The Insider

Triton completes operational assessment
By Lee Hudson
February 16, 2016 at 10:33 AM

The Navy recently wrapped up the operational assessment for the MQ-4C Triton, the final hurdle before the Pentagon can decide if the system should transition into low-rate initial production.

The service is completing final data analysis before a milestone C decision is made this spring. The Northrop Grumman-built Triton unmanned air vehicle completed about 60 flight hours during the assessment, according to a company statement.

"The aircraft system's ability to classify targets and disseminate critical data was also examined as part of the operational effectiveness and suitability testing," the statement reads.

Inside Defense reported last November that the OA began several months after it was originally anticipated because of continued integration work.

Pakistan approved for $700M in F-16s
By Courtney McBride
February 16, 2016 at 9:55 AM

The State Department has approved the possible sale of fighter aircraft to Pakistan, according to a Feb. 12 notice from the Defense Security Cooperation Agency.

The potential sale would include eight F-16 Block 52 Aircraft (two C and six D models), as well as 14 Joint Helmet Mounted Cueing Systems (JHMCS), for an estimated major defense equipment value of $564 million and a total estimated value of $699 million.

The aircraft would “facilitate operations in all-weather, non-daylight environments, provide a self-defense/area suppression capability, and enhance Pakistan’s ability to conduct counter-insurgency and counterterrorism operations,” according to DSCA.

The agency says the proposed transaction “contributes to U.S. foreign policy objectives and national security goals by helping to improve the security of a strategic partner in South Asia.”

No contractors have been selected for the potential sale, which is not projected to adversely impact U.S. defense readiness.

The State Department notified Congress of the possible sale on Feb. 11.

Notice: http://dsca.mil/sites/default/files/mas/pakistan_15-80.pdf

Inside the Army highlights
By John Liang
February 16, 2016 at 9:05 AM

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

1. The Army is expected to move forward with a competition for a Patriot-replacement radar this year if the Office of the Secretary of Defense approves an analysis of alternatives, according to just-released budget documents and service officials.

Full story: Vendor competition for lower-tier antimissile radar could begin this year

2. Two lawmakers on the House Armed Services Committee last week proposed legislation that would stop Army end-strength reductions at 475,000 troops, an idea that had service officials questioning where the requisite funding would come from.

Full story: Lawmakers move to halt active Army cuts at 475,000 soldiers

3. The Army plans to use some money in fiscal year 2017 to finance survivability-enhancing pilot projects on its key combat-vehicle fleets, to include experiments with commercial active-protection systems, according to officials and budget documents.

Full story: Abrams, Bradley, Stryker are in line for active-protection pilot projects

Inside the Navy highlights
By Lee Hudson
February 16, 2016 at 9:00 AM

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

1. The Navy is aiming to zero out a fund used for sealift and auxiliary ships, a move the service first tried and failed to make two years ago, but may now have a better chance of getting approved after congressional appropriators prohibited using the account to award new contracts in the latest annual spending bill.

Full story: Navy again proposes disestablishing National Defense Sealift Fund

2. Marine Corps Commandant Gen. Robert Neller says he is willing to pare down infantry brigades and other operational forces in order to fill cyber, electronic warfare and information warfare specialties within the service.

Full story: Neller: Marines could cut operational forces to man cyber, IW roles

3. The F-35 joint program office will kick off its Block 4 modernization program six to 12 months late because the program's requirements are not validated.

Full story: F-35 modernization program delayed by six to 12 months

DOD reports to Congress on North Korean threat
By Tony Bertuca
February 12, 2016 at 4:31 PM

North Korea continues to put resources toward developing a nuclear missile capable of reaching the continental United States, according to a recent Pentagon report sent to Congress.

The report, released Feb. 12, comes on the heels of a North Korean nuclear test in January and a long-range rocket test earlier this month.

North Korea's key weapon for potentially striking the U.S. homeland remains the KN08 Intercontinental Ballistic Missile, which “if successfully designed and developed . . . would be capable of reaching much of the continental United States, assuming the missiles displayed are generally representative of missiles that will be fielded,” the report states.

“However, ICBMs are extremely complex systems that require multiple flight tests to identify and correct design or manufacturing defects,” the report continues. “Without flight tests, the KN08’s current reliability as a weapon system would be low.”

The report also highlights North Korea's cyber capabilities.

“North Korea has an offensive cyber operations (OCO) capability,” the report states. “Implicated in malicious cyber activity and cyber effects operations since 2009, North Korea probably views OCO as an appealing platform from which to collect intelligence and cause disruption in South Korea and other adversaries including the United States. North Korea likely views cyber as a cost-effective, asymmetric, deniable tool that it can employ with little risk from reprisal attacks, in part because its networks are largely separated from the Internet and disruption of Internet access would have minimal impact on its economy.”

The Pentagon names North Korea as a top threat to U.S. security in its recently released $583 billion budget request.

The INSIDER daily digest
By John Liang
February 12, 2016 at 2:04 PM

We kick off this Friday INSIDER Daily Digest with news on the Long-Range Strike Bomber and more.

The Pentagon's inspector general is looking into the LRS-B competition:

IG investigating potential conflict-of-interest in LRS-B source selection

The Air Force said Friday that it's "too early to tell" whether the recent disclosure that the spouse of a top acquisition official has a Northrop Grumman retirement account will impact the ongoing protest of the Long-Range Strike Bomber award.

The Air Force wants more money to pay for additional unmanned aerial vehicle pilots:

Air Force's FY-17 budget boosts RPA pilots, combat patrols

In its proposed fiscal year 2017 budget request, the Air Force focused base budget funds on improving its ailing remotely piloted aircraft force, while relegating overseas contingency operations funds for the vehicles that could satisfy the service's insatiable ISR need.

(Need more unmanned systems news? Check out our Notification Center, where you can sign up to receive email alerts whenever a related story is posted.)

Remember that big Army blimp that broke its tether and floated over a few states? Well, it could be making a comeback:

Pentagon pushing to let missile-defense blimp fly again

Top Pentagon leaders are said to favor replacing a military airship that was hovering north of Baltimore to watch over the Washington region until it broke from its tether in a spectacular accident that attracted national attention last October, according to defense officials.

The Marine Corps wants to cut the number of Joint Light Tactical Vehicles it would buy in FY-17:

Neller: FY-17 JLTV buy reduced to protect Amphibious Combat Vehicle, new radars

The Marine Corps' top official says the service chose to cut its Joint Light Tactical Vehicle purchase by 77 trucks in fiscal year 2017 to protect high-priority programs like the Amphibious Combat Vehicle.

(Related: The U.S. Court of Federal Claims on Thursday denied Lockheed Martin's request to make Oshkosh halt all work on the Joint Light Tactical Vehicle until an ongoing dispute over the contract award is resolved. Click here for more.)

The buyer of iRobot's defense and security business has additional plans:

Private-equity buyer plans to expand iRobot defense unit's capabilities

An executive at private-equity firm Arlington Capital Partners, which has agreed to buy iRobot's defense and security business, said Thursday he expects to add to the business with acquisitions.

The Army wants to save money in the way it buys helicopters:

Army wants to lock down bulk of helicopter purchases in pair of deals worth $7 billion

The Army wants to consolidate the bulk of its major helicopter purchases into a pair of multiyear contracts beginning in fiscal year 2017 -- a $3.3 billion deal with Boeing and a $3.7 billion deal with Lockheed Martin's Sikorsky -- a move the service claims could save nearly $900 million.

The Joint Strike Fighter program is facing a new delay:

F-35 modernization program delayed by six to 12 months

The F-35 joint program office will kick off its Block 4 modernization program six to 12 months late because the program's requirements are not validated, according to an official.

SAIC CEO: DOD's Silicon Valley push provides opportunity
By Marjorie Censer
February 12, 2016 at 1:34 PM

Tony Moraco, chief executive of Science Applications International Corp., said today federal contractors could play an important role in helping non-traditional players provide their technology to the Pentagon.

Speaking at a Northern Virginia Technology Council breakfast, Moraco said "getting non-traditional players in the game is important."

"If you are strictly commercial, finding a federal contractor partner may be a path that you consider," he said.

In turn, he added, federal contractors can be effective at helping commercial technologies get through the challenges of doing business with the government.

Federal agencies, he said, "not only need the technology, but they demand compliance around program management, system engineering, procurement requirements."

"You have to be compliant or you put your whole program at risk," Moraco added.

Future SBIRS
By Courtney Albon
February 12, 2016 at 11:58 AM

The Pentagon's cost assessment and program evaluation office has signed off on a two-year-long review of the Air Force's Space-Based Infrared System.

Maj. Gen. Roger Teague, director of space programs in the Air Force's acquisition office, told reporters this week that the service is now working to develop an acquisition strategy for the SBIRS follow-on program.

The recently completed analysis of alternatives considered 80 potential new SBIRS architectures and then narrowed those options to just nine.

Lockheed Martin loses JLTV stop-work request
By Sebastian Sprenger
February 12, 2016 at 8:33 AM

The U.S. Court of Federal Claims on Thursday denied Lockheed Martin's request to make Oshkosh halt all work on the Joint Light Tactical Vehicle until an ongoing dispute over the contract award is resolved.

The docket report in the case shows that Judge Charles Lettow issued a sealed order to that effect, asking all parties to submit a joint status report "addressing further proceedings in this action."

Lockheed believes its offering for the big-ticket vehicle program was unfairly evaluated when the Army and Marine Corps gave Oshkosh a production deal last summer.

Oshkosh celebrated announcement in a statement Friday morning.

"This decision is another indication that the U.S. Army conducted a thorough, methodical procurement process, and we are confident that the original JLTV contract award to Oshkosh will be upheld," Wilson Jones, Oshkosh president and chief executive officer, was quoted as saying, adding: "The Oshkosh JLTV team, including our employees and hundreds of suppliers, is pleased to continue our work to deliver JLTVs to our nation's Soldiers and Marines."

(Need more JLTV news? Check out our Notification Center, where you can sign up to receive email alerts whenever a related story is posted.)

Inside the Air Force highlights
By John Liang
February 12, 2016 at 8:00 AM

Here are some must-reads from this week's edition of Inside the Air Force:

1. The F-35 joint program office will kick off its Block 4 modernization program six to 12 months late because the program's requirements are not validated, according to an official.

Full story: F-35 modernization program delayed by six to 12 months

2. The Air Force's fiscal year 2017 budget for the next-generation Global Positioning System ground control system includes a "late add" of $234 million to account for its best guess at how a new, two-year development delay will impact the near-term costs and shows a $1.6 billion spike in the program's total cost.

Full story: FY-17 budget shows $234M increase for OCX, $1.6B jump in total cost

3. As the Air Force continues to explore options for financing a B-52 re-engining project, the office in charge of the effort is optimistic the service will identify a feasible way ahead.

Full story: Air Force OTI office optimistic about business case for B-52 re-engining

4. The Air Force could lay out its acquisition strategy for the UH-1N replacement this spring, a plan that has moved away from a modified service aircraft option toward a possible sole-source acquisition.

Full story: Air Force steps away from modified service aircraft for Huey replacement

DOD's latest operational energy strategy
By John Liang
February 11, 2016 at 4:21 PM

The Obama administration's shift in focus to the vast expanse of the Asia-Pacific region "necessitates a second look at operational energy priorities," according to the Pentagon's latest Operational Energy Strategy.

The Defense Department's emphasis on buying oil and gas "as close as possible to the point of use" also poses inherent risks for the U.S. military, the report reads, adding:

In response to these challenges, the 2016 Operational Energy Strategy takes advantage of improved technology and the Department's steadily improving understanding of operational energy challenges to ensure the consistent delivery of energy to the warfighter.

Specifically, the Department will pursue the following objectives:

*       Increase future warfighting capability by including energy throughout future force development.

*       Identify and reduce logistics and operational risks from operational energy vulnerabilities.

*       Enhance the mission effectiveness of the current force through updated equipment and improvements in training, exercises, and operations.

P-8 depot maintenance draft RFP released
By Lee Hudson
February 11, 2016 at 3:07 PM

The Navy recently released a draft request for proposals to compete the P-8 Poseidon aircraft's depot maintenance for the airframe and engine separately, according to a Federal Business Opportunities notice.

The service will host an industry day Feb. 16-18 in Lexington, MD, that includes one-on-one meetings for interested vendors, according to a Feb. 8 sources sought notice.

Inside Defense reported in January that Naval Air Systems Command will break the draft RFP into two sections: Part A and Part B. Part A is for airframe depot maintenance and Part B is for engine depot maintenance.

The competition is a cooperative program between the United States and Australia. Project information developed by the contractor will be accessible by the Australian government, the notice reads.

The P-8A Poseidon is a heavily militarized derivative of Boeing's 737 airframe. The acquisition objective is to integrate the latest in technical support innovations and existing commercial operations and continual product and process improvements. The planned maintenance will leverage the commercial industrial base for the P-8A airframe and engine depot maintenance, the notice reads.

The INSIDER daily digest
By John Liang
February 11, 2016 at 2:01 PM

We kick off this Thursday INSIDER Daily Digest with continued coverage of DOD's FY-17 budget submission.

The Pentagon continues to look for ways to trim its spending:

DOD reforms expected to save billions of dollars over next five years

The Pentagon intends to save billions of dollars over the next five years through a series of reform initiatives that include reducing headquarters activities and optimizing information technology, among others, according to President Obama's fiscal year 2017 budget overview documents released Feb. 9.

The Navy's UCLASS program has been renamed CBARS:

New details surface about Navy's unmanned aerial tanker program

The Navy revealed new details about its most highly anticipated new-start program -- an unmanned airborne tanker operating from an aircraft carrier -- during the Feb. 9 budget rollout.

(Need more unmanned systems news? Check out our Notification Center, where you can sign up to receive email alerts whenever a related story is posted.)

The Navy wants to speed up the delivery of prototype systems:

Navy seeks $55 million for new rapid prototyping fund

The Navy is requesting $55 million in fiscal year 2017 to establish a dedicated funding line for prototyping projects in an effort to more quickly deliver in-demand weaponry to the fleet outside of the normal acquisition process.

Deploying the Marine Corps JSF variant won't be easy:

Marines will be 'stretched thin' during first-ever F-35 deployment

The Marine Corps will be "stretched thin" on spare parts during its first-ever Joint Strike Fighter operational deployment to Japan because of funding cuts the Navy and Congress made two years ago, according to a program official.

Not having a multiyear procurement plan for JSF could be risky:

F-35 JPO: Pentagon opted out of FY-17 investment in JSF multiyear

The Defense Department's fiscal year 2017 budget does not include near-term plans to invest in a multiyear F-35 procurement deal, but buy-in from international partners will keep it alive should the United States opt in in future years.

The Air Force gave out a few -- very few -- details about its new Long-Range Strike Bomber program:

Air Force reveals $12 billion funding plan for new bomber -- and little else

The Air Force has reworked the Long-Range Strike Bomber funding profile, proposing a five-year, $12 billion research and development allocation between fiscal years 2017 and 2021 -- a $1.7 billion reduction compared to last year's outlook -- and reflecting the first budget request to factor Northrop Grumman as prime contractor on the high-priority aircraft project.

Keep an eye out for the Air Force's upcoming Huey helicopter replacement strategy:

Air Force steps away from modified service aircraft for Huey replacement

The Air Force could lay out its acquisition strategy for the UH-1N replacement this spring, a plan that has moved away from a modified service aircraft option toward a possible sole-source acquisition.

AIA: President's budget 'is insufficient'
By Marjorie Censer
February 11, 2016 at 11:48 AM

The Aerospace Industries Association today said the president's budget released Tuesday does not provide enough funding for key priorities.

"If this budget is adopted, we will fail to address the serious mismatch between our resources and the new threats and challenges our nation faces today," the association said.

In particular, AIA said the Pentagon request "substantially cuts aircraft, ship and ground combat systems, threatening our ability to quickly and decisively respond to the growing number and variety of security threats around the world.

"Such cuts will increase risk to our troops, make future military operations more costly, and make future modernization efforts more expensive," the group continued.

DOD awards $183M Aegis Ashore, $40M Aegis BMD contracts
By John Liang
February 11, 2016 at 11:44 AM

The Defense Department this week announced a pair of Aegis missile defense contract awards.

On Feb. 10, the Army awarded Alpharetta, GA-based AMEC Programs a $183 million contract for the third phase of building the Aegis Ashore missile defense system based in Poland.

"Bids were solicited via the Internet with four received," according to an Army contract announcement, which adds: "Fiscal [years] 2015 and 2016 military construction; research, development, testing, and evaluation; and other procurement funds in the amount of $173,874,936 were obligated at the time of the award."

The contract has an estimated completion date of April 9, 2018, the statement reads.

On the same day, the Missile Defense Agency awarded Lockheed Martin's Moorestown, NJ-based Mission Systems and Training business unit a $40 million contract modification to provide "support of advanced concept initiatives by the Aegis Ballistic Missile Defense (ABMD) Program Office to identify technology for introduction into present and future ABMD baselines and upgrades."

The new modification increases the total cumulative contract value to $2.18 billion, according to MDA.

Work on the contract is expected to be completed by Oct. 27, 2019, the agency said. 

"Fiscal 2015 research, development, test and evaluation funds in the amount of $50,000 are being obligated at the time of award, and will expire at the end of the current fiscal year. Fiscal 2016 research, development, test and evaluation funds in the amount of $6,400,000 are being obligated at the time of award," the statement reads.

According to an overview of MDA's FY-17 budget request submitted to Congress this week:

MDA requests $630 million for EPAA Phase 3 in FY 2017. This includes the deployment of a second Aegis Ashore site in Poland, upgrade of the Aegis Ballistic Missile Defense (BMD) weapon system, and delivery of a new SM-3 variant, the Block IIA. Aegis Ashore construction for the Poland site is scheduled to begin in FY 2016, with a [Technical Capability Declaration] by the end of calendar year 2018. For EPAA Phase 3, Aegis Ashore sites and Aegis BMD ships will be capable of launching SM-3 Block IA, IB, and IIA variants, providing improved defensive coverage against short- through intermediate-range threats.

MDA requests $514 million in procurement for Aegis BMD, which plays a critical role in both homeland and regional defense. MDA will procure 35 Aegis SM-3 Block IB missiles in FY 2017, for a total of 247 SM-3 Block IB missiles procured by the end of FY 2017. MDA will deliver 39 SM-3 Block IB missiles to the Fleet, for a delivery total of 146 missiles.

MDA requests $73 million of Operation and Maintenance funding for the Aegis BMD program to perform missile recertification, repair eff orts, demilitarization, and Ordnance Assessment/Surveillance. This funding includes BMD Computer Program, Ship Equipment, and Aegis Ashore - Romania sustainment, as well as Fleet integration support.