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By: Leo Shane III WASHINGTON — President Donald Trump finalized an $854 billion spending bill on Friday that fully funds the military for fiscal 2019 and prevents a government shutdown next week, accomplishments that congressional leaders have called important and laudable. But Trump's signature came with one final attack on Democrats over the spending measure, lamenting lawmakers' decision not to include extra money in the appropriations package for his planned wall along the southern U.S. border. “Unfortunately, the radical Democrats refuse to support border security and want drugs and crime to pour into our country,” he said in a statement after signing the bill. The comments came just a week after Trump took to social media to blast “this ridiculous Spending Bill,” raising fears of a presidential veto on Capitol Hill. Instead, Trump largely praised the measure on Friday, calling it “important legislation to rebuild our military” and promote other domestic priorities. The appropriations measure includes $674 billion in defense funding for fiscal 2019, and marks the first time in a decade Congress has finalized the spending measure before the start of the new fiscal year. The measure funds a 2.6 percent pay raise for troops starting next January and a boost in military end strength of 16,400 spread across the active-duty and reserve forces. Trump, in his statement, praised the measure for including “93 new F-35 Lightning Joint Strike Fighters, 142 Apache and Black Hawk helicopters, and 13 Navy battle force ships — made right here in the USA.” In a statement after the signing, House Armed Services Committee Chairman Mac Thornberry, R-Texas, praised the president for pushing for the funding increases in his budget request and past public statements. “By funding our military in full and on time, we can begin to restore its strength, agility, and effectiveness,” he said. “As I have said before, the task before us now is to make full, on time funding of our military the rule in Washington, and not the exception.” The spending bill also includes full-year funding for the departments of Health and Human Services, Education and Labor, as well as bridge funding for a handful of other government agencies to keep them operational through Dec. 7. Last week, Trump signed into law a separate package that included full-year funding for the Department of Veterans Affairs and for military construction projects. https://www.militarytimes.com/news/your-military/2018/09/28/trump-signs-spending-plan-avoiding-shutdown

By: Sebastian Sprenger COLOGNE, Germany — The Swiss are choosing sides over how to shepherd an $8.2 billion package of new combat aircraft and air-defense equipment through the country's unique political process. Defence Minister Guy Parmelin favors subjecting the “Air 2030” program to a public referendum, eyed for 2020. If approved, that step could secure the population's thumbs-up for a blank check covering the cost of the entire project while leaving the administration to sort out the details of which planes to buy and how to split the aerial and ground components. This course of action is still preferred, a defense department spokesman told Defense News on Thursday, even though opposition to the plan became increasingly evident as the public feedback period ended Sept. 22. For now, there appears to be support across the major political parties for the main objectives of Air 2030, which aims to replace the country's aging fleet of F-18 and F-5 combat aircraft and install new ground-based weapons against aerial threats. But critics in parliament contend that the risk of a referendum defeat is too high, arguing nothing less than that the very future of the Swiss military is at stake. Depending on which political party is asked, some prefer putting the project out for separate votes for the larger aircraft portion, estimated at roughly $6 billion, and the ground segment. But others want the government to proceed without any referendum at all, arguing that the program — despite its hefty price tag — should be treated like other critical government purchases. The government's strategy of seeking popular approval only for the broad contours of Air 2030 follows the still-fresh memories of a failed attempt to replace the Swiss air-policing fleet. The population in 2014 voted against a measure to buy 22 Saab Gripen planes in a referendum that some analysts said was muddied by questions over the aircraft's specific capabilities and drawbacks. Swiss defense procurement agency Armasuisse on Monday invited bids for the ground-based program segment from the military sales offices of the United States, France and Israel. Those countries' anti-missile systems — Raytheon's Patriot, Eurosam's SAMP/T and Rafael's David's Sling — are expected to go toe-to-toe in a competition. For the aircraft portion, the Swiss in July invited bids from the Airbus Eurofighter, the Dassault Rafale, the Saab Gripen E, the Boeing F/A-18 Super Hornet and the Lockheed Martin F-35A. Armasuisse requested pricing proposals for a fleet of 30 or 40 planes. Meanwhile, government officials will sift through the fresh feedback from Swiss stakeholders — including political parties, regions and trade unions — in the coming months and formulate a measure for parliamentary debate by year's end, defense department spokesman Renato Kalbermatten told Defense News. And while the course of putting the entire investment plan out for a referendum remains the goal, there appears to be a willingness to adjust in case the risk of rejection is deemed to high. “We will put forward the best solution,” Kalbermatten said. https://www.defensenews.com/global/europe/2018/09/28/critics-see-big-holes-in-swiss-governments-82-billion-air-2030-plan

By: David Koenig, The Associated Press An aviation bill Congress is rushing to approve contains a little-noticed section that would give authorities the power to track, intercept and destroy drones they consider a security threat, without needing a judge's approval. Supporters say law enforcement needs this power to protect Americans from terrorists who are learning how to use drones as deadly weapons. They point to the Islamic State terrorist group's use of bomb-carrying drones on battlefields in Iraq, and warn that terrorists could go after civilian targets in the United States. Critics say the provision would give the government unchecked power to decide when drones are a threat. They say the government could use its newfound power to restrict drone-camera news coverage of protests or controversial government facilities, such as the new detention centers for young migrants. The provision is tucked in a huge bill that provides $1.7 billion in disaster relief and authorizes programs of the Federal Aviation Administration, which regulates drones. The House approved the measure Wednesday by a 398-23 vote, and the Senate is expected pass it on to President Donald Trump's desk in the coming days. The White House signaled support of the drone provision in July. Sen. Ron Johnson, a Wisconsin Republican, introduced the Preventing Emerging Threats Act this year. It would give the Homeland Security Department and the Justice Department power to develop and deploy a system to spot, track and shoot down drones, as unmanned aircraft are called. Officers would have the authority to hack a drone operator's signal and take control of the device. The bill was never considered on its own by the full Senate or the House. Instead, in private negotiations that ended last weekend, it was tucked into a "must-pass" piece of FAA legislation. Homeland Security Secretary Kirstjen Nielsen wrote in a recent op-ed that the threat of drone attacks "is outpacing our ability to respond." She said criminals use drones to smuggle drugs across the border, but worse, terrorists like the Islamic State are deploying them on the battlefield. "We need to acknowledge that our first and last chance to stop a malicious drone might be during its final approach to a target," she wrote. Attorney General Jeff Sessions said in a statement this week that the measure "would finally give federal law enforcement the authority we need to counter the use of drones by drug traffickers, terrorists and criminals." The National Football League's top security executive recently endorsed the bill's intent but said it should go further by letting trained local police officers intercept drones. The official, Cathy Lanier, a former Washington, D.C., police chief, said the NFL is alarmed by an increase in drone flyovers at stadiums. Opponents including the American Civil Liberties Union argue that the proposal gives the government unchecked power to track and seize drones without regard for the privacy and free-speech rights of legitimate drone operators. It exempts the government agencies from certain laws, including limits on wiretapping. The bill provides no oversight or means to question a government decision about what is a "credible threat" and what is an "asset" or "facility" in need of protection when drones are nearby. News organizations are increasingly using drones. They deploy them to cover natural disasters like the recent flooding from Hurricane Florence and also controversies such as the Trump administration's construction of new camps for migrant children who were separated from their parents at the U.S.-Mexico border. "Being able to see footage of protests, the size of protests, being able to see facilities like those at the border is useful — those are newsworthy events," said India McKinney, a legislative analyst for the Electronic Frontier Foundation. Without a specific means to protect First Amendment rights — something not in the bill — "it's entirely feasible to think that the DOJ or DHS could just decide that a drone owned by a news organization provides a credible threat and then destroys the footage," she said. ___ David Koenig can be reached at http://twitter.com/airlinewriter https://www.militarytimes.com/news/your-military/2018/09/28/government-may-gain-new-power-to-track-drones-and-shoot-them-down

MDA Press Release Canada's role and potential involvement in the growing new space economy require a commitment from the Government of Canada for a new space strategy that would secure Canada's place as a leader in space, Mike Greenley, the group president of MDA, a Maxar company, said in a speech to the Canadian Club in Ottawa. “We need a long-term space plan for Canada that establishes the requisite funding to maintain and enhance our existing world-leading capabilities in space robotics, satellite communications, Earth observation and space science, while cultivating new areas of leadership. And we need it now, because there are pressing decisions that need to be made,” said Greenley. The most urgent question facing Canada is whether the country will participate in the international space community's next big exploration project. As governments wind down their investments in the International Space Station, the leading spacefaring nations, including the United States, Europe, Japan and Russia, are planning a return to the Moon in the 2020s. NASA is planning to build a small space station that orbits the Moon, which will serve as a base for lunar exploration, a platform for science experiments, and a gateway to explore deeper space. Canada's commitment would involve the development of a third-generation Canadarm, the iconic Canadian space robotics technology featured prominently on the five dollar bill. Canadian space robotics would provide highly visible, innovative and critical lunar gateway operations, including the assembly of the gateway itself (and its ongoing maintenance), the capture of visiting spacecraft, and the enabling of science conducted in the lunar vicinity. Given the distance to the Moon, these advanced space robotics would need to operate autonomously, powered by Canadian AI technology. Subsequent contributions could involve lunar rovers and space medicine technology. “The international community expects Canada to participate in this mission and to provide the advanced robotics systems for the Lunar Gateway, our area of expertise that no other country does better,” said Greenley. “It is Canada's role for the taking.” “Making a commitment to participate in the Lunar Gateway as part of the upcoming space strategy would maintain and enhance Canada's acknowledged world leadership in space robotics and signal to the world that Canada plans to claim its place in the new space economy,” said Greenley. “The value of the global space market reached US$380 billion in 2017, and analysts forecast it will grow to be a multi-trillion-dollar market in the coming decades.” Participation in space will not only accelerate innovation and fuel Canada's future competitiveness, but will also maintain our country's ability to influence the global discussion around space, said Greenley. “We know how important it is for Canada to be part of the conversation,” said Greenley. “A re-commitment to space would enhance our ability to participate in shaping developments in space and bolster emerging areas of Canadian expertise like space law.” Greenley said MDA and other partners in the Canadian space industry will spend this fall talking to Canadians and elected officials about the importance of space. https://www.skiesmag.com/press-releases/mda-group-president-notes-opportunities-for-canada-in-space

AIR FORCE The Boeing Co., St. Louis, Missouri, has been awarded an indefinite-delivery/indefinite-quantity contract with an estimated ceiling of $9,202,568,686 for the Advanced Pilot Training aircraft and ground-based training systems. The contract provides for the anticipated delivery of 351 aircraft, 46 associated training devices, and other ancillary supplies and service (e.g., initial spares, support equipment, sustainment, and training). The contract includes the initial delivery order for engineering and manufacturing development of Advanced Pilot Training aircraft and ground-based training systems for $813,385,533. The maximum quantity of aircraft and training devices the Air Force can purchase under this indefinite-delivery/indefinite-quantity contract is 475 aircraft and 120 ground based training systems. Work will be performed in St. Louis, Missouri, and is expected to be complete by 2034. This award is the result of a competitive acquisition. Fiscal 2018 research, development, test and evaluation funds in the amount of $33,600,000 are being obligated on the first delivery order at the time of award. Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Dayton, Ohio, is the contracting activity (FA8617-18-D-6219). United Launch Services, Centennial, Colorado, has been awarded an $867,081,864 cost-plus-incentive-fee, cost-plus-fixed-fee, firm-fixed-price modification (P00199) to contract FA8811-13-C-0003 for Evolved Expendable Launch Vehicle launch capability for the Delta IV and Atlas V families of launch vehicles. The contract modification is for mission integration, base and range support, maintenance commodities, Delta depreciation, and Atlas depreciation and provides for mission assurance, program management, systems engineering, and integration of the space vehicle with the launch vehicle, launch site and range operations, and launch infrastructure maintenance and sustainment. Work will be performed in Centennial, Colorado; Vandenberg Air Force Base, California; and Cape Canaveral Air Station, Florida, and is expected to be completed by Sept. 30, 2019. Fiscal 2018 space procurement funds are being obligated at the time of award. Total cumulative face value of the contract is $9,769,473,249. Space and Missile Systems Center, Los Angeles Air Force Base, California, is the contracting activity. United Technologies Corp. Pratt & Whitney Military Engines, East Hartford, Connecticut, has been awarded a not-to-exceed $250,000,000 indefinite-delivery/indefinite-quantity contract for Advanced Turbine Technologies for Affordable Mission-Capability (ATTAM) Phase I. This contract provides for the ATTAM Phase I program to develop, demonstrate, and transition advanced turbine propulsion, power and thermal technologies that provides improvement in affordable mission capability. Work will be performed in East Hartford, Connecticut, and is expected to be complete by September 2026. This award is the result of a competitive acquisition and 54 offers were received. Fiscal 2018 research, development, test and evaluation funds in the amount of $25,000 are being obligated on the first task order at the time of award. Air Force Research Laboratory, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-18-D-2062). Bristol Prime Contractors, Anchorage, Alaska (FA3020-18-D-0006); C3/SMR JV LLC, Temple, Texas (FA3020-18-D-0007); Gonzalez De La Garza, San Antonio, Texas (FA3020-18-D-0008); RCO-Ross Group JV, San Antonio, Texas (FA3020-18-D-0009); Waldrop Construction, Oklahoma City, Oklahoma (FA3020-18-D-0010); and Weil Construction, Albuquerque, New Mexico (FA3020-18-D-0011), have been awarded a combined cumulative face value $150,000,000 multiyear indefinite-delivery/indefinite-quantity contract. These contracts provide a contracting vehicle for Sheppard Air Force Base, Texas; and Altus AFB, Oklahoma, to expedite construction contract awards. Work will be performed at Sheppard AFB, Texas; Altus AFB, Oklahoma; Frederick Airfield, Oklahoma; and Lake Texoma Annex, Texas. The last date to order on this contract vehicle is Sept. 30, 2023. Fiscal 2018 operations and maintenance funds in the amount of $9,000 are being obligated at the time of award. The 82nd Contracting Squadron, Sheppard AFB, Texas, is the contracting activity. The Boeing Co., St. Louis, Missouri, has been awarded an $85,533,183 fixed-price-incentive-fee, firm-fixed-price, cost-plus-fixed-fee, undefinitized contract for F-15 Advanced Display Core Processor II (ADCPII). This contract provides for the production and integration of the ADCPII boxes into the F-15 platform. Work will be performed in St. Louis, Missouri, and is expected to be completed by Sept. 30, 2023. This award is the result of a sole-source acquisition. Fiscal 2017 and 2018 procurement funds; fiscal 2018 working capital funds; and fiscal 2018 research, development, test and evaluation funds in the amount of $64,149,888 are being obligated at the time of award. Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity. Amec Foster Wheeler-Zapata JV, Alpharetta, Georgia (FA6643‐18‐D‐0006); Benham Mead & Hunt JV, Oklahoma City, Oklahoma (FA6643‐18‐D‐ 0007); Farnsworth & Blair Remy JV, Bloomington, Illinois (FA6643‐18‐D‐0008); HDR Engineering Inc., Omaha, Nebraska (FA6643‐18‐D‐0009); and Leo A. Daly - BTA JV, Omaha, Nebraska (FA6643‐18‐D‐ 0010), have been awarded a combined $50,000,000 indefinite‐delivery/indefinite‐quantity contract. Contractors will provide facilitates architectural and engineering service efforts to Headquarters Air Force Reserve Command (AFRC). Work will be performed throughout the AFRC command at HQ-AFRC, the various AFRC host bases, active duty bases, and tenant locations, and is expected to be completed by Sept. 26, 2023. This award is the result of a competitive, best-qualified, architect-engineer acquisition, with 22 offers received. No funds are being obligated at the time of award. Funds will be obligated on individual task orders. HQ-AFRC, Robins Air Force Base, Georgia, is the contracting activity. Calculex Inc., Las Cruces, New Mexico, has been awarded a $46,623,715 basic indefinite-delivery/indefinite-quantity contract for Air Data Recorders (ADR) and support services. The contract provides for spare equipment, support services, and improvement of ADR capabilities for use by the operational and test communities in support of the Air Force Test mission. Work will be performed in Las Cruces, New Mexico, and multiple continental U.S. military installations, and is expected to be completed by Sept. 27, 2024. This award is the result of a sole-source acquisition. Fiscal 2018 research, development, test and evaluation funds in the amount of $282,795 are being obligated at the time of award. Air Force Test Center, Eglin Air Force Base, Florida, is the contracting activity (FA2487-18-F-2325). Alpha-Omega Change Engineering Inc., Williamsburg, Virginia, has been awarded a $44,738,911 modification (P00052) to previously awarded contract FA8621-16-C-6331 for academic and simulator formal training and continuation training for multiple mission design series. This modification provides for aircrew instruction including initial and mission qualification, refresher, upgrade, and currency; student series; contractor logistics support, concurrency management, training systems support center, courseware, and cybersecurity. This modification brings the total cumulative face value of the contract to $142,925,074. Work will be performed at Kirtland Air Force Base, New Mexico; Davis-Monthan Air Force Base, Arizona; Joint Base Andrews, Maryland; and Moody Air Force Base, Georgia, and is expected to be complete by Sept. 30, 2019. No funds are being obligated at time of award. Total Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity. CAE USA Inc., Tampa, Florida, has been awarded a $32,554,415 modification (P00137) to previously awarded contract FA8223-10-C-0013. This modification exercises the fiscal 2019 option to extend the KC-135 Aircraft Training System contract, and brings the total cumulative face value of the contract to $455,435,428. Work will be performed at MacDill Air Force Base, Florida; Pittsburgh, Pennsylvania; Rickenbacker Air National Guard Base, Ohio; Grissom Air Reserve Base, Indiana; Scott Air Force Base, Illinois; Milwaukee, Wisconsin; Fairchild Air Force Base, Washington; Altus Air Force Base, Oklahoma; March Air Reserve Base, California; Hickam Air Force Base, Hawaii; Kadena Air Base, Japan; Ramstein Air Base, Germany; and Royal Air Force Mildenhall, England. Work is expected to be completed by Sept. 30, 2019. No funds are being obligated at the time of award. Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity. Rockwell Collins Inc., Cedar Rapids, Iowa, has been awarded a $29,830,000 firm-fixed-price, indefinite-delivery/indefinite-quantity commercial contract for Selective Availability Anti-Spoofing Module Embedded Global Positioning System/Inertial Navigation System for Pre-Block F-16 aircraft. This contract provides for the procurement of Integrated GPS Anti-Jam Receiver 200 and GPS Embedded Module VII-2 spares with integration and engineering support and support integration with the F-16 Pre-Block 30/32 system upgrades. Work will be performed at Cedar Rapids, Iowa, and is expected to be complete by Sept. 29, 2023. This award is the result of a sole-source acquisition. Fiscal 2016 and 2017 procurement funds in the amount of $17,487,296 are being obligated at the time of award. Air Force Life Cycle Management Center, Hill Air Force Base, Utah, is the contracting activity (FA8232-18-D-0017). Rockwell Collins Inc., Cedar Rapids, Iowa, has been awarded a $28,914,642 firm-fixed-price requirements contract for the Defense Advanced Global Positioning System Receiver (DAGR). This contract provides for the production and repair of the DAGR, which provides authorized Department of Defense, federal civilian, and Foreign Military Sales users of GPS User Equipment a lightweight, hand-held, dual frequency, Selective Availability Anti-Spoofing Module-based and Precise Positioning Service receiver. Work will be performed in Cedar Rapids and Coralville, Iowa, and is expected to be complete by Sept. 26, 2023. This award is the result of a sole-source acquisition, and no funds are being obligated at the time of award. Air Force Life Cycle Management Center, Robins Air Force Base, Georgia, is the contracting activity (FA8540-18-D-0018). Aerojet Rocketdyne, Canoga Park, California, has been awarded a not-to-exceed $20,000,000 indefinite-delivery/indefinite-quantity contract for Advanced Turbine Technologies for Affordable Mission-Capability (ATTAM) Phase I. This contract provides for the ATTAM Phase I program to develop, demonstrate, and transition advanced turbine propulsion, power and thermal technologies that provides improvement in affordable mission capability. Work will be performed in Canoga Park, California, and is expected to be completed by September 2026. This award is the result of a competitive acquisition and 54 offers were received. Fiscal 2018 research, development, test and evaluation funds in the amount of $25,000 are being obligated on the first task order at the time of award. Air Force Research Laboratory, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-18-D-2062). GE Aviation Systems, doing business as Dowty Propellers Inc., Sterling, Virginia, has been awarded a $19,565,172 firm-fixed-price contract for the C-130J R391 Propeller Depot Activation requirement. The contractor shall establish an organic depot repair/overhaul capability for the C-130J R391 Propeller which will include training for organic repair/overhaul capability for the line replaceable unit and shop replaceable unit. Work will be performed at Robins Air Force Base, Georgia, and is expected to be completed by Sept. 20, 2021. This award is the result of a sole-source commercial acquisition. Fiscal 2018 procurement funds in the amount of $19,565,172 are being obligated at time of award. The Air Force Life Cycle Management Center, Robins Air Force Base, Georgia, is the contracting activity (FA8504-18-C-0008). Raytheon Co., Woburn, Massachusetts, has been awarded a not-to-exceed $16,909,342 undefinitized contract for receiver exciter line replaceable units in support of the Ballistic Missile Early Warning System/Precision Acquisition Vehicle Entry Phased Array Weapon System. The contractor will produce and install six types of Generation 3 LRUs in various quantities. Work will be performed in Woburn, Massachusetts, and is expected to be completed by March 30, 2021. This award is the result of a sole-source acquisition. Fiscal 2018 operations and maintenance funds in the amount of $4,006,862 are being obligated at the time of award. Air Force Life Cycle Management Center, Peterson Air Force Base, Colorado, is the contracting activity (FA8723-18-C-0003). Northrop Grumman Systems Corp., Herndon, Virginia, has been awarded a $13,500,000 firm-fixed-price contract, for engineering services. These engineering services provide all of Northrop designed platforms managed by the 424th Supply Chain Management Squadron at Tinker Air Force Base, Oklahoma. Work will be performed at Tinker AFB, Oklahoma, and is expected to be completed Sept. 26, 2023. Fiscal 2018 consolidated sustainment funds in the amount of $2,700,000 will be obligated at the time of award. Air Force Sustainment Center, Tinker AFB, Oklahoma, is the contracting activity (FA811918D0011). Northrop Grumman Corp., Rolling Meadows, Illinois, has been awarded a $9,800,000 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract for LITENING Targeting Pod - Operational Flight Program software updates and/or incidental firmware and hardware. This contract provides for support integration with the F-16 Pre-Block 30/32 system capability upgrades. Work will be performed at Rolling Meadows, Illinois, and is expected to be completed by Sept. 29, 2023. This award is the result of a sole-source acquisition. Fiscal 2018 research, development, test, and evaluation funds in the amount of $3,100,000 are being obligated at the time of award. Air Force Life Cycle Management Center, Hill Air Force Base, Utah, is the contracting activity (FA8232-18-D-0013). Universal Technology Corp., Dayton, Ohio, has been awarded a $9,650,000 shared-ceiling, cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract for research in the area of developing a spatial registration for the Material State Awareness system. This contract is to provide the most appropriate spatial/positional registration technologies for aircraft nondestructive inspection applications, and develop integrated technology capabilities at breadboard and prototype levels with necessary validation/verification and demonstration at each stage of advancement. Work will be performed in Dayton, Ohio, and is expected to be completed Dec. 27, 2024. This award is the result of a competitive acquisition and five offers were received. Fiscal 2018 research, development, test and evaluation funds in the amount of $25,000 will be obligated at the time of award. Air Force Research Laboratory, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-18-D-5202). Texas Research Institute, Austin Inc., Austin, Texas, has been awarded a $9,650,000 shared-ceiling, cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract for research in the area of developing a spatial registration for the Material State Awareness system. This contract is to provide real-time inspector assistance using the registration and data provided from the inspection. Work will be performed in Austin, Texas, and is expected to be completed Dec. 27, 2024. This award is the result of a competitive acquisition and five offers were received. Fiscal year 2018 research, development, test and evaluation funds in the amount of $25,000 will be obligated at the time of award. Air Force Research Laboratory, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-18-D-5290). Merex Aircraft Co., Camarillo, California, has been awarded an estimated ceiling $9,610,406 indefinite-quantity contract action for A-10 speed brake assembles and aileron trim tabs. This contract provides for spares parts. Work will be performed in Camarillo, California, and is expected to be complete by Sept. 29, 2022. This award is the result of a competitive acquisition and three offers were received. Working capital funds in the amount of $4,643,916 are being obligated at the time of award. Air Force Supply Chain, Hill Air Force Base, Utah, is the contracting activity (FA8212-18-D-0009). Hamilton Sundstrand Corp., Rockford, Illinois, has been awarded a $9,182,513 definitive contract for overhaul of 22 B-2/B-52 Common Strategic Rotary Launchers. Work will be performed in Rockford, Illinois, and is expected to be completed Sept. 30, 2023. This award is the result of a sole-source acquisition. Fiscal 2018 Working Capital Funds in the amount of $9,182,513 will be obligated at the time of award. Air Force Sustainment Center, Tinker Air Force Base, Oklahoma, is the contracting activity (FA8118-18-C-0007). GasTOPS, Inc., Huntsville, Alabama, has been awarded a $7,661,190 requirements contract for the Portable Debris Analyzer ChipCheck Machine. This contract provides for the procurement of 75 machines, which allow for in-the-field ability to analyze debris found in aircraft engine oil, specifically, the F-110 engine. Work will be performed in Huntsville, Alabama, and is expected to be complete by Sept. 26, 2023. This contract was the result of a sole-source Small Business Innovation Research Phase III acquisition. No funds are being obligated at the time of award. Air Force Sustainment Center, Tinker Air Force Base, Oklahoma, is the contracting activity (FA8119-18-D-0012). Northrop Grumman Technical Services, Herndon, Virginia, has been awarded a $7,458,047 modification to contract FA8540-12-C-0004 for continuing engineering services. This contract modification provides for a sustainment depot for the Mission Data File Generator, Intermediate Level Support Equipment, Millicomputer Replacement, Operational Flight Program (OFP) and Digital Receiver Exciter OFP, as well as interfacing firmware and software support tools. The interfacing of firmware and software tools ensure corrections to deficiencies are identified during government testing and initial fielding. Work will be performed in Warner Robins, Georgia, and is expected to be completed by Dec. 12, 2019. Air Force Life Cycle Management Center, Robins Air Force Base, Georgia, is the contracting activity. NAVY Huntington Ingalls Industries, Pascagoula, Mississippi, is awarded a $5,104,668,778 fixed-price-incentive, firm target multiyear contract for construction of six DDG 51 class ships, two in fiscal 2018 and one each in fiscal 2019 through 2022. This contract includes options for engineering change proposals, design budgeting requirements, and post-delivery availabilities on the awarded firm multiyear ships, which, if exercised, would bring the cumulative value of this contract to $5,253,076,779. This contract includes options for construction of additional DDG 51 class ships. These options may be subject to future competitive actions in accordance with the terms and conditions of the contract, and therefore the dollar values are considered source selection sensitive information and will not be made public at this time (see 41 U.S. Code 2101, et seq., Federal Acquisition Regulation (FAR) 2.101 and FAR 3.104). Work will be performed in Pascagoula, Mississippi (91 percent); Erie, Pennsylvania (1 percent); and other locations below 1 percent (collectively totaling 8 percent), and is expected to be completed by April 2029. Fiscal 2018 shipbuilding and conversion (Navy) funding in the amount of $1,712,643,749 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was procured via a limited competition between Huntington Ingalls Inc. and Bath Iron Works pursuant to 10 U.S. Code 2304 (c) (3) and FAR 6.302-3 (Industrial Mobilization), with two offers received. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-18-C-2307). Bath Iron Works, Bath, Maine, is awarded a $3,904,735,559 fixed-price-incentive, firm target multiyear contract for construction of four DDG 51 class ships, one each in fiscal 2019 through 2022. This contract includes options for engineering change proposals, design budgeting requirements, and post-delivery availabilities on the awarded firm multiyear ships, which, if exercised, would bring the cumulative value of this contract to $4,030,194,579. This contract also includes options for construction of additional DDG 51 class ships. These options may be subject to future competitive actions in accordance with the terms and conditions of the contract, and therefore the dollar values are considered source selection sensitive information and will not be made public at this time (see 41 U.S. Code 2101, et seq., Federal Acquisition Regulation (FAR) 2.101 and FAR 3.104). Work will be performed in Bath, Maine (61 percent); Cincinnati, Ohio (5 percent); Atlanta, Georgia (4 percent); York, Pennsylvania (2 percent); Coatesville, Pennsylvania (2 percent); Falls Church, Virginia (2 percent); South Portland, Maine (1 percent); Walpole, Massachusetts (1 percent); Erie, Pennsylvania (1 percent); Charlottesville, Virginia (1 percent); and other locations below 1 percent (collectively totaling 20 percent), and is expected to be completed by June 2028. Fiscal 2018 shipbuilding and conversion (Navy) funding in the amount of $25,017,500 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was procured via a limited competition between Huntington Ingalls Inc. and Bath Iron Works pursuant to 10 U.S. Code 2304 (c) (3) and FAR 6.302-3 (Industrial Mobilization), with two offers received. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-18-C-2305). Raytheon Co., Tucson, Arizona, is being awarded a $482,276,572 firm-fixed-price contract for MK 15 Close-In Weapon System (CIWS) upgrades and conversions, system overhauls, and associated hardware. CIWS is a fast-reaction terminal defense against low- and high-flying, high-speed maneuvering anti-ship missile threats that have penetrated all other defenses. This contract includes a no-cost option which, if exercised, would not change the cumulative value of the contract. This contract combines purchases for the Navy (41 percent); Army (5 percent); and the governments of Taiwan (38 percent); Saudi Arabia (9 percent); Japan (5 percent); New Zealand (1 percent); and Australia (less than 1 percent) under the Foreign Military Sales (FMS) program. Work will be performed in Melbourne, Florida (13 percent); Louisville, Kentucky (7 percent); Williston, Vermont (6 percent); Andover, Massachusetts (6 percent); Pittsburgh, Pennsylvania (5 percent); Tempe, Arizona (5 percent); Ottobrunn, Germany (3 percent); Hauppauge, New York (3 percent); Murray, Utah (2 percent); Grand Rapids, Michigan (2 percent); Miami, Florida (2 percent); Phoenix, Arizona (2 percent); Ashburn, Virginia (2 percent); Dallas, Texas (2 percent); Huntsville, Alabama (1 percent); El Segundo, California (1 percent); Minneapolis, Minnesota (1 percent); Dayton, Ohio (1 percent); Camarillo, California (1 percent); Norcross, Georgia (1 percent); Valencia, California (1 percent); Palo Alto, California (1 percent); San Diego, California (1 percent); East Syracuse, New York (1 percent); and various locations with less than 1 percent each (30 percent). Work is expected to be completed by April 2024. Fiscal 2018 operations and maintenance (Navy); fiscal 2016, 2017 and 2018 weapons procurement (Navy); fiscal 2016, 2017 and 2018 shipbuilding and conversion (Navy); fiscal 2017 other procurement (Army); fiscal 2018 other procurement (Navy); and all FMS funding in the amount of $415,677,070 will be obligated at time of award, and $66,599,502 will expire at the end of the current fiscal year. This contract was not competitively procured in accordance with Federal Acquisition Regulations 6.302-1 as there is “only one responsible source and no other supplies or services will satisfy agency requirements.” The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-18-C-5406). Lockheed Martin Corp., Fort Worth, Texas, is awarded $315,773,716 for modification P00004 to a previously awarded fixed-price incentive firm contract (N0001918C1048) to procure support equipment for F-35 Lightning low-rate initial production Lot XI aircraft in support of the Air Force, Marine Corps, Navy, and non-Department of Defense (DoD) participants. Work will be performed in Orlando, Florida (31 percent); Redondo Beach, California (25 percent); Fort Worth, Texas (13 percent); Hartford, Connecticut (12 percent); Melbourne, Australia (8 percent); Rome, Italy (4 percent); Franklin, Ohio (4 percent); and Chatsworth, California (3 percent), and is expected to be completed in September 2023. Fiscal 2016 and 2017 aircraft procurement (Air Force); fiscal 2017 and 2018 aircraft procurement (Navy); fiscal 2018 aircraft procurement (Marine Corps); and non-DoD Participant funds in the amount of $315,773,716 are being obligated at time of award, $29,911,537 of which will expire at the end of the current fiscal year. This contract combines purchases for the Air Force ($108,665,198; 34.41 percent); Navy ($31,062,358; 9.84 percent); Marine Corps ($5,186,434; 1.64 percent); and non-DoD participants ($170,859,726; 54.11 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Northrop Grumman Systems Corp., Rolling Meadows, Illinois, is awarded a $210,500,224 modification (P00006) to a previously awarded firm-fixed-price contract (N00019-16-C-0026). This modification procures fiscal 2018 Large Aircraft Infrared Countermeasures (LAIRCM) production requirements for the Navy, Air Force, Army, U.S. Special Operations Command (SOCOM), and the government of the United Kingdom. Hardware for this procurement includes weapon replaceable assemblies and support equipment: 466 Advanced Threat Warning Sensors, 15 LAIRCM Signal Processor Replacements (LSPRs), 30 Control Indicator Units, 62 Control Indicator Unit Replaceable, 114 -2103 Signal Processors, 161 Infrared Missile Warning Sensors, 245 Guardian Laser Transmitter Assemblies (GLTAs), 20 Multi-Role Electro-Optical End-to-End Test Sets, 125 GLTA Shipping Containers, 56 High Capacity Cards, 16 LSPR Smart Connector Assemblies, 381 Personal Computer Memory Card, International Association Cards, and 11 LSPR Battery Kits. Work will be performed in Rolling Meadows, Illinois (34 percent); Goleta, California (30 percent); Longmont, Colorado (11 percent); Colombia, Maryland (3 percent); various locations within the continental U.S. (19 percent); and various locations outside the continental U.S. (3 percent), and is expected to be completed in October 2020. Fiscal 2016 aircraft procurement (Air Force); fiscal 2017 aircraft procurement (Navy and Air Force); fiscal 2018 aircraft procurement (Navy, Army, Air Force); fiscal 2018 working capital (Navy); and Foreign Military Sales (FMS) funds in the amount of $210,500,224 are obligated at time of award; $4,647,172 of which will expire at the end of the current fiscal year. This modification combines purchases for the Navy ($161,240,756; 77 percent); Army ($27,756,313; 13 percent); Air Force ($19,784,658; 9 percent); and the government of United Kingdom ($1,718,497; 1 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. United Technologies Corp., Pratt and Whitney Engines, East Hartford, Connecticut, is awarded $209,601,517 for modification P00002 to a previously awarded advance acquisition contract (N00019-18-C-1021) for additional long-lead materials, parts, and components in support of F-35 Lightning II low-rate initial production Lot 13 propulsion systems. This modification is in support of Air Force, Marine Corps, Navy, non-Department of Defense (DoD) participants, and Foreign Military Sales (FMS) customers. Work will be performed in East Hartford, Connecticut (67 percent); Indianapolis, Indiana (26.5 percent); and Bristol, United Kingdom (6.5 percent), and is expected to be completed in September 2021. Fiscal 2018 aircraft procurement (Air Force, Marine Corps, and Navy); non-DoD participant, and FMS funds in the amount of $209,601,517 will be obligated at time of award, none of which will expire at the end of the fiscal year. This modification combines purchases for the Air Force ($73,537,179; 35 percent); Marine Corps ($35,477,475; 17 percent); Navy ($21,888,984; 10 percent); non-DoD participants ($41,929,486; 20 percent); and FMS customers ($36,768,394; 18 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Raytheon Co., El Segundo, California, is awarded $183,486,207 for not-to-exceed undefinitized modification P00039 to a previously awarded cost-plus-incentive-fee contract (N00019-16-C-0002) for the Next Generation Jammer Mid-Band (NGJ-MB) engineering and manufacturing development. This modification continues Phase 1 efforts and provides for the performance of Phase 2 structural analysis and structural design efforts related to NGJ-MB static and fatigue requirements. Phase 2 will require the final redesign efforts and the manufacturing implementation of that redesign (developed during Phases 1 and 2) into the NGJ-MB engineering development model pods to be used in system developmental testing. Additionally, Phase 2 will provide for non-recurring analysis and design activities associated with weight reduction and service life improvements to be incorporated into the NGJ-MB system demonstration test articles. Work will be performed in Forest, Mississippi (40.3 percent); El Segundo, California (32.4 percent); and Dallas, Texas (27.3 percent), and is expected to be completed in December 2021. Fiscal 2018 research, development, test and evaluation (Navy) funds in the amount of $23,441,571 are being 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. Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is awarded $116,311,183 for firm-fixed-price delivery order N0001918F2048 against a previously issued basic ordering agreement (N00019-14-G-0020) for the procurement of 440 low-rate initial production 11 Generation 3 Helmet Mounted Display Systems, oxygen masks, and initial spares in support of the F-35 Lightning II aircraft for the Air Force (180); Navy (60); Marine Corps (69); non-Department of Defense (DoD) participants (119); and Foreign Military Sales (FMS) customers (12). Work will be performed in Fort Worth, Texas, and is expected to be completed in October 2020. Fiscal 2016 aircraft procurement (Air Force, Navy, and Marine Corps); fiscal 2017 aircraft procurement (Air Force and Navy); fiscal 2018 aircraft procurement (Navy and Marine Corps); non-DoD participant, and FMS funds in the amount of $116,311,183 are being obligated at time of award, $70,826,314 of which will expire at the end of the current fiscal year. This contract combines purchases for the Air Force ($47,120,086; 40.5 percent); Navy ($15,711,725; 13.5 percent); Marine Corps ($18,944,511; 16.3 percent); non-DoD participant ($31,599,088; 27.2 percent); and FMS customers ($2,935,773; 2.5 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Textron Inc., New Orleans, Louisiana, is awarded a $98,045,961 cost-reimbursable, not-to-exceed, undefinitized modification to previously-awarded letter contract N00024-17-C-2480 for the procurement of additional long-lead-time material (LLTM) for the Ship-to-Shore Connector (SSC) program, Landing Craft, Air Cushion (LCAC) 100-class craft 109 through 112, and for the procurement of LLTM and pre-fabrication activities for LCACs 113 through 118. The SSC program is the functional replacement for the existing fleet of vehicles, which are nearing the end of their service life. It is an air cushion vehicle designed for a 30-year service life. The SSC mission is to land surface assault elements in support of operational maneuver from the sea at over-the-horizon distances while operating from amphibious ships and mobile landing platforms. SSC provides increased performance to handle current and future missions, as well as improvements which will increase craft availability and reduce total ownership cost. Work will be performed in New Orleans, Louisiana (45 percent); Cincinnati, Ohio (12 percent); Harahan, Louisiana (10 percent); Huntington Beach, California (6 percent); Eatontown, New Jersey (6 percent); Chesapeake, Virginia (5 percent); Corona, California (4 percent); Metairie, Louisiana (4 percent); Gold Beach, Oregon (3 percent); East Hartford, Connecticut (3 percent); and Riverdale, Iowa (2 percent). Work is expected to be completed by December 2021. Fiscal 2017 shipbuilding and conversion (Navy) funding in the amount of $13,189,830; and fiscal 2018 shipbuilding and conversion (Navy) funding in the amount of $60,344,640 will be obligated at 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. Crofton Construction Services Inc.,* Portsmouth, Virginia (N40085-18-D-1156); Doyon Project Services,* Federal Way, Washington (N40085-18-D-1157); Ocean Construction Services Inc.,* Virginia Beach, Virginia (N40085-18-D-1158); Seaward Marine Corp.,* Chesapeake, Virginia 23323 (N40085-18-D-1159); and WF Magann Corp.,* Portsmouth, Virginia (N40085-18-D-1160), are each awarded an indefinite-delivery/indefinite-quantity, multiple award, design-build, design-bid-build construction contract for waterfront construction projects within the Naval Facilities Engineering Command (NAVFAC) Mid-Atlantic Hampton Roads area of responsibility (AOR). The maximum dollar value including the base period and four option years for all five contracts combined is $95,000,000. The work to be performed provides for, but is not limited to, new construction, repair, replacement, demolition, alteration, and/or improvements of waterfront projects and may be of either design-bid build or design-build construction strategy. Types of waterfront projects that include one or more of the following elements: piers; wharves; quay walls; dry docks; bulkheads; crane rail systems; fender systems; berthing and mooring; and waterfront related utilities (e.g., steam; low pressure compressed air; fresh water; salt water; sanitary sewer; oily waste water collection; high voltage to low voltage electrical; and fire protection systems) and required staging and performing construction in or over open tidal waters from barges and/or other floating or affixed work platforms. These five contractors may compete for task orders under the terms and conditions of the awarded contract. Crofton Construction Services Inc. is being awarded the initial task order at $7,327,275 for the Berth 18/19 Submarine Berth Repair at Norfolk Naval Shipyard, Portsmouth, Virginia. Work for this task order is expected to be completed by February 2020. All work on this contract will be performed in the NAVFAC Mid-Atlantic Hampton Roads AOR, Virginia. The term of the contract is not to exceed 60 months, with an expected completion date of August 2022. Fiscal 2018 operations and maintenance (Navy) contract funds in the amount of $7,347,295 are obligated on this award and will expire at the end of the current fiscal year. Future task orders will be primarily funded by operations and maintenance (Navy). This contract was competitively procured via the Navy Electronic Commerce Online website, with eight proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Virginia, is the contracting activity. SRC Inc., North Syracuse, New York, is awarded a maximum ceiling $93,000,000 five-year, hybrid, indefinite-delivery/indefinite-quantity delivery order contract with firm-fixed-price, cost-plus-fixed-fee, and cost contract line items for the AN/TPQ-49A Lightweight Counter Mortar Radar System. The scope of work being performed is for system refresh kit installation, new system production, live fire testing, program management, initial/sustainment spares provisioning, new equipment training, technical manual production, and field service representative support. Work will be performed in North Syracuse, New York (88 percent); various countries to support Foreign Military Sales (ten percent); and Tobyhanna Army Depot, Pennsylvania (two percent), and is expected to be complete by Sept. 27, 2023. Fiscal 2018 procurement (Marine Corps) funds in the amount of $367,432 will be obligated on the first delivery order immediately following contract award and funds will not expire at the end of the current fiscal year. This contract was a sole-source award in accordance with Federal Acquisition Regulation 6.302-1- only one responsible source and no other supplies or services will satisfy agency requirements; 6.302-4, international agreement; and 6.302-6, National security. The Marine Corps Systems Command, Quantico, Virginia, is the contracting activity (M67854-18-D-1354). Crowley Government Services Inc., Jacksonville, Florida, is awarded a $48,746,282 modification to previously awarded contract N6238715C3135 to exercise option three for the operation and maintenance of six government-owned Marine Prepositioning Force (MPF) ships. The ships will continue to support Military Sealift Command worldwide prepositioning requirements. Work for this option period will be performed at sea worldwide, and is expected to be completed by Sept. 30, 2019. Working capital fund (Transportation) in the amount of $48,746,282 are obligated at the time of award and will not expire at the end of the current fiscal year. This contract was competitively procured on a full and open basis with more than 50 companies solicited via the Military Sealift Command, Federal Business Opportunities and Navy Commerce Online websites, with seven offers received. The U.S. Navy's Military Sealift Command, Norfolk, Virginia, is the contracting activity. Huntington Ingalls Inc. - Ingalls Shipbuilding, Pascagoula, Mississippi, was awarded a $48,532,386 cost-plus-fixed-fee contract modification for the execution of USS Fitzgerald (DDG 62) emergent repair and restoration. This effort provides for the additional collision repairs as well as maintenance and modernization of USS Fitzgerald. Work will be performed in Pascagoula, Mississippi, and is expected to be completed by May 2020. Fiscal 2018 operations and maintenance (Navy) funds in the amount of $48,499,489; and fiscal 2017 other procurement (Navy) in the amount of $32,898 were obligated at time of award, and contract funds in the amount of $48,499,489 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-17-C-4444). (Awarded Sept. 25, 2018) Aretè Associates Inc.,* Northridge, California, is awarded a $40,378,366, firm-fixed-priced, cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity requirements contract to provide coastal battlefield reconnaissance and analysis (COBRA) systems, COBRA program systems support, and provisioned item orders/spares for the AN/DVS-1 COBRA Block 1 System. This contract includes options which, if exercised, would bring the cumulative value of this contract to $93,000,000. 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 March 2021. Fiscal 2018 other procurement (Navy) funding in the amount of $16,618,453 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was not competitively procured in accordance with 10 U.S. Code 2304(c)(5), as implemented by Federal Acquisition Regulation 6.302-5(c)(2): Authorized or Required by Statutes, this is a Phase III Small Business Innovation Research (SBIR) contract award that is derived from, extends, or logically concludes efforts performed under prior SBIR contract N61331-11-C-0007. The Naval Surface Warfare Center Panama City Division, Panama City, Florida, is the contracting activity (N61331-18-D-0012). United Technologies Corp., Pratt and Whitney Military Engines, East Hartford, Connecticut, is awarded $39,266,691 for modification P00008 to a previously awarded fixed-price-incentive-firm target, cost-plus-incentive-fee, cost-plus-fixed-fee contract (N00019-17-C-0020). This modification provides for additional long lead-time components, parts, and materials in support of Lot 13 F-35 Lightning II propulsion systems in support of the Marine Corps, Air Force, Navy; non-Department of Defense (DoD); and Foreign Military Sales (FMS) customers. Work will be performed in East Hartford, Connecticut (67 percent); Indianapolis, Indiana (26.5 percent); and Bristol, United Kingdom (6.5 percent), and is expected to be completed in September 2021. Fiscal 2018 aircraft procurement (Marine Corps, Air Force, and Navy); non-DoD participant; and FMS funds in the amount of $30,439,813 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This modification combines purchases for the Marine Corps ($29,054,685; 73.99 percent); Air Force ($582,821; 1.49 percent); Navy ($109,186; 0.28 percent); non-U.S. DoD participants ($9,228,392; 23.50 percent); and FMS customers ($291,607; 0.74 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Lockheed Martin Rotary and Mission Systems, Owego, New York, is awarded $36,024,134 for cost-plus-incentive-fee order N0001918F0546 against a previously issued basic ordering agreement (N00019-14-G-0019). This order provides for the development and deployment of the MH-60 product line software configuration 20 fleet release for all MH-60 air platform variants in support of the Navy, the government of Australia, and the government of Denmark. Additionally, this order includes tasking and activities associated with the development and integration of an enhanced fuel and power management capability and the integration of the form, fit, and function replacement of the multifunctional information distribution system, low volume terminal, Block 2 upgrade and associated software. Work will be performed in Owego, New York, and is expected to be completed in June 2021. Fiscal 2018 aircraft procurement (Navy); fiscal 2018 research, development, test and evaluation (Navy); and Foreign Military Sales (FMS) funds in the amount of $28,060,715 will be obligated at time of award, none of which will expire at the end of the fiscal year. This order combines purchases for the Navy ($12,047,419; 33 percent); and FMS ($23,976,715; 67 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Harper Construction Co. Inc., San Diego, California, is awarded $34,355,931 for firm-fixed-price task order N6247318F5293 under a previously awarded multiple award construction contract (N62473-17-D-0817) for construction of Ammunition Supply Point Upgrade Phase 2 at Marine Corps Base, Camp Pendleton. The work to be performed provides for the demolition of eight existing high explosive magazines, drainage structures and existing access road. It includes the construction of nine new low rise, earth-covered, high explosive magazines with reinforced concrete walls and Portland cement concrete apron for loading and unloading purposes, reinforced concrete and earth covered roof, and reinforced concrete foundation and floor slab. The task order also contains two unexercised options, which if exercised would increase cumulative task order value to $40,375,601. Work will be performed in San Diego, California, and is expected to be completed by October 2020. Fiscal 2018 military construction (Navy) contract funds in the amount of $34,355,931 are obligated on this award and will not expire at the end of the current fiscal year. Five proposals were received for this task order. The Naval Facilities Engineering Command, Southwest, San Diego, California, is the contracting activity. Jacobs Government Services Co., St. Louis, Missouri, is awarded a maximum amount $30,000,000 firm-fixed-price, indefinite-delivery/indefinite-quantity architect-engineering contract for multi-discipline architect-engineering services in the Naval Facilities Engineering Command (NAVFAC) Mid-Atlantic area of responsibility (AOR). The work to be performed provides for comprehensive architect-engineering services required for planning, design, and construction services in support of new construction, repair, replacement, demolition, alteration, and/or improvement of Navy and other governmental facilities. Projects may involve single or multiple disciplines, including, but not limited to, architectural, structural, mechanical, electrical, civil, landscape design, fire protection, and interior design. Initial task order is being awarded at $217,648 for utility trestle and tunnel study at Naval Station Great Lakes, Great Lakes, Illinois. Work for this task order is expected to be completed by January 2019. All work on this contract will be performed at various Navy facilities and other government facilities within the NAVFAC Mid-Atlantic AOR including, but not limited to, Illinois (40 percent); Indiana (40 percent); and other areas within the AOR (20 percent). The term of the contract is not to exceed 60 months with an expected completion date of September 2023. Fiscal 2018 Navy working capital contract funds in the amount of $217,648 are obligated on this award and will not expire at the end of the current fiscal year. Future task orders will be primarily funded by military construction, (Navy); operations and maintenance, (Navy); and Navy working capital funds. This contract was competitively procured via the Navy Electronic Commerce Online website with 11 proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Virginia, is the contracting activity (N40085-18-D-8728). Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is awarded $29,254,101 for firm-fixed-price delivery order N0001918F2494 against a previously issued basic ordering agreement (N00019-14-G-0020). This order provides for the procurement of various diminishing manufacturing sources parts to protect deliveries for future F-35 Lightning II lots. Work will be performed in Fort Worth, Texas, and is expected to be completed in February 2019. Fiscal 2016 aircraft procurement (Air Force, Navy, and Marine Corps); non-Department of Defense (DoD) participant; and Foreign Military Sales (FMS) funds in the amount of $29,254,101 will be obligated at time of award, $10,589,608 of which will expire at the end of the fiscal year. This order combines purchases for the Air Force ($6,353,410; 21.72 percent); Marine Corps ($3,128,028; 10.69 percent); Navy ($1,108,170; 3.79 percent); non-DoD participants ($12,181,209; 41.64 percent); and FMS customers ($6,483,284; 22.16 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Skookum Educational Programs, Bremerton, Washington, is awarded a $29,214,362 indefinite-delivery/indefinite-quantity modification under previously awarded contract N44255-17-D-4039 for the exercise of option one for base operations support services at various installations in the Naval Facilities Engineering Command (NAVFAC) Northwest area of responsibility (AOR). The work to be performed provides for all management and administration, facilities management and investment, pest control, integrated solid waste, pavement clearance, utilities management, base support vehicles and equipment, and environmental services for base operations support services. After award of this option, the total cumulative contract value will be $57,045,743. Work will be performed at various installations in the NAVFAC Northwest AOR, including but not limited to, Washington (90 percent); Alaska (1 percent); Idaho (1 percent); Iowa (1 percent); Minnesota (1 percent); Montana (1 percent); Nebraska (1 percent); North Dakota (1 percent); Oregon (1 percent); South Dakota (1 percent); and Wyoming (1 percent), and is expected to be completed September 2019. No funds will be obligated at time of award. Fiscal 2019 operations and maintenance (Navy) contract funds in the amount of $29,214,362 for recurring work will be obligated on individual task orders issued during the option period. The contract was awarded under the AbilityOne program, Federal Acquisition Regulation Part 8.7, Acquisition from NonProfit Agencies Employing People Who Are Blind or Severely Handicapped. The Naval Facilities Engineering Command, Northwest, Silverdale, Washington, is the contracting activity. Airtec Inc.,* California, Maryland, is awarded a $26,948,745 cost-plus-fixed-fee, cost reimbursable, indefinite-delivery/indefinite-quantity contract. This contract provides for intelligence, surveillance, and reconnaissance flight hours, operations, maintenance, and as needed, development, testing and evaluation of currently integrated aircraft systems and associated ground systems in support of the Falcon-I program. Work will be performed in Bogota, Colombia (85 percent); and California, Maryland (15 percent), and is expected to be completed in September 2020. No funds will be obligated at time of award. Funds will be obligated on individual task orders as they are issued. This contract was not competitively procured pursuant to Federal Acquisition Regulation 6.302-1. The Naval Air Warfare Center Aircraft Division, Lakehurst, New Jersey, is the contracting activity (N68335-18-D-0058). KOAM Engineering Systems Inc., San Diego, California, is awarded a potential value $23,543,089 indefinite-delivery/indefinite quantity, cost-plus-fixed-fee contract to provide program management and engineering support services for the Space and Naval Warfare Systems Center Pacific (SSC Pacific) Network Integration Engineering Facility. Support includes designing, engineering, production, integration, and testing of Department of Defense (DoD) command, control, communications, computers and intelligence systems. This one-year contract includes four one-year option periods which, if exercised, would bring the potential value of this contract to an estimated $123,134,353. Work will be performed in San Diego, California. The work is expected to be completed Sept. 26, 2019. If the options are exercised, the period of performance would extend through Sept. 26, 2023. No funds will be obligated at the time of award. Future efforts will obligate funds using research, development, test and evaluation (DoD); ship construction (Navy); operations and maintenance (DoD); other procurement (Navy and DoD); and Navy working capital fund. This contract was competitively procured via a request for proposal published on the Federal Business Opportunities website and the Space and Naval Warfare Systems Command e-Commerce Central website, with three proposals received. SSC Pacific, San Diego, California, is the contracting activity (N66001-18-D-0075). PAE Applied Technologies LLC, Lexington Park, Maryland, is awarded a $17,770,204 cost-plus-fixed-fee modification to previously awarded contract N00244-14-C-0007 to exercise options for operations and maintenance services in support of the Southern California Offshore Range. Work will be performed in San Diego, California (70 percent); and San Clemente Island, California (30 percent), and is expected to be completed by March, 2019. Fiscal 2018 working capital funds (Navy) funding in the amount of $1,000 will be obligated at time of award and will not expire at the end of the current fiscal year. The Naval Surface Warfare Center, Corona Division, Norco, California, is the contracting activity. Northrop Grumman Corp. Aerospace Systems, Melbourne, Florida, is awarded $13,517,256 for cost-plus-fixed-fee delivery order N00019-18-F-0517 against a previously issued basic ordering agreement (N00019-15-G-0026) for the non-recurring engineering necessary to incorporate the E-2D Link-16 Crypto Modernization and Frequency Remapping capability by integrating the Multifunctional Information Distribution System Joint Tactical Radio System Concurrent Multi Netting 4 terminal and a low volume Link-16 High Power Amplifier into the E‑2D Advanced Hawkeye aircraft. Work will be performed in Melbourne, Florida (89 percent); Woodland Hills, California (6 percent); Patuxent River, Maryland (3 percent); and St. Augustine. Florida (2 percent), and is expected to be completed in December 2020. Fiscal 2018 research, development, test and evaluation (Navy) funds in the amount of $4,544,967 are being obligated on this 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. Hydroid Inc., Pocasset, Massachusetts, is awarded a $12,816,907 firm-fixed-price, cost-plus-fixed-fee, cost requirements contract for the production of the bathymetry mapping system sensor suite as well as required technical support, post mission analysis tools, software licensing and spares. This contract includes options which, if exercised, would bring the cumulative value to $33,631,584. Work will be performed in Horten, Norway (85 percent); and Pocasset, Massachusetts (15 percent), and is expected to be completed by September 2019. Fiscal 2017 and 2018 other procurement (Navy) funding in the amount of $8,001,973 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was not competitively procured in accordance with 10 U.S. Code 2304 (c)(1), this contract was not competitively procured (only one responsible source and no other supplies or services will satisfy agency requirements). The Naval Surface Warfare Center, Panama City Division, Florida, is the contracting activity (N61331-18-D-0015). Bell-Boeing Joint Project Office, Amarillo, Texas, is awarded $10,810,033 for cost-plus-fixed-fee modification P00019 to a previously issued delivery order 0096 placed against basic ordering agreement N00019-12-G-0006 to procure 12 additional MV-22 Integrated Aircraft Survivability Equipment (IASE) retrofit A-Kits Block C; 12 MV-22 IASE retrofit kit installations; IASE configuration B retrofit A and B-Kit installation; and five CV-22 IASE advanced mission computer A-Kits. Work will be performed at Ridley Park, Pennsylvania (81.9 percent); Fort Walton Beach, Florida (17.7 percent); and Fort Worth, Texas (.4 percent), and is expected to be completed in August 2020. Fiscal 2018 aircraft procurement (Navy and Air Force) funds in the amount of $10,810,033 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This modification combines purchases for the Navy ($9,577,130; 88 percent); and Air Force ($1,232,903; 12 percent). The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. Raytheon Co., Intelligence, Information, Services, Sterling, Virginia, is awarded $10,688,510 for modification P00018 to a previously awarded cost-plus-fixed-fee, cost-plus-incentive-fee, firm-fixed-price contract (N00019-16-C-0027) to procure MQ-8 Fire Scout unmanned air system, tactical control system 2016 Linux cyber baseline implementation of build 9 software release. Work will be performed in Dulles, Virginia, and is expected to be completed in November 2019. Fiscal 2016 and 2017 aircraft procurement; and fiscal 2018 research, development, test and evaluation (Navy) funds in the amount of $2,905,071 will be obligated at time of award, $629,350 of which will expire at the end of the fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. L3 - Interstate Electronics Corp. (IEC), Anaheim, California, is awarded $10,159,587 for modification P00008 to a previously awarded cost-plus-fixed-fee, cost-plus-incentive-fee contract (N00030-18-C-0001) for flight test instrumentation engineering services and support. The work will be performed in Anaheim, California (56 percent); Cape Canaveral, Florida (27 percent); Washington, District of Columbia (4 percent); Kings Bay, Georgia (3 percent); Norfolk, Virginia (3 percent); Bremerton, Washington (2 percent); Laurel, Maryland (2 percent); Silverdale, Washington (2 percent); and Barrow-in-Furness, United Kingdom (1 percent), with an expected completion date of Sept. 30, 2019. Subject to the availability of funding, fiscal 2019 operations and maintenance (Navy) funds in the amount of $9,217,123; and United Kingdom funds in the amount of $942,464 will be obligated on this award. Funds in the amount of $9,217,123 will expire at the end of fiscal 2019. Strategic Systems Programs, Washington, District of Columbia, is the contracting activity. iRobot Defense Holding's Inc., Chelmsford, Massachusetts, is awarded a $10,134,415 firm-fixed-price, cost-plus-fixed-fee modification to previously awarded contract N00174-15-D-0001 to exercise an option for production units, spares, consumables, engineering enhancements, and configuration management services under the Man Transportable Robotic System MK1 Robotic Systems program. The work will be performed in Chelmsford, Massachusetts, and is expected to be completed by September 2019. No contract funds are being obligated at this time. The Naval Surface Warfare Center Indian Head Explosive Ordnance Disposal Technology Division, Indian Head, Maryland, is the contracting activity. Opportunities and Resources Inc., Wahiawa, Hawaii, is awarded a $9,631,719 firm-fixed-price modification under a previously awarded indefinite-delivery/indefinite-quantity contract (N62478-16-D-2452) to exercise option two for custodial services at various locations on Oahu. The work to be performed provides for custodial services to ensure facilities are clean and sightly. The work includes, but is not limited to, emptying waste containers, low area cleaning, high area cleaning, interior and exterior window cleaning, floor care, restroom cleaning services, and building perimeter services for approximately 545 buildings. After award of this option the total cumulative contract value will be $29,868,389. Work will be performed in Oahu, Hawaii, and this option period is from October 2018 to September 2019. No funds will be obligated at time of award. Fiscal 2019 operations and maintenance (Navy) contract funds in the amount of $9,092,945 for recurring work will be obligated on individual task orders during the option period. The Naval Facilities Engineering Command, Hawaii, Joint Base Pearl-Harbor-Hickam, Hawaii, is the contracting activity. Provengo LLC,* Merrick, New York, is awarded a maximum ceiling $9,085,675 five-year, firm-fixed-price, indefinite-delivery/indefinite-quantity contract for the purchase of up to a maximum 8,005 Military Ski Systems (MSS). The MSS will replace the current ski in the Marine Corps inventory and will provide the Marine Corps with a universal ski binding. Work will be performed in Merrick, New York, and is expected to be complete by September 2023. Fiscal 2018 operations and maintenance (Marine Corps) funds in the amount of $1,708,175 will be obligated on the first delivery order immediately following contract award and funds will expire the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with four offers received. The Marine Corps Systems Command, Quantico, Virginia, is the contracting activity (M67854-18-D-1402). Tuva LLC,* Herndon, Virginia, is awarded an $8,999,621 firm-fixed-price contract for the purchase of 100 Mobile Training Suites (MTS) in support of Global Combat Support System-Marine Corps (GCSS-MC). The kits are a combination of equipment, software, databases, documentation, and procedures; and, will be used in the training of GCSS-MC users and key personnel in locations where network connectivity to the enterprise training environment is not available. Work will be performed in Herndon, Virginia, and is expected to be complete by Sept. 27, 2019. Fiscal 2018 operations and maintenance (Marine Corps) funds in the amount of $8,999,621 will be obligated at the time of award and funds will expire the end of the current fiscal year. This contract is awarded in accordance with Federal Acquisition Regulation subpart 19.8 and section 8(a) of the Small Business Act, 15 U.S. Code 637(a) as an Alaska Native Corporation. The Marine Corps Systems Command, Quantico, Virginia, is the contracting activity (M67854-18-C-7618). Saab Defense and Security USA LLC, East Syracuse, New York, is awarded an $8,184,781 firm-fixed-price contract for research and development of an X-Band Active Aperture Array radar prototype in support of the Office of Naval Research and the Office of the Secretary of Defense Foreign Comparative Testing Program. Work will be performed in Gothenburg, Sweden (80 percent); and East Syracuse, New York (20 percent), and is expected to be completed in June 2020. Fiscal 2017 and 2018 research, development, test and evaluation (Navy and Defense) funds in the amount of $8,184,781 will be obligated at time of award, $1,000,000 of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to Federal Acquisition Regulation 6.302. The Naval Air Warfare Center Aircraft Division, Lakehurst, New Jersey, is the contracting activity (N68335-18-C-0693). General Dynamics Ordnance and Tactical Systems, Bothell, Washington, is awarded a $7,858,577 firm-fixed-priced, indefinite-delivery/indefinite-quantity contract for the purchase of gas generators for use in the suppression system onboard the F/A 18E/F aircrafts to protect the dry bays under the fuel tanks. This contract includes a three-year base period with no options. Work will be performed in Moses Lake, Washington, and is expected to be completed by September 2021. This effort combines purchases with procurement and ammunition (Navy and Marine Corps) funds (59.3 percent); Australian funds (23.5 percent); and Kuwait funds (17.2 percent) under the Foreign Military Sales program. Funds will in the amount of $2,266,086 will be obligated at time of award to fund the first delivery order, and funds will not expire at the end of the current fiscal year. One source was solicited for this non-competitive requirement pursuant to the authority set forth in 10 U.S. Code 2304 (c)(1), with one offer received. Naval Sup

F-35A Aircraft Now Below $90 Million FORT WORTH, Texas, Sept. 28, 2018 /PRNewswire/ -- The U.S. Department of Defense and Lockheed Martin (NYSE: LMT) have finalized an $11.5 billion contract for the production and delivery of 141 F-35 aircraft at the lowest per aircraft price in program history. For the eleventh consecutive year, the cost of an F-35A was lowered. The F-35A unit price including aircraft, engine and fee, is $89.2 million. This represents a 5.4 percent reduction from the $94.3 million it cost for an F-35A in Low-Rate Initial Production Lot 10 (LRIP 10). In LRIP 11, the F-35B unit cost was lowered to $115.5 million. This represents a 5.7 percent reduction from the $122.4 million it cost for the short-takeoff and landing variant in LRIP 10. The F-35C unit cost was lowered to $107.7 million. This represents an 11.1 percent reduction from the $121.2 million it cost for the carrier variant in LRIP 10. The LRIP 11 agreement funds 91 aircraft for the U.S. Services, 28 for F-35 International Partners and 22 for F-35 Foreign Military Sales customers. Deliveries will begin in 2019. "Driving down cost is critical to the success of this program," said Vice Admiral Mat Winter, F-35 Program Executive Officer. "We are delivering on our commitment to get the best price for taxpayers and warfighters. "This agreement for the next lot of F-35s represents a fair deal for the U.S. Government, our international partnership and industry. We remain focused on aggressively reducing F-35 cost and delivering best value." With stealth technology, supersonic speed, powerful sensors, large weapons capacity and global deployment, the F-35 is the most advanced fighter aircraft ever built, enabling women and men in uniform to execute their mission and return home safely. More than a fighter jet, the F-35's ability to collect, analyze and share data, is a powerful force multiplier that enhances all airborne, surface and ground-based assets in the battlespace. "This agreement marks a significant step forward for the F-35 program as we continue to increase production, reduce costs and deliver transformational capabilities to our men and women in uniform," said Greg Ulmer, F-35 Vice President and General Manager. "As production ramps up, and we implement additional cost savings initiatives, we are on track to reduce the cost of the F-35A to $80 million by 2020, which is equal to or less than legacy aircraft, while providing a major leap in capability." Program Progress The latest contract is a demonstration of the program's progress and maturity, as industry and the government now set their sights on future acquisition approaches for the next three production lots to further reduce costs. With more than 320 aircraft operating from 15 bases around the globe – the F-35 is playing a critical role in today's global security environment. More than 680 pilots and 6,200 maintainers have been trained and the F-35 fleet has surpassed more than 155,000 cumulative flight hours. The F-35 weapons system reliability continues to improve through a combination of hardware and software improvements. In addition to advanced capability, the F-35 provides economic stability to the U.S. and Allied nations by creating jobs, commerce and security, and contributing to the global trade balance. The F-35 is built by thousands of men and women in America and around the world. With more than 1,500 suppliers in 46 states and Puerto Rico, the F-35 program supports more than 194,000 direct and indirect jobs in the U.S. alone. The program also includes more than 100 international suppliers, creating or sustaining thousands of international jobs. About Lockheed Martin Headquartered in Bethesda, Maryland, Lockheed Martin is a global security and aerospace company that employs approximately 100,000 people worldwide and is principally engaged in the research, design, development, manufacture, integration and sustainment of advanced technology systems, products and services. This year the company received three Edison Awards for ground-breaking innovations in autonomy, satellite technology and directed energy. SOURCE Lockheed Martin Aeronautics Company https://news.lockheedmartin.com/2018-09-28-Pentagon-and-Lockheed-Martin-Agree-To-Reduced-F-35-Price-in-New-Production-Contract

By: Daniel Cebul WASHINGTON — The U.S. Air Force has awarded CAE USA a contract to provide training services for C-130H aircrew, according to a Sept. 26 service announcement. The potential eight-year contract is valued at nearly $200 million and will begin Oct. 1. It comes with a one-year base period and seven additional option years. The company was a subcontractor on the training program for almost 20 years. “[W]inning the C-130 Aircrew Training System program to support the United States Air Force is a significant achievement and further testament to CAE's experience as the world's leading provider of training systems and services for the enduring C-130 Hercules aircraft,” said Ray Duquette, the general manager and president of CAE USA. Replacing Lockheed Martin as the prime contractor, CAE will be responsible for providing classroom and simulator instruction, training device modifications and upgrades, systems engineering support, program management, contract logistics support, and management of the C-130H Training Systems Support Center at Little Rock Air Force Base, Arkansas. The formal training unit for the Air Force, Marine Corps and Coast Guard C-130H training is based at Little Rock AFB, but is also provided at Dobbins Air Reserve Base, Georgia; Joint Base Lewis-McChord, Washington; Minneapolis Air National Guard Base, Minnesota; and Cannon Air Force Base, New Mexico. Each year, more than 11,000 crew members from the U.S. Air Force, other U.S. military services and over 30 other countries are trained under the C-130H ATS program. https://www.defensenews.com/training-sim/2018/09/26/a-c-130h-training-subcontractor-has-replaced-lockheed-martin-as-prime-for-air-force-contract

By COLIN CLARK The head of Strategic Command must be very happy this evening, having learned that the Air Force is finally buying a new helicopter to guard America's ICBM fields. The Boeing-Leonardo team won the contract to supply 84 helicopters. WASHINGTON: The head of Strategic Command must be very happy this evening, having learned that the Air Force is finally buying a new helicopter to guard America's ICBM fields. The Boeing-Leonardo team won the contract to supply 84 helicopters. UPDATE BEGINS “The award of this contract is great news; today is a good day,” Gen. John Hyten, commander of U.S. Strategic Command said in a statement. “I've been vocal about the need to quickly replace the UH-1N, which is an important part of our multi-layered ICBM defense system. Awarding this contract is a huge step in the right direction in ensuring our Nation's nuclear deterrent remains safe, secure, effective, and ready. I'm grateful to the Air Force and Congress for prioritizing the UH-1N replacement.” UPDATE ENDS Here's how strongly Hyten felt: “Of all the things in my portfolio, I can't even describe how upset I get about the helicopter replacement program,” he told the Senate Armed Services Committee in April 2017. “It's a helicopter, for gosh sakes. We ought to be able to go out and buy a helicopter and put it in the hands of the people that need it. And we should be able to do that quickly.” The helicopters will execute a range of missions, including moving security crews in the event of threats to our nation's ICBM fields, escorting convoys moving nuclear weapons, flying senior government officials out of the capital in the event of an emergency and providing support to the US Embassy in Japan. The Air Force, clearly happy to be putting this tortured acquisition behind them, quoted Air Force Secretary Heather Wilson claiming the deal saved taxpayers $1.7 billion over the service's original estimate of $4.1 billion, thanks to “strong competition.” When Boeing, the prime on the program, showed the helicopter off to reporters last year executives stressed it would save the US taxpayer $1 billion. Lockheed Martin also bid for the program, offering its HH-60U. This evening's contract award of $375 million is for the first four helicopters and includes the integration of non-developmental items. The fixed price contract pays for up to “84 MH-139 helicopters, training devices, and associated support equipment.” The MH-139 has five rotor blades, which, with their tapered ends, significantly reduce the amount of vibration. The helicopter was also noticeably quieter than most of its conventional military competitors. We flew up to 150 knots and it felt as smooth as a large Mercedes sedan on the highway. The helicopters, based on Leonardo's commercial AW139 helicopter, will be assembled by the Italian company at its northeast Philadelphia plant. Boeing will integrate military components at its facility south of Philly. https://breakingdefense.com/2018/09/boeing-leonardo-team-scoops-up-2-38b-uh-1n-replacement-deal/

Michael Sheetz | @thesheetztweetz Blue Origin has won a contract to supply its next-generation engines for the massive rocket United Launch Alliance is developing, a person familiar with the negotiations told CNBC ULA – a joint venture of Boeing and Lockheed Martin – will announce the deal on Thursday, the person said. The companies confirmed CNBC's reporting in a press release Thursday afternoon Blue Origin, the space company founded by Jeff Bezos, has won a contract to supply its next-generation engines for the massive rocket United Launch Alliance is developing, a person familiar with the negotiations told CNBC. The company's BE-4 engine, the thunderous staple of Blue Origin's propulsion business, will power ULA's Vulcan rocket: a new heavy lift vehicle being built to compete with SpaceX for lucrative commercial and military contracts. ULA, a joint venture of Boeingand Lockheed Martin created in 2006, will announce the deal on Thursday, the person said. ULA confirmed CNBC's reporting in a press release Thursday afternoon. "We are pleased to enter into this partnership with Blue Origin and look forward to a successful first flight of our next-generation launch vehicle," ULA CEO said in a statement Thursday afternoon. Bezos is investing heavily in Blue Origin, pouring about $1 billion of his Amazon stock into the rocket venture each year. In a speech Sept. 19, Bezos said he plans to invest another $1 billion next year into the company's New Glenn rocket, which BE-4 will power. The engines of a rocket represent the majority of the cost, so the contract may be worth several billion dollars to Blue Origin. The Wall Street Journal first reported the contract win by the company. Blue Origin has long been the front-runner in a race against Aerojet Rocketdyne, which has been developing its AR1 engine. While AR1 was still technically in the running until now, Bruno had said he would prefer BE-4 for Vulcan, with AR1 potentially becoming a backup. Aerojet was behind in the development, while Blue Origin had already completed multiple tests, firing the BE-4 engine for long durations. Aerojet has not completely lost, even if AR1 ends up with no part in Vulcan. ULA announced in May it picked the Aerojet's smaller RL10 engine to power the upper-stage of Vulcan — the part of the rocket that places spacecraft into their intended orbits after a launch. ULA currently uses the RL10 for its Atlas V and Delta IV rockets. All eyes on the Air Force The deal also represents a key first step toward Blue Origin winning lucrative military contracts. The Pentagon is working to ensure that all the rockets it buys are built entirely in the U.S., making Blue Origin a potential propulsion supplier for several companies. Congress has set a deadline of 2022 for phasing out Russian-built rocket engine, which currently power ULA's Atlas V rocket. Vulcan's development began once the Pentagon started pushing to end reliance on Russian engines. The competition to launch U.S. military equipment is stiff. SpaceX is grabbing more and more share of the market from ULA — which was the sole provider of U.S. military launches for nearly a decade. Northrop Grumman may also get a foothold through its recent acquisition of Orbital ATK. Jefferies said on April 23 that the company's OmegA rocket "is starting at a high level of technology readiness given its leverage of current components." The next big milestone in the rocket business is an Air Force award expected later this year, with about $1.2 billion up for grabs over the next five years. Known as the Launch Services Agreement, the Air Force is looking to narrow the field of ULA, SpaceX, Northrop Grumman and Blue Origin. Each company won an initial development award in 2016, with the next step to narrow the field to three companies for the development of system prototype. "We have been working closely with the U.S. Air Force, and our certification plan is in place," Bruno said in his statement. The military is then anticipated to make a final decision in 2020, picking two suppliers to compete for 28 missions over five years. Blue Origin becoming a major player Morgan Stanley told clients earlier this month "to take notice" of Bezos investments in the space industry through Blue Origin, pointing to him as a "force" bringing financial muscle. "We believe investors may want to pay far more attention to another emerging force for the advancement of efforts in Space that has both the will and, increasingly, the financial muscle to put to work," Morgan Stanley analyst Adam Jonas said in a note. Morgan Stanley estimated that Bezos' Amazon shares are worth about $160 billion — "equal to around 16 years worth of NASA expenditures on Space exploration," the firm said. Morgan Stanley advised its clients to take note of that comparison as Bezos' wealth continues to grow. Blue Origin has "invested about $1 billion in the Space Coast," Bezos said in his recent speech, with funds going to the company's manufacturing facility and Launch Complex 36, which Blue Origin leased at the Cape Canaveral Air Force Station in Florida. Blue Origin has spent "over seven years developing this engine to make it reusable," CEO Bob Smith told CNBC on April 18. At the time, Smith said the company was "excited about the commercial opportunities" that BE-4 will provide. "United Launch Alliance is the premier launch service provider for national security missions, and we're thrilled to be part of their team and that mission," Smith said in a statement Thursday. Smith has also said before that the engine was "certainly demonstrating all the technical characteristics" that ULA needs for Vulcan – but Blue Origin expects to be able to sell BE-4 to other rocket companies, too. "We're going to offer it to whoever else will come out and say they need a new engine," Smith said at the time. Reusability remains the emphasis of Blue Origin, which already has launched and landed its smaller New Shepard rocket multiple times. Each BE-4 engine is designed to complete "100 full missions," Smith said in April. Reusability provides tremendous cost savings of 50 to 75 percent, Smith said — a claim made more believable by SpaceX's massive Falcon Heavy rocket coming with a price tag of just $150 million, at most. The first launches of New Glenn and Vulcan are not expected before 2020, the companies have said. Vulcan and New Glenn are expected to compete with Falcon Heavy on cost and power – but SpaceX remains undaunted. New Glenn will be a monstrous vehicle, standing as high as 313 feet, with seven BE-4 engines powering each rocket. The Vulcan rocket is 191 feet and capable of launching a more than 7 tons of payload into orbit. Falcon Heavy, on other hand, stands 230 feet tall and, after its launch in February, is the world's most powerful rocket since NASA's Saturn V. The space race is on After Falcon Heavy launched successfully, SpaceX CEO Elon Musk told reporters he thinks the historic flight will "encourage other companies and countries" to be ambitious in the same way as SpaceX. Musk's company helped the United States reclaim not just a portion but a majority in the global launch market in 2017 and represented more than 60 percent of U.S. launches while doing so. Bezos has said Blue Origin is "the most important work" he's doing. He also has said there should be "a permanent human settlement on one of the poles of the moon" and thinks it's not just time for humans to return to the moon, it's "time to stay." While SpaceX may be out to an earlier lead in the development of next-generation rockets, Blue Origin solidified itself as a true competitor with this BE-4 contract — one that may help ULA keep its competitive edge. https://www.cnbc.com/2018/09/27/blue-origin-lands-major-rocket-engine-deal-with-ula-source.html