U.S. DEFENSE DEPARTMENT CONTRACTS FOR JUNE 5, 2014

FROM:  U.S. DEFENSE DEPARTMENT

CONTRACTS

MISSILE DEFENSE AGENCY

Lockheed Martin Space Systems Co., Huntsville, Alabama, has been awarded a maximum $134,173,537 modification (P00013) to the previously awarded firm-fixed-price and cost-plus-fixed-fee contract HQ0147-14-C-0004 for highly specialized services to support Ballistic Missile Defense System flight test activities using the contractor’s developed target hardware. Work will be performed at several contractor facilities and government test sites with an expected completion date of Dec. 8, 2018. Fiscal 2014 research, development, test and evaluation funds in the amount of $8,000,000 were obligated at the time of award. The Missile Defense Agency, Huntsville, Alabama, is the contracting activity.

ARMY

The Ross Group Construction Corp. Tulsa, Oklahoma was awarded a $16,645,200 firm-fixed-price contract with options for the construction of the KC-46A Fuselage Trainer Flight Training Center and the Fuselage Trainer at Altus AFB, Altus, Oklahoma. Option four for sidewalks and landscaping will be exercised at time of award in the amount of $54,800. Option five for additional concrete parking stalls will be exercised at time of contract award in the amount of $34,100. The estimated completion date is Oct. 5, 2015. Bids were solicited via the Internet with seven received. Fiscal 2014 military construction funds in the amount of $16,645,200 are being obligated at the time of the award. Army Corps of Engineers, Tulsa Oklahoma is the contracting activity (W912BV-14-C-0015).
RANCO Construction,* Southampton, New Jersey was awarded a $8,783,220 firm-fixed-price contract with options for the construction of a new central issuing facility at Joint Base McGuire-Dix-Lakehurst, New Jersey with an estimated completion date of Nov. 12, 2015. Bids were solicited via the Internet with eight received. Fiscal 2011 military construction (Army Reserve) funds in the amount of $820,411; fiscal 2014 military construction (Army Reserve) funds in the amount of $7,273,808; and 2014 operations and maintenance funds in the amount of $689,000 are being obligated at award. Army Corps of Engineers, Louisville, Kentucky is the contracting activity (W912QR-14-C-0021).

NAVY

United Technologies Corp., Pratt & Whitney Military Engines, East Hartford, Connecticut, is being awarded a $113,379,349 cost-plus-incentive-fee modification to a previously awarded advance acquisition contract (N00019-13-C-0016) for operations and maintenance support; non-recurring and recurring engineering sustainment, site activation, and depot activation work in support of Low Rate Initial Production Lot VIII F135 propulsion systems. This effort will include maintenance and repair of operational assets; procurement of initial support equipment; packing handling storage and transportation material; fleet management; item management; joint technical data; sustaining engineering; production support; site activation preparation for initial operations; and depot engineering, repair development, inspection limits development for engine depot stand-up and support. Work will be performed in East Hartford, Connecticut (63 percent); Indianapolis, Indiana (25 percent); and Bristol, United Kingdom (12 percent); and is expected to be completed in March 2017. This contract combines purchases for the U.S. Air Force ($50,035,487; 44.1 percent); the U.S. Navy/Marine Corps ($50,381,959; 44.4 percent); and international partners ($12,961,903; 11.5 percent). Fiscal 2012, 2013 and 2014 aircraft procurement (Navy, United States Marine Corp, and United States Air Force) and international partner funds in the amount of $113,379,349 will be obligated at time of award, of which $58,703,576 will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.
The Boeing Co., Seattle, Washington, is being awarded a $28,688,558 modification to a previously awarded cost-plus-fixed-fee contract (N00019-04-C-3146) for the design, development, fabrication, installation and testing of the airworthiness cabin equipment and support testing to the existing P-8A Poseidon Test aircraft. Work will be performed in Patuxent River, Maryland (58 percent); Seattle, Washington (34 percent); and Huntsville, Alabama (8 percent), and is expected to be completed in December 2016. No funding will be obligated at time of award. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

Lockheed Martin Corp., Orlando, Florida, is being awarded a $20,000,000 ceiling-priced indefinite-delivery/indefinite-quantity contract to provide sustaining engineering services in support of the Consolidated Automated Support System family of testers. Work will be performed in Orlando, Florida (93.85 percent) and Fredericksburg, Virginia (6.15 percent), and is expected to be completed in June 2019. No funds are being obligated at time of award. Funds will be obligated against individual delivery orders as they are issued. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity (N68335-14-D-0009).

G4S-SJC LLC, Fort Worth, Texas, is being awarded a $19,835,665 firm-fixed-price contract for pier repairs at the United States Navy Support Facility, Diego Garcia. The work to be performed provides for repair of failing timber pile fender system and appurtenances, deteriorating sections of the concrete pier deck, and replacement of impressed current cathodic protection for in-water steel piles with passive anode cathodic protection system at the petroleum oil lubricant pier. Work will be performed in Diego Garcia, British Indian Ocean Territories, and is expected to be completed by April 2016. Fiscal 2014 working capital funds (defense agencies) contract funds in the amount of $19,835,665 are being obligated on this award and will expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with three proposals received. The Naval Facilities Engineering Command, Pacific, Joint Base Pearl Harbor-Hickam, Hawaii, is the contracting activity (N62742-14-C-1306).

BAE Systems San Francisco Ship Repair, San Francisco, California, is being awarded a $10,354,523 firm-fixed-price contract for a 58-calendar day regular overhaul and dry docking availability of USNS Wally Schirra (T-AKE 8). Work will include inspection of the propeller shaft and stern tube, bow thruster repairs, installation of the cloropac unit, upgrades to the electronic chart display and information system radar, underwater hull cleaning and painting, modification to the anchor windlass foundation and removal, repair and re-installation of hazardous material containers. Schirra’s primary mission is to operate as part of a carrier strike group providing fuel, ammunition and dry and refrigerated stores to U.S. Navy ships at sea, enabling them to remain underway for extended periods. This contract includes options which, if exercised, would bring the cumulative value of this contract to $13,096,898. Work will be performed in San Francisco, California, and is expected to be completed by October 2014. Working capital contract funds in the amount of $10,354,523 are obligated for fiscal 2014, and will expire at the end of the current fiscal year. This contract was competitively procured with proposals solicited via the Federal Business Opportunities website, with two proposals received. The U.S. Navy’s Military Sealift Command, Washington, District of Columbia, is the contracting activity (N32205-14-C-3006).

Rockwell Collins, Inc., Cedar Rapids, Iowa, is being awarded an $11,916,219 modification to a previously awarded firm-fixed-price contract (N00019-13-C-0004) for the upgrade of the E-6B Mercury Weapon System Trainer. Work will be performed in Richardson, Texas (60 percent) and Binghamton, New York (40 percent), and is expected to be completed in February 2017. Fiscal 2012 and 2013 aircraft procurement (Navy) funds in the amount of $11,916,219 are being obligated on this award, $9,032,494 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

AIR FORCE

Alion Science and Technology, Burr Ridge, Illinois (FA8075-14-D-0014); Battelle Memorial Institute, Columbus, Ohio (FA8075-14-D-0015); Booz Allen Hamilton, McLean, Virginia (FA8075-14-D-0016); EOIR Technologies, Inc., Fredericksburg, Virginia (FA8075-14-D-0017); Georgia Tech Research Institute, Atlanta, Georgia (FA8075-14-D-0018); MacAulay-Brown, Inc., Dayton, Ohio (FA8075-14-D-0019); Mantech TSG-2 Joint Venture, Fairfax, Virginia (FA8075-14-D-0020); Prescient Edge Corporation, McLean, Virginia (FA8075-14-D-0021); Strategic Analysis, Inc., Arlington, Virginia (FA8075-14-D-0022); TASC, Inc., Andover, Maryland (FA8075-14-D-0023); URS Federal Services, Inc., Germantown, Maryland (FA8075-14-D-0024); and Wyle Laboratories, Inc., Huntsville, Alabama (FA8075-14-D-0025) have been awarded a maximum $3,000,000,000 cost-plus-fixed-fee, firm-fixed-price, multiple-award, indefinite-delivery/indefinite-quantity contract for Defense Systems Technical Area Tasks (DS TATs). The DS TATs contracts will provide research, development, test and evaluation, and advisory and assistance services related to research and development efforts for technical area tasks within the Advanced Materials; Autonomous Systems; Directed Energy; Energetics; Military Sensing; Non-Lethal Weapons and Information Operations; Reliability, Maintainability, Quality, Supportability, and Interoperability; Survivability and Vulnerability; and Weapons Systems focus areas. Location of performance will be cited on individual task orders. Generally, work will be performed at government facilities, and the period of performance is five years. The ordering period is a one year basic period with four one-year option periods with work expected to be completed by June 2019 if all option periods are exercised. Individual task orders, obligating fiscal 2014 research and development funds, will be issued against the basic contracts, in order to meet the minimum order guarantee of $2,500. The multiple-award contracts were competitively procured by full and open competition along with a partial small business set-aside via the Federal Business Opportunities website with 12 offers received. The Air Force Installation Contracting Agency, Offutt Air Force Base, Nebraska, is the contracting activity.

Lockheed Martin Space Systems Co., King of Prussia, Pennsylvania, has been awarded a $452,000,000 indefinite-delivery/indefinite-quantity contract for reentry system/reentry vehicles (RS/RV) subsystem support. The acquisition provides sustaining engineering, maintenance engineering, aging surveillance, modification of systems and equipment, software maintenance, developmental engineering, production engineering, and procurement of the MMIII RS/RV subsystem and related support equipment. Work will be performed at King of Prussia, Pennsylvania, and other various sites to include Hill Air Force Base, Utah, and is expected to be complete by June 4, 2022. This award is the result of a sole-source acquisition. Fiscal 2014 operations and maintenance funds in the amount of $5,983,062 for task order 0001 are being obligated at time of award. Air Force Nuclear Weapons Center/PZBF, Hill AFB, Utah, is the contracting activity (FA8214-14-D-0002).

Parsons Government Support Services Inc., Dallas, Texas, has been awarded a $7,107,395 modification (P00043) for FA8501-08-C-0024 to exercise a 12-month option for continuation of ground support equipment maintenance services from July 1, 2014 through June 30, 2015. The total cumulative face value of the contract is $51,568,279. Work will be performed at Robins Air Force Base, Georgia, and is expected to be completed by June 20, 2015. This acquisition is being funded by Defense Maintenance Activity Group appropriations in the amount of $7,107,395 at time of exercise of option. Air Force Systems Center/PZIOA, Robins AFB, Georgia, is the contracting activity.

Essex Electro Engineers, Inc., Schaumburg, Illinois, has been awarded a $6,658,080 firm-fixed-price delivery order (0002) against indefinite delivery requirements contract, FA8533-11-D-0005 for the purchase of 72kW Generators. The 72kW Ground Power Unit (GPU) is used to provide 400Hz, 28VDC, and 270 VDC power for various aircraft maintenance tasks on Air Force aircraft. The GPU is a stand-alone, trailer mounted, self-contained unit capable for providing external ground power to the following aircrafts: C-130, C-17, C-5, B1B, B-2, F-22, F-35, A-10, KC-135, B-52, and secondary power for the F-15 and F-16. Work will be performed at Schaumburg, Illinois and is expected to be completed by Jan. 30, 2016. This order is being placed against basic contract FA8533-11-D-0005 which was the result of a full and open competitive acquisition in which seven proposals were received. Fiscal 2014 operations and maintenance funds in the amount of $6,658,080 are being obligated at time of award. Air Force Life Cycle Management Center/WNKBBB, Robins Air Force Base, Georgia, is the contracting activity.

DEFENSE LOGISTICS AGENCY

UPDATE: Shannon Chastain Enterprises Incorporated,* Eatonton, Georgia (SPE8EC-14-D-0009) has been added as an awardee to the multiple award contract issued against solicitation #SPM8EC-11-R-0003 announced Aug. 4, 2011.

DEFENSE ADVANCED RESEARCH PROJECTS AGENCY

Sikorsky Aircraft Corp., Stratford, Connecticut, has been awarded a maximum $10,043,483 modification (P00004) exercising the option one period on a seven-month base contract (HR0011-14-C-0010) with one 17-month option period for air-vehicle design to meet the objective of the DARPA Vertical Take-Off and Landing experimental aircraft (X-Plane) program. This is a cost reimbursement no-fee contract. Location of performance is Stratford, Connecticut, (53 percent) and Palmdale, California, (47 percent) with a Nov. 5, 2015, performance completion date. Type of appropriation is fiscal 2014 through fiscal 2015 research, development, test and evaluation. The contracting activity is the Defense Advanced Research Projects Agency, Arlington, Virginia.

*Small Business

U.S. CONGRATULATES PEOPLE OF DENMARK ON THEIR NATIONAL DAY

FROM:  U.S. STATE DEPARTMENT 

On the Occasion of Denmark's National Day

Press Statement

John Kerry

Secretary of State

Washington, DC

June 5, 2014

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On behalf of President Obama and the people of the United States, I congratulate the people of Denmark on the 165^th anniversary of the adoption of your constitution.

On June 5, 1849, King Frederik VII signed Denmark’s free constitution and broke voluntarily with almost 200 years of absolutism. King Frederik was a champion of liberty, and his words continue to inspire today: “Personal liberty shall be inviolable…no Danish subject shall, in any manner whatsoever, be deprived of his liberty because of his political or religious convictions or because of his descent.”

These are the values that bind Denmark and the United States as partners for peace, prosperity, and democracy. As members of the NATO Alliance, our cooperation and shared vision for our common defense continues to unite our nations.

As you celebrate your national day with family and friends, the United States stands with you as a steadfast partner and friend. I wish all Danish people continued peace and prosperity in the coming year.

REMARKS BY SECRETARY KERRY AND RUSSIAN FOREIGN MINISTER LAVROV BEFORE MEETING

FROM:  U.S. STATE DEPARTMENT 

Remarks With Russian Foreign Minister Sergey Lavrov Before Their Meeting

Remarks

John Kerry

Secretary of State

Paris, France

June 5, 2014

SECRETARY KERRY: Let me just say that it’s a pleasure for me to be able to welcome Foreign Minister Lavrov so that we have an opportunity to be able to discuss issues of obvious importance to the relationship between the United States and Russia, but obviously even more so important to everybody who wants to see peace and stability in Ukraine and progress on other issues of concern that we share together.

President-elect Poroshenko has made it clear that he wants to reach out to all of the people of Ukraine, and he intends to make a major effort to bring the country together. This is an opportunity we hope for Russia, the United States, and others – all of them to come together in an effort to try to make a Ukraine that is strong economically, whose sovereignty is respected, whose independence is respected, but which clearly is not the pawn in a tug-of-war between other nations, but rather an independent, sovereign country with the integrity of its borders and people, able to act as a bridge between east and west with trade, with engagement between all parties.

That’s our hope, and we hope that with Russia, together we have an ability to be able to find a way to cooperate in order to help make this happen. That’s our hope. And there obviously are difficulties. We understand that. That’s why we’re meeting today to talk about them before the celebrations in Normandy.

FOREIGN MINISTER LAVROV: Yeah. I can only subscribe to what Secretary Kerry just said. We would like to see Ukraine peaceful, stable, a place for all those who live in Ukraine – for them to be feeling equal, respected, heard, and listened to, living in peace, being a bridge, not being a pawn. And the Russian-American agenda is much broader than just Ukraine. We would like to see other countries like Iraq, Libya, Syria, many others, also to be in peace, not to be used as a pawn, and I hope that we can discuss all these things with the Secretary here today.

SECRETARY KERRY: Thank you all very much.

WHITE HOUSE RELEASES G-7 STATEMENT ON FOREIGN POLICY

FROM:  THE WHITE HOUSE 

G-7 Leaders Statement – Foreign Policy

Brussels, Belgium

June 4, 2014

Ukraine

• We welcome the successful conduct under difficult circumstances of the election in Ukraine on 25 May. The strong voter turnout underlined the determination of Ukraine’s citizens to determine the future of their country.  We welcome Petro Poroshenko as the President-elect of Ukraine and commend him for reaching out to all the people of Ukraine.
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• In the face of unacceptable interference in Ukraine’s sovereign affairs by the Russian Federation, we stand by the Ukrainian government and people. We call upon the illegal armed groups to disarm. We encourage the Ukrainian authorities to maintain a measured approach in pursuing operations to restore law and order. We fully support the substantial contribution made by the Organisation for Security Cooperation in Europe (OSCE) to the de-escalation of the crisis through the Special Monitoring Mission and other OSCE instruments. We commend the willingness of the Ukrainian authorities to continue the national dialogue in an inclusive manner. We welcome the "Memorandum of Peace and Unity" adopted by the Verkhovna Rada on 20 May and express the wish that it can be implemented rapidly.  We also encourage the Ukrainian parliament and the Government of Ukraine to continue to pursue constitutional reform in order to provide a framework for deepening and strengthening democracy and accommodating the rights and aspirations of all people in all regions of Ukraine.
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• The G-7 are committed to continuing to work with Ukraine to support its economic development, sovereignty and territorial integrity. We encourage the fulfilment of Ukraine's commitment to pursue the difficult reforms that will be crucial to support economic stability and unlock private sector-led growth. We welcome the decision of the International Monetary Fund (IMF) to approve a $17 billion programme for Ukraine, which will anchor other bilateral and multilateral assistance and loans, including around $18 billion foreseen to date from G-7 partners.  We welcome the swift disbursement of macro-economic support for Ukraine. We support an international donor coordination mechanism to ensure effective delivery of economic assistance and we welcome the EU’s intention to hold a high-level coordination meeting in Brussels. We welcome ongoing efforts to diversify Ukraine's sources of gas, including through recent steps in the EU towards enabling reverse gas flow capacities and look forward to the successful conclusion of the talks, facilitated by the European Commission, on gas transit and supply from the Russian Federation to Ukraine.
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• We are united in condemning the Russian Federation’s continuing violation of the sovereignty and territorial integrity of Ukraine.  Russia’s illegal annexation of Crimea, and actions to de-stabilize eastern Ukraine are unacceptable and must stop. These actions violate fundamental principles of international law and should be a concern for all nations.  We urge the Russian Federation to recognize the results of the election, complete the withdrawal of its military forces on the border with Ukraine, stop the flow of weapons and militants across the border and to exercise its influence among armed separatists to lay down their weapons and renounce violence. We call on the Russian Federation to meet the commitments it made in the Geneva Joint Statement and cooperate with the government of Ukraine as it implements its plans for promoting peace, unity and reform.
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• We confirm the decision by G-7 countries to impose sanctions on individuals and entities who have actively supported or implemented the violation of Ukraine’s sovereignty and territorial integrity and who are threatening the peace, security and stability of Ukraine. We are implementing a strict policy of non-recognition with respect to Crimea/Sevastopol, in line with UN General Assembly Resolution 68/262. We stand ready to intensify targeted sanctions and to implement significant additional restrictive measures to impose further costs on Russia should events so require.
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• The projects funded by the donor community to convert the Chernobyl site into a stable and environmentally safe condition have reached an advanced stage of completion. While recognizing the complexity of these first of a kind projects, we call upon all concerned parties to make an additional effort to bring them to a satisfactory conclusion and call upon project parties to keep costs under control. This remains a high priority for us.

Syria

• We strongly condemn the Assad regime’s brutality which drives a conflict that has killed more than 160,000 people and left 9.3 million in need of humanitarian assistance. We denounce the 3 June sham presidential election: there is no future for Assad in Syria. We again endorse the Geneva Communiqué, which calls for a transitional governing body exercising full executive powers and agreed by mutual consent, based on a vision for a united, inclusive and democratic Syria.  We strongly condemn the violations of international humanitarian law and human rights and indiscriminate artillery shelling and aerial bombardment by the Syrian regime. There is evidence that extremist groups have also perpetrated grave human rights abuses. All those responsible for such abuses must be held to account. We welcome the commitment of the National Coalition and Free Syrian Army to uphold international law.  We deplore Russia and China’s decision to veto the UN Security Council (UNSC) Resolution draft authorizing referral to the International Criminal Court and demanding accountability for the serious and ongoing crimes committed in Syria.
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• We are committed to supporting the neighboring countries bearing the burden of Syrian refugee inflows and deplore the failure to implement UNSC Resolution 2139 on humanitarian assistance. We urge all parties to the conflict to allow access to aid for all those in need, by the most direct routes, including across borders and conflict lines, and support further urgent action by the UNSC to that end. In our funding we decide to give particular support to humanitarian actors that can reach those most in need, including across borders. We call for the international community to meet the enormous funding needs of the UN appeals for Syria and its neighbours. We resolve to intensify our efforts to address the threat arising from foreign fighters travelling to Syria. We are deeply concerned by allegations of repeated chemical agent use and call on all parties in Syria to cooperate fully with the Organization for the Prohibition of Chemical Weapons (OPCW) fact-finding mission. We call on Syria to comply with its obligations under UNSC Resolution 2118, decisions of the Executive Council of the OPCW and the Chemical Weapons Convention to ensure the swift removal of its remaining chemical stockpile for destruction, and to destroy its production facilities immediately and answer all questions regarding its declaration to the OPCW.

Libya

• We reaffirm our support for a free, prosperous and democratic Libya which will play its role in promoting regional stability.  We express serious concern at the recent violence and urge all Libyans to engage with the political process through peaceful and inclusive means, underpinned by respect for the rule of law.  We urge continued and coordinated engagement by the international community to support the Libyan transition and efforts to promote political dialogue, in coordination with the UN and with the UN Support Mission in Libya fulfilling its mandate in that respect.   We ask all in the international community to respect fully Libyan’s sovereignty and the principle of non-intervention in its affairs. In this framework, we commend the proposal of the High National Electoral Commission, endorsed by the General National Congress, to convene the elections on June 25. We emphasize the importance of these elections in restarting the political process and appreciate the vital work of the Constitution Drafting Assembly.

Mali and Central African Republic

• We welcome the ceasefire signed on May 23 by the Malian Government and armed groups in the North of Mali, thanks to efforts by the African Union, through its Presidency, and the UN. We reaffirm our strong commitment to a political solution and to an inclusive dialogue process that must start without delay, as prescribed by the Ouagadougou agreement and UNSC decisions. We fully support the United Nation’s Multidimensional Integrated Stabilization Mission in Mali efforts in stabilizing the country and, with the commitment of neighboring countries, including Algeria, Mauritania and the Economic Community of West African States, in working for a durable settlement respectful of the unity, territorial integrity and national sovereignty of Mali.
• We commend the role played on the ground in the Central African Republic by the AU-led International Support Mission to the Central African Republic, together with the forces sent by France and the European Union, to support the transition and encourage the Transitional Authorities to take urgent concrete steps toward holding free, fair, transparent and inclusive elections. We fully support the UN efforts in the areas of security, reconciliation, preparation of the elections, and humanitarian assistance.

Iran

• We reaffirm our strong commitment to a diplomatic resolution of the Iranian nuclear issue and welcome the efforts by the E3+3, led by High Representative Ashton, and Iran to negotiate a comprehensive solution that provides confidence in the exclusively peaceful nature of Iran's nuclear programme. We underline the importance of the continuing effective implementation by the E3+3 and Iran of the Joint Plan of Action. We call on Iran to cooperate fully with the International Atomic Energy Agency on verification of Iran's nuclear activities and to resolve all outstanding issues, including, critically, those relating to possible military dimensions.   We strongly urge Iran to fully respect its human rights obligations. We call on Iran to play a more constructive role in supporting regional security, in particular in Syria, and to reject all acts of terrorism and terrorist groups.

North Korea

• We strongly condemn North Korea's continued development of its nuclear and ballistic missile programmes.  We urge North Korea to abandon all nuclear weapons and existing nuclear and ballistic missile programmes and to comply fully with its obligations under relevant UNSC resolutions and commitments under the September 2005 Joint Statement of the Six-Party Talks. We call on the international community to implement fully UN sanctions. We reiterate our grave concerns over the ongoing systematic, widespread and gross human rights violations in North Korea documented in the report of the UN Commission of Inquiry, and urge North Korea to take immediate steps to address these violations, including on the abductions issue, and cooperate fully with all relevant UN bodies. We continue to work to advance accountability for North Korea's serious human rights violations.

Middle East Peace Process

• We fully support the United States’ efforts to secure a negotiated two-state solution.  We regret that greater progress has not been made by the parties and urge them to find the common ground and political strength needed to resume the process. A negotiated two-state solution remains the only way to resolve the conflict. We call on both sides to exercise maximum restraint and to avoid any unilateral action which may further undermine peace efforts and affect the viability of a two-state solution.

Afghanistan

• We renew our long-term commitment to a democratic, sovereign, and unified Afghanistan and our enduring partnership with the Government of Afghanistan based on the principles of mutual respect and mutual accountability. The first round of presidential elections and the provincial council elections marked a historic achievement, especially for the more than 2.5 million women who voted, and we look forward to the completion of the electoral process. We continue to assist the Government of Afghanistan to strengthen their institutions of governance, reduce corruption, combat terrorism, support economic growth, and counter narcotics.  We continue to actively support an inclusive Afghan-led and Afghan-owned process of reconciliation.

Maritime Navigation and Aviation

• We reaffirm the importance of maintaining a maritime order based upon the universally-agreed principles of international law. We remain committed to international cooperation to combat piracy and other maritime crime, consistent with international law and internationally recognized principles of jurisdiction in international waters. We are deeply concerned by tensions in the East and South China Sea. We oppose any unilateral attempt by any party to assert its territorial or maritime claims through the use of intimidation, coercion or force. We call on all parties to clarify and pursue their territorial and maritime claims in accordance with international law. We support the rights of claimants to seek peaceful resolution of disputes in accordance with international law, including through legal dispute settlement mechanisms.  We also support confidence-building measures. We underscore the importance of the freedom of navigation and overflight and also the effective management of civil air traffic based on international law and International Civil Aviation Organization standards and practices.

Other Issues

• We reaffirm our commitment to the protection and promotion of all human rights and fundamental freedoms, including religious freedom, for all persons. We recognise the need to show unprecedented resolve to promote gender equality, to end all forms of discrimination and violence against women and girls, to end child, early and forced marriage and to promote full participation and empowerment of all women and girls. We look forward to the Global Summit to End Sexual Violence in Conflict taking place in London later this month.
• We reiterate our condemnation of terrorism and our commitment to cooperate in all relevant fora to prevent and respond to terrorism effectively, and in a comprehensive manner, while respecting human rights and the rule of law. We condemn the kidnapping of hundreds of schoolgirls by Boko Haram as an unconscionable crime and intend do everything possible to support the Nigerian government to return these young women to their homes and to bring the perpetrators to justice.
• We confirm that non-proliferation/disarmament issues remain a top priority and welcome the G-7 Non-proliferation Directors Group statement issued today.

WHITE HOUSE STATEMENT ON NATIONAL DEFENSE AUTHORIZATION ACT FOR FISCAL 2012

FROM:  THE WHITE HOUSE 

Statement by the Press Secretary on the Presidential Determination Pursuant to Section 1245(d)(4)(B) and (C) of the National Defense Authorization Act for Fiscal Year 2012

Today the President made the determination required under section 1245(d)(4)(B) and (C) of the National Defense Authorization Act for Fiscal Year 2012 regarding the supply of petroleum and petroleum products from countries other than Iran.

The analysis contained in the Energy Information Administration’s report of April 24, 2014, indicates that global oil consumption has exceeded production in recent months.  This resulted in a small withdrawal from global oil stocks, in line with rates earlier this year.  Global oil supply disruptions in recent months increased compared with earlier this year, but the resulting supply reduction was offset by increased petroleum production, particularly in the United States.  Global surplus crude oil production capacity has increased modestly in recent months but remains lower than a year ago.  Oil inventories among members of the Organization for Economic Cooperation and Development are 3 percent below year ago levels.  The Brent crude oil price remains near $110 per barrel, in line with the price level 6 months ago when the last determination was made.  

While these factors indicate general market tightness, they also indicate that there currently appears to be sufficient supply of non-Iranian oil to permit foreign countries to reduce significantly their purchases of Iranian oil, taking into account current estimates of demand, increased production by countries other than Iran, inventories of crude oil and petroleum products, and available spare production capacity.  However, while market conditions suggest that there is sufficient supply to permit additional reductions in purchases of Iranian oil, the United States has committed to pause efforts to further reduce Iran’s crude oil sales for a 6-month period under the Joint Plan of Action between the P5+1 and Iran.  In return for this and other limited relief measures, Iran has committed to take steps that halt – and in key respects roll back – progress on its nuclear program.  The International Atomic Energy Agency has verified that Iran is complying with these commitments.

BITCOM-RELATED WEBSITE OWNER CHARGED BY SEC WITH OFFERING UNREGISTERED SECURITIES

FROM:  U.S. SECURITIES AND EXCHANGE COMMISSION 

The Securities and Exchange Commission today charged the co-owner of two Bitcoin-related websites for publicly offering shares in the two ventures without registering them.

An SEC investigation found that Erik T. Voorhees published prospectuses on the Internet and actively solicited investors to buy shares in SatoshiDICE and FeedZeBirds.  But he failed to register the offerings with the SEC as required under the federal securities laws.  Investors paid for their shares using Bitcoin, a virtual currency that can be used to purchase real-world goods and services and exchanged for fiat currencies on certain online exchanges.  The profits ultimately earned by Voorhees through the unregistered offerings totaled more than $15,000.

Voorhees agreed to settle the SEC’s charges by paying full disgorgement of the $15,843.98 in profits plus a $35,000 penalty for a total of more than $50,000.

“All issuers selling securities to the public must comply with the registration provisions of the securities laws, including issuers who seek to raise funds using Bitcoin,” said Andrew J. Ceresney, director of the SEC’s Division of Enforcement.  “We will continue to focus on enforcing our rules and regulations as they apply to digital currencies.”

According to the SEC’s order instituting a settled administrative proceeding, the first unregistered offering occurred in May 2012 as 2,600 bitcoins were raised through the sale of 30,000 shares in FeedZeBirds, which promises to pay bitcoins to Twitter users who forward its sponsored text messages.  Then in two separate offerings from August 2012 to February 2013, SatoshiDICE sold 13 million shares and raised 50,600 bitcoins that were worth approximately $722,659 at the time.  SatoshiDICE, which calls itself the biggest Bitcoin-betting game in the world and pays out casino-like winnings in bitcoins, ultimately returned these offering proceeds to investors in a buy-back transaction in July 2013.  A significant rise in the exchange rate of U.S. dollars to bitcoins actually increased the amount paid back to investors to approximately $3.8 million for 45,500 bitcoins.

The SEC’s order finds that Voorhees actively solicited investors to buy FeedZeBirds and SatoshiDICE shares on a website dedicated to Bitcoin known as the Bitcoin Forum.  Voorhees also publicly promoted the unregistered offerings on other Bitcoin-related websites as well as Facebook.  The first unregistered offering was explicitly referred to as the “FeedZeBirds IPO.”  Despite these general solicitations, no registration statement was filed for the FeedZeBirds or SatoshiDICE offerings, and no exemption from registration was applicable to these transactions.

The SEC’s order finds that Voorhees violated Sections 5(a) and 5(c) of the Securities Act of 1933.  Voorhees consented to cease and desist from committing or causing any future violations of the registration provisions without admitting or denying the SEC’s findings.  In addition to the monetary sanctions, Voorhees agreed that he will not participate in any issuance of any security in an unregistered transaction in exchange for any virtual currency including Bitcoin for a period of five years.  The entry of the SEC’s order disqualifies Voorhees from relying on Rule 506(b) and 506(c) of Regulation D under the Securities Act, as defined in the bad actor disqualification provisions of Rule 506.

The SEC’s investigation was conducted by Daphna A. Waxman, Daphne P. Downes, and Philip R. Moustakis of the New York Regional Office.  The case was supervised by Valerie A. Szczepanik and Amelia A. Cottrell.

UNIFORMED SERVICES COMPENSATION PREFERENCES SOUGHT BY PRESIDENT, CONGRESS

FROM:  U.S. DEFENSE DEPARTMENT 

Commission Seeks Service Members’ Compensation Preferences

American Forces Press Service

WASHINGTON, June 3, 2014 – The commission tasked by President Barack Obama and Congress to modernize military compensation and benefits programs is seeking input from service members on their preferences.

Alphonso Maldon Jr., chairman of the Military Compensation and Retirement Modernization Commission, said understanding service members’ compensation preferences is central to the commission’s effort to craft modernization recommendations.

“Our primary goal is to ensure the uniformed services can maintain the most professional all-volunteer force, provide for a high quality of life for the members of the uniformed services and their families, and ensure that compensation and retirement systems are financially sustainable,” he said. “Our fundamental objective is to craft an integrated compensation and personnel system that will continue to be valued by service members, provide flexibility for the uniformed services, and be cost effective.”

To obtain these preferences, the commission will survey a number of active-duty, National Guard and reserve service members during the next few months, with plans to survey retired service members as well. The survey will ask participants to value individual elements of their compensation package in relation to each other, Maldon said.

“If you receive this survey, please take it,” he added. “However, the survey is not the only way to let us know your preferences.” People can provide input on the commission’s public website, http://www.mcrmc.gov, and written comments may be mailed to the Military Compensation and Retirement Modernization Commission, Post Office Box 13170, Arlington, VA 22209.
“These tools are powerful ways to ensure we are aware of your preferences and concerns,” Maldon said.

Over the past year, he noted, the commission has benefitted from meetings with service members, veterans, retirees and their family members. “Additionally,” he said, “representatives of the uniformed services, military and veterans service organizations, and other subject-matter experts have greatly added to our understanding of the breadth of current military compensation and benefit systems. These engagements have reinforced what we've always known: Our people are the strength of our uniformed services.”

Maldon added, “We honor your service and ask for your continued input and support as we move forward with this important endeavor.”

EX-IM BANK AUTHORIZES OVER $1 BILLION FOR EXPORTS TO SUB-SAHARAN AFRICA

FROM:  U.S. EXPORT-IMPORT 

 Export-Import Bank Announces Over $1 Billion Authorized for U.S. Exports to sub-Saharan Africa in First Seven Months of Fiscal Year 2014

Ex-Im Bank Chairman Fred P. Hochberg makes announcement during U.S.-Africa Energy Ministerial in Ethiopia

Washington, D.C. – The Export-Import Bank of the United States (Ex-Im Bank) today announced that the Bank has authorized $1.1 billion to finance U.S. exports to sub-Saharan Africa in the first seven months of fiscal year 2014.

The announcement was made as Ex-Im Bank Chairman and President Fred P. Hochberg participated in the U.S. Africa-Energy Ministerial, June 3 – 4, 2014, in Addis Ababa, Ethiopia, with Department of Energy Secretary Dr. Ernest Moniz. The event is being attended by 350 business leaders and government officials, including more than 30 African energy ministers.

The ministerial is building upon President Obama’s Power Africa initiative and will explore strategies to accelerate the development of clean-energy sources and the adoption of energy-efficient technologies. It will also review best practices in the development of oil and gas resources, policy and regulatory issues, investment opportunities and financing. Chairman Hochberg participated in a panel discussion of government and multilateral tools for encouraging energy financing.

“Ex-Im Bank is committed to expanding U.S. trade with sub-Saharan Africa, which is home to seven out of 10 of the world’s fastest-growing markets. U.S. exporters are eager to realize the tremendous opportunities in this region, and the Bank is helping them to create and sustain American jobs by increasing their exports to Africa. We look forward to increasing financing for American-produced exports to Africa’s energy sector,” said Chairman Hochberg.

In the past five years, Ex-Im Bank has authorized more than $5 billion for U.S. exports to sub-Saharan Africa, exceeding the Bank’s authorizations of $4 billion for the region approved over the previous decade.

The Bank is also increasing the number of its sub-Saharan authorizations, the majority of which benefit small-business exporters of spare parts, consumer goods and other products supported through the Bank’s short-term export-credit insurance. In FY 2014 to date, Ex-Im Bank has approved over 100 authorizations for U.S. exports to the region and is on track to exceed the record-high level of 188 sub-Saharan Africa authorizations in FY 2013.

REMARKS: INNOVATION FRAMEWORK AGREEMENT SIGNING CEREMONY IN WARSAW, POLAND

FROM:  U.S. STATE DEPARTMENT 

Remarks at the Innovation Framework Agreement Signing Ceremony With Polish Foreign Minister Radoslaw Sikorski

Remarks

John Kerry

Secretary of State

Ministry of Foreign Affairs

Warsaw, Poland

June 3, 2014

MODERATOR: (Via interpreter) Thank you so very much, Minister, and thank you, Secretary of State, and now, if I could please ask you to deliver your statements. The first to speak is going to be Minister Radoslaw Sikorski.

FOREIGN MINISTER SIKORSKI: (Via interpreter) Mr. Secretary of State, John, it’s so very good to see you back in Warsaw, and we’re extremely happy that the United States of America have sent the strongest possible delegation to our celebrations of the – of freedom and the presentation of the freedom award to Mr. Mustafa Dzhemilev. Our concentrations were concentrated on the country of origin of Mustafa Dzhemilev, Ukraine, and it is with great satisfaction that we welcome the situation that the international scene is agreeing on wanting to support Ukraine, and the question – and seeing – and the situation of sending in the support to Ukraine – or the support for these efforts to Ukraine, this is something that should – and Poland and the United States should continue to cooperate for democracy in the world, for transatlantic security.

But we’ve also talked about issues pertaining to climate and also things pertaining to how we can save the climate of the planet for future generations. We also do count and would also be happy if we can continue the strengthening of the presence of American troops in our region so as to – so that the feeling of safety and security in the entire NATO territory becomes a balanced one. We do have a lot of expectations vis-a-vis tomorrow’s speech by President Obama as well as the NATO Summit in Wales in September.

So again, thank you so very much for your visit to the ministry. We’re so very happy to see the American delegation in Warsaw.

MODERATOR: (Via interpreter) And now the statement is going to be delivered by Secretary John Kerry.

SECRETARY KERRY: Thank you very much, Radek, Mr. Foreign Minister. It’s a pleasure for me to be here. I’m particularly pleased to be able to join President Obama, who will be with us momentarily, in order to celebrate a remarkable 25 years. And there’s a reason that so many leaders are coming here to Poland to join in this celebration today. It really marks a moment in human history where people were able to embrace their future, to choose for themselves, to liberate themselves from the yoke of oppression and tyranny, and to define their future.

And no country has grabbed that mantle with as much energy and excitement and focus and vision as Poland. Poland was a leader in this effort and remains a leader in this effort. So we are here today because this remains a new moment of challenge for all of us. Events in Ukraine have unfortunately unleashed forces that we had all hoped had been put away, were behind us. And so it requires new vigilance and it requires clear commitment. President Obama will speak very, very definitively to that in the course of his meetings here and tomorrow in his address celebrating these 25 years.

It’s a pleasure for me to be able to come back here and join with my friend Radek not just in this reaffirmation of U.S.-Polish solidarity, but also to make clear that we have a vision that we are going to be working on that will bring us still closer in the future. It is not a vision against anyone or anything; it’s a vision for – for the Polish people, for Europe, for the world, for how we deal with the creation of full democracy, full respect for people and their rights, and most importantly, all of us together meeting our responsibilities to each other. Whether it is the security of Ukraine, the energy stability of Europe, our response to climate change, no one nation can respond to any of these things alone.

So we’re particularly pleased to have signed the U.S.-Polish innovation program today. When I was last here, I met a bunch of young researchers, innovators, who showed me what they had done with robotics to create a rover capacity for exploration, whether in outer space or elsewhere. And this is the future of Poland, it’s the future for all of us. What we signed today will bring U.S. and Polish researchers, entrepreneurs, innovators, financers, educators together in an effort for us to be able to encourage the discoveries that will make life better and create jobs for our people.

We’re excited about it. We think that building on the Transatlantic Trade and Investment Partnership, the TTIP – this has the opportunity to provide new jobs, new economic energy to Europe, the United States, and to set higher standards for trade. So what we sign today is really part of this larger vision for the economic future, and I’m really delighted to be back here and to celebrate these extraordinary 25 years. Thank you.

MODERATOR: (Via interpreter) Thank you, gentlemen. Thank you to you all, and this will be the end of our meeting.

U.S.-JAPAN MEET TO DISCUSS DEFENSE COOPERATION GUIDELINES

FROM:  U.S. DEFENSE DEPARTMENT 

Right:  Deputy Defense Secretary Bob Work meets with Masanori Nishi, Japan’s administrative vice defense minister, at the Pentagon, June 4, 2014. DOD photo by Glenn Fawcett.  

American Forces Press Service

WASHINGTON, June 4, 2014 – Deputy Defense Secretary Bob Work met at the Pentagon today with Masanori Nishi, Japan’s administrative vice defense minister, Navy Lt. Cmdr. Courtney Hillson, a spokeswoman for Work, said.

In a statement summarizing the meeting, Hillson said the two defense leaders discussed the status of the revision to the guidelines for U.S.-Japan Defense cooperation and endorsed an ambitious and forward-looking update that will enable the alliance to continue its vital role in deterring conflict and advancing peace and prosperity.

“Deputy Secretary Work welcomed Japan's efforts to play a more proactive role in contributing to global and regional security and stability,” Hillson said, “including re-examining the interpretation of its constitution relating to the right of collective self-defense.”

Both leaders underscored the importance of strengthening trilateral defense cooperation with South Korea, she said, and noted recent progress in this area. Work expressed appreciation for Japan's efforts in moving forward on the Futenma Replacement Facility at Camp Schwab-Henoko Bay, and noted the U.S. commitment to explore ways to reduce the impact of the U.S. presence in Okinawa, she added.

“Deputy Secretary Work and Vice Minister Nishi reaffirmed that the U.S.-Japan alliance is the cornerstone of peace and security in the Asia-Pacific region, and committed to working together to strengthen and broaden the alliance to meet the security challenges of the 21st century,” Hillson said.

DEFENSE SECRETARY HAGEL URGING NATO MEMBERS TO INCREASE DEFENSE BUDGETS

FROM:  U.S. DEFENSE DEPARTMENT 

Hagel Urges European NATO Members to Boost Defense Budgets

By Jim Garamone

American Forces Press Service

WASHINGTON, June 4, 2014 – NATO European allies must dedicate more money to defense spending, and all are ready to do their part in the follow-on operation in Afghanistan, Defense Secretary Chuck Hagel said at NATO headquarters in Brussels today.

The secretary spoke at a news conference after meetings with alliance defense ministers.

Russia’s actions in and around Ukraine were a major concern for the ministers, Hagel said, adding that Russia’s actions “constitute the most significant and direct challenge to European security since the end of the Cold War.”

The NATO allies agreed they must continue to uphold the credibility of the alliance, and the credibility of the international order that European security has anchored for seven decades.

“To date, NATO has acted with strength and resolve,” Hagel said. “All 28 NATO allies have contributed to NATO’s reassurance measures in Central and Eastern Europe, ranging from new joint exercises to an enhanced air, ground, and sea presence. And we are exploring ways to do more.”

The United States will continue to do its part, Hagel said, and he referenced the $1 billion European Reassurance Initiative that President Barack Obama announced yesterday. “This initiative will enable the United States to help maintain the readiness of allied forces, and expand our reassurance measures throughout Central and Eastern Europe,” the secretary said.

Hagel told the ministers that the United States will review its force presence in Europe. “In light of the new regional security environment,” he added, “it would be irresponsible for us not to.”

Money remains a problem, Hagel said, noting that the allies discussed Europe’s declining defense budgets. This decline means the United States has shouldered a more and more disproportionate share of the alliance’s burden, he said.
“Over the long term, current spending trends threaten NATO’s integrity and capabilities,” the secretary said.

The American commitment should be matched by renewed European resolve to invest in its own defense, Hagel said, calling on the allies to issue a definitive declaration to reverse current trends and rebalance the alliance’s burden-sharing. The NATO summit scheduled in Wales in September would be the best place to make this declaration, he added.

Latvia, Lithuania, and Romania have committed to spend more. Poland and the Czech Republic announced new commitments to increase their defense spending. NATO’s goal is for member states to spend 2 percent of gross domestic product on defense.

The ministers also discussed Afghanistan, Hagel said, adding that he was able to provide the details of Obama’s decision last week to maintain a limited military presence there after the current International Security Assistance Force mission concludes at the end of the year. The United States will provide 9,800 service members for Operation Resolute Support, provided the new Afghan president signs the bilateral security agreement.

“My discussions today with ISAF defense ministers underscored that our allies and partners remain committed to Afghanistan’s long-term security, and to the pledges made at the Chicago Summit two years ago,” Hagel said.

The defense ministers also agreed that the alliance must be prepared for the full spectrum of missions, including those against sophisticated adversaries with advanced technologies, and against new, asymmetric threats. “We need capabilities that balance NATO’s three core tasks: collective defense, crisis management, and cooperative security,” he said.

Hagel also participated in the NATO-Ukraine and NATO-Georgia Commissions. “We welcomed Russia’s recognition of Ukraine’s recent election results as a step in the right direction,” he said, “but we will continue to stand united against Russia’s aggression in Crimea, and its destabilizing actions in Eastern Ukraine.
“I outlined American assistance for political and economic reform, and our nonlethal assistance to Ukraine’s armed forces and border guard,” he continued.
“The United States has already offered $18 million in nonlethal security assistance to Ukraine, and today, President Obama announced another $5 million for the purchase of body armor and other equipment, bringing our total security assistance to $23 million.”

U.S. DEFENSE DEPARTMENT CONTRACT FOR JUNE 4, 2014

FROM:  U.S. DEFENSE DEPARTMENT 

CONTRACTS

NAVY

Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is being awarded a $90,914,168 modification to a previously awarded firm-fixed-price-incentive-fee contract (N00019-12-C-0004) to incorporate the updated system architecture into the original Diminishing Manufacturing Sources redesign activity for the Electronic Warfare System in support of the F-35 Lot VII effort for the U.S. Navy, U.S. Air Force, U.S. Marines and the governments of the F-35 International Partners. Work will be performed in Nashua, N.H. (81percent); Ft. Worth, Texas (19 percent), and is expected to be completed in March 2018. Fiscal 2012 aircraft procurement (Navy and Air Force) and international partner funds in the amount of $90,914,168 are being obligated on this award, $71,576,724 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

Rolls-Royce Corp., Indianapolis, Indiana, is being awarded a $9,479,821 modification to a previously awarded firm-fixed-price contract (N00019-10-C-0020) for the procurement of 13 low power MV-22 repairs under the Mission CareTM contract. Work will be performed in Oakland, California, and is expected to be completed in February 2015. Fiscal 2014 operations and maintenance (Navy) funds in the amount of $9,479,821 are being obligated on this award, all of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

Seaward Marine Corp.,* Chesapeake, Virginia, is being awarded an $8,885,335 firm-fixed-price contract for Pier Complex Structural Repairs to Pier 4, Trestle 1a and 4 at Naval Weapon Station Earle. The construction and repairs of pattern cracking on concrete box beams; replacement of access ladders; concrete sealing; anode repairs/replacement; fender system repairs; and recoating exposed steel bearing assemblies will assist in the support of the pier. The contract also contains four unexercised options, which if exercised would increase cumulative contract value to $12,946,707. Work will be performed in Colts Neck, New Jersey, and is expected to be completed by February 2015. Fiscal 2014 operation and maintenance (Navy) contract funds in the amount of $8,885,335 are being obligated on this award and will expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website, with six proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Virginia, is the contracting activity (N40085-14-C-5220).

ARMY

ARGO/LRS JV,* Hanover, Maryland (W912DY-14-D-0043); Clarke Project Solutions, Inc.,* Aliso Viejo, California, (W912DY-14-D-0044); Health Facility Solutions Co.,*San Antonio, Texas (W912DY-14-D-0045); NIKA Architects Engineers, Rockville, Maryland (W912DY-14-D-0046); Polu Kai Services, LLC,* Falls Church, Virginia (W912DY-14-D-0047); and Team Integrated Engineering, Inc.,* San Antonio, Texas (W912DY-14-D-0048) were awarded a $44,000,000 indefinite-delivery/indefinite-quantity, firm-fixed-price contract for medical facilities support services. Funding and work location will be determined with each order with an estimated completion date of June 10, 2019. Bids were solicited via the Internet with twenty-three received. Army Corps of Engineers, Huntsville, Alabama is the contracting activity.

MACNAK Korte Group LLC,* Lakewood, Washington, was awarded a $30,381,000 contract for a 240-person dormitory at Nellis Air Force Base, Nevada with an estimated completion date of Aug. 22, 2016. One bid was solicited and four received. Fiscal 2014 military construction funds in the amount of $30,381,000 are being obligated at the time of the award. Army Corps of Engineers, Los Angeles, California is the contracting activity (W912PL-14-C-0003).

UPDATE: Ceres Environmental Services,* Brooklyn Park, Minnesota was awarded two contracts under the multi-award contract announced May 1, 2014 for debris management services for the United States and its territories with an estimated completion date of June 3, 2019. There were six previous contractors announced and all will compete for task orders under a maximum $580,000,000 firm-fixed-price contract (W912P8-14-D-0020 and W912P8-14-D-002).

AIR FORCE

Raytheon Co., El Segundo, California, has been awarded a $7,051,595 contract for the Affordable Radio Frequency Multifunction Sensors (ARMS) program. The ARMS program will focus on developing new manufacturing processes to enable an increase in reliability and a decrease in cycle time and costs for Active Electronically Scanned Array (AESA) sensors. The emphasis will be on addressing key manufacturing issues while decreasing the program risk and increasing the manufacturing readiness level to 6. Work will be performed in El Segundo, California, and is expected to be completed by March 4, 2016. This award is the result of a competitive acquisition, and seven offers were received. Fiscal 2013 and 2014 research and development funds in the amount of $1,005,000 are being obligated at time of award. Air Force Research Laboratory, Materials and Manufacturing Directorate, Manufacturing Technology Division, Wright-Patterson Air Force Base, Ohio is the contracting activity (FA8650-14-C-5502).

Northrop Grumman Systems Corporation, Electronic Systems, Linthicum Heights, Maryland, has been awarded a $3,750,297 contract for the Affordable Radio Frequency Multifunction Sensors (ARMS) Program. The ARMS program will focus on developing new manufacturing processes to enable an increase in reliability and a decrease in cycle time and costs for Active Electronically Scanned Array (AESA) sensors. The emphasis will be on addressing key manufacturing issues while decreasing the program risk and increasing the manufacturing readiness level to 6. Work will be performed in Linthicum Heights, Maryland, and is expected to be completed by March 4, 2016. This award is the result of a competitive acquisition, and seven offers were received. Fiscal 2014 research and development funds in the amount of $2,645,000 are being obligated at time of award. Air Force Research Laboratory, Materials and Manufacturing Directorate, Manufacturing Technology Division, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-14-C-5503).
*Small Business

JOHN KERRY: PRESS AVAILABILITY IN BEIRUT, LEBANON:

FROM:  U.S. STATE DEPARTMENT 

Press Availability in Beirut, Lebanon

Press Availability

John Kerry

Secretary of State

Beirut, Lebanon

June 4, 2014

---

SECRETARY KERRY: Well, good afternoon, everybody. Thank you very much for waiting for a few minutes. It’s a great pleasure for me to be back in Beirut. I’ve been here many times before, unfortunately never with enough time to stay and enjoy the beauty of the city, which I would like to do. But this is the first time nevertheless that I’ve been able to be here as Secretary of State, and I told the prime minister earlier, somehow we have to arrange the problems of the world and the region so that we can spend more time.

Lebanon is obviously much more than a beautiful country, which it is, it’s a very important country, and it’s very important to the security of the region and beyond. And I think everybody knows that the United States of America is deeply committed to Lebanon’s security, to its stability, to its sovereignty, and to supporting the Lebanese people during this difficult period.
We all know that the consequences of the civil war in Syria reach well beyond Syria’s borders, and Lebanon is feeling those consequences as much as any other country or community. Nowhere, in fact, has the international impact of what is happening in Syria been felt more in many ways than what is happening here. And that particularly includes the 1,600 cities, towns, and villages across Lebanon that are now hosting refugees of all ages.

I have personally had the opportunity to meet with some of those refugees, the Syrian refugees, who are now in the Jordan camps. And when I was there, it was impossible for me not to feel the incredible frustration and anger and loss that those refugees felt. If it isn’t enough that they don’t see their life situation changing, what they also don’t see is they don’t see the war ending. And so for them, life is difficult, it’s bleak every day.

I’m very proud that the United States of America is leading the charge and responding to this moral and this security imperative. And today, I am pleased to announce on behalf of the American people and on behalf of President Obama another $290 million in humanitarian assistance for those affected by the conflict, both inside Syria and the communities throughout the region where they have taken refuge.

With the newest contribution that I’ve announced today, the United States has now committed more than $2 billion to support refugees and the nations that have opened their doors to them. Let me be clear: There is still an enormous need on the ground that is not being met, and I’m not going to stand up here and pretend that the two billion or the money we’re giving today is enough. Also for those refugees, just being supported in a refugee camp is not enough. It doesn’t change their lives, it doesn’t end the war, it doesn’t speak to their day-to-day sense of loss and abandonment, and it certainly doesn’t provide them with the long-term security and opportunity that they deserve.

So all of us, all nations, have a responsibility to try to end this conflict. And I particularly call on those nations directly supporting the Assad regime – in what has become a grotesque display of modern warfare by a state against its own people – I call on them – Iran, Russia, and I call on Hezbollah, based right here in Lebanon – to engage in the legitimate effort to bring this war to an end. I also call on the international donors who have made pledges, to deliver on those pledges. It is important now, critically important, to support Lebanon and to support others in the region who are suffering the consequences of this humanitarian crisis.

As everybody knows who lives here and comes from Lebanon, Lebanon is different in the way that these refugees are being absorbed because there are not specific camps, and that has provided its own tension, its own form of domestic challenge. And the fact is that they are spread throughout those 1,600 communities that I talked about. That puts a burden on communities, puts a burden on schools, puts a burden on infrastructure. And so it’s important for all of us to recognize the human catastrophe that is unfolding before our eyes, and that is why we in the United States have worked so hard to try to push for a political solution, which is the only real solution to this conflict.

A large portion of the assistance that I just announced today, $51 million, will go directly to refugees in Lebanon and the communities that I just mentioned that host them here – and this combined with the assistance that we’ve already announced brings to about $400 million that the United States has supported just to deal with the refugee situation here in Lebanon.
The devastating events in Syria have obviously gone on for far too long, and I’m proud that we have stood by the people of Lebanon, the Lebanese people, from day one. We will continue to support the people of Lebanon. I want to make it clear: In my conversation today with Prime Minister Salam I made it clear that President Obama is deeply committed to continuing to support Lebanon, continuing to support the security initiatives, and we will continue to remain engaged in our efforts to try to find a way to move forward.

Lebanon’s security for years has been of paramount concern to the United States. And that is why I have to say that the current political stalemate here in Lebanon is deeply troubling. It’s unfortunate that the parliament did not elect a president on schedule, as the Lebanese constitution requires. And now it is far more important for the vacancy to be filled so that the people of Lebanon can reap the benefits of a fully constituted, fully empowered government. That is important for Lebanon, it’s also important for the region, it’s important for those who support Lebanon. And we need a government that is free from foreign influence, with a fully empowered president, and with the president and the parliament responding directly to the people and to the needs of the people of Lebanon.

Earlier today I reiterated my support to President Salam[1] in the meeting we just had, and I reiterated President Obama’s support for the stewardship of the Lebanese Government by Prime Minister Salam and his cabinet. And I thanked the prime minister for the principles that we share and for his commitment to those principles. This is not a time for business as usual. The challenges are just too significant, and the challenges are all interconnected. Lebanon needs and Lebanon deserves to have a fully empowered, fully functioning, complete government. And we hope the Lebanese parliament will select a president quickly.
In the meantime, I did assure the prime minister that the United States will remain a strong and reliable partner, and we will continue to support Lebanon and its institutions. That includes support that is aimed at building the capacity of the Lebanese armed forces and the internal security forces in order to help them be able to secure Lebanon’s borders, to be able to handle the refugee flows, and to be able to calm the tensions and combat terrorism. In fact, we are seeking, right now, to increase our assistance to those institutions.

So the bottom line is this: The bottom line is that a secure and stable Lebanon is a prerequisite for a secure and stable region, and the United States will continue to work closely with our partners in Lebanon in order to protect against any of those who seek a different goal.
Thank you very much, and I’d be delighted to answer a few questions.

MODERATOR: The first question will be from Lesley Wroughton of Reuters.

QUESTION: Thanks, Mr. Secretary. Why did the United States feel it had to recognize the Unity Palestinian Government immediately, when Netanyahu appealed publicly to the international community not to rush to do so? What does this new rift mean for the U.S.-Israeli relations and chances of reviving the peace talks?

On a Lebanon question: What do you fear most from a continued political vacuum in the Lebanese presidency? And do you think the Lebanese politicians can ever reach an agreement when Saudi Arabia and Iran, which are the regional patrons who back rival Lebanese blocs, are at odds over the war in Syria?

SECRETARY KERRY: Well, Lesley, let me begin by, if I can, making it very, very clear, in answer to the terminology you used in your question, the United States does not recognize a government with respect to Palestine, because that would recognize a state and there is no state. This is not an issue of recognition of a government. This is an issue of whether or not, under the terms of our law, there would be any kind of contact or work with that government in some form or another. Now, I have spoken with both Prime Minister Netanyahu and I’ve spoken with President Abbas over the last few days. And we’re going to remain in very close touch. And I want to make it very clear what – exactly what we are doing.

President Abbas made clear that this new technocratic government is committed to the principles of nonviolence, negotiations, recognizing the state of Israel, acceptance of the previous agreements and the Quartet principles, and that they will continue their previously agreed upon security cooperation with Israel. Now, that’s what he has said. He has formed an interim technocratic government that does not include any ministers who are affiliated with Hamas. We have checked that. In fact, most of the key cabinet positions – including the prime minister, the two deputy prime ministers, and the finance ministers – are the very same as in the prior government. And they are all technocrats unaffiliated with any political party and they are responsible for facilitating new elections.

Now, let me be clear. As we said, based on what we know now about the composition of this technocratic government which has no ministers affiliated with Hamas and is committed to the principles that I described, we will work with it as we need to, as is appropriate. We will work with it in that context, as, I might add, Israel is obviously working with it for security purposes. It has transferred revenues. There are certain day-to-day needs.

But I want to make it very clear we are going to be watching it very closely, as we have said from day one, to absolutely ensure that it upholds each of those things it has talked about, that it doesn’t cross the line. And the law in the United States regarding assistance and engagement states specifically that it makes a judgment about undue influence by Hamas in any way.
At the moment, we don’t have that, and so we are looking to see as we go forward on a day-to-day evaluation – we will measure the composition, we will measure the policies of the new technocratic government, and we will calibrate our approach accordingly. So that is, I think, a much more precise description of exactly what the status is today.

Hamas is a terrorist organization. It has not accepted the Quartet principles. It continues to call for the destruction of Israel. It continues even as it moves into this new posture. And so we are obviously going to watch closely what happens, but we will – as I’ve said, as needed, as long as those conditions are met that have been described – work with it in the constraints that we are obviously facing.

QUESTION: (Off-mike.)

SECRETARY KERRY: I’ve had several conversations with Prime Minister Netanyahu. We’re completely talking about this on a day-to-day basis. Israel is our friend, our strong ally. We are deeply committed. We’ve said again and again the bonds of our relationship extend way beyond security. They are time-honored and as close, I think, as any country in the world. We will stand by Israel, as we have in the past. There is nothing that is changing our security relationship. That is ironclad. And I deal with Prime Minister Netanyahu on a constant basis as a friend as well as as the prime minister of the country, and we’ve had very constructive, straightforward, normal conversations about this process of exactly how we measure things going forward. And I think we will coordinate, as we have throughout my time as Secretary of State. And I can tell you, in the years before I became Secretary, President Obama has constructed a security relationship with Israel that is more interconnected, more cooperative, more extensive than any security relationship between the United States and Israel at any time in history.

MS. PSAKI: The next --

SECRETARY KERRY: And that will continue.

MS. PSAKI: Pardon me. The next question is from Khalil Flayhan from An-Nahar newspaper.

SECRETARY KERRY: I didn’t answer the second part of her question.

MS. PSAKI: All right.

SECRETARY KERRY: Excuse me. With respect to the Saudis – I could have ducked it, but I’ll answer it. With respect to Saudi and Iran, there is no question that both have interests and have expressed them with respect to what is happening here. Our hope is that as in the past, Lebanon has ultimately been able to find its way forward. I said in my prepared comments that we want a Lebanon that is free from outside pressure and outside interference, and we hope that in the days ahead, rapidly it will be possible for a president to be elected by the parliament and provided to the people of Lebanon. People of Lebanon need and deserve a fully functioning, complete government that can meet the serious challenges of this moment, and we hope that will happen. And that’s part of the reason why I’m here today, is to hear firsthand from the prime minister where that is, what he thinks the road forward could be, as well as to learn from him about the impact of the Syrian situation and his views of the Syrian situation going forward.

MS. PSAKI: The next question is from Khalil Flayhan from An-Nahar newspaper.

QUESTION: Do you have any proposal to collaborate to resolve the difficulties to elect a new Lebanese president? And do you think Syrian presidential election will have any impact on the Lebanese presidential election?

SECRETARY KERRY: With respect to the question of do I have any proposal with respect to the election of a president, I have an urging, but not a proposal. It is not up for the United States to come in and make a proposal. This is up to the people of Lebanon, and I come here with President Obama’s encouragement to encourage the government to move forward. But we don’t have a candidate; we’re not in the business of trying to select or put proposals on the table. This is up to the parties here in Lebanon. It’s up to the leaders of Lebanon.
What we are trying to do is draw for them the picture that we see of how the absence of a president complicates matters for other countries that care about this region, that the capacity of the armed forces to respond to a crisis could be affected by the absence of a president. The confidence of the people of the country and the fabric of the politics of the country could be affected by the absence of a president. Ultimately, the tensions that could grow within a cabinet, or outside of the cabinet within the parliament and in the politics of the country, could become tenser as a result of not having a sense that there is a respect for the national pact and for the balance that should exist within the governing of Lebanon.

So I think all of these issues are important, not just to the people of Lebanon, but they’re important to those of us who care about Lebanon and care about the stability of the country and of the region as a whole.

MS. PSAKI: The final question is from (inaudible) from (inaudible).

QUESTION: Thank you. Thank you very much, Mr. Secretary. My question regards our next stop to Paris, France. You have two disagreements with the French Government. You have a disagreement on the warship Paris wants to sell to Moscow, and you have a disagreement on the fine against the French bank BNP for having violated the embargo. So on the first issue on the warships, how you hope for to convince the French Government not to deliver the warship amid discussions in Brussels about further sanctions against Russia?

And on the French bank BNP, your French counterpart Laurent Fabius came out and said that the fine is not sensible. So is it sensible, and is there room for negotiations between the U.S. and France on that issue? Thank you.

SECRETARY KERRY: Well, we have expressed concern, but we have not – when you say we have “disagreements,” I really don’t think that I would characterize them as broad-based disagreements between the countries. They are issues, and there is a concern – not just – I mean, not by the United States. I heard the concern expressed today by President Poroshenko, President-elect Poroshenko, who is concerned about the transfer of this – these ships and the possible presence in Sevastopol and the impact on them. So this is a broader kind of issue that arises in international affairs, but it’s not a conflict, and I don’t think that it’s – I wouldn’t describe it as anything more than something that we need to talk about and work through in the context of our relationship. And we will.

With respect to the BNP, that’s an issue of our justice system. I don’t have anything to do – and the Treasury Department and the Justice Department – I don’t have anything to do with the decision that gets made or how it gets made or what the levels are or the appropriateness of that. We obviously want whatever it is to be fair and to reflect an appropriateness to whatever it is that is alleged to have taken place. And I would have to further evaluate that, and even then I’m not sure that it belongs in our comments publicly between the two countries. But I’m confident that it’s something that we can work through and deal with, and I’m confident we will have some discussion about it in that context.

Thank you all.

QUESTION: (Off-mike.)

SECRETARY KERRY: They’re not going to let me. I have a very tight schedule. I apologize. I apologize.

QUESTION: (Off-mike.)

SECRETARY KERRY: Well – you have a question?

QUESTION: (Off-mike.)

SECRETARY KERRY: What do – do you want to ask a question?

QUESTION: (Off-mike.)

SECRETARY KERRY: No, I’d be happy to take your question.

QUESTION: Mr. Secretary, the timing of – everybody’s asking why today you came to Lebanon. They’re saying because of the elections in Syria, and you’ve been always saying that Assad would fall, his regime would fall, and it didn’t. Yesterday we witnessed election in Syria, and now we have no president. And you’ve been always saying that we would have a president, and we didn’t. So why the timing of your visit today? Is it because of the miscalculation that there was – that you --

SECRETARY KERRY: No, no.

QUESTION: Then why is --

SECRETARY KERRY: My – first of all, I’m – excuse me. First of all, I’m very happy to take your question.

QUESTION: (Off-mike.)

SECRETARY KERRY: Okay, yeah. But you weren’t so sure before. But secondly, let me just say to you unfortunately, when we are traveling, we do have a schedule and we have to try to keep the schedule. We try to answer as many questions as we can. I am here today because we had time and we thought it was very, very important to come to Lebanon. I have not been able to come to Lebanon and meet – and I have more meetings to go to now – I have not been able to do that because of the press of the negotiations we were involved in and the schedule that I’ve had.

But today, because of what is happening to Lebanon, because of the stalemate in its government, because of the influx of refugees, because of the very serious challenges here in terms of stability long-term, relationship with the region, I wanted to come and talk to the prime minister and meet with people so that we can continue to have an impact, hopefully in a positive and constructive way.

Now with respect to the elections that took place, the so-called elections, the elections are non-elections. The elections are a great big zero. They’re meaningless, and they’re meaningless because you can’t have an election where millions of your people don’t even have an ability to vote, where they don’t have an ability to contest the election, and they have no choice. So this – nothing has changed between the day before the election and the day after, nothing. The conflict is the same, the terror is the same, the killing is the same, the problem for the refugees is the same, regrettably, and we are trying to do something about that.

Now it’s hard. It’s not easy. But we’re committed to trying to do something about that because we believe the humanitarian crisis is one of the worst catastrophes any of us have viewed. But we also have to – it’s not up to us to decide when or how President Assad goes. It’s up to people in other countries, and that’s the most important thing – and specifically up to the Syrians, and that’s the bottom line here. We believe in a political settlement. We will continue to fight for a political settlement.

Thank you all very, very much. Appreciate it.

REMARKS: PRESIDENT OBAMA AND PRESIDENT-ELECT OF UKRAINE PETRO POROSHENKO

FROM:  THE WHITE HOUSE PRESIDEN OBAMA, UKRAINE PRESIDENT POROSHENKO

Remarks by President Obama and President-elect Petro Poroshenko of Ukraine After Bilateral Meeting

Warsaw Marriott Hotel
Warsaw, Poland

10:45 A.M. CET

PRESIDENT OBAMA:  Well, it is a great pleasure for me to have the opportunity to have my first extended meeting with President-elect Poroshenko and to hear about his plans for a peaceful and prosperous Ukraine.  Obviously, Ukraine has gone through a very challenging time.  And what we have seen has been a incredible outpouring of democracy in the face of actions by Russia as well as armed militias in certain portions of the east that violate international law, violate sovereignty, and have spurred great violence.

Despite all that, what the Ukrainians said in the election that resulted in President-elect Poroshenko’s inauguration on Saturday is that they reject that past.  They reject violence.  They reject corruption.  And what they’re interested in is the opportunity for Ukrainians to make their own decisions about their own future -- a future in which if people work hard, if they are willing to educate themselves and apply themselves, that they can succeed and that they can choose their own representatives, and that those representatives will look out for their interests and not the interests of only those in power. 

That’s the hope that President-elect Poroshenko represents.  And in my discussions with him today it’s clear that he understands the aspirations and the hopes of the Ukrainian people.  And when I say the Ukrainian people, I mean all the Ukrainian people.  I think that President-elect Poroshenko recognizes that his mandate is not just to help certain portions of his country succeed, but all portions of his country succeed.

We had the opportunity to discuss President-elect Poroshenko’s plans for bringing peace and order to the east that is still experiencing conflict.  We discussed his economic plans and the importance of rooting out corruption, increasing transparency, and creating new models of economic growth.  We discussed issues of energy -- making sure that Ukraine becomes a more energy-efficient economy but also one that is less dependent solely on energy sources from Russia.  And I have been deeply impressed by his vision, in part because of his experience as a businessman, in understanding what’s required to help Ukraine grow and to be effective. 

The challenge now for the international community is to make sure that we are supporting Petro’s efforts.  And the United States has already stepped up in a number of ways.  We’re supplementing the assistance that the IMF is providing with $1 billion in additional loan guarantees, and we’ve discussed additional steps that we might take to help during this reform and transition process.  We’ve discussed additional steps that we can take to help train and professionalize the Ukrainian law enforcement and military so they can deal with some of the challenges that are still taking place in certain portions of the country.  And, in fact, today we announced some additional non-lethal assistance that we can provide -- things like night vision goggles that will help a professional Ukrainian military force do its job. 

And finally, we discussed how in my meetings today with the G7 and tomorrow with the G7, as well as conversations that I’m having with other European leaders, it’s important for the international community to stand solidly behind the efforts of Petro to broker with the Russians a process whereby Russia no longer is financing or supporting or arming separatists on Ukraine’s sovereign territory, and that a unified international community that is clear that that is a violation of international law and that is willing to back up those principles with consequences for Russia should Mr. Putin not seize this opportunity to develop a lawful and better relationship with his neighbors -- that that has to be part of our mission over the next several days. 

So I’m excited about the opportunities.  I think that the Ukrainian people made a wise selection in somebody who has the ability to lead them through this difficult period.  And the United States is absolutely committed to standing behind the Ukrainian people and their aspirations not just in the coming days and weeks but in the coming years, because we’re confident that Ukraine can, in fact, be a thriving, vital democracy that has strong relationships with Europe and has strong relationships with Russia.  But that can only happen if we stand clearly behind them during this difficult time.

Thank you so much for taking the time to meet.

PRESIDENT-ELECT POROSHENKO:  I want to thank President Obama, the United States people, the United States government and Congress for the continuous support demonstrating for the fight, the Ukrainian people, for freedom, for democracy, for building up independent sovereign European state.  This is crucially important for us, and now we feel a friend in need is a friend indeed.  The American position of the American people is very, very important for us.  

Point number two is that from the very beginning, from the first day of inauguration, we are ready to present the plan for peaceful relation, the situation in the east.  And we think that the next several days will be very important, crucial, for the Ukrainian -- history of Ukrainian perspective.  We pay very much attention about the G7 meeting, about the statement, about the possibility for finding out the position for peaceful process on Normandy, when we have -- first Ukraine were invited as a member of anti-Hitler coalition and celebration of the D-Day.  And I think this will be very symbolic because exactly in Normandy we can start to find out this peaceful process in Ukraine.

I want to thank the President for the support in our initiative in the reforming in the energy sector.  I’m very satisfied about our future cooperation in the anti-corruption deal that I think this is crucially important points for the modernization of the country.  I think that our top two very important issue -- we thank you for supporting Ukraine in solving our Crimea problem.  We demonstrate that -- the whole world demonstrate the solidarity in Ukraine in not accepting the aggression in Crimea, in not accepting this whole fake referendum, and not accepting the annexing of the part of Ukrainian territory.  And all the time we will demand restoring law and order, and withdraw the foreign troops from the Crimean territory.

And also, I think it is very important that the United States support the European aspiration of the Ukrainian people.  That is half a year Ukrainian people, millions of Ukrainian people on the street fighting for now and signing a association agreement for the European perspective for my country.  And I think that the modernization of the country, providing the reform of the -- creating the good investment climate, building on the independent coal system, providing the energy efficiency and energy diversification helps Ukrainian people to receive membership perspective for the European Union in very near future after successful program for the modernization, with the strong assistance of the United States of America.

I thank you very much for that.  And I think this was very fruitful and effective negotiation.

END
10:55 A.M. CET