Retour aux nouvelles

7 août 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

With billions of dollars at stake, let’s responsibly and deliberately spend America’s funds

By: Sen. Dick Durbin and Rep. Adam Smith

This week we broke a record: In the second quarter of 2020, the U.S. economy fell at an annual rate of 33 percent. As the largest annualized drop in our history, this staggering statistic underscores the breadth and depth of the coronavirus' effect across all industries, including the defense industrial base.

As Congress considers competing proposals for COVID-19 relief, we must ensure that any additional funds provided to the Department of Defense are targeted to protecting jobs and strengthening our industrial base. But we owe it to taxpayers to apply oversight and negotiate on their behalf. We cannot panic and hand out blank checks to defense contractors. To do so would set an irresponsible precedent for years to come.

Congress has acknowledged that our industrial base needs help during this pandemic. In March, the Coronavirus Aid, Relief, and Economic Security Act included a provision, Section 3610, to allow employees of federal contractors with critical skills to remain paid if the federal facilities where they work closed due to the pandemic. This additional flexibility would keep workers ready to return as soon as conditions allowed.

Since then, Section 3610 has taken on a life of its own, with senior administration officials estimating that agencies across the federal government could be on the hook for billions of dollars to carry out this law. With debate on the next coronavirus supplemental bill upon us, the calls for new funding are growing louder. We must explain to American taxpayers and workers what is, and is not, at stake.

The confusion stems from two separate issues: whether to use the generous funding already provided to the Department of Defense to pay contractors for the time they were locked out of their workplaces; and to what extent the pandemic and economic shock will make it more expensive to build weapons and perform research now and in the coming years.

The Department of Defense has unofficially asked Congress for nearly $11 billion in emergency funds to cover these costs for this year alone, split between these two purposes. The lack of detail in this request raises serious questions. For example, why are other federal agencies finding money in their regular budget to pay for their 3610 contractor pay claims, but the Pentagon cannot?

Americans should know that the CARES Act appropriated $10.5 billion for defense needs, with nearly unlimited flexibility for the Department of Defense to reprogram these funds to address urgent priorities. In addition to that infusion of money, the department has numerous other ways to support defense contractors. At the outset of the coronavirus, the department worked with states and localities to deem defense contractors as essential and therefore able to continue working. In April, the department issued a regulatory change on progress payments for existing contracts, increasing the cash flow to the defense industrial base and encouraging major contractors to advance cash to the supply chain, infusing billions of dollars in cash to companies that needed near-term cash flow.

And this brings us to our real problem with the $11 billion set aside for contractor reimbursements in this latest emergency appropriations bill: We do not know what it is for, what problems it will and will not fix, and why other funding and tools are not working. We also suspect that the Pentagon has not done its homework on behalf of American taxpayers before asking for this money. The proposal appears to be based on contractor requests, in the midst of a rapidly changing situation, without asking tough questions about how the funds would be used to prevent American job loss and what the long-term budgeting and recovery strategy may be.

Before Congress provides many billions of dollars to make up for the work that has been lost due to coronavirus closures, we should know which programs have been impacted, how much each program may need to recover and whether taxpayers will be on the hook for more money if the disruptions continue. The Department of Defense, in particular, has a weapons budget that exceeds the highest levels of the Reagan-era defense buildup — even when adjusted for inflation. Given the amount of base and supplemental funds already at the department's disposal, Congress needs more thorough justification for additional spending, both for Section 3610 and for other needs.

Generally speaking, it might make sense to appropriate additional funds to make sure that a shipbuilding program or airplane is completed on time. In other cases, however, taxpayers may reasonably question whether it is worth paying more money in light of other priorities. We have before us a unique opportunity to think strategically about future readiness risks and make the defense industrial base more resilient. Hastily throwing money at the problem is simply not the solution to a complex problem.

We appreciate the hard work of the hundreds of thousands of companies, of all sizes, that make up the defense industrial base. When the Pentagon spends CARES Act dollars, or any appropriations, we depend on senior leaders to negotiate hard with defense companies to get the best deal for the taxpayers. There is nothing wrong with tough negotiating when billions of dollars are at stake; as public servants, it is our duty.

Sen. Dick Durbin, D-Ill., is the Democratic whip and the ranking member on the Senate Appropriations Committee's Defense Subcommittee. Rep. Adam Smith, D-Wash., is the chairman of the House Armed Services Committee.

https://www.defensenews.com/opinion/commentary/2020/08/06/with-billions-of-dollars-at-stake-lets-responsibly-and-deliberately-spend-americas-funds/

Sur le même sujet

  • Contract Awards by US Department of Defense -November 03, 2020

    4 novembre 2020 | International, Aérospatial, Naval, Terrestre, C4ISR, Sécurité

    Contract Awards by US Department of Defense -November 03, 2020

    ARMY RC Construction Co. and Millstone Weber JV, Greenwood, Mississippi, was awarded an $81,499,929 firm-fixed-price contract for removal and replacement of existing electrical equipment, including airfield lighting and lighting vault equipment, and the reconstruction of Runway 05-23 at Pope Army Airfield. Bids were solicited via the internet with two received. Work will be performed at Fort Bragg, North Carolina, with an estimated completion date of May 1, 2021. Fiscal 2021 operation and maintenance, Army funds in the amount of $81,499,929 were obligated at the time of the award. U.S. Army Corps of Engineers, Savannah, Georgia, is the contracting activity (W912HN-21-C-3001). Phylway Construction LLC, Thibodaux, Louisiana, was awarded a $59,310,781 firm-fixed-price contract for construction of hurricane protection features in Plaquemines Parrish, Louisiana. Bids were solicited via the internet with six received. Work will be performed in New Orleans, Louisiana, with an estimated completion date of Nov. 10, 2024. Fiscal 2020 civil construction funds in the amount of $59,310,781 were obligated at the time of the award. U.S. Army Corps of Engineers, Vicksburg, Mississippi, is the contracting activity (W912P8-21-C-0002). DEFENSE LOGISTICS AGENCY Medtronic USA Inc., Minneapolis, Minnesota, has been awarded a maximum $62,658,150 fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract for spinal orthopedic procedural packages. 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 one-year base contract with four one-year option periods. Location of performance is Minnesota, with a Nov. 2, 2021, ordering period end date. Using customers are Army, Navy, Air Force, Marine Corps and federal civilian agencies. Type of appropriation is fiscal 2021 through 2022 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE2DE-21-D-0001). NAVY Northrop Grumman Systems Corp., Chandler, Arizona, is awarded a $57,096,626 firm-fixed-price contract. This contract provides for the manufacture and delivery of 19 full rate production Lot 14 GQM-163A Coyote supersonic sea skimming targets; 16 for the Navy and three for the government of Japan. Additionally, this contract procures associated technical and administrative data. Work will be performed in Camden, Arkansas (43%); Chandler, Arizona (35%); Vergennes, Vermont (8%); Cincinnati, Ohio (4%); Oconomowoc, Wisconsin (4%); Lancaster, Pennsylvania (4%); and various locations within the continental U.S. (2%), and is expected to be completed in December 2023. Fiscal 2020 weapons procurement (Navy) funds in the amount of $48,081,369; and Foreign Military Sales funds in the amount of $9,015,257 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to Federal Acquisition Regulation 6.302-1. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N00019-21-C-0005). Detyens Shipyards, Charleston, South Carolina, is awarded an $18,144,376, 76-calendar day, firm-fixed-price contract (N32205-21-C-4015) for the regular overhaul dry-docking availability of the fleet replenishment oiler USNS Leroy Grumman (T-AO 195). The contract includes options which, if exercised, would bring the total contract value to $18,144,376. Funds will be obligated Nov. 3, 2020. Work will be performed in Charleston, South Carolina, and is expected to begin Jan. 20, 2021, and be completed by April 5, 2021. Contract funds in the amount of $17,554,850, excluding options, are obligated for fiscal 2021 using working capital funds (Navy). This contract was competitively procured with proposals solicited via the beta.sam.gov website and three offers were received. The Military Sealift Command, Norfolk, Virginia, is the contracting activity. HDR Engineering Inc., Charlotte, North Carolina, is awarded a firm-fixed-price task order modification (N40085-19-F-6080) at $8,492,340 under architect/engineer, indefinite-delivery/indefinite-quantity contract for post award construction services in support of Hurricane Florence Recovery Package 2, located at Marine Corps Base Camp Lejeune, North Carolina. Hurricane Florence Recovery Package 2 consists of eight separate military construction projects. Work will be performed in Camp Lejeune, North Carolina, and is expected to be completed by October 2024. Fiscal 2020 military construction (Navy) contract funds in the amount of $8,144,376 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Virginia, is the contracting activity (N40085-18-D-0601). Sealift Inc. of Delaware, Oyster Bay, New York, is awarded an $8,030,000 option for the fixed-price portion of previously awarded firm-fixed-price contract N32205-17-C-3510 with reimbursable elements to exercise a one-year option period to support Military Sealift Command's Sealift program for U.S.-flagged container vessel M/V MAJ Bernard F. Fisher to support the Air Force for the prepositioning and transportation of cargo. The contract includes one 116-day firm period of performance, four one-year option periods, and one 212-day option period, which if exercised, would bring the cumulative value of this contract to $42,579,948. Work will be performed worldwide and is expected to be completed, if all options are exercised, by June 11, 2022. Transportation working capital funds in the amount of $7,238,000 are obligated for fiscal 2021 and will not expire at the end of the fiscal year. Contract funds in the amount of $792,000 for the remainder of Option Four are to be provided for fiscal 2022 and are subject to the availability of funds in accordance with Federal Acquisition Regulation 52.232-18. This contract was a small business set-aside with more than 50 companies solicited via the Federal Business Opportunities website and four offers received. The Military Sealift Command, Norfolk, Virginia, is the contracting activity (N32205-17-C-3510). AIR FORCE Supertel Network Inc., Melbourne, Florida, has been awarded a $9,099,694 cost-plus-award-fee contract for the Minuteman III Remote Visual Assessment program. Work will be performed in Ogden, Utah; Malmstrom Air Force Base, Montana; Minot AFB, North Dakota; and F.E. Warren AFB, Wyoming, and is expected to be completed by Nov. 3, 2021. Fiscal 2021 operation and maintenance funds in the amount of $2,181,000 are being obligated at the time of award. The Air Force Nuclear Weapons Center, Hill AFB, Utah, is the contracting activity (FA8214-21-C-0001). *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2403972/source/GovDelivery/

  • Army eyes autonomous missile launcher and 1,000-kilometer strikes

    4 décembre 2024 | International, Terrestre

    Army eyes autonomous missile launcher and 1,000-kilometer strikes

    The capabilities are still in the research stages but are showing promise.

  • New partnerships formed in quest to snag US Army Stryker up-gunning deal

    18 août 2020 | International, Terrestre

    New partnerships formed in quest to snag US Army Stryker up-gunning deal

    by Ashley Roque Industry is bracing for surprise entries and team changes in the US Army's up-gunning competition with at least one big switch up: Pratt Miller partnering up with Rafael Defence and Oshkosh Defence. After a two-and-a-half-month deadline extension, all Medium Calibre Weapons System (MCWS) programme proposals and bid samples are due to the army on 24 August. Although many vendors are remaining tight lipped over whether they are still competing, Janes has confirmed with multiple, wholly separate, sources that Pratt Miller is no longer teaming up with CMI Defence and is now saddled up with Rafael and Oshkosh for its bid. The service declined to comment on any team changes and said specific vendor information, including system performance and on-going participation, are considered “source selection sensitive”. “The US [government] does not and has not provided vendor direction on who to partner with or what systems to utilise to protect the integrity of the competition,” Ashley John, director for public and congressional affairs for the Program Executive Office for Ground Combat Systems, told Janes on 12 August. “Each vendor partnership is independent of government input and has been developed directly from party to party.” Under the competition, the army wants to select a team to outfit Stryker vehicles with 30 mm cannons. Service plans called for a two-phased, concurrent approach involving a design integration study phase to help inform requirements development and the acquisition strategy, and a separate Stryker MCWS request for proposal (RFP). https://www.janes.com/defence-news/news-detail/new-partnerships-formed-in-quest-to-snag-us-army-stryker-up-gunning-deal

Toutes les nouvelles