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Home » Extra! Extra! » Boeing Wins!

Boeing Wins!

KC-767_2.jpg

From a pro-​​Boeing source:

The Boeing Company protested the award of a con­tract to Northrop Grumman Systems Corporation under solic­i­ta­tion No. FA8625-​​07-​​R-​​6470, issued by the Department of the Air Force, for KC-​​X aer­ial refu­el­ing tankers to begin replac­ing its aging tanker fleet. Boeing chal­lenged the Air Forces tech­ni­cal and cost eval­u­a­tions, con­duct of dis­cus­sions, and source selec­tion decision.

Our Office sus­tained Boeings protest on June 18, 2008. The 69-​​page deci­sion was issued under a pro­tec­tive order, because the deci­sion con­tains pro­pri­etary and source selec­tion sen­si­tive infor­ma­tion. We have directed coun­sel for the par­ties to promptly iden­tify infor­ma­tion that can­not be pub­licly released so that we can expe­di­tiously pre­pare and release, as soon as pos­si­ble, a pub­lic ver­sion of the decision.

Although the Air Force intends to ulti­mately pro­cure up to 179 KC-​​X air­craft, the solic­i­ta­tion pro­vided for an ini­tial con­tract for sys­tem devel­op­ment and demon­stra­tion of the KC-​​X air­craft and pro­cure­ment of up to 80 air­craft. The solic­i­ta­tion pro­vided that award of the con­tract would be on a best value basis, and stated a detailed eval­u­a­tion scheme that iden­ti­fied tech­ni­cal and cost fac­tors and their rel­a­tive weights. With respect to the cost fac­tor, the solic­i­ta­tion pro­vided that the Air Force would cal­cu­late a most prob­a­ble life cycle cost esti­mate for each offeror, includ­ing mil­i­tary con­struc­tion costs. In addi­tion, the solic­i­ta­tion pro­vided a detailed sys­tem require­ments doc­u­ment that iden­ti­fied min­i­mum require­ments (called key per­for­mance para­me­ter thresh­olds) that offer­ors must sat­isfy to receive award. The solic­i­ta­tion also iden­ti­fied desired fea­tures and per­for­mance char­ac­ter­is­tics of the air­craft (which the solic­i­ta­tion iden­ti­fied as require­ments, or in cer­tain cases, as objec­tives) that offer­ors were encour­aged, but were not required, to provide.

The agency received pro­pos­als and con­ducted numer­ous rounds of nego­ti­a­tions with Boeing and Northrop Grumman. The Air Force selected Northrop Grummans pro­posal for award on February 29, 2008, and Boeing filed its protest with our Office on March 11, sup­ple­ment­ing it numer­ous times there­after. In accor­dance with our Bid Protest Regulations, we obtained a report from the agency and com­ments on that report from Boeing and Northrop Grumman. The doc­u­men­tary record pro­duced by the Air Force in this protest is volu­mi­nous and com­plex. Our Office also con­ducted a hear­ing, at which tes­ti­mony was received from a num­ber of Air Force wit­nesses to com­plete and explain the record. Following the hear­ing, we received fur­ther com­ments from the par­ties, address­ing the hear­ing tes­ti­mony as well as other aspects of the record.

Our deci­sion should not be read to reflect a view as to the mer­its of the firms respec­tive air­craft. Judgments about which offeror will most suc­cess­fully meet gov­ern­men­tal needs are largely reserved for the procur­ing agen­cies, sub­ject only to such statu­tory and reg­u­la­tory require­ments as full and open com­pe­ti­tion and fair­ness to poten­tial offer­ors. Our bid protest process exam­ines whether procur­ing agen­cies have com­plied with those requirements.

Our review of the record led us to con­clude that the Air Force had made a num­ber of sig­nif­i­cant errors that could have affected the out­come of what was a close com­pe­ti­tion between Boeing and Northrop Grumman. We there­fore sus­tained Boeings protest. We also denied a num­ber of Boeings chal­lenges to the award to Northrop Grumman, because we found that the record did not pro­vide us with a basis to con­clude that the agency had vio­lated the legal require­ments with respect to those challenges.

Specifically, we sus­tained the protest for the fol­low­ing reasons:

1. The Air Force, in mak­ing the award deci­sion, did not assess the rel­a­tive mer­its of the pro­pos­als in accor­dance with the eval­u­a­tion cri­te­ria iden­ti­fied in the solic­i­ta­tion, which pro­vided for a rel­a­tive order of impor­tance for the var­i­ous tech­ni­cal require­ments. The agency also did not take into account the fact that Boeing offered to sat­isfy more non-​​mandatory tech­ni­cal require­ments than Northrop Grumman, even though the solic­i­ta­tion expressly requested offer­ors to sat­isfy as many of these tech­ni­cal require­ments as possible.

2. The Air Forces use as a key dis­crim­i­na­tor that Northrop Grumman pro­posed to exceed a key per­for­mance para­me­ter objec­tive relat­ing to aer­ial refu­el­ing to a greater degree than Boeing vio­lated the solic­i­ta­tions eval­u­a­tion pro­vi­sion that no con­sid­er­a­tion will be pro­vided for exceed­ing [key per­for­mance para­me­ter] objectives.

3. The protest record did not demon­strate the rea­son­able­ness of the Air Forces deter­mi­na­tion that Northrop Grummans pro­posed aer­ial refu­el­ing tanker could refuel all cur­rent Air Force fixed-​​wing tanker-​​compatible receiver air­craft in accor­dance with cur­rent Air Force pro­ce­dures, as required by the solicitation.

4. The Air Force con­ducted mis­lead­ing and unequal dis­cus­sions with Boeing, by inform­ing Boeing that it had fully sat­is­fied a key per­for­mance para­me­ter objec­tive relat­ing to oper­a­tional util­ity, but later deter­mined that Boeing had only par­tially met this objec­tive, with­out advis­ing Boeing of this change in the agen­cys assess­ment and while con­tin­u­ing to con­duct dis­cus­sions with Northrop Grumman relat­ing to its sat­is­fac­tion of the same key per­for­mance para­me­ter objective.

5. The Air Force unrea­son­ably deter­mined that Northrop Grummans refusal to agree to a spe­cific solic­i­ta­tion require­ment that it plan and sup­port the agency to achieve ini­tial organic depot-​​level main­te­nance within 2 years after deliv­ery of the first full-​​rate pro­duc­tion air­craft was an admin­is­tra­tive over­sight, and improp­erly made award, despite this clear excep­tion to a mate­r­ial solic­i­ta­tion requirement.

6. The Air Forces eval­u­a­tion of mil­i­tary con­struc­tion costs in cal­cu­lat­ing the offer­ors most prob­a­ble life cycle costs for their pro­posed air­craft was unrea­son­able, where the agency dur­ing the protest con­ceded that it made a num­ber of errors in eval­u­a­tion that, when cor­rected, result in Boeing dis­plac­ing Northrop Grumman as the offeror with the low­est most prob­a­ble life cycle cost; where the eval­u­a­tion did not account for the offer­ors spe­cific pro­pos­als; and where the cal­cu­la­tion of mil­i­tary con­struc­tion costs based on a notional (hypo­thet­i­cal) plan was not rea­son­ably supported.

7. The Air Force improp­erly increased Boeings esti­mated non-​​recurring engi­neer­ing costs in cal­cu­lat­ing that firms most prob­a­ble life cycle costs to account for risk asso­ci­ated with Boeings fail­ure to sat­is­fac­to­rily explain the basis for how it priced this cost ele­ment, where the agency had not found that the pro­posed costs for that ele­ment were unre­al­is­ti­cally low. In addi­tion, the Air Forces use of a sim­u­la­tion model to deter­mine Boeings prob­a­ble non-​​recurring engi­neer­ing costs was unrea­son­able, because the Air Force used as data inputs in the model the per­cent­age of cost growth asso­ci­ated with weapons sys­tems at an over­all pro­gram level and there was no indi­ca­tion that these inputs would be a reli­able pre­dic­tor of antic­i­pated growth in Boeings non-​​recurring engi­neer­ing costs.

We rec­om­mended that the Air Force reopen dis­cus­sions with the offer­ors, obtain revised pro­pos­als, re-​​evaluate the revised pro­pos­als, and make a new source selec­tion deci­sion, con­sis­tent with our deci­sion. We fur­ther rec­om­mended that, if the Air Force believed that the solic­i­ta­tion, as rea­son­ably inter­preted, does not ade­quately state its needs, the agency should amend the solic­i­ta­tion prior to con­duct­ing fur­ther dis­cus­sions with the offer­ors. We also rec­om­mended that if Boeings pro­posal is ulti­mately selected for award, the Air Force should ter­mi­nate the con­tract awarded to Northrop Grumman. We also rec­om­mended that the Air Force reim­burse Boeing the costs of fil­ing and pur­su­ing the protest, includ­ing rea­son­able attor­neys fees.

By statute, the Air Force is given 60 days to inform our Office of the Air Forces actions in response to our recommendations.

– Christian

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June 18th, 2008 | Extra! Extra! | 391157 Comments »http://defensetech.org/2008/06/18/boeing-wins/Boeing+Wins%212008-06-18+17%3A28%3A44Ward You can skip to the end and leave a response. Pinging is currently not allowed.

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  1. Ed says:
    June 18, 2008 at 1:08 pm

    So the Airforce now has to wait another 60 days to even decide what they are going to do, fur­ther extend­ing the time­frame our older KC-​​135s must con­tinue to fly and fur­ther stress the fleet. I think some­how the GAO bent to pres­sure from pro-​​Boeing law­mak­ers on this one.

    Reply
  2. SMSgt Mac says:
    June 18, 2008 at 1:15 pm

    Wheee!
    1. Boeing gets a reprieve from its allies.
    2. The details are being held out of pub­lic eye.
    3. We are now in the purely polit­i­cal realm of mak­ing defense sausage.
    It’s an “A ticket” ride for everyone…except those who need a tanker now.
    I want to see the data from the gov­ern­ment, NOT see it leaked out slowly by the par­ti­san camps. Nice punt on the part of the cow­ardly GAO.
    This kind of crap is why my Dad moved into civil aero­space in the early 70’s.

    Reply
  3. slntax says:
    June 18, 2008 at 1:21 pm

    great screw the tax­payer with boeing’s inabil­ity to deliver on time. even more and now the air­force will have to wait longer for tanker. whats it going to take a kc135 fall out of the sky?

    Reply
  4. Bob says:
    June 18, 2008 at 1:22 pm

    The GAO deci­sion is based on fac­tual infor­ma­tion that accu­rately addresses AF errors com­mit­ted dur­ing the source selec­tion. AF Acquisition lead­er­ship lacks rigor and its acqui­si­tion sys­tem is bro­ken. The lack of a true, per­son­i­fied, sin­gle man­ager for source selec­tions and pro­gram man­age­ment is the Air Force’s weak link. Too many cooks spoil the stew–continually.

    Reply
  5. slntax says:
    June 18, 2008 at 1:28 pm

    i got a idea why even make a plane at all lets just give the money directly to the sen­a­tors and house reps. because that is all this is.

    Reply
  6. Byron Skinner says:
    June 18, 2008 at 1:32 pm

    Good Morning Folks,
    Once again money and polit­i­cal cor­rup­tion tri­umphs and our mil­i­tary will not get the best weapons sys­tem avail­able and the tax payer gets ripped off. Again.
    How many Air Force Generals and bureau­crats did Boeing have to buy off to get this one?
    ALLONS,
    Byron Skinner

    Reply
  7. chris says:
    June 18, 2008 at 1:36 pm

    Good work Boeing! Good job alien­at­ing the European mar­ket. The con­se­quences of this will be far reach­ing. Those fat a-$-$-es in Congress are mak­ing this coun­try a laugh­ing stock in the Defense Market. Boeing cried their way back into this and they’ve made their biggest cus­tomer (the Airforce) look silly in the process. What a des­per­ate sorry com­pany. They rea­son this hap­pened is because of all the con­gress peo­ple sup­port­ing those sorry A-​​$-$ unions in Washington and Kansas. This is a sad day for American Defense com­pa­nies, The repro­cu­tions will be far reach­ing, European Countries are going to think twice about deal­ing with us. It’s funny how $ out­her European Countries chose the KC-​​45 over Boeing’s Tanker 4! yet it’s not the right tanker for us. Truely a sad day for America

    Reply
  8. irtusk says:
    June 18, 2008 at 1:36 pm

    obvi­ously the AF is going to have to rec­om­pete the con­tract, which is going to take over a year
    and then the KC-​​30 will win again and Boeing will protest again, so a min­i­mum of 2 more years of this drama

    Reply
  9. SMSgt Mac says:
    June 18, 2008 at 1:48 pm

    Bob bats .500!
    The AF acqui­si­tion sys­tem needs to be more like the Navy, and less ‘con­sen­sus’ based.
    Of course, if it were like the Navy, the only peo­ple with a vote would have been the same peo­ple who like the KC-​​45 best — the users.
    How I’d like to see things play out:
    1. AF says “sorry GAO, we’re going for­ward“
    2. Boeing’s min­ions in Congress move to stop the process.
    3. NG sup­port­ers in Congress force the facts to come out in stop­ping Boeing’s min­ions.
    It is the only way to get the real facts into the light of day. Unfortunately, it will require the AF to expend polit­i­cal cap­i­tal and that will require cahones. Do they still have any?
    BTW: the use of terms ‘min­ions’ and ‘sup­port­ers’ is cal­cu­lated. Minions do the heavy lift­ing for their mas­ters. Supporters merely pro­vide sup­port to those doing the heavy lift­ing. Feel free to dis­agree, but in this observer’s eyes it is clear that in this bat­tle Boeing’s min­ions have worked harder than Boeing in get­ting this contract.

    Reply
  10. slntax says:
    June 18, 2008 at 1:52 pm

    Bob
    so you are telling me now that the GAO IS GOING TO TELL THE AIR FORCE WHAT THEY NEED TO BUY?
    haha what a joke like the gao knows what the air force needs for its mission.

    Reply
  11. Ross says:
    June 18, 2008 at 2:18 pm

    Corruption.…
    Lets hope those armed guards are expe­ri­enced when they get to farn­bor­ough air­show ;)

    Reply
  12. JH says:
    June 18, 2008 at 2:27 pm

    I’m in utter shock read­ing the com­ments on here. You know very well Boeing has some valid points. And that the ‘head in the cloud’ goof­balls that decide the win­ner in con­tests like this made mis­takes. What they should just do now is say, “my bad” and award the con­tract 50/​50.

    Reply
  13. Bob says:
    June 18, 2008 at 2:49 pm

    If the AF wants to fix acqui­si­tion they should put the source selec­tion author­ity and pro­gram man­age­ment author­ity under the using command’s com­man­der and not in AFMC. AFMC “experts” should be matrixed to the warfight­ing com­man­der for both source selec­tion and pro­gram man­age­ment. All source selec­tion deci­sions should have a more rig­or­ous over­sight before the deci­sion is announced & val­i­dated. Had the AF review sys­tem had vigor, these upheld protest issues would have been dis­cussed and re-looked—before the GAO came in. AF can wait for a new tanker while this process goes forward…the 135s are not going to fall out of the sky…they look and fly pretty darn good, espe­cially the R-​​models. We should be get­ting the best bang for the tax-​​payer buck.

    Reply
  14. len says:
    June 18, 2008 at 2:50 pm

    Once again an American com­pany cries foul when their infe­rior prod­uct isn’t cho­sen over a supe­rior for­eign prod­uct.
    Everyone knows that the A330 is supe­rior to the 767. But Boeing wants us tax pay­ers to buy the out­dated 767 just because it’s owned by an American com­pany.
    Makes me proud to be an American :-(
    L

    Reply
  15. VinnieMac says:
    June 18, 2008 at 3:15 pm

    The AF acqui­si­tion sys­tem sucks. I have been deal­ing with them for twelve years now. Bob has the right idea. Just let me add one thing. AFMC has cut blue suit asnd civil ser­vant posi­tions, but added con­tract labor. This makes it look like there are less peo­ple in the AiR Force. The prob­lem with this approach is that now you have con­tract labor peo­ple who are many times not neu­tral. Many times these con­trac­tor folks work indi­rectly (sub­sidary relationship)for the prime con­trac­tors. The AF has a prob­lem with requir­ing one thing then select­ing another. If they would fol­low a sys­tems engi­neer­ing approach to require­ments this would not happen.

    Reply
  16. Trent Telenko says:
    June 18, 2008 at 3:26 pm

    Just for this alone:
    >The Air Force con­ducted mis­lead­ing and unequal
    >dis­cus­sions with Boeing, by inform­ing Boeing
    >that it had fully sat­is­fied a key per­for­mance
    >para­me­ter objec­tive relat­ing to oper­a­tional
    >util­ity, but later deter­mined that Boeing had
    >only par­tially met this objec­tive, with­out
    >advis­ing Boeing of this change in the agency

    Reply
  17. George Skinner says:
    June 18, 2008 at 3:43 pm

    This sucks for every­body asso­ci­ated with the Northrop-​​EADS team, but it does sound like the Air Force man­aged to screw up the com­pe­ti­tion. The Air Force writes the require­ments, so all they had to do was pro­vide a level play­ing field. If they didn’t want to buy a 30-​​year old air­frame, all they had to do was stip­u­late that in the require­ments. If exceed­ing require­ments was to lead to addi­tional points, ditto.
    The irony of this lat­est foul-​​up is that the whole tanker pro­gram is cost­ing sub­stan­tially more than the ini­tial lease deal, which would have had the planes in ser­vice by now!

    Reply
  18. SMSgt Mac says:
    June 18, 2008 at 4:35 pm

    If any­one is in ‘utter shock’ it would have to be from pre­vi­ously con­sum­ing haz­ardous lev­els of Boeing’s tripe. Everything out on this (very lit­tle so far) reeks of Boeing’s polit­i­cal machi­na­tions.
    I’d like to see the AF bring back Systems Command, with pro­gram offices led by expe­ri­enced users. Material Command came about because Logistics Command folks thought buy­ing a com­plex sys­tem should be the same as buy­ing a parts for the sys­tem like a bolt or washer. (slight over-​​simlification *grin*)

    Reply
  19. quoteunquote says:
    June 18, 2008 at 4:37 pm

    YEAHOOO!! Justice reigns at the GAO. Finally, we can begin the process of get­ting rid of the Eurotrash tanker and sup­ply the American warfighter with a SUPERIOR American tanker, what we should have done in the first place. EADS can go screw itself, and Northrop Grumman should be ASHAMED of team­ing up with a com­pany that wants to out­source American jobs to Europe and destroy our defense-​​industrial base. Go Boeing! Go KC-​​767 (or maybe KC-​​777)!!

    Reply
  20. Giovanni says:
    June 18, 2008 at 4:57 pm

    767 is an air­frame at the end of its life.
    No sense to buy an air­craft based on it.
    Can the GAO change this real­ity?
    Can the GAO under­stand mis­sion require­ments bet­ter than the AF?
    This is just polit­i­cal pressure…

    Reply
  21. Chris says:
    June 18, 2008 at 5:25 pm

    Giovanni,
    You are a Grade A JACK A-​​$-$. Every defense com­pany out­sources com­po­nents of their prod­uct (with me so far you slack jawed yokel) Boeing believe it or not out­sources to Italy and China (I know it’s hurts wheen that mouse is spin­ning that rusty wheel in your dome) The major assem­bly will be done in Alabama, the Engines in Ohio(that’s in the United States) Don’t worry about out­sourc­ing jobs the 7–11 you work in will not be relo­cated to France any­time soon.…

    Reply
  22. hank says:
    June 18, 2008 at 5:54 pm

    this is not about sup­port­ing our fight­ing men and women at all, which makes sense because this doesn’t. this is pure polit­i­cal pan­der­ing and pro­tec­tion­ism at its ugli­est. assum­ing this con­tin­ues to go wrong, the world will know that the USA won’t buy any non-​​american air­craft. hell, we’ll even make it ille­gal to buy any­thing but amer­i­can com­pa­nies. but by all means please con­tinue buy­ing all the air­planes the USA wants to sell to the rest of the world, ok?
    of note, the GAO found bad things on both sides, so this could still turn out right. for the future of our econ­omy, let’s all hope it does.

    Reply
  23. hank says:
    June 18, 2008 at 6:00 pm

    Posted by: SMSgt Mac at June 18, 2008 04:35 PM
    “The irony of this lat­est foul-​​up is that the whole tanker pro­gram is cost­ing sub­stan­tially more than the ini­tial lease deal, which would have had the planes in ser­vice by now! “
    one of the rea­sons the first deal was over­turned was because we would be sub­stan­tially over-​​paying for those tankers. many peo­ple were fired, and some went to jail over it. it was a sweet­heart deal for boe­ing, not for the US taxpayers.

    Reply
  24. Bob says:
    June 18, 2008 at 6:14 pm

    The GAO has set the bar of per­fec­tion up at the level of the OJ Simpson trial; if the LAPD devi­ated from absolute per­fec­tion in any way in the han­dling of evi­dence, then OJ was inno­cent. They did, and OJ walked out free– and later wrote a book called “if I did it”. So now, any vari­ance at all is ade­quate claim to kill a selec­tion.
    Does any­one notice how minor and insignif­i­cant the vari­ances cited by the GAO are? Number seven on the list is pretty clearly con­trived.
    We now have to choose:
    1– the USAF needs to run only flaw­less com­plex acqui­si­tions, or
    2– we need to let Congress buy the stuff directly, lis­ten­ing to the loud­est con­stituents, or
    3– stop pre­tend­ing to run com­pe­ti­tions; just buy every­thing sole source. Even fair com­pe­ti­tions are inher­ently “unfair” because the loser always feels it was unfair, and can now protest and per­pet­u­ally delay any pro­gram).
    It’s a sad day for the United States.

    Reply
  25. NERVA says:
    June 18, 2008 at 6:15 pm

    Gee… the EADS crowd chimes in.
    I’m glad Boeing (an American com­pany) won the protest. The AF f’d up.

    Reply
  26. George Skinner says:
    June 18, 2008 at 6:37 pm

    “One of the rea­sons the first deal was over­turned was because we would be sub­stan­tially over-​​paying for those tankers. many peo­ple were fired, and some went to jail over it. it was a sweet­heart deal for boe­ing, not for the US tax­pay­ers.“
    And there’s the irony: in the time since that deal was can­celled, prices have spi­ralled upwards due to increas­ing demand for air­lin­ers, mate­ri­als and labor. There’s also the added cost of run­ning 1–2 addi­tional com­pe­ti­tions, and the lost sav­ings imposed by hav­ing to run the older fleet longer. The first deal was over­turned because it wasn’t a good deal for tax­pay­ers at the time, but in the long run it would have saved money! Not to say that the end jus­ti­fies the means, but the notion that cor­rup­tion could’ve led to a bet­ter deal is won­der­fully ironic and cyn­i­cal at the same time.

    Reply
  27. landonp says:
    June 18, 2008 at 9:50 pm

    The Navy bet­ter start think­ing GAS, ’cause they’re screwed.

    Reply
  28. Roy Smith says:
    June 18, 2008 at 9:51 pm

    When you real­ize that,according to whatdoesitmean.com.,we(the U.S.) & China are attack­ing each other with weather machines that are caus­ing the tor­na­does & flood­ing in the Midwest here & earth­quakes & flood­ing in cen­tral China(with India suf­fer­ing col­lat­eral dam­age from our weather machine wars caus­ing their early mon­soon season),buying a air tanker for the Air force just seems so insignificant,don’t you think?
    Hey,just adding a lit­tle lev­ity to this dis­cus­sion.
    Back on topic,the end result from this whole tanker debate is that we have NO TANKER AT ALL.The same goes with the CSAR-​​X heli­copter.
    In a time of war,shouldn’t we be doing every­thing we could to be putting new equip­ment in the field instead of hav­ing piss­ing con­tests & shoot­ing our­selves in the foot? Instead of protesting,why couldn’t Boeing & EADS(& the American com­pany “fronting” them) work together to put out a tanker in a timely man­ner? Again,the same goes with the CSAR-X,there are so many log­i­cal choices for the CSAR,but NOBODY wants to see it.

    Reply
  29. pfcem says:
    June 18, 2008 at 9:52 pm

    Byron Skinner,
    You are con­fused…
    It was money and polit­i­cal cor­rup­tion tri­umph­ing and our mil­i­tary which forced the USAF can­cel the deal which ben­e­fit­ted it & change its criterea in order to be “fair” to the com­petion which in real­ity WAS not com­peta­tive push­ing it to not get the best weapons sys­tem avail­able and the tax payer is STILL get­ting ripped off.
    How many Air Force Generals and bureau­crats did NG/​EADS (& every­one else who wanted the KC-​​30) have to buy off to so change the USAF in the 1st place.
    Note that the GOA is an entirely (& sup­pos­edly non-​​partisan) entity.

    Reply
  30. pfcem says:
    June 18, 2008 at 10:01 pm

    SMSgt Mac,
    Sorry it CAN’T hap­pen they way you want it.
    The USAF is fully aware that the GOA is cor­rect. (And as I have spec­u­lated, WANTED the GOA to do what it has done & exposed the BS that was the whole KC-​​X selec­tion so that it COULD move for­ward with the KC-​​767 like it has ALWAYS wanted & can tell all the KC-​​30 sup­port­ers that FORCED it into this ridicu­lus posi­tion that we tried it your way but it couln’ld be done).
    By the way to all you ignorents out there, don;t con­fure what the KC-​​X selec­tion chose with what the USAF wants. The USAF arleady chose what it wanted but was FORCED to alter what it “wanted” in order to be “fair” to a NONCOMPETATIVE com­peti­tor to what they want.

    Reply
  31. pfcem says:
    June 18, 2008 at 10:07 pm

    len,
    No, every­one who knows much about REAL WORLD USAF tanker oper­a­tions & require­ments knows the KC-​​767AT is the bet­ter tanker to replace our KC-​​135s.
    Boeing “cried” fould bec­saue the USAF (more spe­sif­i­cally the KC-​​X selec­tion team) f..ed up & the GOA agrees thus UPHOLDING the protest.

    Reply
  32. pfcem says:
    June 18, 2008 at 10:27 pm

    hank,
    Yes leas­ing tankers was going to cost a bit more than buy­ing them (check the pro­jected cost of the lease deals vs the pro­jected cost of the KC-​​X) BUT we lease thing ALL THE TIME & leas­ing them allowed the USAF to get NEW tankers ASAP & it didn’t have to reach into its pro­cure­ment bugdet to get them! The was NO “sub­stan­tial over-​​paying” the value basis of the lease payed was based of ar fair mar­ket value for the tankers to be leased.
    It is one thing to say that you would pre­fer that we pay more upfront (from the already tight USAF procur­ment bud­get) in order to save some over­all in the long run, it is some­thing else to out­right LIE & mis­rep­re­sent the facts of the tanker lease.
    Not that many peo­ple got fierd & only a few went to jail.
    It was a sweet­heart deal for the USAF, not for Boeing. And the US tax­pay­ers would have never felt the dif­fer­ence except for NOT feel­ing the pres­sure to come up greater up-​​front costs of an out­right purchase.

    Reply
  33. pfcem says:
    June 18, 2008 at 11:02 pm

    Now that I have responded to some of the NONSENSE oth­ers have posted…
    “
    Our deci­sion should not be read to reflect a view as to the mer­its of the firms

    Reply
  34. h0lmes says:
    June 19, 2008 at 1:58 am

    Those of you that are say­ing the Air Force will have to wait longer are ignor­ing the fact that all the nec­es­sary kc-​​767 infra­struc­ture is already in place and air­frames are already being pumped out. Kc-​​45 fac­to­ries haven’t even been built yet.

    Reply
  35. JH says:
    June 19, 2008 at 5:06 am

    Why don’t they just throw out the deci­sion? They did it before… As for the 767, Boeing should use the 777 instead.

    Reply
  36. C4Casey says:
    June 19, 2008 at 5:18 am

    First of all, for all those ham­mer­ing solely on the Air Force, and for all those claim­ing the other ser­vices could do a bet­ter job at acquir­ing major weapons sys­tems, let’s get one thing straight. The cur­rent pro­cure­ment mess the mil­i­tary is cur­rently in is not an Air Force only prob­lem. Nearly every new weapons sys­tem being procurred today is behind sched­ule and over bud­get. The Navy’s LCS and the Army’s FCS are prime exam­ples. This is a military-​​wide prob­lem and the entire acqui­si­tion sys­tem is bro­ken, and don’t ask me how to fix it ’cause I have no ideas.
    Secondly, I think there’s been a lot of hypocyt­i­cal crit­i­cism towards Boeing and the Air Force. I mean, when I look at com­ments about the CSAR-​​X com­pe­ti­tion, I hear TONS of peo­ple rant­ing about how the AIr Force chose a “heavy” lift heli­copter for a “medium” lift requirem­net. But when I look at posts about the KC-​​X debate, I see TONS of peo­ple rant about how the KC-​​30 is obvi­ously the best pick, even though it was selected to replace a tanker nearly half its size. Alot of the peo­ple on these posts seem to eat up Northrup’s argu­ments and regur­ge­tate them on these posts, and at the same time sum­mar­ily dis­miss Boeing’s argu­ments as just pro­poganda. And in the F-​​22 debate, I’ve again heard TONS of peo­ple argue that the Air Force should buy new build F-​​16s and F-​​15s, and those are 30 year old air­frames, and yeat I hear TONS of peo­ple on the KC-​​X debate crit­i­cize the KC-​​767 as “being based on a 30 year old air­frame”.
    I’m not say­ing I agree or dis­agree with the argu­ments I’ve men­tioned above, or that the same peo­ple say­ing one thing about the F-​​22 or CSAR-​​X are say­ing the opp­po­site thing about the KC-​​X, but it just strikes me that a major­ity of the argu­ments against the CSAR-​​X selec­tion and F-​​22 are fun­de­men­tally opp­po­site the argu­ments being used by a major­ity of peo­ple on the KC-​​X debate. That just doesn’t make sense to me.

    Reply
  37. gp says:
    June 19, 2008 at 8:38 am

    Okay, now I’m all con­fused. GAO, at the request of the AF, reviewed the bid pro­ce­dure when it was put out and said it was good.
    NG won the com­pe­ti­tion in an envi­ron­ment that Boeing said was “fair and open”.
    Now GAO and Boeing say the process was flawed.
    ????????

    Reply
  38. Trent Telenko says:
    June 19, 2008 at 11:06 am

    >Now GAO and Boeing say the process was flawed.
    GP,
    Read para­graph #4 in the Government Accounting Office (GAO) report closely.
    The USAF changed the tanker require­ments in the mid­dle of the bid process, they told Northrup-​​Grumman, BUT DID NOT TELL BOEING that it did so.
    In the bid­ding process, the USAF orig­i­nally wanted to use as much of the exist­ing KC-​​135 infra­struc­ture as pos­si­ble. That is why Boeing was bid­ding the 767-​​AT rather than the 777 which could not use the same hang­ers and shorter air fields that the KC-​​135 could.
    The USAF decided mid-​​competition that fewer, big­ger, tanker planes was bet­ter for the USAF pro­cure­ment bud­get, and went for the KC-​​30.
    That is why the GAO upheld Boeing’s protest.
    I strongly sus­pect the rea­son both bids blew up on the USAF was the Fighter Pilot General’s insis­tence to max­i­mize F-​​22s buys in the USAF’s lim­ited procur­ment bud­get. The USAF brass involved with the bid­ding process were try­ing to free more of the pro­cure­ment bud­get to buy fight­ers.
    Any infra­struc­ture cost hits for switch­ing to the larger KC-​​30 mid-​​bid over the KC-​​767 would come from either the oper­a­tions or facil­i­ties bud­gets, hence the USAF could buy more F-​​22s with the KC-​​30 than the KC-​​767.
    The orig­i­nal “Tanker leas­ing deal” was built around “using a dif­fer­ent color of money” than what would be used to buy the F-​​22.
    Leasing would be part of the USAF Operation bud­get. You can­not use it to buy new equip­ment. That is what the pro­cure­ment bud­get is for.
    There are far more Congressional finan­cial and report­ing con­trols placed on the DoD pro­cure­ment bud­get than either the oper­a­tions or facil­i­ties line items.
    This “color of money” fund­ing game is what attracted Sen McCain’s atten­tion and uncov­ered the procur­ment fraud that senior USAF offi­cials were involved in.
    Boeing found all this out in their bid­ding out brief and here we are.
    The fail­ure of both bids lies at the feet of the Fighter Pilot Generals insis­tance of play­ing bud­get games to buy more F-​​22s.

    Reply
  39. SMSgt Mac says:
    June 19, 2008 at 11:14 am

    RE:“I hear TONS of peo­ple rant­ing about how the AIr Force chose a “heavy” lift heli­copter for a “medium” lift requirem­net. But when I look at posts about the KC-​​X debate, I see TONS of peo­ple rant about how the KC-​​30 is obvi­ously the best pick, even though it was selected to replace a tanker nearly half its size.“
    Easy. For one weapon sys­tem type, size is a detri­ment (sneak­ing in and out of bad places mak­ing as small a tar­get out of your­self as possible)to the mis­sion, and the other size has a ben­e­fit (car­ry­ing as much pay­load as far as pos­si­ble for oth­ers to use)to the mis­sion.
    Your point about age of sys­tems is very rel­e­vant. I won­der about that too. It seems to come down to a wist­ful desire to just main­tain some kind of sta­tus quo as far as I can tell.

    Reply
  40. hank says:
    June 19, 2008 at 12:06 pm

    SMSgtMac — i think that any­time any­one gets fired or goes to jail over a defense con­tract, regard­less of how many or few, that there is some­thing very wrong with that con­tract. hind­sight may make it look like a good deal, but at the time you can’t antic­i­pate fac­tors that may make a crooked deal look bet­ter some­day.
    the com­pe­ti­tion was for a new tanker, not a new KC-​​135. the plane did not have to be the same size, shape, color, etc. as the KC-​​135. it just had to meet the air force’s require­ments. but it turns out it did have to be the same man­u­fac­turer, at least accord­ing to con­gress and boeing.

    Reply
  41. Leland says:
    June 19, 2008 at 2:17 pm

    test­ing an html fix by clos­ing the italics.

    Reply
  42. pfcem says:
    June 19, 2008 at 5:05 pm

    SMSgt Mac,
    It is beyond the scope & author­ity the GAO to com­ment on the rel­a­tive merit of the offers. But what it has done is con­firmed that the com­petion WAS NOT fair &/​or trans­par­ent & that erros the USAF made could have affected the out­come of what was a close com­pe­ti­tion.
    ***
    gp,
    You are con­fus­ing Boeing & the GOA believ­ing the the USAF request & process LOOKED good before the selec­tion was announced with them now KNOWING the USAF did not live up to its respon­si­bil­i­ties for a fair & trans­par­ent com­pe­ti­tion.
    ***
    hank,
    Yes every­one knows there was uneth­i­cal actions taken by indi­vid­u­als dur­ing the tanker lease deal BUT that DOES NOT in ANY WAY mean that the 767 was (& still is) not the RIGHT plat­form.
    Yes the com­pe­ti­tion was for a new tanker, not a new KC-​​135. BUT it IS a com­pe­ti­tion for a new tanker to replace the KC-​​135. The KC-​​135 does not need to be replaced because it is not big enough or lacks the required capac­ity but because the KC-​​135 are get­ting to be to expen­sive to oper­ate & are quickly reach­ing the end of their use­ful lives.
    ***
    I would also like to address AGAIN the BS that the KC-​​767AT offered by Boeing is a 30 year old air­frame.
    The 1st 737–100 rolled out in 1967 yet the 737 (now in the –600, –700,-800 & –900 mod­els) is STILL the “hottest” sell­ing air­liner year after year after year & has hardly any­thing in com­mon with the 737–100 other than name & gen­eral fuse­lage cross sec­tion (higth & width). Are we to fault the P-​​8 for being a 40+ year old air­frame?
    It really is pathetic how peo­ple fault the KC-​​767AT for being based on a 30 year old design & at the same time fault it for being as yet unflown aircraft…

    Reply
  43. SMSgt Mac says:
    June 20, 2008 at 10:56 pm

    Well boys and girls,
    I just spent the bet­ter part of the evening review­ing the redacted ‘post-​​hearing’ AF legal brief (cour­tesy of NG’s tanker web­site) and I have to say that unless some hereto­fore unknown infor­ma­tion is released related to the GAO’s ‘find­ings’, that is above and beyond ‘press release’ stature, the GAO weak-​​a** find­ings are SOLELY cal­cu­lated to get the issue off their cow­ardly plate. (Like I need yet another rea­son to find the GAO use­less.)
    Don’t take my word for it. Get your­self a copy: http://​www​.amer​i​c​as​new​tanker​.com/​d​o​c​s​/​P​u​b​l​i​c​_​R​e​d​a​c​t​e​d​_​V​e​r​s​i​o​n​_​A​F​_​P​o​s​t​_​H​e​a​r​i​n​g​_​B​r​i​e​f​.​pdf

    Reply
  44. pfcem says:
    June 23, 2008 at 12:33 am

    JJ_​BPK,
    Comments quoted in your own post con­tra­dict your BS. “…the GAO report points to any need for delay, AS IT WAS A REVIEW OF THE PROCESS, not the Boeing and Northrop Grumman prod­uct offer­ings.” It was not the GOA’s job to state any views as to the mer­its of the firms’ respec­tive air­craft (in fact it is BEYOND the scope & author­ity of the GOA to do so — read the GOA state­ments, they make that fact clear).
    “We rec­om­mended that the Air Force REOPEN dis­cus­sions with the offer­ors, obtain revised pro­pos­als, RE-​​EVALUATE the revised pro­pos­als, and MAKE A NEW source selec­tion deci­sion, con­sis­tent with our deci­sion.” What part of that do you not under­stand?
    I will refrain from com­ment­ing of the NG BS as the major­ity of it is disin­gen­u­ous at best.

    Reply
  45. WR says:
    June 23, 2008 at 7:59 pm

    How true, pfcern! SSgtMac does not like the out­come and, like irtusk, can­not face or han­dle the truth. Resultantly, the truth bear­ers become mis­in­form­ers, prop­gan­dists, and druggees in their own uncivil eyes. Now talk about slan­der by those who can’t face or han­dle the truth (and who are truly weak-​​kneed).…..

    Reply
  46. Baniz says:
    September 5, 2008 at 1:26 am

    Can some­one explain this stuff with smaller amt. of words for peo­ple like me

    Reply
  47. Sandy says:
    May 12, 2009 at 6:25 am

    Hi. In the future I’m going to keep here links to their sites. But I do not worry about the sites where my link is removed. So if you do not want to see a moun­tain of links, sim­ply delete this mes­sage. After 2 weeks, I will come back and check.

    Reply

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