The Insider

By John Liang
June 13, 2016 at 9:05 AM

Some must-reads from this week's issue of Inside the Army:

1. The Army's top brass has formally endorsed the requirement for a new long-range, guided missile, forwarding a recommendation to the Office of the Secretary of Defense that the Pentagon proceed with a competition for the Long Range Precision Fires program -- potentially worth billions of dollars and expected to draw interest from Raytheon, Boeing and Lockheed Martin.

Full story: Long Range Precision Fires headed to DAB after AROC approval

2. An influential Pentagon advisory panel is recommending the Army overhaul the way it organizes and equips troops for long-haul deployments as well as expeditionary operations, calling on the service to consider two dozen new "enablers" -- including technologies -- and four new operating concepts that it argues will facilitate "decisive" strategic and expeditionary maneuver capabilities in 2025.

Full story: ASB recommends new advanced operating concepts to support 'Asia pivot'

3. The U.S. Army, currently in the midst of exercises Swift Response in Poland and Germany and Anakonda in Poland, is transitioning from an assurance to a deterrence posture in Europe, according to the head of the 21st Theater Sustainment Command.

Full story: Sustainment chief: Army shifting from assurance to deterrence in Europe

4. The Army has halted work on a six-year-old environmental study that was considering the impact of adding nearly 83,000 acres to Ft. Benning, GA, citing a reduction in requirements.

Full story: Army ends EIS that weighed adding nearly 83,000 acres to Ft. Benning

By Lee Hudson
June 13, 2016 at 9:00 AM

Some must-reads from this week's edition of Inside the Navy:

1. The Navy's expeditionary warfare office is pushing resources toward the oft-ignored area of offensive mining, including sponsoring such efforts under one of the service's largest programs of record.

Full Story: Navy's expeditionary warfare office putting focus on offensive mining

2. The White House budget office recently released a sweeping rejection of several provisions in a Senate panel's version of the fiscal year 2017 defense policy bill, including those that would dissolve the F-35 joint program office and establish Joint Strike Fighter follow-on development as a separate major defense acquisition program.

Full Story: OMB pushes back on Senate authorizers' Joint Strike Fighter provisions

3. The final demonstration for the Navy's Fuel Burn Reduction program on the Joint Strike Fighter engine is slated for the first half of calendar year 2017.

Full Story: P&W Exec: Final demo for F135 Fuel Burn Reduction program in 2017

By John Liang
June 10, 2016 at 4:20 PM

Military R&D and a new Army Science Board report are among the highlights of this Friday INSIDER Daily Digest.

A new Army Science Board report is out:

Army advisory panel recommends new advanced operating concepts to support 'Asia pivot'

An influential Pentagon advisory panel is recommending the Army overhaul the way it organizes and equips troops for long-haul deployments as well as expeditionary operations, calling on the service to consider two dozen new "enablers" -- including technologies -- and four new operating concepts that it argues will facilitate "decisive" strategic and expeditionary maneuver capabilities in 2025.

Coverage from today's DefenseOne event:

DOD R&D leaders point to major challenges U.S. faces in aim to remain competitive

Quickly adapting the Pentagon's processes to integrate commercial technology, better transitioning technology to the field and recruiting a technologically proficient workforce are some of the biggest challenges facing the United States as the nation aims to remain competitive, according to several Defense Department research and development leaders.

The successor to the ATACMS missile is inching closer to becoming a reality:

New long-range, guided missile wins AROC approval; DAB next for ATACMS follow-on

The Army's top brass has formally endorsed the requirement for a new long-range, guided missile, forwarding a recommendation to the Office of the Secretary of Defense that the Pentagon proceed with a competition for the Long Range Precision Fires program -- potentially worth billions of dollars and expected to draw interest from Raytheon, Boeing and Lockheed Martin.

At least one CEO doesn't like DOD's Silicon Valley outreach efforts:

Synexxus CEO criticizes DOD'S Silicon Valley outreach

Defense executives have been loathe to publicly criticize the Pentagon's efforts to woo Silicon Valley start-ups, but one chief executive on Friday made no secret of his disdain.

(Want more defense business news? Check out our Notification Center, where you can sign up to receive alerts whenever a relevant story is posted.)

DOD wants better situational awareness systems:

DOD calls for situational awareness systems for testing ranges

As radio frequencies become more cluttered by both military and commercial communications, the Defense Department is looking to develop new situational awareness systems and spectrum control capability on its testing ranges.

Some Air Force news:

Air Force eyes June 2019 milestone C decision for CRH recap

The Air Force anticipates achieving a milestone C decision for its Combat Rescue Helicopter recapitalization around June 2019, moving the program at least eight months ahead of schedule, the Air Force's CRH program manager told Inside the Air Force this week.

New remote sensing lab to help USAF better exploit SBIRS, weather data

The Air Force Space and Missile Systems Center is using a new data utilization lab to explore additional applications for its remote sensing data, including information received from the Space-Based Infrared System and from military and commercial weather assets.

Air Force eyeing advanced engine prototype awards this summer

HARTFORD, CT -- The Air Force is in the final stages of negotiations with engine-makers Pratt & Whitney and General Electric for a prototype program meant to mature advanced technologies that could be used to field higher-performing and more fuel-efficient engines and upgrades for key Air Force platforms.

Pratt closing F135 SDD phase with improved availability, reliability

HARTFORD, CT -- As F-35 engine-maker Pratt & Whitney moves through the last year of system development and demonstration for the Joint Strike Fighter program, its newest engines are meeting availability and reliability targets and, according to a company official, the company is well-positioned for a successful sustainment program.

By Tony Bertuca
June 10, 2016 at 3:07 PM

Defense Secretary Ash Carter plans to attend a NATO defense ministerial in Brussels next week, according to a Pentagon announcement.

Carter is scheduled to be in Brussels June 13-15 to discuss areas of mutual interest with his NATO counterparts in advance of the biannual NATO Summit to be held in Warsaw in July.

"The robust agenda for this ministerial will include a discussion of our ongoing and substantial efforts to reassure our allies and partners in the face of Russian aggression, NATO contributions to the counter-ISIL campaign, our efforts to support a secure and stable Afghanistan, as well as the Alliance's common approach to a number of other shared threats," the announcement states.

Carter is scheduled to hold a press conference in Brussels on June 15.

By Tony Bertuca
June 10, 2016 at 1:35 PM

Defense Secretary Ash Carter has named the members of the Pentagon's new Defense Innovation Board that include technology company executives and the former chief of U.S. Special Operations Command. 

"Today I can tell you this board will include Reid Hoffman, the head of LinkedIn; former SOCOM commander Adm. Bill McRaven; and the noted historian of innovation Walter Isaacson," he said in prepared remarks for a speech at the DefenseOne Tech Summit in Washington, DC.

Carter said he would continue to add to the board, which is chaired by Alphabet Chairman Eric Schmidt, in the coming weeks.

"They will begin their work over the summer, and I expect to receive their first recommendations in the fall," he said. "Among other things, I’ve charged them with keeping DOD imbued with a culture of innovation in people, organizations, operations, and technology; to support people who innovate; to support those creative figures in the department who are willing to try new things, fail fast, and iterate; and to ensure we’re always doing everything we can to stay ahead of potential adversaries."

By Tony Bertuca
June 10, 2016 at 11:59 AM

The Senate voted this morning to end debate on the fiscal year 2017 defense authorization bill, setting up a final vote for early next week.

The Senate needed 60 votes to end debate on the bill and ultimately voted 68-23 to do so.

A congressional staffer said a final vote on the bill could happen as early as Monday evening.

By Courtney Albon
June 10, 2016 at 10:50 AM

Some must-reads from this week's issue of Inside the Air Force:

1. The Air Force plans to award engine-makers Pratt & Whitney and General Electric contracts this summer to perform key advanced propulsion technology transition work.

Full Story: Air Force eyeing advanced engine prototype awards this summer

2. Three Senate lawmakers are pushing for the cancellation of the Long-Range Standoff Weapon with a recent amendment to the fiscal year 2017 defense policy bill that would fence off funding for the weapon and its warhead.

Full Story: Senate amendment would prohibit funding for LRSO and W80 warhead LEP

3. The Air Force is looking to capitalize on its Space-Based Infrared System and weather capabilities by standing up a new laboratory where industry and academia can help develop new applications for the data the satellite systems generate.

Full story: New remote sensing lab to help USAF better exploit SBIRS, weather data

By John Liang
June 9, 2016 at 4:16 PM

AWACS, Huey helos and the FY-17 defense policy bill are among the highlights in this Thursday INSIDER Daily Digest.

A new Air Force report recommends speeding up an AWACS upgrade effort:

New air superiority plan calls for work on AWACS follow-on to commence in 2018

A new Air Force report calls for an AWACS follow-on capability to begin in 2018, citing concern that the current E-3 Sentry fleet -- the venerable airborne early warning system that began service in 1977 and is currently receiving a $2.6 billion upgrade -- will not remain viable against projected threats in 2030.

Document: Air Force's air superiority 2030 flight plan

The nation's ICBM force might need more security:

Joint Staff evaluating interim capability for Huey ICBM mission

While Congress debates the acquisition strategy for the UH-1N Huey helicopter replacement, the Joint Staff is evaluating a request from U.S. Strategic Command for more forces to help maintain security at intercontinental ballistic missile sites.

Looks like Sen. McCain's OCO amendment isn't going anywhere:

Effort to increase defense spending voted down by Senate

An amendment spearheaded by Senate Armed Services Committee Chairman John McCain (R-AZ) to increase the Defense Department's overseas contingency operations budget by $18 billion in the fiscal year 2017 defense policy bill was voted down by the full Senate today, along with an amendment offered by Democrats to increase domestic spending by the same level.

Document: Senate democrats' domestic spending amendment

Keep an eye out later this month for a DARPA proposers' day on a particularly interesting computer program:

DARPA eyes proposers' day for Dispersed Computing program

The Pentagon's advanced research arm intends to hold a proposers' day later this month for a computing program that seeks "revolutionary techniques that will demonstrate the value of in-network programmability" in advance of a planned broad agency announcement, according to a recent notice on Federal Business Opportunities.

Document: DARPA dispersed computing proposers day announcement

A proposed DOD rule on counterfeit parts has been met with industry support:

Industry supports proposed DOD rule that helps recoup counterfeit costs

The defense industry supports a proposed Defense Department rule that would provide contractors with more safe harbors for cost reimbursement if they discover counterfeit parts in their supply chains, but industry advocates still have concerns about execution of the new policy.

Document: DOD's proposed counterfeit electronic parts cost reimbursement rule

The GOP unveiled a new national security agenda:

Acquisition reform key to GOP's new national security agenda

The Republican Party is set to roll out a new national security agenda today and specifically lists acquisition reform as a key priority.

Document: GOP's national security plan

By Marjorie Censer
June 9, 2016 at 2:44 PM

The Professional Services Council and Grant Thornton today released their annual acquisition policy survey.

The biennial study, now in its eighth edition, reflects interviews with 80 federal officials, including senior acquisition executives, contracting professionals, congressional staff and members of the oversight community.

This year's survey reported "mixed results" when it comes to the acquisition workforce.

"More than a competency gap, this year's interviewees expressed concern about a capacity gap, wherein the existing workforce, however skilled it may be, simply does not have the time and resources to keep up with demand," the document reads. "The government also continues to suffer from a capability gap when it comes to hiring, training, and retaining acquisition workers, particularly in the face of ongoing retirements of seasoned contracting professionals. All of these factors contribute to an apparent confidence gap, as workers remain unprepared or unwilling to take well-reasoned risks to exploit potential innovations or cost savings, instead defaulting to familiar, often suboptimal, strategies, practices, and even outcomes."

Additionally, the report noted continued issues with open communication and with innovation.

"On the whole, respondents are concerned the government does not have a consistent, successful strategy for soliciting, evaluating, and contracting for innovative ideas from industry, whether in the 'traditional' or 'cutting-edge' contracting space," the document states. "In fact, the government often views the traditional contracting base as being mutually exclusive from innovative offerors."

The survey also called on policymakers and oversight bodies to better understand the effects of their requirements on the acquisition system.

By Marjorie Censer
June 9, 2016 at 12:55 PM

The Aerospace Industries Association said today it participated in a meeting with the Trump campaign "to brief Mr. [Donald] Trump on issues of importance to our industry."

"As the voice of American aerospace and defense, AIA's role is to educate our elected leaders, candidates for office and the general public on the importance of our industry to our economy and national security," the organization said in a statement. "AIA has also been in contact with the Clinton campaign regarding a similar opportunity to brief Secretary [Hillary] Clinton."

AIA noted that it has developed position papers distributed to congressional and presidential campaigns and welcomes the opportunity to "brief any active campaign on our priorities."

However, the group is "strictly non-partisan" and "is not permitted -- expressly or by implication -- to endorse candidates for political office," the statement adds. "Our briefings are for educational purposes only, and we welcome the opportunity to speak with the candidates about issues that matter to our nation, our industry and our members."

By Lee Hudson
June 9, 2016 at 11:35 AM

The Danish parliament has approved its government's recommendation to purchase 27 F-35A conventional-takeoff-and-landing aircraft, which makes the country the seventh partner nation to buy the Joint Strike Fighter.

Denmark concluded the JSF will replace F-16 combat aircraft as an investment to protect the country in the future, according to a June 9 Lockheed Martin statement in which the company provided an English translation of the Danish government's announcement.

"The acquisition continues Denmark's current operational capabilities in fighter aircraft and ensure[s] that Denmark continues to have freedom of action and ability to assert Danish sovereignty, the ability to be deployed in international operations in line with the commitments in relation to NATO's demands and ultimately contribute to NATO's collective defense of Danish and allied territory," according to the Danish government.

Denmark considered replacing the F-16 with the Eurofighter Typhoon, Boeing's F/A-18F Super Hornet or Lockheed's F-35A.

By Marjorie Censer
June 9, 2016 at 10:15 AM

Vectrus is focusing on winning major recompetitions, including one program that makes up 30 percent of its total revenue, the company's chief financial officer said today.

Speaking at the Drexel Hamilton conference in New York, Matt Klein said the defense contractor has four major programs being consolidated into three that are coming up for recompetition. In sum, the three programs "make up over 50 percent of our business today," he said.

Receiving particular attention is the Kuwait-Base Operations and Security Support Services or K-BOSSS program, which represents about 30 percent of the contractor's revenue. Klein said Vectrus had received extensions, and the program is now set to end at the close of 2016.

Vectrus also pointed to recompetitions of the Army Prepositioned Stocks-5 Kuwait/Qatar and Maxwell Base Operating Services programs.

Klein said the company "feel[s] good about each one of these contracts."

"Once we win these recompetes . . . the revenue is going to be very stable for five years plus," he added.

By Marjorie Censer
June 9, 2016 at 9:37 AM

United Technologies said this week that retired Army Gen. Lloyd Austin, former commander of U.S. Central Command, has been elected to its board of directors, effective Sept. 1.

Austin retired in May after four decades in the military, including serving as commander of United States Forces-Iraq and as vice chief of staff of the Army, UTC said.

By John Liang
June 9, 2016 at 9:00 AM

Some must-reads from this week's edition of Inside the Pentagon:

1. The White House Office of Management and Budget will recommend that President Obama veto the Senate Armed Services Committee's version of the fiscal year 2017 defense policy bill if it arrives on his desk in its present form, according to a 21-page statement of administration policy released Tuesday.

Full story: White House threatens to veto Senate defense policy bill

2. The defense industry supports a proposed Defense Department rule that would provide contractors with more safe harbors for cost reimbursement if they discover counterfeit parts in their supply chains, but industry advocates still have concerns about execution of the new policy.

Full story: Industry supports proposed DOD rule that helps recoup counterfeit costs

3. The Pentagon's advanced research arm intends to hold a proposers' day later this month for a computing program that seeks "revolutionary techniques that will demonstrate the value of in-network programmability" in advance of a planned broad agency announcement, according to a recent notice on Federal Business Opportunities.

Full story: DARPA eyes proposers' day for Dispersed Computing program

4. The Pentagon's No. 2 official has tasked an influential advisory panel with helping to ease the Defense Department's transition following the presidential election in November.

Full story: Work: DBB to provide insight to help with transition following election

By John Liang
June 8, 2016 at 4:34 PM

A new variant of the Aegis Weapon System radar, U.S.-Swedish military cooperation and the FY-17 defense policy bill are among the stories highlighted in this Wednesday INSIDER Daily Digest.

The Missile Defense Agency wants to develop a new variant of the radar that's part of the Aegis Weapon System:

MDA optimizing Aegis for new Air and Missile Defense Radar-equipped Flight III destroyers

The Missile Defense Agency is laying the groundwork for a major enhancement of the nation's sea-based ballistic missile defense capability: The development of a new variant of the Aegis Weapon System optimized for the Navy's most advanced guided-missile destroyer.

Document: MDA RFI on Aegis Weapon System BMD 6

The U.S. and Swedish militaries want to work more closely together:

U.S. bolsters security ties with Sweden

The United States and Sweden have agreed to a new security partnership that emphasizes enhanced military posture in the Baltic Sea region amid continued international fears of Russian military aggression.

Document: U.S.-Swedish 'statement of intent' on military cooperation

More coverage of the FY-17 defense policy bill:

Democrats offer amendment to complement McCain's proposed OCO increase

Senate Democrats are offering an amendment to the fiscal year 2017 defense authorization bill that would increase domestic spending by $18 billion to balance a similar increase sought by Sen. John McCain (R-AZ) that would boost the Pentagon's overseas contingency operations budget.

Document: Senate democrats' domestic spending amendment

OMB pushes back on Senate authorizers' B-21, space launch provisions

The White House budget office this week released a sweeping rejection of several provisions in Senate authorizers' fiscal year 2017 defense policy bill, including those that would place additional cost oversight on the B-21 bomber program, restrict the Air Force's Evolved Expendable Launch Vehicle program and call for broader use of enlisted pilots in the remotely piloted vehicle enterprise.

Document: Statement of administration policy on Senate FY-17 defense policy bill

Keep an eye out for a report from an industry-government technical data panel:

Industry-government technical data panel convenes first meeting

A congressionally mandated panel on technical data rights held its first meeting Tuesday, laying the groundwork for a report on the matter due to the defense secretary by Sept. 30.

Document: AIA letter to government-industry advisory panel

ONR wants to develop a "mother ship" for unmanned vessels:

Navy researchers want 'mother ship' for refueling unmanned vessels

The Office of Naval Research is seeking outside help to develop an automated ship capable of refueling and transferring data from unmanned surface vessels at sea, according to a recent broad agency announcement.

Document: Navy BAA on offboard refueling and data transfer for unmanned surface vehicles

A new DOD IG report is out:

DOD IG claims the Navy overpaid by $2.1M for ScanEagle spare parts

The Pentagon's watchdog agency claims the Navy overpaid by $2.1 million on sole-source spare parts for the ScanEagle unmanned air system following an audit conducted from June 2015 through March 2016.

Document: DOD IG report on ScanEagle spare parts

Looks like eight shipbuilders will be competing to design the next-generation surface connector:

Navy awards eight design contracts for connector replacement program

The Navy recently awarded eight design contracts totaling about $4 million for the surface connector replacement vessels that operates from the service's amphibious assault ships.

The Army is getting better at logistics:

Army G-4: Service 'making progress' on expeditionary logistics

After years in a "comfort zone" based on operations in Iraq and Afghanistan, the Army has "started to turn the table" toward building decisive action readiness, according to the service's deputy chief of staff for logistics.