News

DEFENSE LOGISTICS AGENCY Intuitive Surgical Inc., Sunnyvale, California, has been awarded a maximum $420,000,000 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for surgical robots, instruments and their related accessories. This is a five-year contract with no option periods. This was a competitive acquisition with 105 responses received. Location of performance is California, with a May 5, 2025, performance completion date. Using customers are Army, Navy, Air Force, Marine Corps and federal civilian agencies. Type of appropriation is fiscal 2020 through 2025 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE2D1-20-D-0006). Hartford Provision Co., doing business as HPC Foodservice, South Windsor, Connecticut, has been awarded a maximum $49,473,750 fixed-price with economic-price-adjustment, indefinite-quantity contract for full-line food distribution. This was a competitive acquisition with one response received. This is a four-year contract with no option periods. Locations of performance are Massachusetts, Rhode Island and Connecticut, with a May 6, 2024, performance completion date. Using customers are Air Force, Army, Marine Corps, Navy and federal civilian agencies. Type of appropriation is fiscal 2020 through 2024 defense working capital funds. The contracting agency is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE300-20-D-3271). The Will-Burt Co., Orrville, Ohio, has been awarded a maximum $43,186,213 fixed-price long term contract for masts. This was a competitive acquisition with one offer received. This is a five-year contract with no option periods. Location of performance is Ohio, with a May 5, 2025, performance completion date. Using military services are Army, Navy, Air Force and Marine Corps. Type of appropriation is fiscal 2020 through 2025 defense working capital funds. The contracting activity is the Defense Logistics Agency Land and Maritime, Columbus, Ohio (SPE7MX-20-D-0078). CORRECTION: The contract announced on April 29, 2020, for Raytheon Co., Andover, Massachusetts (SPRRA2-20-C-0023), for $13,688,190 was announced with an incorrect award date. The correct award date is May 4, 2020. NAVY Huntington Ingalls Industries Inc., Newport News, Virginia, is awarded an $187,126,853 modification to previously awarded contract N00024-18-C-2106 to prepare and make ready for the refueling complex overhaul (RCOH) of USS John C. Stennis (CVN 74). Work will be performed in Newport News, Virginia (65%); and Norfolk, Virginia (35%). This modification will extend the period of performance for continued advance planning efforts including material forecasting, long lead time material procurement, purchase order development, technical document and drawing development, scheduling, resource forecasting and planning, development of cost estimates for work to be accomplished, data acquisition, pre-overhaul tests and inspections, pre-overhaul preparations, refueling preparations and other technical studies as required to prepare and make ready for the CVN 74 RCOH accomplishment. Work is expected to complete by January 2021. This modification constitutes the award of an existing option for an additional six months of effort. The original contract and this modification will be accomplished by Huntington Ingalls Industries Inc., Newport News, Virginia, under the authority of 10 U.S. Code 2304(c)(1). Huntington Ingalls Industries Inc. is the original building yard contractor for all ships of the CVN-68 class, the reactor plant planning yard, the lead design refueling yard and the only private shipyard capable of refueling and overhauling nuclear powered aircraft carriers. Therefore, it is the only source with the knowledge, experience and facilities required to accomplish this effort in support of the CVN 74 RCOH. Fiscal 2020 shipbuilding and conversion (Navy) funding in the amount of $187,126,853 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, D.C., is the contracting activity. The Boeing Co., Seattle, Washington, is awarded a $29,059,944 modification (P00172) to previously awarded firm-fixed-price contract N00019-14-C-0067 for the production and delivery of 10 P-8A A-kits, 10 turret deployment units and eight mechanism units in support of Lot 10 P-8A production aircraft. Work will be performed in Seattle, Washington (91%); and Mesa, Arizona (9%), and is expected to be complete by January 2024. Fiscal 2019 aircraft procurement (Navy) funds in the amount of $29,059,944 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. W.M. Jordan Co. Inc., Newport News, Virginia, is awarded $26,929,000 for firm-fixed-price task order N40085-20-F-5271, under a multiple award construction contract for the design-build repair and renovation of Bachelor Enlisted Quarters Building (BEQB) 3609, Joint Expeditionary Base, Little Creek-Fort Story, Virginia. Work will be performed in Virginia Beach, Virginia. The work will provide for the design and construction renovation of BEQB 3609 to meet current quality standards and facility criteria for unaccompanied housing for the Navy. The site and building will be modified to meet anti-terrorism force protection requirements. Major building systems such as plumbing, heating, ventilation, and air condition, electrical and fire protection will be replaced with new systems. Work is expected to be complete by October 2022. Fiscal 2020 operations and maintenance (Navy) contract funds in the amount of $26,929,000 are obligated on this award and will expire at the end of the current fiscal year. Three proposals were received for this task order. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Virginia, is the contracting activity (N40085-19-D-9089). L3 Adaptive Methods Inc., Centreville, Virginia, is awarded a $12,719,770 cost-plus-fixed-fee and cost contract for engineering services and capability development in support of the Undersea Warfare and Surface Warfare systems. Work will be performed in Keyport, Washington (30%); Centreville, Virginia (25%); Rockville, Maryland (15%); Manassas, Virginia (10%); Herndon, Virginia (5%); Dahlgren, Virginia (5%); Newport, Rhode Island (5%); Austin, Texas (1%); Moorestown, New Jersey (1%); Honolulu, Hawaii (1%); Fairfax, Virginia (1%); and Laurel, Maryland (1%), and is expected to be complete by April 2021. If all options are exercised, work will continue through April 2025. This contract includes options which, if exercised, would bring the cumulative value of this contract to $69,458,660. This contract combines purchases for the Navy (98%) and the government of Japan (2%) under the Foreign Military Sales (FMS) program. Fiscal 2020 research, development, test and evaluation (Navy); 2020 operations and maintenance (Navy); 2020 shipbuilding and conversion (Navy); and FMS Japan funding in the amount of $6,142,292 will be obligated at time of award. Funding in the amount of $1,191,829 will expire at the end of the current fiscal year. This contract was not competitively procured in accordance with Section 1709 of the 2018 National Defense Authorization Act that modifies 15 U.S. Code 638(r), this Small Business Innovative Research Phase (SBIR) III contract is being awarded to L3 Adaptive Methods Inc., which is the same firm that was competitively selected for the SBIR Phase I and II awards. The Naval Sea Systems Command, Washington, D.C., is the contracting activity (N00024-20-C-5211). The Boeing Co., Seattle, Washington, is awarded a $7,039,596 cost-plus-fixed-fee order (N00019-20-F-0647) against previously issued basic ordering agreement N00019-16-G-0001. This order procures non-recurring engineering for the design, fabrication and correction of deficiencies required for the delivery and installation of retrofit kits for Navy P-8A aircraft with Increment 3 Engineering Change Proposal (ECP) 6 capabilities. Work will be performed in Puget Sound, Washington. The P-8A ECP 6 provides a significant modification to the baseline aircraft, installing new airframe racks, radomes, antennas, sensors and wiring, while incorporating a new combat system suite with an improved computer processing and security architecture capability at the higher than secret level, a wide band satellite communication system, an anti-submarine warfare signal intelligence capability, a minotaur track management system and additional communications and acoustics systems to enhance search, detection and targeting capabilities. Work is expected to be complete by May 2021. Fiscal 2020 aircraft procurement (Navy) funds in the amount of $7,039,596 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. ARMY Stantec Consulting Services Inc., Lexington, Kentucky, was awarded a $45,000,000 firm-fixed-price contract for U.S. Army Corps of Engineers Dam Safety Modification Mandatory Center of Expertise, national dam and levee safety, and geotechnical services. Bids were solicited via the internet with two received. Work locations and funding will be determined with each order, with an estimated completion date of May 5, 2025. U.S. Army Corps of Engineers, Huntington, West Virginia, is the contracting activity (W91237-20-D-0010). Thomas Instrument Inc.,* Brookshire, Texas, was awarded an $8,788,301 firm-fixed-price contract for maintenance and overhaul of UH-60 Blackhawk helicopters. Bids were solicited via the internet with five received. Work locations and funding will be determined with each order, with an estimated completion date of May 6, 2025. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity (W58RGZ-20-F-0368). AIR FORCE Space Exploration Technologies Corp., Hawthorne, California, has been awarded an $8,904,146 firm-fixed-price modification (P00007) to contract FA8811-19-C-0004 for non-National Security Space (NSS) Fleet surveillance. This contract provides for non-NSS Fleet surveillance efforts across the Space Exploration family of launch vehicles for non-NSS missions. The location of performance is Hawthorne, California; Vandenberg, California; and Cape Canaveral Air Force Space Station, Florida. The work is expected to be completed by Nov. 8, 2020. Fiscal 2019 missile procurement funds in the amount of $2,226,037; and fiscal 2019 space procurement funds in the amount of $6,678,110 will be obligated at the time of award. Space and Missile Systems Center, Los Angeles Air Force Base, California, is the contracting activity (FA8811-19-C-0004). AT&T Government Solutions Inc., Oakton, Virginia; and El Segundo, California, has been awarded a $8,449,798 modification (P00047) to contract FA8819-15-F-0005 for continued mission support services to the Space Force, Air Force Space and Missile Systems Center, Special Programs Directorate. Work will be performed at Los Angeles Air Force Base, California; and Colorado Springs, Colorado, and is expected to be completed by Jan. 31, 2021. Fiscal 2020 research, development, test and evaluation funds in the amount of $1,976,668; fiscal 2020 operations and maintenance funds in the amount of $453,295; and fiscal 2019 Space production funds in the amount of $76,500 are being obligated at the time of award. Total cumulative face value of the contract is $54,074,819. The Air Force Space and Missile Systems Center, Los Angeles Air Force Base, California, is the contracting activity. *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2178741/source/GovDelivery/

Industry, government, and academia established consensus in several areas regarding NORAD, Overland and Maritime ISR capabilities. There is room in the present for intermediate technological solutions and for adapting existing equipment for near-term impact. While it has been agreed that the technological solutions required to meet future challenges do exist, it is unclear how to best address the security, organizational, and financial implications that come with proposed technical solutions. There are still many unanswered questions regarding continental defense, however individuals from various backgrounds have come together and can continue doing so to determine a path forward. Looking ahead, this document should serve as a basis of insight and discussion that can be elaborated upon for future force development exchange events. This event successfully helped bridge the gap between industry and DND and illustrated what the RCAF and CFD are doing in preparing for a radically different approach to NORAD and the defence of North America. Establishing academic, government, and industry consensus on several key points has been an important first step, constructive collaboration like this will allow more creative visioning for solutions going forward, hopefully with eventual implementation by DND/CAF. Brainstorming how to overcome security, organizational, and financial constraints on implementing technical solutions will be a key area to explore as this discussion progresses.

Françoise Dumas, présidente de la commission de la défense de l'Assemblée nationale, souligne, dans une tribune au Figaro, que l'industrie française de la défense constitue un outil précieux pour relancer l'économie française. «Un plan de relance à la hauteur des enjeux doit (...) surtout donner un stimulus immédiat à notre économie. Voilà qui plaide pour un focus très puissant en faveur de la défense et, par extension, de l'aéronautique et de l'espace, qui lui sont intrinsèquement liés», déclare notamment Mme Dumas. «L'industrie de défense, l'aéronautique et l'espace sont les grands points forts de la France dans la concurrence internationale. Il faut défendre nos atouts existants, en reprenant le travail lorsque toutes les précautions sanitaires seront réunies et, d'autre part, en préservant nos industries stratégiques de la récession qui frappe le reste de notre économie», poursuit-elle, mettant en garde contre d'éventuelles «coupes budgétaires destructrices dans l'exécution ou dans l'actualisation de la loi de programmation militaire» votée pour les années 2019 à 2025. «Investir dans la défense, c'est ainsi créer des emplois, de la valeur ajoutée et de l'innovation technologique dès à présent ; c'est relancer tout de suite, et non pas plusieurs années plus tard. Ne nous privons pas d'un vecteur de relance plus réactif que les autres», conclut Mme Dumas. Le Figaro du 6 mai

«Il revient aux États de définir les mécanismes de protection des entreprises stratégiques de défense face à des investissements de fonds réputés agressifs», a souligné mardi Éric Trappier, président du GIFAS et PDG de Dassault Aviation. «Aux États-Unis, lorsque des fonds étrangers veulent entrer au capital d'une entreprise américaine ou en prendre le contrôle, le projet est étudié par le CFIUS (Comité sur les Investissements Etrangers aux États-Unis) qui vérifie que cet investissement ne menace pas les intérêts stratégiques américains», a-t-il expliqué. «L'Europe pourrait se doter d'un tel outil. Pour cela, il faut regarder les aspects juridiques, les règles de concurrence car nos entreprises travaillent sur des marchés ouverts, et «détourer» ce qu'est une entreprise stratégique». Jean-Charles Larsonneur, député LREM spécialiste du sujet, interrogé par Le Figaro, met également en garde contre les risques de rachat d'entreprises stratégiques françaises, notamment de la part de la Chine et des Etats-Unis. «On parle de résilience et de souveraineté, alors il faudrait que l'Europe investisse dans sa défense», conseille-t-il. Le Figaro du 6 mai

By: Aaron Mehta WASHINGTON — If the Pentagon faces tighter budgets in the coming years, departmental planners should look to cut legacy programs first in order to preserve funding for modernization requirements, Defense Secretary Mark Esper told reporters Tuesday. “Frankly, my inclination is not to risk any in the modernization programs; it's to go back and pull out more of the legacy programs,” Esper said in response to a question about what modernization priorities, such as shipbuilding, might be on the table. “We need to move away from legacy [programs] and we need to invest those dollars into the future. We have a lot of legacy programs out there right now. I could pick dozens out from all branches of the services. So that is where I would start,” he continued. “What that would mean is probably accepting some near-term risk, but I think that is something [that has to happen], given the trajectory that we see China is on, and we know where Russia may be going in the coming years. So that is one place where I would begin, but we're going to be working through this course of action.” The secretary also emphasized that he's not going to “risk the strategic deterrent,” reiterating that modernizing America's nuclear capabilities remains the department's top priority. Budgets were already expected to be flat or decline slightly in the coming years before the coronavirus pandemic, which has required the U.S. government to pump trillions of dollars into the economy. Esper said that “tremendous load” is something the department must consider as it plots a budget strategy for fiscal 2022 and beyond. His comments match what the secretary said Monday during an appearance at the Brookings Institution, where he said the spending spree in response to the spread of COVID-19 means the department's ongoing efforts to find internal efficiencies must continue to bear fruit. The department claimed savings of $6.5 billion in FY19 through process reforms and the sale of obsolete equipment, with another $5.7 billion in spending reallocated from legacy programs to modernization priorities. During the Brookings event, Esper noted that the department will “likely need” extra money from Congress if a fourth coronavirus supplemental fund is worked out, in order to help cover costs for medical supplies procured by the Pentagon. At the start of his press event, the secretary used prepared remarks to note that top defense leaders will be appearing at the Senate Armed Services Committee tomorrow to discuss the Federal Communications Commission's decision to allow Ligado to operate in the L-band spectrum, a move long opposed by the department because of concerns it will negatively impact GPS. Esper said the decision “disregards the many objections of industry and the inner agency, grounded in years of hard data and science. Ultimately this will cause harmful interference to the GPS network, jeopardizing our nation's security, prosperity and way of life.” The secretary declined to comment on why the FCC moved ahead with the decision. C4ISRNET, a sister publication of Defense News, has reported the decision came amid political pressure from top Trump administration officials. https://www.defensenews.com/pentagon/2020/05/05/esper-flat-budget-could-speed-cutting-legacy-programs/

Andrew Eversden Two U.S. senators called on the Office of Management and Budget to ensure that federal regulation banning the government's use of Chinese telecommunications technology include “explicit processes” to help small businesses with compliance. In a May 4 letter sent to acting OMB Director Russ Vought, Sens. Marco Rubio, R-Fla., and Ben Cardin, D-Md., asked Vought to carefully consider to the needs of small businesses while the agency reviews a proposed rule. The senators' concern is in response to a proposed rule under review by OMB implementing Section 889(a)(1)(B) of the fiscal 2019 defense policy law — a provision that bans federal agencies from procuring or doing business with companies using “covered telecommunications equipment or services" in an effort to block Chinese tech companies like Huawei and ZTE from entering the U.S. government's supply chain. Rubio and Cardin are the top two senators on the Senate Committee on Small Business and Entrepreneurship. According to the letter, OMB is currently reviewing the draft proposed rule, statutorily required to be implemented Aug. 13. Because smaller companies don't have access to the same resources as larger suppliers, they may need “more assistance and time,” the senators wrote. The pair called the guidance for small businesses “vita,l” given that small businesses make up about one-quarter of federal procurement, worth $120 billion. “By providing these small firms with a clear path toward compliance and a reasonable time frame, we believe that the goal of securing the United States supply chain will be better achieved,” Rubio and Cardin wrote. Outside interest groups representing federal contractors have also pushed Congress to delay the implementation of Part B of Section 889. In a joint letter in late March, the National Defense Industrial Association and the Professional Services Council asked Congress to delay the Aug. 13 date to February 2021. They also cited the ongoing coronavirus pandemic as reason for a delay. “Part B will impose significant financial and operational costs on medium and small-sized firms at a moment of substantial uncertainty and hardship. While we agree that Part B addresses a significant problem in defense supply chains, and that additional measures are needed to protect [Department of Defense] information assets from covered equipment, COVID-19 has made the current implementation timeline infeasible,” the groups wrote. The United States government alleges that Huawei's 5G technology allows for Chinese government espionage and poses a threat to national security. Senior U.S. officials have traveled the globe, urging allies not to include Huawei's technology in their 5G networks. But the effort has been largely unsuccessful, particularly after the United Kingdom announced in January it would allow Huawei to build noncritical pieces of its 5G network. That decision was met with scorn by lawmakers on Capitol Hill. Still, Rubio and Cardin warned that OMB needs to produce the regulation cautiously and carefully. “We are concerned that if the regulatory implementation language fails to adequately consider small businesses, this process could not only result in an ineffective implementation of the prohibition, but also be both harmful and costly to thousands of small federal contractors,” they wrote. https://www.fifthdomain.com/congress/capitol-hill/2020/05/05/proposed-rule-banning-chinese-tech-needs-to-consider-small-contractors-senators-warn/

NAVY Raytheon Space and Airborne Systems, McKinney, Texas, is awarded $325,000,000 for a firm-fixed-price contract for the repair of the Advanced Targeting Forward Looking Infrared System used in support of the F/A-18 aircraft. Work will be performed in McKinney, Texas (59%); and Jacksonville, Florida (41%). Work is expected to be complete by May 2025. This is a five-year base period with no option periods. Annual working capital (Navy) funds in the amount of $54,507,477 will be obligated at time of award, and funds will not expire at the end of the current fiscal year. One company was solicited for this sole-sourced requirement under authority 10 U.S. Code 2304 (c)(1), and one offer was received. The Naval Supply Systems Command, Weapon Systems Support, Philadelphia, Pennsylvania, is the contracting activity (N00383-20-D-WC01). Flightline Electronics Inc., Victor, New York, is awarded an $18,588,079 firm-fixed-price indefinite-delivery/indefinite-quantity contract for the manufacture and delivery of 543 TTU-597/E engineering change proposal kits to address parts obsolescence and availability issues on the fuel control test set for Navy and Foreign Military Sales customers. Additionally, this contract provides logistics support documents to include technical manual updates, provisioning data and the interim support items list. Work will be performed in Victor, New York (60%); and Cheltenham, Gloucestershire, United Kingdom (40%), and is expected to be complete by May 2024. No funds will be obligated at the time of award. Funds will be obligated on individual orders as they are issued. This contract was not competitively procured pursuant to 10 U.S. Code 2304 (c)(1). The Naval Air Warfare Center, Aircraft Division, Lakehurst, New Jersey, is the contracting activity (N68335-20-D-0008). Bell Boeing Joint Project Office, Amarillo, Texas, is awarded a $10,178,059 modification (P00029) to a previously awarded, fixed-price-incentive-firm-target, cost-plus-fixed-fee contract (N00019-17-C-0015). This modification provides for additional repairs in support of the V-22 Common Configuration Readiness and Modernization program. Additionally, this modification provides non-recurring engineering for a drive tube engineering change proposal in support of V-22 (Osprey multirole combat aircraft) production. Work will be performed in Fort Worth, Texas (30%); Ridley Park, Pennsylvania (15%); Amarillo, Texas (13%); Red Oak, Texas (3%); East Aurora, New York (3%); Park City, Utah (2%); McKinney, Texas (1%); Endicott, New York (1%); various locations within the continental U.S. (28%); and various locations outside the continental U.S. (4%). Work is expected to be complete by September 2022. Fiscal 2018 aircraft procurement (Navy) funds in the amount of $4,804,019; fiscal 2019 aircraft procurement (Navy) funds in the amount of $5,119,758; fiscal 2020 operations and maintenance (Navy) funds in the amount of $240,500; and fiscal 2020 aircraft procurement (Navy) funds in the amount of $5,108 will be obligated at time of award, $5,044,519 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity. AIR FORCE StandardAero Inc., San Antonio, Texas, has been awarded a $237,395,588 firm-fixed-price, indefinite-delivery/indefinite-quantity contract action for the J85 engine repair. The contractor will provide maintenance, repair and overhaul repairs of the J85 engine. Work will be performed in San Antonio, Texas, and is expected to be completed by May 2028. This award is the result of a competitive acquisition in which one bid was received. Fiscal 2020 operations and maintenance funds in the amount of $10,135,844 is being obligated at the time of award. Air Force Life Cycle Management Center, Tinker Air Force Base, Oklahoma, is the contracting activity (FA8124-20-D-0005). L-3 Communications Integrated Systems, Greenville, Texas, has been awarded a not-to-exceed $76,000,028 cost-plus-fixed-fee, undefinitized contract modification (P00008) to contract FA8620-19-F-4872 for procurement of Group B materials, ground systems integration lab and subcontracts. Work will be performed in Greenville, Texas, and is expected to be completed by March 31, 2024. This contract involves 100% Foreign Military Sales and is the result of a sole-source acquisition. Foreign Military Sales funds in the amount of $37,240,021 are being obligated at the time of award. The 645th Aeronautical Systems Group, Wright-Patterson Air Force Base, Ohio, is the contracting activity. DMS Contracting Inc., Mascoutah, Illinois (FA4407-20-D-0001); C. Rallo Contracting Co. Inc., St. Louis, Missouri (FA4407-20-D-0002); Davinroy Mechanical Contractor Inc., Belleville, Illinois (FA4407-20-D-0003); Hank's Excavating & Landscaping Inc., Belleville, Illinois (FA4407-20-D-0004); J&B Builders Inc., St. Charles, Illinois (FA4407-20-D-0005); Mantle-Plocher JV, Worden, Illinois (FA4407-20-D-0006); Surmeier & Surmeier, Mascoutah, Illinois (FA4407-20-D-0007); and Pugsley Byrne JV LLC, Brighton, Illinois (FA4407-20-D-0008), have been awarded indefinite-delivery/indefinite-quantity contracts with a maximum estimated aggregate value of $45,000,000 under a multiple award task order contract. The awards are in support of the multiple award paving contract program to support the Scott Air Force Base construction program, including paving and civil categories. Work will be performed on Scott AFB, Illinois, and is expected to be completed May 4, 2021. These awards are the result of a competitive acquisition and nine offers were received. Fiscal 2020 operations and maintenance funds in the amount of $500 are being obligated to each contractor at the time of award. The 375th Contracting Squadron, Scott Air Force Base, Illinois, is the contracting activity. DEFENSE LOGISTICS AGENCY SupplyCore Inc.,* Rockford, Illinois, has been awarded a maximum $60,000,000 firm-fixed-price contract for facilities maintenance, repair and operations items. This was a sole-source acquisition using justification 10 U.S. Code 2304(c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is an 18-month bridge contract with no option periods. Locations of performance are Illinois and Alaska, with a Nov. 5, 2021, performance completion date. Using military services are Army, Navy, Air Force, Marine Corps and Coast Guard. Type of appropriation is fiscal 2020 through 2022 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE8E3-20-D-0011). Raytheon Co., Andover, Massachusetts, has been awarded a maximum $36,688,190 firm-fixed-price delivery order (SPRRA2-20-F-0077) against a seven-year basic ordering agreement (SPRRA2-19-R-0046) for radio frequency exciters. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a three-year, 11-month contract with no option periods. Location of performance is Massachusetts, with a March 31, 2024, performance completion date. Using military service is Army. Type of appropriation is fiscal 2020 through 2024 defense working capital funds. The contracting activity is Defense Logistics Agency Aviation, Redstone Arsenal, Alabama. Leading Technology Composites Inc., doing business as LTC Inc., Wichita, Kansas, has been awarded a maximum $26,752,704 modification (P00010) exercising the second one-year option period of a one-year base contract (SPE1C1-18-D-1073) with three one-year option periods for enhanced side ballistic inserts. This is a firm-fixed-price, indefinite-quantity contract. Location of performance is Kansas, with a May 4, 2021, performance completion date. Using military services are Army, Navy, Air Force, Marine Corps and Coast Guard. Type of appropriation is fiscal 2020 through 2021 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania. American Water Enterprises LLC, Camden, New Jersey, has been awarded a $21,810,972 modification (P00251) to a 50‐year contract (SP0600‐03‐C‐8268), with no option periods for the ownership, operation and maintenance of the water and wastewater utility systems at Fort Rucker, Alabama. This is a fixed-price with prospective-price-redetermination contract. Locations of performance are New Jersey and Alabama with an April 15, 2054, performance completion date. Using military service is Army. Type of appropriation is fiscal 2020 through 2054 Army operations and maintenance funds. The contracting activity is Defense Logistics Agency Energy, Fort Belvoir, Virginia. Raytheon Co., Andover, Massachusetts, has been awarded a maximum $8,362,088 firm-fixed-price delivery order (SPRRA2-20-F-0079) against a seven-year basic ordering agreement (SPRRA2-19-R-0046) for radio frequency exciters. This was a sole-source acquisition using justification 10 U.S. Code 2304 (c)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a two-year, nine-month contract with no option periods. Location of performance is Massachusetts, with a Jan. 31, 2023, performance completion date. Using military service is Army. Type of appropriation is fiscal 2020 through 2023 defense working capital funds. The contracting activity is Defense Logistics Agency Aviation, Redstone Arsenal, Alabama. ARMY ASM Research LLC, Fairfax, Virginia, was awarded a $40,284,199 firm-fixed-price contract to provide comprehensive credentialing and privileging program support for the Army National Guard or Air National Guard. Bids were solicited via the internet with four received. Work locations and funding will be determined with each order, with an estimated completion date of May 4, 2025. The National Guard Bureau Operational Contracting Division, Arlington, Virginia, is the contracting activity (W9133L-20-D-1000). Miller Electric Co. Inc., Reno, Nevada, was awarded a $12,000,000 modification (P00004) to contract W911SA-17-D-2006 for sustainment, modernization and improvement projects for the 88th Army Reserve Centers throughout the states of Kansas and Nebraska. Bids were solicited via the internet with six received. Work locations and funding will be determined with each order, with an estimated completion date of May 31, 2021. The 419th Contract Support Brigade, Fort McCoy, Wisconsin, is the contracting activity. CAE USA Inc., Tampa, Florida, was awarded an $11,157,134 firm-fixed-price contract for advanced helicopter flight training support services. Bids were solicited via the internet with seven received. Work will be performed at Fort Rucker, Alabama, with an estimated completion date of May 15, 2027. Fiscal 2020 operations and maintenance, Army funds in the amount of $11,157,134 were obligated at the time of the award. U.S. Army Mission and Installation Contracting Command, Fort Eustis, Virginia, is the contracting activity (W9124G-20-C-0008). Manhattan Construction Co., Tulsa, Oklahoma, was awarded an $8,300,000 modification (PZ0001) to contract W912BV-20-C-0008 for alternate care facilities in Oklahoma. Work will be performed in Tulsa and Oklahoma City, Oklahoma, with an estimated completion date of May 10, 2020. Fiscal 2020 civil construction funds in the amount of $8,300,000 were obligated at the time of the award. U.S. Army Corps of Engineers, Tulsa, Oklahoma, is the contracting activity. DEFENSE ADVANCED RESEARCH PROJECTS AGENCY Perspecta Labs Inc., Basking Ridge, New Jersey, was awarded a $29,917,092 cost-plus-fixed-fee contract for a research project under the Fast Network Interface Cards (FastNICs) program. The FastNICs program will speed up applications such as the distributed training of machine learning classifiers by 100x through the development, implementation, integration and validation of novel, clean-slate network subsystems. Work will be performed in Basking Ridge, New Jersey, with an expected completion date of May 2024. Fiscal 2019 research, development, test and evaluation (RDT&E) funding in the amount of $1,110,000; and fiscal 2020 RDT&E funding in the amount of $2,925,000 are being obligated at time of award. This contract was a competitive acquisition under an open broad agency announcement and eight offers were received. The Defense Advanced Research Projects Agency, Arlington, Virginia, is the contracting activity (HR0011-20-C-0090). *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2177362/source/GovDelivery/

With defense budgets expected to be coming in flat under even best-case scenarios, the time for tough decisions might be coming. By PAUL MCLEARY WASHINGTON: The Pentagon may slash older weapons programs to buy new ones in coming years if the federal government's COVID-19 response takes a big bite out of budgets, Defense Secretary Mark Esper said today. Before the global pandemic slammed American society and ground the economy to a halt, Pentagon leaders were already looking at flat defense budgets and were casting about for fat to trim. But the trillions Congress and the Trump administration has pumped into the economy, which falls on top of an already exploding budget deficit, could make predictions of flat budgets look optimistic. Esper told reporters at the Pentagon he would target older programs: “We need to move away from the legacy, and we need to invest those dollars in the future. And we have a lot of legacy programs out there right now — I could pick dozens out from all branches of the services” that could be cut or curtailed. As Army Secretary in 2018, Esper's “Night Courts” saved the service some $33 billion through scrapping oler programs with an eye to pumping cash into new weapons programs. The Navy is undergoing a review that aims to shave $40 billion in the coming years, and the Marine Corps is aggressively getting rid of troops, tanks, helicopters, and — possibly — trimming the F-35 to make room for modernization investments. In particular, the massive modernization of the nuclear delivery systems will not be touched. Esper said “we're not going to risk the strategic deterrent we need to modernize,” if budgets trend downward, but acknowledged that cutting old weapons systems before their replacements were ready “would mean probably accepting some near term risk, but I think [modernizing is] important given the trajectory that China is on, and we know where Russia may be going in the coming year.” Earlier this week, Esper said he was concerned that exploding budget deficits would put an end to the dream of 3% to 5% yearly defense budget growth, which he had targeted for Pentagon modernization. “There is a concern there that that may lead to smaller defense budgets in the future at the critical time we need to continue making this adjustment, where we look at China, then Russia, as our long-term strategic competitors,” he said at the Brookings Institute. Some lawmakers are bracing for the coming cuts. “I am extremely concerned about that,” House Armed Services Committee member Rep. Mike Gallagher told me recently. “I think it is going to require defense hawks, like myself, to make not only more energetic arguments, but new and creative geopolitical arguments,” to advocate for spending on modernization programs. “If you assume downward pressure on the defense budget, it means that DoD will need to get the most out of every dollar spent.” Those arguments will be critically important for the services as they pitch their latest modernization efforts. “I think the budget comes down sooner rather than later,” Mackenzie Eaglen, resident fellow at the American Enterprise Institute, said during a recent webinar Adding fuel to that view was Todd Harrison, DoD budget expert at the Center for Strategic and International Security, who added, “what has historically happened is, when Congress's fiscal conservatives come out and get serious about reducing the debt, reducing spending on defense is almost always part of what they come up with for a solution,” he said. “So, we could be looking at a deficit-driven defense drawdown coming.” https://breakingdefense.com/2020/05/old-weapons-under-fire-as-covid-debt-rises/

By: Aaron Mehta WASHINGTON — Army rotorcraft programs could net industry an average of $8 billion to 10 billion per year over the next decade — but defense companies can expect major challenges for its lower-tier suppliers, some of whom might choose not to come along for the ride. Those are the findings of a new study by the Center for Strategic and International Studies, released Wednesday. It follows a November report outlining cost concerns about the service's Future Vertical Lift (FVL) plan. The Army plans to field a future attack reconnaissance aircraft, or FARA, by 2028 and a future long-range assault aircraft, or FLRAA, by 2030. The modernization program is one of the top priorities for the Army. First, the good news for industry. The study found an annual market of $8 billion to 10 billion for Army rotorcraft programs over the next decade, with a potential dip occurring only in 2026, when the two new programs are spinning up. That's a strong figure that should keep the major defense companies happy. However, lower-tier companies may find themselves unprepared to actually manufacture FLRAA and FARA parts, given the newer production techniques the Army plans to use — things like additive manufacturing, robotics, artificial intelligence, digital twins, and data analytics. And if that happens, the service could face a supplier problem that could provide a major speed bump for its plans of having the systems ready to go at the end of the decade. Convincing those suppliers, many of whom lack cash on hand for major internal investments at the best of times, to put money down in the near term to redevelop their facilities and retrain people is going to be an “expensive issue,” said Andrew Hunter, who co-authored the study for CSIS along with Rhys McCormick. “They need a really compelling reason to invest.” “For a company that is devoted to the defense aviation market, they don't necessarily have a choice to not make the transition,” Hunter told reporters in a Tuesday call. “However, there is a dollars and cents issue, which is you have to be able to access the capital. If you can't, the primes will quickly go somewhere else.” And some companies with a broader market share in the commercial world may decide investing in modernization isn't worth the effort and simply leave the defense rotorcraft market, leaving the primes to scramble to find replacements. In that case, Hunter said, the primes could potentially look to bring that work in-house. Companies “are looking at the equation” of the commercial versus defense markets when making these decisions, said Patrick Mason, the Army's top aviation acquisition official. But he noted that the recent COVID-19 pandemic, which his hitting commercial aviation firms particularly hard, may cause some companies to consider the benefits of defense, which is historically smaller but more stable than the commercial aviation world. Mason also emphasized the importance of keeping suppliers with experience in the unique heat requirements or material aspects as part of the service's rotorcraft supply chain, saying “Those are the ones we remain focused on because those are the ones who could end up as a failure.” https://www.defensenews.com/2020/05/06/the-armys-future-vertical-lift-plan-may-have-a-supplier-problem/