21 avril 2020 | International, Aérospatial, Naval
By: Megan Eckstein
The shipbuilding, aviation and small space launch sectors are the three hardest-hit by the COVID-19 pandemic within the defense industrial base, according to the under secretary of defense for acquisition and sustainment, despite a slew of memos and authorities signed out by the Pentagon to relieve pressure from sick workers and facilities closures.
“We see a slowdown in the shipyards to an extent. Aviation is actually the most highly impacted sector we have right now. So the 20 different memos that Kim Herrington (director of defense pricing and contracting) put out are really to make sure our cash flows and we quickly get on contract so we can keep going,” Ellen Lord told reporters on a Monday morning news conference.
She said her team is still in the process of going program by program and understanding what production milestones may be at risk due to pandemic-related disruptions – everything from work slowing down on assembly lines to allow for social distancing, to coping with a smaller workforce as some employees are sick or taking leave to care for children at home, to breaks in the supply chain as component suppliers struggle to keep on schedule. For now, Lord said she could not point to any specific programs or any specific milestones most at risk, but she said major defense acquisition programs as a whole will face about a three-month slowdown due to COVID-19.
To try to stay ahead of the spreading disease, “we follow very carefully where the highest number of cases are throughout the country and we look at the defense industrial base, where they are located, so we try to anticipate the problems and work with the companies to keep going to the greatest degree possible” and work with companies in emerging hot spots to put mitigation measures in place before their workforces are hit.
Lord also said that, as the Pentagon takes a close look at its supply chain, “one of the key things we have found out are some international dependencies. Mexico right now is somewhat problematical for us, but we're working through our embassy. And then there are pockets in India as well.”
Specifically on Mexico, she said there is “a group of companies that are impacting many of our major primes” in the airframe production industry. She said she spoke to the U.S. ambassador to Mexico last week and would speak to Mexico's foreign minister today to ask for help reopening these major international suppliers.
Without naming companies or sectors, Lord said in her opening remarks that, of 10,509 major prime contractors, 106 are currently closed and 68 have closed and already reopened. On the vendor side, out of 11,413 companies, 427 are closed, with another 147 having closed and reopened.
Though the Pentagon can't help companies having to close because the workforce is sick, leaders can ensure that companies with healthy workers aren't left without work and waiting for contracts to be signed. The Navy and DoD have accelerated contract awards and urged prime contractors to quickly push work down to their suppliers of all sizes, so that as soon as a company is ready for new work, the work is awarded and money already paid.
“I remain proud of the department's responsiveness in addressing defense industry concerns outlined on [regular calls between the Pentagon and industry associations]. Mr. Kim Herrington, director of defense pricing and contracting, has issued 20 defense pricing and cost memos, aggressively responding to industry needs and impacts. Those memos include guidance for increased telecommuting, increased progress payment rates, acquisition timeline impacts, relief for those who cannot work, and more,” Lord said.
“Vice Adm. David Lewis, Defense Contracting Management Agency director, modified 1,500 contracts to help companies to file invoices at the higher progress payment rate, and he also worked with Defense Finance and Accounting Service for a seamless transition for invoices. Based on submitted invoices, we expect payments at the higher progress payment rate to start this week, helping provide $3 billion in increased cash flow to industry. I commend Lockheed Martin and Boeing for both publicly committing to ensure this cash flow goes quickly down the supply chain to small businesses who need it most. We are hoping for similar public announcement from other major primes.”
In addition to the actions the Pentagon can take on its own to help industry, Lord said the Defense Department is actively in talks with lawmakers and staffers to discuss a follow-on economic stimulus bill in the works. Though she couldn't get into specifics, she said it would cost DoD “billions and billions” to implement a section of the Coronavirus Aid, Relief, and Economic Security (CARES) Act “which allows agencies to reimburse contractors for payment to workers who are prevented from working due to COVID-19 facility closures or other restrictions.” She said the Pentagon hoped to see some funding in the next stimulus bill to help with that bill, as well as to pay for medical supplies and cover costs of delays in major defense acquisition programs.
So far, the Defense Logistics Agency has provided more than 1.8 million N95 masks, 3.2 million non-medical and surgical masks, 8.4 million pairs of exam gloves, 275,000 surgical gowns and 8,000 ventilators to the military services, which are being used both to keep DoD personnel healthy as well as to support DoD's contribution to the multiagency efforts around the country.
The Pentagon has also provided 10 million N95 masks to the Department of Health and Human Services and the Federal Emergency Management Agency and is prepared to give another 10 million from DoD stockpiles.
Additionally, DoD will invest $133 million to increase domestic production of N95 masks to more than 39 million in the next 90 days, Lord announced. Contracts have been finalized with 3M for $76 million, O&M Halyward for $29 million and Honeywell for $27.4 million.
Beyond new mask production, DoD also spent $415 million to buy 60 Battelle Memorial Institute Critical Care Decontamination Systems that will be able to sterilize N95 masks to allow for reuse up to 20 times, and therefore reduce the demand for new masks.
“Six units were delivered last week, including two to New York and one each to Columbus, Ohio; Boston; Chicago; and Tacoma; providing the ability to sterilize 3.4 million masks a week, reducing the need for new masks by the same number,” Lord said.
“All 60 systems will be available by early May for prioritization and distribution by Health and Human Services and Federal Emergency Management Agency. Once all are delivered, these 60 units will allow 4.8 million masks to be sterilized per day, almost 34 million per week.”
18 juillet 2022 | International, Aérospatial
GA-ASI will begin first delivery of aircraft and support equipment this winter to facilitate the fleet standup in late summer 2023 for USMC VMU 3 located at Marine Corps Air Station Kaneohe...
25 février 2020 | International, Aérospatial
By: Valerie Insinna WASHINGTON — The words “classified program” conjure up images of experimental planes, highly advanced super weapons and unidentified flying objects operating under cloak and dagger at Area 51. But as the U.S. Air Force gears up to defend its fiscal 2021 budget on Capitol Hill, lifting the veil of secrecy on some of these programs will be key to getting lawmakers on board with controversial retirements of legacy aircraft, defense analysts said. In its FY21 budget proposal, the Air Force asked to cut 17 B-1 bombers, 44 A-10 jet aircraft, 24 Global Hawk Block 2 and 3 surveillance drones, as well as 13 KC-135 and 16 KC-10 tankers. It is also cutting the number of contractor-flown MQ-9 Reaper combat air patrols, and it will replace 24 C-130H airlifters with 19 C-130Js coming online. Those reductions net $21 billion in savings over the next five years, with about 40 percent of that spent on classified programs buried in the black budget, creating the initial appearance of capabilities disappearing without any kind of a replacement and no obvious boost to research and development funds. That could create a challenge for the Air Force as it tries to get members of Congress and their staff on board, Air Force Chief of Staff Gen. Dave Goldfein acknowledged during an exclusive interview on Feb. 18 with Defense News. “Most of what we're giving up is unclassified. On the minus column you're going to see things that are real, that are flying right now that are all legacy, real legacy capability. It's a real risk to combatant commanders today. What we're buying — not all but a lot of it — is in the classified realm,” Goldfein said. “As we go forward with Congress, I think our biggest challenge, quite frankly, is we were able to talk up to the secret level and above inside the Department of Defense in most of our conversations. That's harder to do with Congress,” he added. The Air Force is trying to combat that by “doubling down” on office calls with lawmakers and congressional staff to discuss the classified investments. Goldfein said the service has done “well over 20” meetings with members of the congressional defense committees and is on track to brief every lawmaker willing to sit down for a classified briefing before public budget hearings start next month. But Mackenzie Eaglen, a defense budget expert at the American Enterprise Institute, noted that such briefings are time-consuming and may not be of interest to most lawmakers. "The members that are going to take the time to go to a [secure room] and get read in and figure out what's what — there are even some members of the armed services [that won't do that]. It's pretty limited who is going to have that kind of time,” she said. It will be important for the Air Force to publicly justify — at unclassified hearings and other venues — what its classified investments are going to enable, said Todd Harrison, a budget analyst with the Center for Strategic and International Studies. “How does it contribute to implementation of the [National Defense Strategy]? How does it address vulnerabilities in the force? How does it create strategic challenges for our adversaries? If they can talk about that and then [be] more explicit with Congress about how the money is being used, I think that could help mitigate some of this,” Harrison said. “If you can't talk about the new investment, the positive aspect for 40 percent of the cases, I think the Air Force is effectively going into this fight with one arm tied behind its back.” While the large investment in classified programs is a challenge, it is not insurmountable, said David Deptula, the dean of the Mitchell Institute for Aerospace Studies and a retired Air Force lieutenant general. “Because a good chunk is classified, that's a good thing. These are truly strategic advantages that we're investing in, and they're not items that you'd want out there in the public space,” he said. Goldfein is confident he will be able to convey to Congress the importance of retiring key aircraft at this point in time. “At least we can lay out the why,” he said. “It's going to be hard. Asking Congress to retire legacy aircraft is always hard. But I think we have a really positive story to tell, with the analysis behind it.” Across the board — whether the Air Force has to defend cuts to the B-1, A-10, Global Hawk or tanker fleet — the argument comes down to fleet management, he said. “We're putting on the table 17 B-1s, at least to this point,” Goldfein said. “Many of those 17 B-1s are on the ramp, but they were not flying. Then you do your business case on what it would take to actually get them back to a high enough readiness rate, and the business case actually doesn't justify it. “You'll see the same methodology we used for each of those weapons systems. How do you retire the oldest of each, refunnel that money into the remaining fleet so you can keep that fleet flying for longer?” But any skeptics in Congress will want to see hard data proving there are benefits to retiring some of these aircraft, or a plan to drive down risk, Harrison said. For instance, the Air Force is retiring its oldest, least capable B-1 bombers, but it will keep all associated maintainers and infrastructure, which cuts down on the savings. To make a case to Congress, the Air Force must make a strong argument on why that reduction could improve mission-capable rates, and the service must provide the statistics, he said. Regarding the KC-10 and KC-135 tanker reductions, Harrison said the Air Force must describe exactly what it will do to ameliorate a demand for aerial refueling that already exceeds what the service can provide. “What is the Air Force going to do over the next few years to mitigate the lack of tanker support? Is the Air Force going to go forward with some of the plans they've previously had to do contracted tanking as an interim solution like the Navy has been doing?” he wondered. And to justify the Global Hawk fleet, Harrison said, the Air Force may be called to defend why it is getting rid of those highly utilized assets instead of the aging inventory of U-2 spy planes. The biggest arguments in favor of keeping legacy aircraft will likely come from lawmakers in districts affected by retirements of legacy aircraft. It will be up to the Air Force to explain to those members what capabilities will come on board to replace it, or why these divestments need to take place even if there is no immediate replacement, Deptula said. “We'll see what happens,” he said. “I think in some districts you'll see understanding and support. If you look at the bomber issue ... with the promise of modernized B-21s that are coming on board, I think that there are some congressional districts and members who will go: ‘Yeah, OK, we understand that logic.' ” https://www.defensenews.com/digital-show-dailies/air-warfare-symposium/2020/02/24/convincing-congress-secretive-programs-could-prove-harmful-to-air-force-funding-plans/
27 septembre 2023 | International, Terrestre
The stopgap funding bill allows construction to begin on a second Columbia-class submarine as it threatens to fall behind schedule while a shutdown looms.