On December 1, 2006, DID published “Sikorsky Parts Issues Receiving Media Attention,” covering work by the Project on Government Oversight (POGO) and WTNH TV re: “high visibility issues” related to Sikorsky helicopters and parts.
Now WTNH’s Alan Cohn reports in “Shake-up at Sikorsky following Defense Department letter” that the Defense Contract Management Agency has escalated Sikorsky to a Level III Corrective Action Request. This gives Sikorsky 30 days to fix recurring problems in Black Hawk quality control, and demands “immediate action to mitigate mounting risk.” The letter says “management oversight is out of control” and describes quality problems as “mounting in seriousness”. In response Sikorsky has reportedly fired its VP operations and is making other moves. The complete DCMA letter is reproduced below:
With Turkey’s Defense Industry Executive Committee convening on December 12, 2006 to discuss the F-35 Lightning II’s looming production MoU milestone (among other issues), Eurofighter officials said that the group has made Turkey an offer of its own for the estimated $10-12 billion fighter program. The consortium is offering Turkey “equal partnership with equal voting rights as other member nations” and a sliding scale of local work share depending on the number of fighters bought. The offer reportedly includes a $9 billion local work share with a 120 fighter buy, $6 billion with 80 aircraft, or $3.2 billion with a 40 aircraft purchase.
On November 7, 2006 The US Department of Defense has awarded a Raytheon/ US Navy partnership a Performance Based Logistics Award (sub-system level) for performance based logistics that has improved the availability, reliability and mission success of the AN/AAS-44(v) forward looking infrared system for the H-60 Seahawk helicopter. This FLIR system allows H-60 aircrews to detect, track, classify, identify and attack targets such as fast patrol boats, mine-laying craft, or even land targets. Along with Raytheon, the award recognizes Naval Air Systems Command (NAVAIR), Fleet Readiness Center Southeast, and the Naval Inventory Control Point.
Raytheon Space and Airborne Systems (SAS) is in the fourth year of a 10-year firm fixed price contract valued at $123 million to provide performance based logistics and mission support for the AN/AAS-44(v) FLIR. “Performance-based logistics” is a global trend in advanced militaries; it can use a range of contract options, but its core focus is a shift from pay-per-part to paying for agreed-upon benchmarks of performance in reliability, availability, et. al. Award documentation notes that the Raytheon/ Navy AN/AAS-44(v) team has steadily maintained 100% availability and achieved a 40% growth in system reliability improvement. The program is also providing increased spares availability, a 65% improvement in logistics response time, and estimated savings and cost avoidance for the Navy of $31 million. Raytheon release.
The Naval Facilities Engineering Command Southwest, Specialty Center Contracts Core in Port Hueneme, CA has issued a trio of $16 million modifications to exercise a third option period under cost-plus award-fee, firm-fixed-price, indefinite-delivery/ indefinite-quantity contracts for fuel systems engineering services. These 3 firms will provide a variety of inspections, installation, maintenance, repair, modification, and upgrades of ocean, inter-terminal and intra-terminal petroleum, oil, and lubricants pipelines and related facilities throughout the world. This modification also increases the value of the basic 2003 contract, making the current total value for all 3 contracts $64 million. Work will be performed at various locations worldwide, and is expected to be complete December 2007. The modifications were awarded to:
Shaw Environmental Inc. in Irving, TX (N47408-04-D-8503)
Veco Federal Inc. in Greenwood Village, CO (N47408-04-D-8504)
Weston Solutions Inc. in West Chester, PA (N47408-04-D-8505)
