The Insider

By Christopher J. Castelli
July 2, 2013 at 7:50 PM

Former Sen. Gary Hart (D-CO) will succeed former Defense Secretary William Perry as chairman of the State Department's International Security Advisory Board, Secretary of State John Kerry recently announced. The panel provides independent advice and insight on scientific, technical and policy aspects of arms control, disarmament, nonproliferation, international security and related aspects of public diplomacy. The board is sponsored and overseen by acting Under Secretary of State for Arms Control and International Security Rose Gottemoeller and provides its recommendations through Gottemoeller to Kerry and other department officials. Perry will remain a board member.

"Bill Perry and Gary Hart are two brilliant strategic thinkers whose guidance and insight I’ve been privileged to lean on for many years," Kerry said in a statement late last week. "I greatly appreciate Dr. Perry's skillful and superb leadership of the [board] over two very productive years, and I am looking forward to similarly impressive results under Senator Hart, who is rightly regarded as an ahead of the curve leader on international security issues."

Hart previously co-chaired the Hart-Rudman commission, which predicted in 1999 that terrorism would bloody American soil in the 21st century.

InsideDefense.com reported on June 28 that Perry and retired Gen. John Abizaid would lead an independent panel tasked with assessing the upcoming Quadrennial Defense Review.

By John Liang
July 1, 2013 at 4:37 PM

The House Foreign Affairs Committee is calling on President Obama to increase the pressure on Iran to dismantle its nuclear weapons program.

In a June 28 letter, committee Chairman Ed Royce (R-CA), Ranking Member Eliot Engel (D-NY) and the rest of the panel state that Iran's recent elections have "done nothing to suggest a reversal of Iran's pursuit of a nuclear weapons capacity." Further:

President-elect Rouhani, who served as a nuclear negotiator for Iran at a time its illicit program was well underway, indicated his support for Iran's nuclear ambitions in his first post-election press conference. Indeed, there appears nothing "moderate" about his nuclear policies, which are a continuation of the policies that have been roundly opposed by the international community. Moreover, decisions about Iran's nuclear program and foreign policy rest mainly in the hands of Iran's Supreme Leader Khamene'i. Khamene'i has recently reiterated his view that Iran has no reason to normalize relations with the United States.

By John Liang
June 28, 2013 at 3:30 PM

The Defense Department needs "additional planning and oversight" to set up "an enduring expeditionary forensic capability" that can be used to find and identify the DNA and fingerprints of terrorists, according to a new Government Accountability Office report.

DOD "has taken some important steps to establish an enduring expeditionary forensic capability by issuing a concept of operations in 2008, followed by a directive in 2011 to establish policy and assign responsibilities," the June 27 report states, adding:

As required by the directive, DOD has drafted a strategic plan to guide the activities of the Defense Forensic Enterprise, including expeditionary forensics. Although the plan includes a mission statement, and goals and objectives -- two of the five key elements identified by GAO as integral to a well-developed strategic plan -- it does not identify approaches for how goals and objectives will be achieved, milestones and metrics to gauge progress, and resources needed to achieve goals and objectives.

By John Liang
June 27, 2013 at 8:18 PM

The Defense Department today disclosed that its fiscal year 2014 military intelligence program budget request for overseas contingency operations is $4 billion, bringing its total FY-14 MIP budget request to $18.6 billion.

The Pentagon had released a $14.6 billion base MIP budget figure in April, and in both statements said:

The Department determined that releasing this figure does not jeopardize any classified activities within the MIP. No other MIP budget figures or program details will be released, as they remain classified for national security reasons.

On May 17, however, Pentagon Comptroller Robert Hale signed a reprogramming memo requesting congressional permission to shift $617 million that ostensibly would fund higher-priority military intelligence needs, but also included money for efforts like the F-35 Joint Strike Fighter and Ground Based Midcourse Defense programs.

That reprogramming request included nearly $191 million "to support funding shortfalls in contractor logistics support for the Persistent Ground Surveillance Sensor System." Specifically:

PGSS provides support of aerostats and sensor capabilities to [U.S. Army Forces Afghanistan]. These are being utilized for persistent surveillance to [forward operating bases] for security, threat targeting, and near to close force protection capabilities. Funding requested allows for 24/7 surveillance coverage as well as facilities operations, sustainment, logistics, safe handling of aerostat system through weather, helium, maintenance and kinetic events. This requirement has been decreased to align with the current [U.S. Central Command] approved drawdown plan and supports contract requirements to December 31, 2013, for periods of performance. This is an MIP project. This is an OCO budget requirement.

The reprogramming also sought $70.5 million to shore up funding shortfalls in system support for the Vehicle and Dismount Exploitation Radar (VADER) system aboard certain intelligence, surveillance and reconnaissance aircraft, plus nearly $75.5 million for the National Security Agency and $46 million for the National Geospatial Intelligence Agency, according to the document.

By John Liang
June 27, 2013 at 7:08 PM

Inside the Pentagon reported this morning that a new U.S.-Russia agreement on combating the spread of nuclear weapons has led the Defense Department to ask congressional authorizers to change how funding is divided among different Cooperative Threat Reduction initiatives:

House and Senate authorization panels have agreed to shift funds from programs in the former Soviet Union to initiatives in the Middle East and Africa, according to bills filed this month. Both the House and Senate Armed Services committees have recommended the entire requested amount of $528.5 million, but some funding differences for CTR subprograms will have to be worked out in conference.

Following the April submission of the fiscal year 2014 defense budget request, the Pentagon asked lawmakers to greatly reduce funds for the global nuclear security subprogram and bump up proliferation prevention funds as an umbrella agreement with Russia was set to expire in mid-June, according to the House's version of the bill, which the full chamber approved earlier this month. Earlier this month, Russia and the United States signed a new CTR agreement; its main sticking points had been expressed in advance.

The Defense Department also sought a small dip in the requested funds for the cooperative biological engagement, strategic offensive arms elimination and chemical weapons destruction subprograms, the House report states.

Defense officials initially sought $306.3 million for cooperative biological engagement but later reduced that amount to $293.1 million, the report states.

That agreement doesn't sit well with House lawmakers, 43 of whom -- even though they have no say in ratifying international treaties -- are calling on President Obama to reconsider any unilateral reduction to the U.S. nuclear arsenal and submit any proposed international agreement for such reductions to the Senate for review.

"We are deeply concerned by your recent announcement of your intent to cut the U.S. nuclear arsenal by as much as one-third," the lawmakers write in a letter sent today. "Although we understand your desire for a world without nuclear weapons, we believe that your proposal woudl make that goal less attainable and jeopardize America's security." They add:

We face a world today in which nuclear threats to the United States are increasing and our conventional military capabilities face dramatic reductions. In this context, our nuclear deterrent is becoming more important. A robust, reliable nuclear force consisting of strategic bombers, intercontinental ballistic missiles, and submarine-launched  ballistic missiles places our rivals on notice that there is no advantage to be gained in seeking to match U.S. nuclear forces and reassures our allies who rely on our nuclear "umbrella." In doing so, this capability continues to promote peace and make the world safer.

By Christopher J. Castelli
June 26, 2013 at 7:26 PM

Defense Secretary Chuck Hagel today threw cold water on the idea that the Pentagon might publicly detail the findings of its Strategic Choices and Management Review.

“There will be no roll-out of any grand plan on this,” Hagel told reporters.

He said he is still assessing the work of the review, which was set up to inform DOD’s fiscal guidance for fiscal years 2015 to 2019. The aim was to determine how to live with further sequestration in the event there is no alternative, Hagel said.

“So that's what it was about. This is not a plan. It was exactly what the title implies -- Strategic Choices and Management Review," he said.

The review involved DOD’s uniformed and civilian leaders and was managed by Deputy Defense Secretary Ashton Carter, working with Chairman of the Joint Chiefs of Staff Gen. Martin Dempsey. “They were right on time . . . with their numbers when they came in,” Hagel said.

“All of our uniformed and civilian leadership was involved, top to bottom, which I wanted,” he added. “We looked at everything. And based on those numbers, based on those assessments, based on those possibilities and different scenarios, then that will inform our leadership as to how we prepare for next year's budget as we present it in early 2014 for 2015.”

“But also, in the event that we're going to be living with sequestration, then . . . I can't do anything else, nor can the leadership, but try to get ahead of this and prepare,” Hagel added.

By Christopher J. Castelli
June 26, 2013 at 7:01 PM

President Obama will renominate Chairman of the Joint Chiefs of Staff Gen. Martin Dempsey and Vice Chairman of the Joint Chiefs of Staff Adm. James Winnefeld to continue serving in their positions for second two-year terms, Defense Secretary Chuck Hagel told reporters today.

"They're the right two leaders," Hagel said. "And the four months I've been here, they have been immensely helpful to me in every way. So I'm very proud of the president's announcement, and I'm very pleased that, with concurrence through the United States Senate, I will have the opportunity to work with these two distinguished leaders of our country for another two years, and I think America's very fortunate to have Gen. Dempsey and Adm. Winnefeld."

In a separate statement, Obama said he was proud to renominate the two "superb" senior officers. "These two distinguished military leaders have earned my trust and that of the American people," Obama said. "I am inspired by their dedicated service to our great nation and the example they set for our women and men in uniform. I urge the Senate to re-confirm these outstanding officers as swiftly as possible."

By John Liang
June 26, 2013 at 12:00 PM

Defense Procurement and Acquisition Policy Director Richard Ginman is looking for volunteers to round out the teams that will review the procurement functions of certain defense agencies.

Program Management Reviews "assess the effectiveness of the contracting function, analyse and assist in any problem areas, and identify noteworthy practices that may be beneficial to all organizations," Ginman writes in a June 21 memo. "The ultimate objective of these reviews is to enhance the performance of contracting personnel in contributing to the success of the agency."

Consequently, during fiscal year 2014, the Defense Information Systems Agency will be reviewed between Oct. 21 and Nov. 8, followed by the Defense Contract Management Agency from Jan. 27-Feb. 14, 2014; the Department of Defense Education Activity the following March 10-24; the Missile Defense Agency from April 28-May 16; the Defense Advanced Research Projects Agency from June 9-27; and the Defense Threat Reduction Agency from July 14-31, according to Ginman's memo.

Ginman wants agencies with contracting offices of 40 or more employees to identify at least two people and the smaller agencies one person to participate in the reviews:

There is much to be gained from participating in a review, both by the individuals who perform the review and your own organizations. Volunteers gain valuable insight into how other agencies deal with contracting issues. They exchange ideas with the agency being reviewed and the members of their team, and bring back new perspectives that may improve your operation or are beneficial as you prepare for a PMR.

By Jen Judson
June 25, 2013 at 8:03 PM

Senate authorizers want the Army secretary to provide them with a report on the service's Installation Command's long-term management plan for the Kwajalein Atoll in the South Pacific, according to the Senate Armed Services Committee's report accompanying its mark of the fiscal year 2014 defense authorization bill released June 24.

"Given the unique and important nature of test facilities at the Atoll and its remoteness," the committee wants a report no later than April 30, 2014 if the provision becomes law.

The committee acknowledged that the Army's Space and Missile Defense Command had signed a Memorandum of Understanding to have the service's Installation Command maintain infrastructure at the Kwajalein Atoll, noting, "the committee is pleased with bringing the expertise of the Installation Command to help manage certain aspects of the Atoll's infrastructure."

By John Liang
June 25, 2013 at 6:40 PM

Last week, InsideDefense.com reported that Beechcraft Corp. was calling on Congress to intervene in an Air Force acquisition decision that allows a foreign contractor to build a fleet of light-attack aircraft for the Afghan military, and to formally deny that company the right to produce more than the first batch of planes:

Following a failed bid protest that Beechcraft filed with the Government Accountability Office earlier this year, the company released a statement on June 13 that accused the service of investing its time and money in a "flawed acquisition process" and asked Congress to step in before its competitor could produce more planes.

The Air Force announced in February that it planned to award a $427.5 million Light Air Support (LAS) contract to Beechcraft's competition, Sierra Nevada Corp. and Embraer. Sierra Nevada is a United States company based in Nevada and Embraer is a Brazilian company.

"It is now time for Congress to step in and put an end to this flawed acquisition process and limit the purchase of the Brazilian aircraft to only that of the Afghanistan requirement covered by the first delivery order of the LAS contract," according to the company statement. The first delivery under the contract is due to take place in mid-2014.

Earlier today, GAO released a redacted version of its decision. Here's an excerpt:

Regarding the service life requirement, as discussed above, we disagree that the Air Force refused to accept Beechcraft's inspection and analysis of T-6 test data to meet the requirement. Rather the Air Force found that limits on extrapolation of the T-6 data were likely to delay achievement of MTC beyond 14 months, and result in flight limitations inconsistent with the [System Requirements Document].

We also have no basis to conclude that the agency engaged in unequal treatment or erred in its evaluation of the service life approach presented by Sierra Nevada. While Sierra Nevada -- like Beechcraft -- presented inspection of existing test data, Sierra Nevada's test data -- unlike Beechcraft's -- was "previously validated through full scale fatigue structural testing" at "the same weight." AR, Tab 3.36 at 45. Where the offerors' existing test data differed in material aspects one would expect the evaluation finding to be different.

By John Liang
June 25, 2013 at 6:04 PM

The program manager for the Naval Enterprise Networks office has been "relieved of his duties" due to an "improper relationship and unprofessional behavior," according to a Navy statement.

Enterprise Information Systems Program Executive Officer Victor Gavin relieved NEN program manager Navy Capt. Shawn Hendricks yesterday "due to a loss of confidence in his ability to lead," the statement reads.

Deputy Program Manager Philip Anderson will temporarily take over until Hendricks' replacement is identified, according to the service. Hendricks has been reassigned to Space and Naval Warfare Systems Command's Washington, DC, office while his case is processed.

The Naval Enterprise Networks Program Office manages the acquisition life cycle of the Navy's enterprise-wide information technology networks. "NEN's portfolio includes the legacy Navy Marine Corps Intranet (NMCI), the OCONUS Navy Enterprise Network (ONE-Net) and the Next Generation Enterprise Network (NGEN) contracting vehicle," the statement reads.

The Pentagon announced this week that the Navy had once again raised the NMCI program's contract ceiling by about $680 million, from $4.9 billion to $5.6 billion. As InsideDefense.com reported yesterday:

The modification adds an option to the Navy's contract with Hewlett-Packard Enterprise Services, extending the period of performance by two months, from April 2014 to June 2014, according to the contract announcement.

"The [continuity of services contract] ensures that the scope of NMCI IT services and performance levels delivered are sustained until the Next-Generation Enterprise Network is satisfactorily providing the replacement services," the statement reads.

This option would only be exercised if the government has not transitioned to the Next-Generation Enterprise Network. The estimated award date of the NGEN contracts for transport and enterprise services is this summer, and the NMCI contract ends on April 30, 2014.

By Gabe Starosta
June 24, 2013 at 7:14 PM

The Defense Department announced this afternoon that a Navy admiral will be nominated to succeed Air Force Gen. Robert Kehler as the head of U.S. Strategic Command. The nominee, Adm. Cecil Haney, is the commander of the U.S. Pacific Fleet based out of Pearl Harbor, HI, according to a DOD announcement.

Neither the Air Force nor STRATCOM, headquartered at Offutt Air Force Base,NE, have formally announced Kehler's retirement. Kehler has held the top job at STRATCOM since January 2011.

His replacement by a naval officer would leave just two combatant commands, U.S. Transportation Command and U.S. European Command, led by Air Force generals.

By John Liang
June 24, 2013 at 3:46 PM

The Pentagon recently released an updated doctrine document on the Defense Transportation System.

The June 6 document "provides joint doctrine for the planning, command and control, and employment of resources within the Defense Transportation System."

Changes to the document since it was last published in March 2003 include the following:

* Adds language on United States Transportation Command's (USTRANSCOM's) role as the Department of Defense (DOD) Distribution Process Owner.

* Introduces the Integrated Data Environment/Global Transportation Network Convergence as the designated DOD system for in-transit visibility.

* Reflects the correct name of USTRANSCOM's Army Service Component Command, the Military Surface Deployment and Distribution Command, and its new status as a major subordinate command of the US Army Materiel Command.

* Refines USTRANSCOM's roles and responsibilities for DOD Military Customs and Border Clearance Program (CBCP).

* Adds language on the Department of Homeland Security and its relationship to DOD.

* Expands descriptions of sealift transportation resource.

* Adds a section under land resources on continental US commercial resources.

* Adds a section under land resources on Defense Transportation Coordination Initiative.

* Expands a section under land resources on outside the continental US common-user land transportation.

* Expands the geographic combatant commander’s responsibilities in the theater resources section.

* Expands the description of each of the Service’s assets in the pre-positioning and forward stocking section.

* Adds a section addressing automated identification technology.

* Defines USTRANSCOM's responsibilities for DOD Military CBCP.

By Christopher J. Castelli
June 21, 2013 at 8:10 PM

The White House today announced that Jon Rymer, the inspector general of the Federal Deposit Insurance Corporation and a 33-year veteran of the active and Reserve components of the Army, would be nominated to become DOD's IG, filling a vacant position.

Rymer, a command sergeant major in the Army Reserve, has been the FDIC's IG since 2006. From May 2012 to January 2013, he was also the interim IG of the Securities and Exchange Commission. From 1997 to 2004, he was a director at the accounting firm KPMG LLP. He was executive vice president at Boatman's Bank of Arkansas from 1992 to 1997, and executive vice president at First American National Bank of Tennessee from 1981 to 1992.

Rymer serves on the Council of Inspectors General for Integrity and Efficiency as a member of the Executive Council and as audit committee chairman. He received a B.A. from the University of Tennessee and an M.B.A. from the University of Arkansas at Little Rock.

By Sebastian Sprenger
June 21, 2013 at 5:24 PM

Cooperation with Russia on missile defense remains a “priority” for the Obama administration, according to Frank Rose, the deputy assistant secretary of state for space and defense policy. During a remarks at the Capitol Hill Club this morning, Rose said the U.S. government hopes to convince Russia through said cooperation that American plans for interceptor sites in Eastern Europe pose no threat to Moscow's nuclear deterrent.

Rose's speech offered few clues about what exactly cooperation would entail. In fact, in addressing U.S. opposition to previous Russian proposals that would effectively erode Washington's decision-making authority, Rose spent more time discussing roadblocks than common ground.

Russian officials have proposed dividing up the defense of NATO countries between the two former Cold War enemies, a prospect that Rose said is incompatible with NATO's bedrock policy of a common defense. Rose also rejected what he said are "legal guarantees" demanded by Russia about some of America's missile defense capabilities and how they would be used.

The emerging Senate Armed Services Committee's fiscal year 2014 defense authorization bill seems to dovetail nicely with the Obama administration's decision-making calculus on the issue. One the one hand, a committee statement on the bill said it would be "in the national security interest to pursue efforts at missile defense cooperation with Russia that would enhance our security, particularly against missile threats from Iran." On the other hand, the same section reads that the bill would “prohibit” the transfer of  "sensitive missile defense information" that could compromise U.S. national security to the Russians.