Sat, 19 Sep 2020

High-spending Pentagon dishes out $562 million

Lola Evans
19 Jan 2020, 04:01 GMT+10

WASHINGTON, DC - The Pentagon on Thursday awarded more than half-a-billion dollars in defense contracts.

With around 0.53 cents in every $1 of U.S. taxation going on military spending, and the Trump administration advocating for more build-up in military assets, the race is on to win lucrative contracts.

The biggest contract awarded Thursday was by the U.S. Air Force. The winner was Raytheon Co., of Marlborough, Massachusetts, which landed a $442 million cost-plus-incentive-fee undefinitized contract action for the force element terminal (FET) development effort.

The contract provides for the design, development, testing, integration, and logistical support of a FET system that will transition the B-52 and RC-135 hardened communication terminals from the Military Strategic Tactical Relay satellite communications satellite constellation to the Advanced Extremely High Frequency satellite constellation.

The majority of the work will be performed at Raytheon's facilities in Marlborough, Massachusetts; and Largo, Florida, and is expected to be completed by August 2023.

This award is the result of a sole-source acquisition.

Fiscal 2019 and 2020 research, development, test and evaluation 3600 funds, in the amount of $5.8 million, are being obligated at the time of contract award. The Air Force Life Cycle Management Center, Hanscom Air Force Base, Bedford, Massachusetts, is the contracting activity.

Raytheon Co., Marlborough, Massachusetts, has also been awarded a $37 million cost-plus-fixed-fee contract modification for the software encryption platform (SEP) engineering change effort, under the Family of Advanced Beyond Line-of-Sight Terminals (FAB-T) production contract. The contract action will develop and deliver an updated National Security Agency approved SEP. Work will be performed at Marlborough, Massachusetts, and is expected to be completed by March 2023. This award is the result of a sole source acquisition. Fiscal 2019 research, development, test and evaluation funding in the amount of $1 million is being obligated at the time of award. The FAB-T Contracting Office, Hanscom Air Force Base, Massachusetts, is the contracting activity.

The U.S. Army meantime has awarded LOC Performance Products, of Plymouth, Michigan, a $41.4 million firm-fixed-price contract for the procurement of manufactured T-161 double pin track which is comprised of molded track pads, rubberized pins and forged track shoe bodies with bonded rubber backings to be used on the Army's Bradley family of vehicles, armored multi-purpose vehicle and Paladin family of vehicles. Bids were solicited via the Internet with two received. Work will be performed in Plymouth, Michigan, with an estimated completion date of Jan. 12, 2022. Fiscal 2020 other procurement, Army funds in the amount of $41.4 million were obligated at the time of the award. U.S. Army Contracting Command, Warren, Michigan, is the contracting activity.

Lockheed Martin Corp., of Orlando, Florida, was awarded a $9.8 million modification to contract for engineering services in support of the Hellfire Missile and Joint Air-to-Ground Missile. Work will be performed in Orlando, Florida, with an estimated completion date of Jan. 15, 2021. Fiscal 2020 missile procurement, Army funds in the amount of $9.8 million were obligated at the time of the award. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity.

Carter Enterprises, of Brooklyn, New York, has been awarded a maximum $21.1 million firm-fixed-price, indefinite-quantity contract for coats and trousers, for the Defense Logistics Agency. This was a competitive acquisition with six responses received. This is a one-year base contract with three one-year option periods. Location of performance is New York, with a Jan. 15, 2021, performance completion date. Using military services are Army and Air Force. Type of appropriation is fiscal 2020 through 2021 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania.

Crowley Government Services, of Jacksonville, Florida has won a $20.8 million firm-fixed-price contract with reimbursable elements extension by invoking Federal Acquisition Regulation "option to extend services" to continue the operation and maintenance of five Tactical Auxiliary General Ocean Surveillance (T-AGOS) vessels; and two missile range instrumentation ships for the U.S. Navy. This option includes a 365-day base period of performance, four one-year option periods, and a Federal Acquisition Regulation "option to extend services" option period for up to six months, which, if exercised, would bring the cumulative value of this contract to $375.2 million. Work will be performed at sea worldwide and is expected to be completed by July 21, 2020. Fiscal 2020 Navy operations and maintenance funds in the amount of $20.8 million will be awarded at the time of award and will expire at the end of the fiscal year. This contract extension was not competitively procured. The contract was prepared under the provisions of 10 U.S. Code (only one responsible source and no other supplies or services will satisfy agency requirements). The Military Sealift Command, Norfolk, Virginia, is the contracting activity.

MAC LLC, of Bay St. Louis, Mississippi, was awarded a $10 million firm-fixed-price, indefinite-delivery/indefinite-quantity contract for the purchase of up to a maximum of 2,400,000 MK323 Mod 0 polymer cased .50 caliber linked cartridges, and .50 caliber armor piercing/armor piercing incendiary polymer cased linked cartridges. Work will be performed in Bay St. Louis, Mississippi, and is expected to be completed by January 2024. Fiscal 2019 procurement ammunition (Marine Corps) funds in the amount of $3 million will be obligated on the first delivery order immediately following contract award and funds will expire the end of fiscal 2021. The contract was awarded on a sole source basis.The Marine Corps Systems Command, Quantico, Virginia, is the contracting activity.

Note: All sums mentioned have been rounded-up.

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