The Insider

By Jordana Mishory
December 14, 2015 at 1:45 PM

Defense Secretary Ash Carter is heading to the Middle East in an aim to have coalition partners contribute more to the fight against the Islamic State of Iraq and the Levant, President Obama said Monday during a briefing at the Pentagon.

Obama said he has asked Carter to go to the Middle East for this purpose, and the defense secretary would depart after the press briefing. He also noted that Secretary of State John Kerry would be in Russia Tuesday to work to end the Syrian civil war.

The strategy against ISIL is working, Obama contended, listing a number of the organization's top leaders who have been killed. He noted that the message is clear that ISIL leaders cannot hide, and any one of them could be next.

Every day, more of ISIL's forces and training camps are destroyed, and the group has lost its freedom of maneuver in many places, Obama argued, noting that coalition forces have been hitting the organization harder than ever. So far, ISIL has lost about 40 percent of the populated areas they once controlled in Iraq, according to the president.

Obama's speech followed a meeting held at the Pentagon with his National Security Council.

By John Liang
December 14, 2015 at 11:11 AM

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

1. A group of Defense Department advisers is readying another push to enshrine a definition of the term "operational reserve" in the military lexicon, following an unsuccessful attempt almost three years ago.

Full Story: Pentagon advisers push 'operational reserve' definition to ensure funding

2. An upcoming Army review of new capabilities, concepts and organizations will include a regional, Pacific-specific tack as the service plans to hold Pacific Pathways drills in parallel to the annual assessment at Ft. Bliss, TX.

Full Story: Upcoming Army Warfighting Assessment to include Pacific-related drills

3. The Army is working to improve the user friendliness of an earlier iteration of the Warfighter Information Network-Tactical program in the hopes of one day unifying all increments into a simplified system.

Full Story: Army looks to simplify WIN-T Increment 1, eventually combine all iterations

By Lee Hudson
December 14, 2015 at 11:07 AM

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

1. Funding for advanced prototyping could see a boost in the Navy's fiscal year 2017 budget submission, as officials plan to push more innovative technologies out to the fleet for experimentation.

Full story: Navy prototyping fund could see boost in upcoming budget request

2. The Marine Corps is looking to potentially integrate its Ground/Task-Oriented Radar into the Naval Integrated Fire Control-Counter Air system to contribute to the joint force.

Full story: Marines looking to integrate G/ATOR into Navy anti-air warfare system

3. The Marine Corps will begin conducting quarterly reviews in January with senior leadership to discuss 13 warfighting challenges the service faces and to better align with concepts outlined in Expeditionary Force 21 and Cooperative Strategy 21.

Full story: Marines will begin quarterly review in January to discuss challenges

By
December 14, 2015 at 7:00 AM

President Obama heads to the Pentagon this week for a National Security Council briefing on U.S. strategy to counter the Islamic State of Iraq and the Levant, and top Defense Department officials are scheduled to participate in a variety of conferences and events.

Monday

Obama is scheduled to visit the Pentagon for an NSC briefing on counter-ISIL strategy.

Deptuy Defense Secretary Bob Work, Chairman of the Joint Chiefs Joseph Dunford and Army Chief of Staff Gen. Mark Milley are scheduled to speak at the Center for a New American Security.

Claire Grady, director of defense procurement and acquisition policy, is scheduled to speak at a Government Contract Management Symposium. Other DOD speakers are also featured.

Tuesday

Work is scheduled to speak about NATO transformation at the Johns Hopkins School of Advanced International Studies.

The Aerospace Industries Association hosts its annual year-end luncheon in Washington.

Thursday

Katrina McFarland, assistant secretary defense for acquisitions, is scheduled to speak at a DOD commercial satellite communications conference.

The Center for Strategic and International Studies holds a 9 a.m. event on fixed-price versus cost-based contracting, featuring Andrew Hunter and Greg Sanders of CSIS and Mandy Smithberger of the Project on Government Oversight.

 

By Marjorie Censer
December 11, 2015 at 2:26 PM

The spin-offs and consolidation within the defense contracting industry have created two classes of contractors, according to a new report from Govini, a business intelligence company focused on the public sector.

The report says there are now "haves" and "have-nots," meaning companies that have intellectual property in the form of products and platforms and those that do not.

"This ownership becomes the differentiator between contractors able to dictate a premium based on their IP and contractors pinched to provide the lowest price," the document adds. "Competing on platforms and IP allows contractors to command a price that disrupts [lowest-priced, technically acceptable] efforts and boosts margins. Contractors in the middle offering only services will continue to be squeezed by [original equipment manufacturers], who can then lock in and service themselves at significantly lower costs."

By John Liang
December 11, 2015 at 1:10 PM

We start off this Friday INSIDER Daily Digest with a story on the first example -- stay tuned for more -- of the Pentagon's "Third Offset Strategy":

New space war body dubbed first organizational product of 'Third Offset Strategy'

The chief architect of the Defense Department's effort to craft a "Third Offset Strategy" has branded a relatively new entity formed this fall in Colorado to prepare for conflict in space -- the Joint Interagency Combined Space Operations Center -- as the first operational and organizational instantiation of the new strategy to strengthen U.S. conventional deterrence against Russia and China.

The Air Force could be getting a business jet to serve as the service's future Compass Call aircraft:

Air Force considers off-the-shelf solution for Compass Call recapitalization

The Air Force is exploring an off-the-shelf aircraft option to replace its Compass Call fleet, an Air Force spokesman confirmed to Inside the Air Force this week.

Expect to see an expansion of the Air Force's Remotely Piloted Aircraft workforce in the coming years:

ACC reveals plans to double RPA flying squadrons and boost manning

Air Combat Command on Thursday released the results of a study meant to develop strategies to better support the strained Remotely Piloted Aircraft workforce, recommending that the service double the number of RPA flying squadrons and increase manning by 3,000 airmen.

Keep an eye out for efforts within the Air Force to improve its foreign military sales process:

Air Force faces complex web of roadblocks with foreign military sales

As the call from foreign partners for additional munitions grows louder, the surging demand is highlighting problems within the Air Force's problematic foreign military sales process and creating urgency for a holistic solution.

The defense industry could be getting more work on sustaining the National Capital Region's Integrated Air Defense System:

Air Force bringing sustainment stability to key DC air defense system

The Air Force is looking to transition sustainment of a key component of the National Capital Region's air defense system from a federally funded research center to industry -- a move the service expects will bring significant cost savings and stability to the program.

Don't expect a DARPA-developed unmanned system to be used on a C-130:

DARPA leaves flexibility for industry on Gremlins unmanned munition

The Defense Advanced Research Projects Agency's air-recoverable unmanned Gremlins may not end up going home to a C-130 cargo aircraft as originally envisioned, according to the deputy director of the agency's tactical technologies office.

Some defense business news:

Companies pitch Agile software development to federal agencies

Government contractors say they're gaining traction in pitching Agile software development to federal agencies, but challenges remain.

(For more defense business news, check out our Notification Center, where you can sign up to receive email alerts whenever a related story is posted.)

By Marjorie Censer
December 11, 2015 at 10:46 AM

Serco said last week it has named David Dacquino senior vice president of the contractor's defense services business unit, overseeing the company's work in ship and shore/base modernization, hardware integration, acquisition and program management, logistics support and personnel readiness.

Dacquino previously served as chief executive of aviation and logistics service company SkyLink and as chief executive of VT Group, which specializes in C4ISR, logistics and facilities management.

He also worked as an executive at Raytheon and spent 20 years at Lockheed Martin, including serving as general manager of logistics services.

By Courtney Albon
December 11, 2015 at 10:30 AM

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

1. As ongoing conflicts in the Middle East drive overseas demand for munitions and other U.S. military technology, the Air Force is taking a look at ways to improve its foreign military sales processes.

Full story: Air Force faces complex web of roadblocks with foreign military sales

2. The Air Force is looking for fiscal year 2016 funds to speed up the delivery of key radar risk reduction work for the Joint Surveillance Target Attack Radar System recapitalization effort.

Full story: Air Force actively seeking funds for JSTARS radar risk reduction in FY-16

3. The Air Force is exploring a more stable, cost-effective sustainment arrangement for a central component of its National Capital Region Integrated Air Defense System.

Fully story: Air Force bringing sustainment stability to key DC air defense system

By Marjorie Censer
December 10, 2015 at 5:31 PM

In a report sent to Congress today, the Government Accountability Office said that 2,639 bid protests, costs claims and requests for reconsideration were filed in fiscal year 2015, up 3 percent from FY-14. The number is the highest in recent years.

However, of the 2,496 protests filed, only 68 were sustained, the lowest sustain rate in recent years. GAO noted in its letter to Congress that many protests filed with the office "do not reach a decision on the merits because agencies voluntarily take corrective action in response to the protest rather than defend the protest on the merits."

Full report: http://www.gao.gov/products/GAO-16-270SP

By John Liang
December 10, 2015 at 1:33 PM

Kicking off this Thursday INSIDER Daily Digest with some big defense budget news:

DOD unveils technology areas that will drive 'Third Offset' investments, experimentation

The Pentagon's No. 2 official has unveiled five technology areas that will guide future investments in new weapons capabilities as well as drive organizational and operational experimentation as part of a so-called "Third Offset Strategy" -- the Defense Department's new paradigm to strengthen conventional deterrence against Russia and China.

The head of Army forces in Europe doesn't think deterring Russia in Eastern Europe should have such a high priority:

U.S. Army Europe chief seeks symbolic upgrade for 'Atlantic Resolve' mission

While formally upping the priority of the U.S. military's mission to deter Russia in Eastern Europe would send an "important symbol," the chief of Army forces in Europe suggested that the step is not absolutely necessary.

The chairman of the Senate Judiciary Committee doesn't like DOD's response to his inquiry about a now-defunct task force:

Grassley dissatisfied with DOD response to task force inquiry

Senate Judiciary Committee Chairman Chuck Grassley (R-IA), who has mounted an inquiry into spending by the Pentagon's defunct Task Force for Business and Stability Operations, issued a statement Wednesday criticizing the department's reply.

Document: DOD letter to Sen. Grassley on TFBSO

The chairman of the Senate Armed Services Committee wants DOD to look into ULA's claims that it can't compete for a GPS launch contract:

McCain calls for review of ULA's launch competition claims

The chairman of the Senate Armed Services Committee is calling on the Defense Department to evaluate whether the United Launch Alliance's assertions that it cannot compete for an upcoming Global Positioning System launch have merit.

Document: Sen. McCain's letter to DOD on ULA's launch competition claims

(For more space systems news, check out our Notification Center, where you can sign up to receive email alerts whenever a related story is posted.)

News from today's issue of Inside the Pentagon:

Pentagon looks to crowdsource strategic analysis

The Defense Department aims to broaden its policy development process to include contributors from outside the Pentagon and its traditional sphere of influence, according to a Dec. 8 request for information seeking contractor input on the potential for "crowdsourcing."

Analyst: DOD needs to focus on CPGS 'destination ambiguity' issues

When it comes to non-nuclear weapons that can strike a target anywhere in the world in under an hour, the Defense Department hasn't "given adequate attention" to some risks, including whether U.S. adversaries can determine where the weapons are headed after launch, according to a think tank analyst.

Pentagon staff sizes remain under fire as CBO sees potential savings

The Defense Department could replace 80,000 full-time military positions with civilian contractors to save the government between $3.1 billion and $5.7 billion on an annual basis, according to a new report from the Congressional Budget Office.

DARPA eyes proposers' day for modular optical aperture program

The Pentagon's advanced research arm aims to hold a proposers' day this month for a program seeking to help address a capability gap due to optical technologies that are typically "prohibitively large, expensive, heavy and slow for defense applications," according to a new notice.

By John Liang
December 10, 2015 at 11:57 AM

Air Force Space Command is poised to begin the ninth iteration of the "Schriever War Game," according to an announcement issued by the command this week.

The war game will take place at Schriever Air Force Base in Colorado Springs, CO, beginning Dec. 11.

Set in the year 2025, the war game "will explore critical space issues and investigate the integration activities of multiple agencies associated with space systems and services," according to the AFSPC statement, and will include about 200 military and civilian personnel from the United States, Australia, Canada, New Zealand and the United Kingdom.

The war game will have three objectives:

"1) identifying ways to increase the resilience of space that includes our Intelligence Community, civil, commercial and Allied partners;

"2) exploring how to provide optimized effects to the warfighter in support of coalition operations; and

"3) examining how to apply future capabilities to protect the space enterprise in a multi-domain conflict."

This year's scenario "depicts a peer space and cyberspace competitor seeking to achieve strategic goals by exploiting those domains," the AFSPC statement reads, adding: "It will include a global scenario with the focus of effort towards the European Command (EUCOM) Area of Responsibility. The scenario will also include a full spectrum of threats across diverse operating environments to challenge civilian and military leaders, planners and space system operators, as well as the capabilities they employ."

Inside the Air Force reported last month that the service and its allied partners have no shortage of strike forces around the globe, but they are still lacking in both cyber and intelligence, surveillance and reconnaissance capabilities:

As the Air Force expands its partnerships outside traditional allies such as Australia and the United Kingdom, the service is also seeking new opportunities for cooperation in space and cyberspace, Maj. Gen. Lawrence Martin [the service's assistant deputy under secretary of international affairs] said at a Nov. 10 Air Force Association event. The initiative aims to fill gaps in command and control and ISR, which plagued coalition forces in Libya and more recently, in Syria.

In an effort to facilitate sharing among allies, the service has established space situational awareness agreements with eight countries, including Japan, Korea and Australia. The Air Force has also explored small, low-cost, rapid space-based solutions with nine countries through an operationally responsive space memorandum of understanding, Martin said.

The Air Force and its allies have already made concrete efforts in space and cyber. The service has partnered with Singapore to develop resilient computer systems capable of fighting network attacks and, along with Australia, the U.S. operates an Air Force-owned space surveillance telescope, Martin said. In August, the U.S. signed an agreement with Canada's armed forces which will allow the U.S. Air Force to host Canadian distress signal repeaters on next-generation GPS satellites.

In September, the Defense Department announced plans to establish a Joint Interagency Combined Space Operations Center (JICSpOC) at Schriever AFB:

The move follows a strategic review designed to maintain U.S. technological superiority in space, outlined in a June 23 speech by Deputy Defense Secretary Bob Work.

According to a Sept. 14 DOD press release, the new facility "will improve processes and procedures, ensuring data fusion among DOD, intelligence community, interagency, allied and commercial space entities" to better respond to growing threats to space capabilities.

The JICSpOC will "provide backup to the Joint Space Operations Center" at Vandenberg Air Force Base, CA, but is not designed to replace it.

 

By Tony Bertuca
December 10, 2015 at 10:58 AM

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

1. The Defense Department could replace 80,000 full-time military positions with civilian contractors to save the government between $3.1 billion and $5.7 billion on an annual basis, according to a new report from the Congressional Budget Office.

Full story: Pentagon staff sizes remain under fire as CBO sees potential savings

2. The Defense Department aims to broaden its policy development process to include contributors from outside the Pentagon and its traditional sphere of influence, according to a Dec. 8 request for information seeking contractor input on the potential for "crowdsourcing."

Full story: Pentagon looks to crowdsource strategic analysis

3. When it comes to non-nuclear weapons that can strike a target anywhere in the world in under an hour, the Defense Department hasn't "given adequate attention" to some risks, including whether U.S. adversaries can determine where the weapons are headed after launch, according to a think tank analyst.

Full story: Analyst: DOD needs to focus on CPGS 'destination ambiguity' issues

By Marjorie Censer
December 10, 2015 at 10:33 AM

(This regular feature highlights protests decided by the Government Accountability Office.)

Agency: Navy

Awardee: Celeris Systems

Protester: INDUS Technology

What GAO found: INDUS protested the Navy's issuance of a task order to Celeris for engineering, technical and business support services, challenging the way the Navy evaluated past performance and cost realism.

INDUS's evaluated cost estimate for the solicitation, which was set aside for small businesses, was $31.8 million, while Celeris was $33.3 million.

"The [source-selection authority] concluded that, after considering the various strengths and weaknesses, as well as the cost risks involved in INDUS’ proposal, the advantages offered by Celeris’ proposal warranted the associated $1,445,724 (4.5 percent) evaluated cost premium," GAO wrote.

GAO noted that it "considered all the issues raised by INDUS and find that none warrant sustaining its protest."

The decision: http://www.gao.gov/assets/680/674032.pdf

By Marjorie Censer
December 10, 2015 at 9:00 AM

Welcome to Throwback Thursday, Inside Defense's weekly look back at what was happening on or around this day in years past.

In December 2006, Lockheed Martin and Boeing created the 50-50 venture known as United Launch Alliance to provide space launch services for the U.S. government. 

The companies had received Federal Trade Commission approval in October of that year.

This week, John McCain, the chairman of the Senate Armed Services Committee, is asking the Pentagon to evaluate whether ULA truly cannot compete for an upcoming Global Positioning System launch. The company announced in mid-November it would not compete, citing an inadequate supply of RD-180 engines, concerns the lowest-price, technically acceptable contract structure will not give weight to the company's successful track record and its lack of adequate accounting systems to prove that a previous contract would not benefit its bid.

In a Dec. 8 letter to Defense Secretary Ash Carter, McCain writes that he finds ULA's reasons for bowing out of the first competitive Evolved Expendable Launch Vehicle opportunity "troubling and suspicious."

By Tony Bertuca
December 9, 2015 at 5:18 PM

Congress is poised to extend its deadline to pass an omnibus spending bill from Dec. 11 to Dec. 16, according to a statement released today by the House Appropriations Committee.

The new continuing resolution, introduced by committee Chairman Hal Rogers (R-KY), would prevent a government shutdown.

"While progress is being made on negotiations for a full-year omnibus appropriations bill, it is clear that more time is needed to complete the package," Rogers said in the statement.

"This short-term funding resolution will keep the lights on in government and maintain current operations for a few days so Congress can complete and pass an agreement," he continued. "It is my hope and expectation that a final, year-long bill will be enacted before this new deadline."