms have resisted applying for the loans, which allow the government an equity stake.) “You talk to some Democratic offices, and some Republican, and they say the defense bill is already one big stimulus for the defense industry,” said the industry source. “I think that's a mischaracterization because the taxpayer dollars aren't spent to make Lockheed Martin more profitable, it's for planes, ships and submarines that you need, but it's really hard.” In May, Democratic lawmakers questioned Pentagon leaders sharply about why they had spent just 23 percent of the $10.5 billion DoD had received under the CARES Act. The Pentagon responded with with its spending plan for the aid, which allocated $688 million to aid suppliers of aircraft engine parts, shipbuilding, electronics and space launch. This June, the country incurred its biggest monthly deficit ever, $864 billion, which topped the previous single month deficit record, $738 billion in April. With the long-term debt totaling more than $26 trillion and the Congressional Budget Office predicting the deficit will reach $3.7 trillion for the year, some Republicans have voiced concern about the unpredictable effect adding more could have on the economy. “If we're spending a lot of money, we have to be careful that we don't break the country,” Senate Appropriations Committee Chairman Richard Shelby, R-Ala., recently told the Wall Street Journal. Fiscally conservative groups have stepped up their lobbying of Republican lawmakers, many of whom consider themselves fiscal hawks but voted to lift budget caps for roughly $1.5 trillion in defense spending in 2019′s two-year budget deal. A coalition of conservative leaders sent a letter to Trump and McConnell last month warning Congress's coronavirus spending must stop because the total is approaching $10 trillion. FreedomWorks Vice President of Legislative Affairs Jason Pye said Republican lawmakers are justifiably concerned about alienating deficit-conscious conservatives ahead of the next election, but they're also genuinely wary. “Most of the members I've talked to are saying they want to either limit the size of the next phase or they don't want to spend any more money,” he said. https://www.defensenews.com/congress/2020/07/14/the-pentagon-wants-a-10b-defense-industry-cash-injection-is-congress-listening/

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