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The Canadian Press - Apr 21, 2020 / 3:46 pm | COVID-19 latest hurdle in long road to buying new fighter jets COVID-19 is presenting another challenge to Canada's long-running and tumultuous effort to buy new fighter jets. The federal government last summer launched a long-awaited competition to replace the Royal Canadian Air Force's aging CF-18s with 88 new fighter jets at an estimated cost of $19 billion. The move followed a decade of controversy and mismanagement by various governments. The three companies still in the running are supposed to submit their bids at the end of June and, despite the pandemic, the federal procurement department insisted in an email to The Canadian Press that it still expects them to meet that deadline. The three companies vying for the lucrative contract are Lockheed Martin and Boeing from the U.S. and Sweden's Saab. Lockheed Martin builds the F-35 while Boeing is pitching its Super Hornet and Saab is offering its Gripen jet. Yet while representatives for the three companies say they are likewise plugging away at their respective proposals, a senior Boeing executive left the door open to asking the government for an extension as COVID-19 forces the company to adjust how it does business. "It's challenging, there's no question about it," Jim Barnes, the Boeing executive responsible for trying to sell the company's Super Hornet jet to Canada, said in an interview on Tuesday. "We want to make sure we put the most competitive offer on the table for the government of Canada to evaluate and we feel like we can put a very compelling offer. If we feel like we don't have time to finalize that competitive offer ... we would certainly ask for an extension." The government has already approved one extension to the competition since it was launched last July. Companies were supposed to submit their final bids at the end of March, but were given three more months after Saab asked for more time. Boeing continues to work closely with the U.S. government and navy on its bid and hopes to meet the current deadline, but Barnes said the pandemic has slowed things down as many staff work from home on a complex project with significant security considerations. "Then you have to take into consideration the health of your subject-matter experts in those areas where there are just a few people that can really work up those responses," he said. "Those kinds of things we're dealing with. I'm not sure if the other teams are dealing with that, but we are monitoring that and if we feel like we can't meet the deadline, we'll certainly consider an extension request as an option." Representatives for Lockheed Martin and Saab were more confident in being able to meet the current deadline. "Lockheed Martin remains prepared to provide a comprehensive proposal for Canada's future fighter capability project competition," Lockheed Martin Canada chief executive Lorraine Ben said in a statement. "We have not requested an extension of delivery for the FFCP preliminary proposal and we are excited to share more about the F-35's ability to strengthen and modernize defence, enhance ally partnerships and contribute to economic growth in Canada." Saab Canada president Simon Carroll expressed similar sentiments, saying in an interview that while there some challenges in preparing a bid during a pandemic, "we're certainly working towards that and are planning at this point in time to submit in accordance with that deadline." Yet there are also questions about the government's ability to move ahead on the project even if the companies do get their bids in on time, given the majority of federal employees are working at home. "Those submissions are going to have a combination of sensitive and classified information, and handling all that with a workforce, the majority of which is working from home, is going to be more difficult," said defence analyst David Perry of the Canadian Global Affairs Institute. "I think as a basic bottom line, it is completely illogical to think that the impacts of COVID-19 won't be running through the entire suite of defence procurements because you can't work as efficiently with a huge chunk of your workforce at home." https://www.castanet.net/edition/news-story-297880-4-.htm

Goldfein said up to now no major programs have shown any signs of being "in a critical state ... at risk of cancellation" due to the COVID-19 coronavirus pandemic. By THERESA HITCHENS WASHINGTON: Gen. Jay Raymond, as head of Space Command, will lead efforts to determine how to combat expected interference with GPS receivers from the future Ligado 5G wireless mobile communication network, says Air Force Chief of Staff Gen. David Goldfein. “We are both very concerned about this,” Goldfein told the Defense Writers Group this morning. “The best way I've heard it described ... is, if you're in a room trying to have a quiet conversation, and in the next room you've got a 500-watt speaker blaring music. Chief Raymond and I are looking at different mitigation steps,” he added. “It's a huge challenge.” Goldfein explained that, as the SPACECOM commander, Raymond is the combatant commander charged with spectrum management so any mitigation plan would be primarily his responsibility — with Goldfein serving a support function as the service chief. However, he noted that, since Raymond is dual-hatted as chief of Space Force, the two peers “will work together closely with the Chairman of the Joint Chiefs of Staff to provide options” to DoD Secretary Mark Esper. Much of Goldfein's conversation with reporters this morning centered on the affects of the COVID-19 pandemic on the service and its programs, as well as his service's responses. A few weeks ago the service went through what he called a “reset to the new normal” as senior officials worked out methodologies to ensure its highest priority missions could be maintained “despite a 15 to 20 percent infection rate.”

NAVY Lockheed Martin Corp., Rotary and Mission Systems, Moorestown, New Jersey, was awarded a $519,063,283 cost-plus-incentive-fee, cost-plus-fixed-fee undefinitized contract for the procurement of international Aegis fire control loop development, Solid State S-Band Radar Processing Group, tools and test equipment and spares for five new multi-mission frigates supporting the Aegis combat system (Baseline 9C.2). Work will be performed in Moorestown, New Jersey (72%); Verona, Wisconsin (6%); Mt. Laurel, New Jersey (5%); Ferrol, Spain (6%); Andover, Massachusetts (3%); Washington, District of Columbia (2%); Pleasanton, California (2%); Sunnyvale, California (1%); Rota, Spain (1%); Herndon, Virginia (1%); and Clearwater, Florida (1%), and is expected to be complete by April 2030. This contract involves Foreign Military Sales (FMS) to the Kingdom of Spain. FMS funding in the amount of $90,702,286 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 the authority from 10 U.S. Code 2304(c)(4) (international agreement). The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-20-C-5105). (Awarded April 17, 2020) Lockheed Martin Corp., King of Prussia, Pennsylvania, is awarded an $88,988,000 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract. This contract provides management and maintenance of the Tactical Tomahawk Weapons Control System software product baseline, required system and software documentation for the Navy and the government of the United Kingdom of Great Britain and Northern Ireland. Work will be performed at King of Prussia, Pennsylvania, and is expected to be complete by January 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 Defense Federal Acquisition Regulation 6.302-1. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N00019-20-D-0017). Clark Construction Group LLC, Bethesda, Maryland, is awarded a $78,211,055 modification under a firm-fixed-price contract to allot the second increment which provides for the construction of the VC-25B hangar complex at Joint Base Andrews, Maryland. The total contract amount after allotting these funds will be $298,211,055. Work will be performed in Camp Springs, Maryland, and provides for the construction of a hangar complex, an aircraft access taxiway/parking apron, associated lighting, engine run-up pads and a hydrant refueling system with storage tanks. Additional requirements include, but are not limited to, site preparation, wetland/stream mitigation, storm water management, a parking lot, and a fire detection and suppression system. Work is expected to be complete by April 2022. Fiscal 2020 military construction, (Air Force) contract funds in the amount of $78,211,055 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Washington, Washington, District of Columbia, is the contracting activity (N40080-19-C-0008). Pennsylvania State University, Applied Research Laboratory, Electro Optics Center, Freeport, Pennsylvania, is awarded a $50,000,000 indefinite-delivery/indefinite-quantity contract for the Navy Manufacturing Technology (ManTech) Electro Optics Center of Excellence (herein the center). Work will be performed in Freeport, Pennsylvania, and provides for the operation and management of the center in its mission to develop naval platform-related manufacturing technologies and transition the technology for implementation in U.S. electro optics and other industrial facilities. In addition to accomplishing the center's core mission, the contractor shall manage, operate, sustain and enhance the center's ability to function as a Navy ManTech Center of Excellence. Work is expected to be complete by April 2025. The total cumulative value of this contract is $50,000,000. Fiscal 2020 research, development, test and evaluation (Navy) funds in the amounts of $350,000 and $225,000 are obligated on two task orders at the time of award. These funds will not expire at the end of the current fiscal year. This contract was competitively procured under N00014-19-R-0003. One proposal was received in response to the solicitation. The Office of Naval Research, Arlington, Virginia, is the contracting activity (N00014-20-D-7001). Lockheed Martin Rotary and Mission Systems, Manassas, Virginia, is awarded a $41,946,591 cost-plus-incentive-fee modification to previously awarded contract N00024-13-C-5225 to exercise options for engineering services in support of the Navy's AN/SQQ-89A(V)15 Surface Ship Undersea Warfare Systems. This modification includes purchases for the Navy (54%); and the government of Japan (46%) under the Foreign Military Sales (FMS) program. Work will be performed in Manassas, Virginia (83%); Lemont Furnace, Pennsylvania (10%); Syracuse, New York (6%); and Hauppauge, New York (1%). This option exercise is for Japan FMS; advanced capability build (ACB) engineering services; lab technician support; and integrated logistics support, production and engineering support of AN/SQQ-89A(V)15 Surface Ship Undersea Warfare (USW) Combat System Technical Insertion (TI)-20 systems. AN/SQQ-89A(V)15 is the Surface Ship USW combat system with the capabilities to search, detect, classify, localize and track undersea contacts and to engage and evade submarines, mine-like small objects and torpedo threats. The contract is for development, integration and production of future ACB and TI baselines of the AN/SQQ-89A(V)15 USW Systems. Work is expected to be complete by May 2021. FMS Japan; fiscal 2020 shipbuilding and conversion (Navy); 2020 research, development, test and evaluation (Navy); 2020 other procurement (Navy); 2020 operations and maintenance (Navy); 2019 shipbuilding and conversion (Navy); and 2018 shipbuilding and conversion (Navy) funding in the amount $13,153,266 will be obligated at the time of award and funding in the amount of $184,698 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity. Lockheed Martin Rotary and Mission Systems, Manassas, Virginia, is awarded a $33,806,558 cost-plus-incentive-fee contract modification to previously-awarded contract N00024-17-C-6259 to exercise and fund options for Navy equipment, production support, engineering services and required materials. Work will be performed in Manassas, Virginia (65%); Clearwater, Florida (32%); Syracuse, New York (2%); and Marion, Florida (1%), and is expected to be complete by August 2030. Fiscal 2019 and 2020 other procurement (Navy); and fiscal 2020 shipbuilding and conversion (Navy) funding in the amount of $33,806,558 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. ASR International Corp., doing business as ASR Management & Technical Services,* Hauppauge, New York (N64498-20-D-4001); The McHenry Management Group Inc.,* Chesapeake, Virginia (N64498-20-D-4002); EHS Technologies Corp.,* Moorestown, New Jersey (N64498-20-D-4003); NDI Engineering Co.,* Thorofare, New Jersey (N64498-20-D-4004); Advanced Internet Marketing Inc., doing business as The GBS Group,* Virginia Beach, Virginia (N64409-20-D-4016); and Transtecs Corp.,* Wichita, Kansas (N64498-20-D-4017), are each awarded $26 million – $34 million (approximately) for an indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract with firm-fixed-price task order provisions for integrated logistics services to support logistics functional areas for planning, implementation and management of hull, mechanical and electrical new acquisition/construction systems. The contract awarded to ASR Management & Technical Services is not to exceed $29,400,673; the contract awarded to The McHenry Management Group is not to exceed $28,564,387; the contract awarded to EHS Technologies Corp. is not to exceed $29,583,745; the contract being awarded to NDI Engineering Company is not to exceed $28,551,630; the contract awarded to The GBS Group is not to exceed $33,757,971; and the contract awarded to Transtecs Corp. is not to exceed $34,165,405. Work will be performed in Philadelphia, Pennsylvania (24%); and the remaining (76%) will be performed in Washington, District of Columbia; Pearl Harbor, Hawaii; Pascagoula, Mississippi; Norfolk, Virginia; Bath, Maine; Panama City, Florida; Slidell, Louisiana; San Diego, California; Port Hueneme, California; Keyport, Washington; Japan; and Sigonella, Sicily, Italy, as determined by individual task order awards. This requirement is to provide integrated logistics services (ILS) to support logistics functional areas for planning, implementation and management of hull, mechanical and electrical new acquisition/construction systems and initiatives. Services performed by the contractors shall include various logistics support tasks necessary for continued operational readiness of the organization. The services required include: acquisition program support; logistics program support; engineering program support; manpower, personnel and training support; planned maintenance/technical feedback support; ILS certification support; configuration support and associated analysis. Work is expected to be complete by April 2026. Fiscal 2013 and fiscal 2017 shipbuilding and conversion (Navy) funding in the amount of $60,000 ($10,000 minimum guarantee per contract) will be obligated at time of award via individual task orders and will not expire at the end of the current fiscal year. These contracts were competitively procured using full and open competition via the Federal Business Opportunities website, with eight offers received. The Naval Surface Warfare Center Philadelphia Division, Philadelphia, Pennsylvania, is the contracting activity. Advanced Acoustic Concepts LLC, Hauppauge, New York, is awarded a $12,307,858 cost-plus-fixed-fee and firm-fixed-price modification to previously awarded contract N00024-19-C-6311 in support of the Littoral Combat Ship mission module program. The award is to build, deliver and install the three mission package computing equipment (MPCE) kits, one mission package portable control station, and one common mission package trainer for use with the Littoral Combat Ship (LCS) mission modules. Additionally, the contractor will assist the Navy in the development of a new MPCE baseline. Work will be performed in Lemont Furnace, Pennsylvania (50%); Hauppauge, New York (36%); Columbia, Maryland (7%); Washington, District of Columbia (5%); and San Diego, California (2%). This contract procures the hardware and software that comprise the mission package computers, software, and trainers for the Navy's Littoral Combat Ship program, including the computing environment MPCE; hosted software (mission package operating environment); and mission package services. Work is expected to be complete by September 2021. Fiscal 2019 and fiscal 2020 other procurement (Navy); and fiscal 2020 research, development, test and evaluation funding in the amount of $12,521,155 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. Raytheon Co., Goleta, California, is awarded a $10,081,390 firm-fixed-price delivery order (N00383-20-F-BV03) under a previously awarded basic ordering agreement (N00383-17-G-BV01) for the repair of the ALE-50 towed decoy system used in support of the F/A-18 Super Hornet warfare air craft. Work will be performed in Forest, Mississippi, and is expected to be complete by October 2022, with no option periods. Fiscal 2020 working capital funds (Navy) in the full amount of $10,081,390 will be obligated at the time of award and funds will not expire at the end of the current fiscal year. One firm was solicited for this non-competitive requirement in accordance with 10 U.S. Code 2304(c)(1) with one offer received. Naval Supply Systems Command Weapon Systems Support, Philadelphia, Pennsylvania, is the contracting activity. Raytheon Missiles & Defense, Portsmouth, Rhode Island, is awarded a $7,006,525 modification to previously-awarded contract N00024-17-C-6305 to exercise options for fabrication, procurement, assembly, test and delivery of airborne mine neutralization system launch and handling system low-rate initial production units and associated engineering support services. Work will be performed in Portsmouth, Rhode Island. This action is to exercise Option Year Three for fabrication, procurement, assembly, test and delivery of two Airborne Mine Neutralization System load handling system and low rate initial production units and associated engineering support. Work is expected to be complete by December 2021. Fiscal 2020 other procurement (Navy) funding in the amount of $6,099,047 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. ARMY Ahtna Engineering Inc.,* Anchorage, Alaska (W911KB-20-D-0001); Brice Engineering LLC,* Anchorage, Alaska (W911KB-20-D-0002); Bristol Environmental Remediation Services LLC,* Anchorage, Alaska (W911KB-20-D-0003); Cape-Weston JV2 LLC,* Anchorage, Alaska (W911KB-20-D-0004); Paragon-Jacobs JV,* Anchorage, Alaska (W911KB-20-D-0005); North Wind-EA JV LLC,* Idaho Falls, Idaho (W911KB-20-D-0012); FPM Remediations Inc.,* Oneida, New York (W911KB-20-D-0013); and Bethel Environmental Solutions LLC,* Anchorage, Alaska (W911KB-20-D-0014), will compete for each order of the $140,000,000 firm-fixed-price contract for environmental remediation services at various locations in Alaska, U.S. Pacific Command and U.S. Army Corps of Engineers, Alaska Pacific Ocean Division areas of responsibility. Bids were solicited via the internet with 11 received. Work locations and funding will be determined with each order, with an estimated completion date of Oct. 22, 2025. U.S. Army Corps of Engineers, Joint Base Elmendorf Richardson, Alaska, is the contracting activity. Leidos Inc., Gaithersburg, Maryland, was awarded a $100,752,878 modification (P00021) to contract W912DY-18-F-0153 to provide enterprise-wide information management/information technology services in support of U.S. Army Corps of Engineers' customers. Bids were solicited via the internet with four received. Work will be performed in Vicksburg, Mississippi, with an estimated completion date of April 25, 2021. Fiscal 2020 revolving funds in the amount of $100,752,878 were obligated at the time of the award. U.S. Army Corps of Engineers, Huntsville, Alabama, is the contracting activity. S.E.A. Construction LLC,* Raymond, Washington, was awarded a $22,103,000 firm-fixed-price contract to repair damaged areas on the Humboldt North and South Jetties located near the Humboldt Bay entrance near Eureka, California. Bids were solicited via the internet with six received. Work will be performed in Eureka, California, with an estimated completion date of June 30, 2022. Fiscal 2020 civil operations and maintenance funds in the amount of $22,103,000 were obligated at the time of the award. U.S. Army Corps of Engineers, San Francisco, California, is the contracting activity (W912P7-20-C-0004). Turner Construction, New York, New York, was awarded a $19,500,000 modification (PZ0001) to contract W912DS-20-C-0008 to definitize contract for New York State alternative care facilities. Work will be performed in Stony Brook, New York, with an estimated completion date of April 24, 2020. Fiscal 2020 defense emergency response funds in the amount of $19,500,000 were obligated at the time of the award. U.S. Army Corps of Engineers, New York, New York, is the contracting activity. (Awarded April 21, 2020) General Dynamics Ordnance and Tactical Systems Inc., St. Petersburg, Florida, was awarded a $19,100,140 modification (P00029) to contract W52P1J-17-C0024 to procure 120mm M865A1 new production cartridges for 120mm tank training ammunition. Bids were solicited via the internet with two received. Work will be performed in St. Petersburg, Florida, with an estimated completion date of March 31, 2022. Fiscal 2019 and 2020 procurement of ammunition, Army funds in the amount of $19,100,140 were obligated at the time of the award. U.S. Army Contracting Command, Rock Island Arsenal, Illinois, is the contracting activity. Haugland Energy Group LLC, Plainview, New York, was awarded a $12,950,000 modification (PZ0001) to contract W912DS-20-C-0010 to definitize letter contract for New York State alternative care facilities. Work will be performed in White Plains, New York, with an estimated completion date of April 22, 2020. Fiscal 2020 defense emergency response funds in the amount of $12,950,000 were obligated at the time of the award. U.S. Army Corps of Engineers, New York, New York, is the contracting activity. (Awarded April 20, 2020) Gen-Probe Inc., Marlborough, Massachusetts, was awarded a $12,600,000 firm-fixed-price contract for COVID-19 testing kits. Bids were solicited via the internet with one received. Work locations and funding will be determined with each order, with an estimated completion date of April 19, 2021. U.S. Army Health Readiness Contracting Office, Fort Sam Houston, Texas, is the contracting activity (W81K04-20-F-1113). (Awarded April 20, 2020) Khotol Services Corp,* Galena, Alaska, was awarded a $12,000,000 modification (P00005) to contract W911SA-17-D-2001 for sustainment, modernization and improvement projects for the 88th Army Reserve Centers throughout the Ozark Region, to include Iowa and Missouri. 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 1, 2022. The 419th Contracting Support Brigade, Fort McCoy, Wisconsin, is the contracting activity. Troop Contracting Inc.,* Willowbrook, Illinois, was awarded a $12,000,000 modification (P00003) to contract W911SA-17-D-2002 for sustainment, modernization and improvement projects for the 88th Army Reserve Centers throughout the Hoosier Region, to include Indiana. 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 1, 2022. The 419th Contracting Support Brigade, Fort McCoy, Wisconsin, is the contracting activity. U.S. SPECIAL OPERATIONS COMMAND Sierra Nevada Corp., Sparks, Nevada, was awarded an $88,000,000 modification on an indefinite-delivery/indefinite-quantity, firm-fixed-price, cost-plus-fixed-fee, and cost reimbursable contract (H92241-19-D-0009) in support of U.S. Special Operations Command (USSOCOM) for the Degraded Visual Environment Pilotage System. This modification raises the contract ceiling to $110,000,000. Fiscal 2019 procurement funds in the amount of $5,000,000 are being obligated at the time of award. The majority of the work will be performed in Sparks, Nevada. This contract is a non-competitive award and is in accordance with Federal Acquisition Regulation 6.302.1. USSOCOM Headquarters, Tampa, Florida, is the contracting activity. *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2161130/source/GovDelivery/

By: Lt. Col. Daniel L. Davis (ret.) As Congress and the White House cope with the economic fallout of the coronavirus pandemic by passing multitrillion-dollar stimulus packages, many are already grappling with the thorny problem of how we'll eventually pay for the spike in spending. While no one ever wants to be a bill-payer, the defense industry is predictably first out of the blocks seeking immunity from any future cuts by trotting out its favorite weapon: fear. Don't be fooled by this tried-and-true tactic: The claim that any cuts to the defense budget will imperil defense is gravely mistaken. Without changes in the foreign policy we enact — and a rational reform of how we spend our defense dollars — our national security will continue to decay. First, the cold, hard economic reality: The damage done to our economy by the necessary measures federal and state governments have enacted to safeguard American lives has been breathtaking in its scope and severity. Some estimates suggest gross domestic product will contract this year by as much as 40 percent, and unemployment could balloon to 30 percent. To help stem the tide, Congress has already passed a $2 trillion stimulus package, with more yet to come. With an already massive national debt of $24 trillion, the combination of government spending and the loss of tax revenue is going to place serious pressure on future budgets for years to come. These bills will eventually have to be paid, and no area of the budget will be free from scrutiny — including defense. Though the Department of Defense should be funded to whatever level is required to ensure the ability of our armed forces to deter and, if necessary defeat any adversary that may seek to deprive our citizens of life or liberty, not all aspects of the status quo are helping keep us safe. Retired Army Lt. Gen. Thomas Spoehr recently co-wrote an article arguing that regardless of the financial strain imposed by the coronavirus stimulus bills, defense spending should be exempted. The reason, he says, is that the military today remains in a yearslong “free-fall” which “can't be fixed in a year or even four.” The last thing America's leaders should do when responding to the financial constraints imposed by the coronavirus, he concludes, is to “weaken the military.” His implications that military readiness has been in free fall because of inadequate spending and that any reduction in defense spending weakens the military are beliefs held by many — and are inaccurate for several key reasons. Clinging to forever wars might be the biggest. The DoD has to spend hundreds of billions annually to fight, maintain and prepare for subsequent deployments fighting the forever wars we've been waging for the better part of two decades. Congress has allocated more than $2 trillion in direct outlays since 9/11 to fight so-called emergency requirements of overseas contingency operations, or OCO, and we have incurred an additional $4 trillion in associated and long-term costs. For fiscal 2020 alone, we will spend upward of an additional $137 billion on these OCO wars. What is critical to understand, however, is that the perpetual continuation of these wars not only fails to improve our security — these fights negatively impact our ability to focus on and prepare for fighting adversaries that could one day pose an existential threat to us. The implications of this reality are considerable — and potential remedies can be of great help to our country. If President Donald Trump were to order an end to some or all of our unnecessary forever wars, we could instantly save more than $100 billion a year without cutting anything else in the defense budget. If we then conducted prudent and necessary reforms in how we manage research and development, procurement, and acquisition, and in shedding unnecessary or outdated expenditures, tens of billions of additional savings could be realized. Perhaps more importantly we could redirect much more focus and resources on training and professional education, which would enable the armed forces to better deter — and if necessary defeat — major opponents. Those two major changes alone would end the weakening of our military and materially contribute to strengthening its key capabilities — while lessening pressure on the federal budget. The financial pressures this coronavirus is already placing on our nation's finances is real, and its effects will be felt for years. We will have to make hard decisions in the days ahead on where we spend our limited resources. If we are wise, we can reduce how much we spend on defense while simultaneously increasing our military power. Retired U.S. Army Lt. Col. Daniel L. Davis is a senior fellow for Defense Priorities. He retired from the Army in 2015 after 21 years in service that included four combat deployments. https://www.defensenews.com/opinion/commentary/2020/04/22/covid-19s-fiscal-impact-might-ironically-strengthen-national-defense/

By: Valerie Insinna WASHINGTON — Lockheed Martin anticipates another wave of international F-16 sales, with countries from Africa, South America and Southeast Asia among those interested in purchasing the jet, the company's chief financial officer said Tuesday. “I think this is a good fourth-generation aircraft for those customers that can't afford the F-35 or, frankly, can't at this time buy the F-35,” Lockheed CFO Kenneth Possenriede told investors during an April 21 earnings call. “It might be a good intermediary step for customers to go from the F-16 to F-35. So we see it frankly as complementary and not competing against themselves.” Unlike the F-35 program, which is seeing disruption within its supply chain that could delay future deliveries, the F-16 production line has experienced little impact as a result of the coronavirus pandemic, Possenriede said. The company moved production of the F-16 production line from Fort Worth, Texas, to Greenville, South Carolina, in 2019 to accommodate production of 16 Block 70 aircraft for Bahrain. Since Bahrain's order in 2018, Lockheed has garnered contracts for eight F-16s for Bulgaria, 14 aircraft for Slovakia, and is working with the U.S. government on a sale of 66 jets for Taiwan. “We also have a couple of orders for F-16 that we're working to try to shape,” Possenriede said. “There is an African country that is interested in F-16, so we're hopeful that will happen. [There is also a] South American country, and then there are some Southeast Asian countries that are interested in F-16 as well.” Possenriede didn't detail which nations were considering purchases of the F-16, as defense companies typically wait until international militaries publicly declare their interest in a sale before talking about specific customers. Richard Aboulafia, an aerospace analyst with the Teal Group, said there's a “pretty good chance” that some of those orders materialize. “Lockheed was doing a disservice by forgetting the F-16 program for so many years. They had this idea that the future was F-35 and nothing but F-35, ignoring the part of the market that is not prepared to buy the F-35 price tag,” he said. “It's actually a really good franchise with a really solid core market. It seems ill-advised to neglect it.” If a new customer in Africa is looking to buy F-16s, it could be Botswana, which has indicated an interest in buying fighter jets, Aboulafia said. Lockheed has already sold F-16s to Morocco and Egypt, and the U.S. State Department in 2019 cleared Morocco for new F-16s and upgrades. In South America, Lockheed has been trying to sell F-16s to Argentina for years, but Aboulafia believes a second order for Chile is a more likely prospect. In Southeast Asia, a sale to Indonesia “would seem to be one of the most likely possibilities,” he added. https://www.defensenews.com/global/mideast-africa/2020/04/22/lockheed-looking-to-sell-additional-f-16s-to-customers-in-africa-south-america/

By: Joe Gould WASHINGTON ― Factory closures in Mexico due to the coronavirus pandemic are hurting U.S. defense firms, and the Pentagon is urging America's neighbor to the south to reopen vital suppliers. Because Mexico has not designated its aerospace and defense sector as essential, it's disrupting the supply chain for the American defense industrial base, particularly aircraft manufacturers. Though little known, Mexico's defense exports to the U.S. and beyond grew mightily over the last 15 years as defense firms large and small opened production facilities there. Speaking to reporters at the Pentagon on Monday, Undersecretary of Defense for Acquisition and Sustainment Ellen Lord said she discussed the problem with U.S. Ambassador to Mexico Christopher Landau. She was planning a letter to Mexican Foreign Affairs Minister Marcelo Ebrard, she said, to ask that he, “help reopen international suppliers there. “These companies are especially important for our U.S. airframe production.” The pandemic has raised broader questions about America's dependence on global supply chains, particularly its reliance on China for key medicines and supplies. A Pentagon task force set up to monitor COVID-19′s impact on military suppliers found “several pockets of closure” linked to “international dependencies,” Lord said. “Mexico right now is somewhat problematical for us but we're working through our embassy, and then there are pockets in India as well,” Lord said. More broadly, only small fractions of the Pentagon's suppliers in the U.S. have closed due to the new coronavirus and distancing measures imposed to fights its spread, but the aviation, shipbuilding and small space launch subsectors have been hardest hit by disruptions from the virus, Lord said. The Pentagon is using $250 million from last month's emergency stimulus funding to bolster defense firms, and it will funnel another $750 million to medical resources. The Defense Department is also working with the White House budget office to request “billions and billions” of dollars in future fiscal packages to cover schedule delays, accelerated progress payments and other costs, Lord said. A Pentagon spokesman declined to provide details about the products and companies impacted by the Mexican factory closures, and said Lord's letter to Ebrard was not being shared publicly because it contained sensitive information. A 2013 United States International Trade Commission report noted that General Electric, Honeywell, Lockheed Martin and Eurocopter were among more than a dozen U.S. firms of various sizes that opened Mexican subsidiaries ― all part of a Mexican aerospace export boom. Mexico's growth was fueled by its lower manufacturing costs, duty-free access to markets through the North American Free Trade Agreement, a Bilateral Aviation Safety Agreement with the U.S., and by Mexican government subsidies and workforce development efforts. According to the Mexican Federation of Aerospace Industries, or FEMIA, Mexico's aerospace exports rocketed from $1.3 billion in 2004 to $9.6 billion last year. Lizcano said Mexico manufactures everything from avionics, to landing gear and fuselages, and it's in the top ten overseas suppliers to the U.S. aerospace and defense sector. But coronavirus is blunting Mexico aerospace growth, and it is reverberating across its economy. Mexico's Labor Department said this month that the country had lost 346,748 jobs since mid-March due to the economic impact of the new coronavirus. FEMIA is arguing publicly that its government should designate Mexico's aerospace and defense sector as “essential,” to synchronize with the U.S. and Canada, its general manager, Luis Lizcano, told Defense News. It's also coordinating with its trade association counterparts in the U.S. and Canada. “What we're asking is that we standardize in this sector because we're going to break with supply chains with OEMs for commercial and defense aircraft,” Lizcano said. The U.S.-based Aerospace Industries Association had a similar argument: “Maintaining the free flow of goods and services between the United States, Canada, and Mexico is vital to our nation's economy and to our industry," AIA President and CEO Eric Fanning said in a statement. He hailed the recent United States-Mexico-Canada Agreement as aid to that goal. “However, this certainty is currently threatened by disruptions in America's common aerospace and defense supply chain affecting companies of all shapes and sizes. To restore certainty and keep goods and services moving, all levels of government within the U.S., Canada, and Mexico must work together to provide clear, coordinated, and direct guidance about how best to protect our workers, while ensuring aerospace and defense is declared an ‘essential' function in all three countries. "A unified North American approach helps ensure critical operations will continue under some of the strictest health and safety standards in the world and offer much-needed stability during this crisis.” On Monday, the CEO of the National Defense Industrial Association, retired Gen. Herbert “Hawk” Carlisle, said the increasingly global nature of some American defense supply chains cannot and should not be reversed. The U.S. ought to keep its suppliers diversified, he said, to avoid choke points overseas. “What you don't want are single points of failure where if something happened in that country, it couldn't produce,” Carlisle said. “You have [to have] multiple, avenues to supply that capability. Some may be internal, and you can have more than one nation external.” https://www.defensenews.com/2020/04/21/covid-closed-mexican-factories-that-supply-us-defense-industry-the-pentagon-wants-them-opened/

By: Valerie Insinna WASHINGTON — The coronavirus pandemic has rattled Lockheed Martin's aeronautics business, with the F-35 joint strike fighter program facing the prospect of a slowdown in deliveries, company executives said Tuesday. “The disruptions introduced by the virus have caused us to reduce our 2020 sales expectations as production and supply chain activities have recently slowed in our aeronautics business area,” Lockheed CEO Marillyn Hewson said during an April 21 earnings call with investors. The company now projects its total sales for 2020 will amount to anywhere from $62.25 billion to $64 billion dollars — down from the the $62.75 billion to $64.25 billion it had previously estimated in January. Production of the F-35 has been the hardest hit by the COVID-19 pandemic so far, said Ken Possenriede, the company's chief financial officer. “There's more analysis that we're going to do over the next couple of weeks working with our supply chain, our Fort Worth production line to determine — if any impact — to what extent it will be, including deliveries,” he said. Lockheed's acknowledgement of COVID-19 related challenges comes a day after the Pentagon disclosed schedule delays across its major weapons acquisition efforts, with aviation programs hit particularly hard by the effects of the pandemic. “We believe there will be a three-month impact that we can see right now. So we're looking at schedule delays and inefficiencies and so forth. That isn't a particular program, that's [major defense acquisition programs] in general,” Ellen Lord, the Pentagon's top acquisition official, told reporters Monday. While Lord did not name specific programs that could be delayed, Possenriede said Tuesday that disruptions to the F-35 program were likely due to pressures faced by domestic and international companies within the jet's global supply chain. “There are local distancing requirements that are being more stringently applied across the globe. There is workforce disruption,” he said. “We've actually had some issues with shipping constraints.” Most recently, Lockheed's supply chain team discovered an issue with suppliers' performance-based payment invoices, which get delivered to Lockheed after certain milestones are completed, Possenriede said. “There are a couple suppliers that are going to be delinquent in April. Some of them are for administrative reasons — we'll work through that. That's just timing. Some of them is due to them not achieving their milestones,” he said. “Most of it is going to be COVID-related. We're looking at that.” Despite the challenges in keeping F-35 production smooth, there has been little change to other aspects of the program, Possenriede said. Development and follow-on modernization activities have continued with “little to no impact.” And while Lockheed contractors have faced some barriers reporting to work at certain bases where they help perform repairs or stand up maintenance operations, Possenriede said there has been minimal impact to F-35 sustainment. https://www.defensenews.com/air/2020/04/21/f-35-deliveries-could-slow-down-as-covid-19-jolts-lockheeds-supply-chain/

Nathan Strout A new satellite that will provide weather data for U.S. military operations has passed its critical design review, Ball Aerospace announced April 20, and the company is now moving forward into full production. The Weather System Follow-on satellite is meant to fill three vital space-based environmental monitoring gaps identified by the Defense Department: ocean surface vector winds, tropical cyclone intensity and low-Earth orbit energetic-charged particles. The satellite will include a passive microwave-imaging radiometer instrument for the first two missions, which will provide timely weather collection in support of maneuvering forces. A government-furnished energetic-charged particles sensor will be used for the third mission, which will provide important space weather capabilities such as the ability to characterize operational orbits, space situational awareness and information on the ionosphere. “Measuring and understanding the physical environment is critical to military operations, from determining tropical cyclone intensity for asset protection and maneuver operations to how wind and sea state play into assured access and aircraft carrier operations,” Mark Healy, Ball Aerospace's vice president and general manager of national defense, said in a statement. In addition, the WSF satellite will collect information on sea ice characterization, soil moisture and snow depth. Ball Aerospace is the prime contractor for the entire WSF system, meaning it will deliver the space vehicle along with instrument, spacecraft and system software and algorithms for data products. The company was initially awarded $93,713,423 in November 2017 to design the system, and a year later was awarded an additional $255,418,494 to develop and fabricate the satellite. According to the Space Force, the WSF satellite is projected for a launch in fiscal 2024. https://www.c4isrnet.com/battlefield-tech/space/2020/04/21/ball-hits-milestone-with-weather-system-follow-on/

DEFENSE LOGISTICS AGENCY US Foods, Los Angeles, California, has been awarded a maximum $478,020,000 fixed-price with economic-price-adjustment, indefinite-delivery/indefinite-quantity contract for full-line food distribution. This was a competitive acquisition with three responses received. This is a five-year contract with no option periods. Locations of performance are Arizona and California, with an April 19, 2025, performance completion date. Using customers are Air Force, Army, Marine Corps, Coast Guard and federal civilian agencies. Type of appropriation is fiscal 2020 through 2025 defense working capital funds. The contracting activity is Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE300-20-D-3266). Shamrock Foods, Commerce City, Colorado, has been awarded a maximum $45,000,000 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 five-year contract with no option periods. Locations of performance are Colorado and Wyoming, with an April 20, 2025, performance completion date. Using customers are Air Force, Army, Marine Corps and federal civilian agencies. Type of appropriation is fiscal year 2020 through 2025 defense working capital funds. The contracting activity is Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE300-20-D-3268). Cottonwood Inc., Lawrence, Kansas, has been awarded a maximum $8,428,000 firm-fixed-price, indefinite-quantity contract for aircraft cargo tie down straps. 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 Kansas, with a May 3, 2025, performance completion date. Using customers are Air Force, Army, Navy and Marine Corps. Type of appropriation is fiscal 2020 defense working capital funds. The contracting activity is the Defense Logistics Agency Aviation, Richmond, Virginia (SPE4A7-20-D-0222). NAVY United Technologies Corp., Pratt and Whitney Engines, East Hartford, Connecticut, is awarded an $111,131,635 modification (P00019) to a previously-awarded fixed-price-incentive-firm, cost-plus-incentive-fee and cost reimbursable contract (N00019-18-C-1021). This modification exercises an option for the production and delivery of four Prat & Whitney (PW) F135-PW-600 propulsion systems for the Marine Corps to be installed in F-35B short take-off and vertical landing aircraft. Work will be performed in East Hartford, Connecticut (51.7%); Indianapolis, Indiana (38.8%); and Bristol, United Kingdom (9.5%), and is expected to be complete by July 2022. Fiscal 2020 aircraft procurement (Navy) funds in the amount of $111,131,635 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. General Electric Aviation Systems, Vandalia, Ohio, is awarded a $72,479,880 modification (P00009) to previously-awarded firm-fixed-price contract (N-00019-18-C-0004). This modification exercises options to procure 140 generator converter units (GCUs) G3 to G4 conversion kits, 260 G4 GCUs and 140 wiring harnesses in support of F/A-18E/F Super Hornet and E/A-18G Growler warfare aircraft electrical systems. Work will be performed in Vandalia, Ohio, and is expected to be complete by December 2022. Fiscal 2020 aircraft procurement (Navy) funds in the amount of $72,479,880 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. II Corps Consultants Inc.,* Fredericksburg, Virginia, is awarded a $68,650,500 firm-fixed-price, indefinite-delivery/indefinite-quantity contract (M-00264-20-D-0005) for the Center for Advanced Operational Culture Learning program. Work will be performed in Fredericksburg, Virginia (50%); Bahrain (25%); and Afghanistan (25%). The Center for Advanced Operational Culture Learning ensures Marines deploy with an operational understanding of the local military and partner cultures and regional dynamics relevant to the mission, with select Marines being language-enabled, in order to facilitate mission success. Work is expected to be complete by April 2025. This contract has a five-year ordering period with a maximum value of $68,650,500. Fiscal 2020 operations and maintenance (Marine Corps) in the amount of $1,997,452 will be obligated at the time of award for the first task order and will expire at the end of the current fiscal year. This contract was competitively solicited via the Federal Business Opportunity website, with one proposal received. The Marine Corps Installation National Capital Region - Regional Contracting Office, Quantico, Virginia, is the contracting activity. AIR FORCE AAR Manufacturing Inc., Cadillac, Michigan, has been awarded a $39,629,731 contract for 463L cargo pallets for the Support Equipment and Vehicles Division, Robins Air Force Base, Georgia. The contract provides for the production and repair of 20,000 new production units and 10,580 units for pallet repairs under the basic contract. Work will be performed in Cadillac, Michigan, and is expected to be completed April 20, 2022. This award is the result of a sole-source acquisition. As this is a requirements type contract, no funds are being obligated at contract award. Fiscal 2019 and 2020 procurement funds for new production units; and fiscal 2020 operations and maintenance funds for repair units will be obligated at the time of delivery order award. The Air Force Life Cycle Management Center, Robins Air Force Base, Georgia, is the contracting activity (FA8534-20-D-0003). Cape Fox Facilities Services LLC, Manassas, Virginia, has been awarded a definitive contract for heating ventilation and air conditioning repair and replace construction services. This contract provides for the complete replacements and/or repair of air handling units at the Tinker Air Force Base Sustainment Center, Oklahoma. Work will be performed at Tinker Air Force Base, Oklahoma, and is expected to be complete by Aug. 30, 2021. Fiscal 2020 operations and maintenance funds in the amount of $27,419,359 are being obligated at the time of award. The 72nd Air Base Wing Civil Engineer Directorate, Tinker Air Force Base, Oklahoma, is the contracting activity (FA8137-20-C-0012). ARMY L3Harris Technologies, Palm Bay, Florida, was awarded a $27,363,117 cost-no-fee, cost-plus-fixed fee contract to provide sustainment and support for the fielded modernization of enterprise terminals and AN/GSC-52 medium satellite communications terminal modernization programs. Bids were solicited via the internet with one received. Work will be performed in Palm Bay, Florida, with an estimated completion date of April 21, 2025. Fiscal 2020 operations and maintenance, Army; and other procurement, Army funds in the amount of $27,363,117 were obligated at the time of the award. U.S. Army Contracting Command, Rock Island Arsenal, Illinois, is the contracting activity (W52P1J-20-C-0014). P&W Construction Co. LLC,* Knoxville, Tennessee, was awarded an $8,417,700 firm-fixed-price contract for renovation of an existing dormitory facility. Bids were solicited via the internet with five received. Work will be performed in Louisville, Tennessee, with an estimated completion date of April 20, 2021. Fiscal 2020 Air National Guard sustainment, restoration and modernization funds in the amount of $8,417,700 were obligated at the time of the award. U.S. Property and Fiscal Office, Nashville, Tennessee, is the contracting activity (W50S98-20-C-7001). *Small business https://www.defense.gov/Newsroom/Contracts/Contract/Article/2158770/source/GovDelivery/