$492M to Staff Some US Military Hospitals

Walter Reed Army Hospital

July 25/11: Medical care is becoming a significant item in the US defense budget, and its growth is a source of concern. Most of that relates to health care benefits, but the US military also pays to staff its facilities with doctors and nurses. The USA Healthcare Acquisition Activity in Frederick, MD recently issues a $492 million multiple-award contract to 3 of 40 contractors, for just that purpose at Medical Treatment Facilities in the D.C. National Capital Region (NCR), as well as logical extensions of those facilities in Maryland/DC/Northern Virginia, West Virginia, Philadelphia, New Jersey, and Pennsylvania. Thew winning contractors will provide physician, nursing and ancillary services to July 2015. See also FBO.gov notice. The winners will compete for task orders under this umbrella contract:

• Healthcare Services of North America, joint venture in Petal, MS (W91YTZ-11-D0015)
  
• Magnum Opus Technologies, San Antonio, TX (W91YTZ-11-D0016)
  
• Nurse Etc. Staffing in Universal City, TX (W91YTZ-11-D0017).

Maintaining & Running Diego Garcia, FY 2007-2011

Located in the middle of the Indian Ocean, the British Indian Ocean territory of Diego Garcia is a key strategic base that acts as a staging area for navy ships, long-range bombers, aerial tankers, and other military assets whose missions take them to Africa, Asia, and the Middle east. Secondary missions include its status as one of the Space Shuttle’s emergency landing sites, and hosting one of Global Positioning System’s 3 ground antennas, as well as facilities belonging to the USA’s Space Surveillance Network.

The UK/ U.S. treaty that turned the island into a military base was signed in 1966. It runs until 2036, but either government can opt out in 2016. Meanwhile, there’s the non-trivial matter of supplying, improving, and operating the island’s military infrastructure. This article offers a look into those contracts, over a slice of time from FY 2007-2011…

USAF Buys One of Its Leased Gulfstream Vs

USAF C-37A
(click to view larger)

On July 27/11, the Pentagon announced a $26.8 million contract to Gulfstream Aerospace Corp. in Savannah, GA to buy 1 leased aircraft, in accordance with option terms of the contract. Research reveals that the plane is a C-37A Gulfstream V long-range business jet, flown under a 10-year, $477.3 million lease of 5 planes, signed in October 2000. The USAF currently flies 9 C-37s: 4 at Andrews Air Force Base, MD; 3 at MacDill AFB, FL; and 1 each at Hickam AFB, Hawaii, and Chievres Air Base, Belgium. They are used as longer-range counterparts to its C-20 Gulfstream III/IV VIP jets, and include secure military communication equipment on board.

The OC-ALC/GKSKB at Tinker Air Force Base, OK manages this contract (F33657-00-C-0038, PO 0183).

Rapid Fire 2011-07-29: Intrepid Tiger II

• A recent meeting of the Defense Business Board at the Pentagon recommended the creation of a single Defense Logistics Organization (DLO) [PDF]. The Board argued that a single DLO with sole responsibility for supply, maintenance and transportation would increase logistics effectiveness and efficiency.

• The former Director of National Intelligence, Admiral (Ret.) Dennis Blair, tells the Aspen Security Forum that the United States should stop unilateral drone attacks and work in closer partnership with countries where unmanned campaigns are conducted. See embedded video at the bottom of this entry.

• Raytheon’s Second Quarter Results show net sales of approximately $6.2 billion, a slight increase on corresponding figures for 2010. The company’s Chairman and CEO attributes a strong second quarter performance to its ‘focus on execution and cost reduction strategies’.

• A US Marine Corps Officer tells the Lexington Institute’s Capitol Hill Electronic Attack Conference that the service is preparing to undertake tests on the new Intrepid Tiger II [PDF] communications intelligence and jamming pod.

• Israel and India are reportedly negotiating to buy 3 more IL-76 Phalcon AWACs aircraft, to follow the current order of 3. IAI had been touting the long-range G550 CAEW used by Israel and Singapore as an even better follow up.

• EADS attributes its ‘solid results’ for the first half year 2011 to strong demand in the commercial aviation sector. The company reports that revenues increased in the first six months of 2011 by 8% to €21.9 billion ($31.2 billion).

• Dassault accuses Safran of holding up talks in relation to the French Government-backed deal to swap assets with Thales.

• The US Army awards Olin Corporation a $29 million contract to provide Small Caliber Ammunition for Caliber .50, 7.62mm and 5.56mm.

• Russia is studying the possibility of deploying paratroopers as part of its multi-branch Arctic contingent.  This may be extended to helicopter regiments by 2020, when Russia’s arms procurement program is due to be completed.

• A number of blog articles have highlighted the problems the Indian Air Force faces in keeping its ageing fleet of Soviet-built fighters airworthy. This may have proved influential upon recent decisions taken in relation to India’s Medium Multi-Role Combat Aircraft (M-MRCA) competition.
  

US Naval Special Warfare: Training Families

This can be
the easy part…

Deployments aren’t easy for active personnel. They can be even harder on families, and the impacts don’t end when the deployment does. In recent years, the US military has recognized the effect family difficulties have on its all-volunteer force, and placed a higher priority on family assistance programs. The priority is especially urgent with respect to special forces, who are deployed more often because they’re in such high demand. That means trouble if family problems cause them to decide to do something else. Even if replacing existing operators is possible, it’s time-consuming, difficult, and costly.

One example of the US military’s response is the Naval Special Warfare (NSW) Resiliency Program, which recently issued a contract worth up to $44.4 million to Loving Couples Loving Children, Inc. in Seattle, WA. This LCLC program was originally developed by John and Julie Gottman for low-income couples expecting a child…

Rapid Fire 2011-07-28: High Altitude Long Endurance-Demonstrator (HALE-D) Launch

• Northrop-Grumman reports second quarter 2011 sales of $6.56 billion compared with $7.26B for the previous year’s period. Lower US Department of Defense (DoD) outlays among the factors identified as contributing to reduced quarter sales.

• Meanwhile, General Dynamics’ Second Quarter 2011 Results saw revenues totaling $7.9 billion, a decline from 2010′s figure of $8.1 billion. Orders for defense materiel contributed to a total backlog of $57.1 billion across all the company’s products.

• Following Beijing’s recent confirmation of its aircraft carrier program, a number of Asian countries reiterate their concerns over China’s naval buildup. Australia’s Minister of Defence uses his visit to the United States to re-emphasize the importance of India to the wider region.

• Lockheed Martin announces the launch of its High Altitude Long Endurance-Demonstrator (HALE-D) airship from the Airdock in Akron, Ohio. Despite a successful launch, a technical anomaly eventually forced the flight to be abandoned.

• Rolls-Royce’s Half-Yearly 2011 Results reveal that underlying profit before tax is up by 28% to £595 million ($973 million). The engine-maker also benefited from one-off contract termination settlements resulting from the UK’s Strategic Defence and Security Review (SDSR).

• BAE Systems is also confident that it has delivered a robust set of half year results in the face of challenging market conditions. The company reports headline sales of £9.2 billion ($15 billion), down from £10.6 billion ($17 billion) in 2010, and underlying earnings of £968 million ($1.6 billion).

• Thales’ 2011 first half results show a 48% increase in underlying earnings in comparison with last year’s figures. However, defense and security orders declined by 3% over the same time period.

• Russia test fires a RSM-54 Sineva submarine-launched ballistic missile (SLBM) in the Barents Sea. The SLBM was launched from the Yekaterinburg nuclear powered submarine.

• A Filipino man is expected to plead guilty to trying to sell a US Government-owned RQ11-A/B Raven UAV for $13,000 on eBay.

• As the UK announces its recognition of Libya’s National Transitional Council (NTC) as the ’legitimate governing authority’, pictures show the ‘Free Libyan Air Force’s' MiG-21 fighters seemingly contravening the NATO no-fly zone.

Rapid Fire 2011-07-27: China’s Aicraft Carrier Intentions

• The Vice Chiefs of Staff tell the House Armed Services Subcommittee on Readiness that a decade of conflict has eroded operational preparedness. Concerns were also raised regarding the impact of $400 billion worth of defense cuts upon equipment. A video of the hearing is available below in the extended part of this entry. DODbuzz summary.

• China officially confirms for the first time that it is in pursuit of an aircraft carrier program. Reports also emerge that the development of two indigenous carriers is now underway. Meanwhile, the country follows up its strategic dialogue with South Korea by resuming defense talks – and eventually military exchanges – with Japan.

• Reports emerge that the UK Ministry of Defence (MoD) has spent almost £1 billion ($1.6 billion) on taxpayer-funded credit cards over the past four years. The news follows recent announcements concerning the reduction of UK troop levels.

• Russian Prime Minister Vladimir Putin demands the prompt completion of the remaining 30% of contracts under 2011 state arms procurement program.

• EADS’ Airbus subsidiary announces that it has made a bid to acquire Denmark’s Satair. Airbus has offered $504 million for the aircraft parts manufacturer and hopes to complete the acquisition in the third quarter of this year.

• General Dynamics awarded a £110 million ($180 million) Bowman ComBAT Information and Platform BISA (BCIP) Sustainment Programme contract by the UK MoD. The contract will include the migration from BCIP 5.4 capability to BCIP 5.5 capability within two years.

• The US Army awards MSE Technology Applications with a contract with a potential value of almost $23 million for basic research related to missile and space systems.
  

Incoming & Hostile: The USN’s JATAS Aircraft Warning System

AH-1Z: Hellfire test

The US military has been conducting a pair of competitions for defensive warning systems to equip its helicopters and transports. The Army’s CIRCM remains a hot competition as of July 2011, but the US Navy and Marines have picked their winner for the Joint and Allied Threat Awareness System (JATAS).

This missile and gunfire warning system will equip the services’ MV-22B Osprey, MH-60R/S Seahawk, AH-1Z Viper, UH-1Y Venom and CH-53K HLR platforms, replacing ATK’s AN/AAR-47 Missile Approach Warning System.

Afghan Forces Getting More HMMWVs, 2010-Present

M1152A1B2

Afghan forces have been ordering HMMWV vehicles from the US government, in order to equip their growing forces. That in itself is no revelation. Even before the 2010 order, the ANA already used up-armored Humvees. It’s the scale of recent orders that’s worth noting. If financed by the Afghan government, the 2010 order alone would represent about 85% of Afghanistan’s 2009/10 security budget all by itself, and about 41% of all domestic revenue, per the Ministry of Finance’s 2008-13 strategic plan [PDF].

Announced contracts to date include:

Rapid Fire 2011-07-26: Acoustic Shooting Locating System

• The Government Accountability Office (GAO) publishes Defense Department Cyber Efforts [PDF]. The report raises concerns about the DoD’s initial responses to cyber threats.

• A senior Israel Air Force Officer (IAF) tells an Israel Technology Group conference that the successful deployment of Rafael’s Iron Dome missile interception system in April prevented an escalation of conflict with the Gaza Strip.

• The US Army awards Hamilton Sundstrand a contract with a maximum potential value of almost $38 million for miscellaneous and unspecified communications equipment.

• Rheinmetall announces that the first basic version of its Acoustic Shooting Locating System (ASLS) is ready for the marketplace.

• Terrabon announces that it has been awarded a $9.6 million contract [PDF] to design a renewable jet fuel production solution for the Defense Advanced Research Projects Agency (DARPA). The Houston-based company’s MixAlco bio-refining technology will likely underpin research and development.

• The Center for Nonproliferation Studies’ (CNS) current Nonproliferation Review includes an article [PDF] stating that between 1997 and 2009 North Korea accounted for more than 40% of the 1,200 ballistic missile systems exports to the developing world.

• Australia’s Ministry of Defence signs a AUD25 million ($28 million) contract with Thales Australia for nine additional training simulators for army crews operating the Australian Light Armoured Vehicle (ASLAV).

• Boeing is working on a new vertical take-off and landing (VTOL) aircraft using jets called Pulse Ejector Thrust Augmentors (PETA), based on technology originally developed by Nazi Germany.

• The revival of the state-owned Fabrica Argentina de Aviones (FAdeA) continues following the recent announcement of the company’s upgrades for the IA-58 Pucara counterinsurgency aircraft.