Pentagon Contract Announcement
(Source: U.S. Department of Defense; issued Oct. 6, 2017)
The US Navy is withholding the value of the two contracts it awarded on Oct. 6 for one of each of the Littoral Combat Ship’s two variants. The two competing ships are built by Lockheed Martin (left) and Austal. (USN photo)
Austal USA, Mobile, Alabama, is being awarded a not-to-exceed the congressional cost cap of $584,200,000 fixed-price-incentive firm target modification to a previously awarded contract (N00024-17-C-2301) to exercise the option for the construction of a Littoral Combat Ship (LCS).

Austal USA will perform and oversee all necessary design, planning, construction and test and trials activities in support of delivery of this ship to the Navy.

The Navy expects to release a competitive solicitation(s) for additional LCS class ships in future years, and therefore the specific contract award amount for these ships is considered source selection sensitive information (see 41 U.S. Code 2101, et seq., Federal Acquisition Regulation (FAR) 2.101 and FAR 3.104) and will not be made public at this time.

Work will be performed in Mobile, Alabama (54 percent); Pittsfield, Massachusetts (9 percent); California, Maryland (4 percent); Cincinnati, Ohio (4 percent); Leesburg, Virginia (3 percent); Williston, Vermont (3 percent); Linthicum, Maryland (3 percent); East Syracuse, New York (2 percent); Franklin, Massachusetts (2 percent); and various other locations of less than 2 percent each (totaling 16 percent), and is expected to be completed by October 2023.

Fiscal 2017 shipbuilding and conversion (Navy) funding not-to-exceed the congressional cost cap of $584,200,000 for construction of one fiscal 2017 LCS will be obligated at time of award and will not expire at the end of the current fiscal year.

The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity.



-- Lockheed Martin Corp., Baltimore, Maryland, is being awarded a not-to-exceed the congressional cost cap of $584,200,000 fixed-price-incentive firm target contract for the construction of a Littoral Combat Ship (LCS).

The awarded contract includes associated cost-plus-fixed-fee LCS class services and related material, and firm-fixed-price integrated data environment support. The contract also includes options for the construction of additional LCS, class services, and post-delivery availability support.

The Navy expects to release a competitive solicitation(s) for additional LCS class ships in future years, and therefore the specific contract award amount for these ships is considered source selection sensitive information (see 41 U.S. Code 2101, et seq., Federal Acquisition Regulation (FAR) 2.101 and FAR 3.104) and will not be made public at this time.

Work will be performed in Marinette, Wisconsin (37 percent); Washington, District of Columbia (12 percent); Baltimore, Maryland (10 percent); New York, New York (2 percent); Beloit, Wisconsin (2 percent); Iron Mountain, Michigan (2 percent); Milwaukee, Wisconsin (1 percent); Waunakee, Wisconsin (1 percent); Crozet, Virginia (1 percent); Coleman, Wisconsin (1 percent); Moorestown, New Jersey (1 percent); and various other locations of less than 1 percent each (totaling 30 percent), and is expected to be completed by October 2023.

Fiscal 2017 shipbuilding and conversion (Navy) funding not-to-exceed the congressional cost cap of $584,200,000 for construction of one fiscal 2017 LCS; and fiscal 2016 shipbuilding and conversion (Navy) in the amount of $15,000,000 for LCS class services and integrated data environment support will be obligated at time of award and will not expire at the end of the current fiscal year.

This contract was awarded via a limited competition between Austal USA and Lockheed Martin pursuant to 10 U.S. Code 2304(c)(1), and FAR 6.302-1; full and open competition need not be provided for when it is necessary to award the supplies or services needed by the agency which are available from only one responsible source or only from a limited number of responsible sources and no other type of supplies or services will satisfy the needs of the agency.

The Naval Sea Systems Command, Washington, District of Columbia, is the contracting activity (N00024-18-C-2300).

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Austal USA Awarded Littoral Combat Ship 30
(Source: Austal; issued Oct 08, 2017)
MOBILE, Ala. --- Austal USA was awarded a construction contract by the U.S. Navy today to build an additional Independence-variant Littoral Combat Ship, its fifteenth ship in the class. The award of LCS 30 is a clear sign of the Navy’s confidence in Austal’s LCS program. The specific value of the contract is under the congressional cost cap of $584 million per ship.

“We’re honored to be awarded this contract in such a highly competitive environment,” said Austal USA President Craig Perciavalle. “This further supports the Navy’s recognition of Austal as a key component in building their 355-ship fleet, which is a testament to the hard work and commitment of our talented employees and dedicated supplier network.”

The Littoral Combat Ship has been identified as a key component to the Navy’s ability to gain sea control through distributed lethality. (Emphasis added—Ed.)

Austal USA employs 4,000 people at its headquarters and ship manufacturing facility in Mobile, Ala., while its supplier network includes over 2,200 businesses across 43 states. Austal continues to reduce cost and deliver on schedule handing over two LCS ships in 2016 and one of two in 2017, all under the congressional cost cap. This, along with the successful Expeditionary Fast Transport (EPF) program, has helped make Austal the fifth largest shipbuilder in the United States and positions the company well to rapidly and efficiently support the Navy’s desired fleet of 355 ships with affordable solutions.

“This amazing team effort highlights the value and importance of the American industrial base,” said Perciavalle. Construction of LCS 30 is scheduled to begin in 2019.

Austal delivered the future USS Omaha (LCS 12) to the Navy last month and is scheduled to deliver the Expeditionary Fast Transport USNS City of Bismarck (EPF 9) before the end of the year. With six LCS and eight EPFs already delivered, Austal-built ships are impacting worldwide operations.


(EDITOR’S NOTE: Contrary to what is claimed above, the Littoral Combat Ship has not been identified “as a key component to the Navy’s ability to gain sea control through distributed lethality.”
On the contrary, it has been determined to be an ineffective vessel that is incapable of surviving in combat, whose mission module concept has been shown to be inoperable, and whose production has been cut short so it can be replaced by an entirely new frigate design, the FFG(X).)


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