FROM: THE WHITE HOUSE
Remarks by the President on the Economy -- DreamWorks
DreamWorks
Glendale, California
12:50 P.M. PST
THE PRESIDENT: Hello, everybody! (Applause.) Oh, it is good to be in L.A.! (Applause.) It is colder in D.C. at the moment, colder in Chicago, and 70-degree weather is something to be thankful for.
And it is great to be at DreamWorks Animation. I would like to work here. (Laughter.) I have asked Jeffrey. The only concern I had was the lights were kind of dim in the offices and -- (laughter) -- I'm pretty sure I'd fall asleep. But there’s a natural connection between me and DreamWorks. I don't know if you know this, but my ears were one of the inspirations for “Shrek.” (Laughter.) That's true. True story.
Mellody was being very modest when she said she had a front-row seat. Mellody was one of my earliest supporters back when nobody could pronounce my name. And her and John Rogers at Arial Capital helped to co-chair some of my first fundraisers. And they’d have to drag some straggly group in, kicking and screaming, and write a check and listen to this young senator who had a lot of ideas but not necessarily any realistic prospects to win. And she went through a lot of ups and downs with me and my career and is just a great, great friend. So I want to thank her publicly for all the support that she’s given us. (Applause.)
We’ve got some folks here who are fighting for the people of Southern California every single day and I just want to acknowledge them. We've got the Mayor of Glendale, Dave Weaver. (Applause.) We've got three of your outstanding members of Congress -- Brad Sherman, Adam Schiff, Karen Bass. They are all doing a great job. (Applause.)
I want to thank all of you for being here. And I want to thank your CEO, Jeffrey Katzenberg, for inviting me. (Applause.) Jeffrey, like Mellody, has been a friend and a supporter through thick and thin. And I think his place in the entertainment industry is legendary -- I don't need to puff him up too much. (Laughter.) He has a healthy sense of self. (Laughter.) But he is a great friend and somebody whose counsel and advice I value. And I'm incredibly grateful to be here at this wonderful institution that he helped to build.
And I’ve come here today because this is one of America’s economic engines. Not just DreamWorks, but this whole cluster of companies that generations have grown up knowing -- Disney and Warner and Universal and others. When you think about it, what finance is to New York, what the auto industry is to the Midwest, what technology is to Northern California, entertainment is to this part of the country.
And most of us have spent a lot of time thinking about our favorite movies or TV shows, but we don’t often think about the entire infrastructure and industry behind the scenes. Hundreds of thousands of middle-class jobs -- they’re not always on the marquee -- jobs for electricians, and carpenters, and sound mixers, and makeup artists, and designers, and animators depend on this incredible industry here in southern California.
Entertainment is one of America’s biggest exports. And every day, you sell a product that’s made in America to the rest of the world. Every time somebody buys movie tickets, or DVDs, or distribution rights to a film, some of that money goes back to the local economy right here.
And believe it or not, entertainment is part of our American diplomacy. It’s part of what makes us exceptional, part of what makes us such a world power. You can go anywhere on the planet and you’ll see a kid wearing a “Madagascar” T-shirt. (Laughter.) You can say, “May the Force be with you” -- they know what you’re talking about. (Laughter.)
Hundreds of millions of people may never set foot in the United States, but thanks to you, they’ve experienced a small part of what makes our country special. They’ve learned something about our values. We have shaped a world culture through you.
And the stories that we tell transmit values and ideals about tolerance and diversity and overcoming adversity, and creativity that are part of our DNA. And as a consequence of what you’ve done, you helped shape the world’s culture in a way that has made the world better.
They might not know the Gettysburg Address, but if they’re watching some old movie, maybe “Guess Who’s Coming to Dinner,” or “The Mary Tyler Moore Show,” or “Will and Grace” and “Modern Family,” they’ve had a front-row seat to our march towards progress, even if their own nations haven’t made that progress yet. And young people in countries all around the world suddenly make a connection and have an affinity to people who don’t look like them and maybe originally they might have been fearful of, and now suddenly they say, oh, this person is like me -- which is one of the powers of art, but that’s what you transmit.
And that is a remarkable legacy. Now, it’s also a big responsibility. When it comes to issues like gun violence, we’ve got to make sure that we’re not glorifying it, because the stories you tell shape our children’s outlook and their lives. Earlier this year, leaders from this town sat down with Vice President Biden to talk about what Hollywood could do to help keep our kids safe. This was in the wake of Sandy Hook. And those conversations need to continue. The stories we tell matter. And you tell stories more powerfully than anybody else on the Earth.
But I want to make clear, even as we think long and hard about the messages we send, we should never waver from our commitment to the freedom that allows us to tell those stories so well. Protecting our First Amendment rights are vital to who we are. And it’s also good business, because in the global race for jobs and industries, the thing we do better than anybody else is creativity. That’s something that can’t be copied. It’s one of the reasons why even with new markets and new technologies, there’s still no better place to make movies and television and music than right here in the United States.
Entertainment is one of the bright spots of our economy. The gap between what we can do and what other countries can do is enormous.
AUDIENCE MEMBER: Woo!
THE PRESIDENT: Yes, that’s worth cheering for. (Applause.) And that means that we’ve got to do what it takes to make sure that this industry, and every great American industry, keeps that competitive edge so that more folks can find career paths like many of you have, and get good middle-class jobs that allow you to support a family and get ahead.
Nothing is more important than that right now. And as Mellody mentioned, when I came into office, we were going through a severe crisis. Five years later, America has largely fought our way back. We’ve made the tough choices required not just to help the economy recover, but to rebuild it on a new foundation for stronger, more durable economic growth.
We refocused on manufacturing and exports, and today, our businesses sell more goods and services made in this country to the rest of the world than ever before. Our manufacturers are adding jobs for the first time since the 1990s, led by an American auto industry that’s come roaring back. American cars are really good now. (Laughter.)
We decided to reverse our dependence on foreign oil. So today, we generate more renewable energy than ever -- doubled our renewable energy -- more natural gas than anybody. For the first time in nearly 20 years, America now produces more of our own oil than we buy from other countries. It’s good news. (Applause.)
When I took office, America invested far less than countries like China did in wireless infrastructure and we’ve now narrowed that gap, and we have helped companies unleash jobs and innovation and become a booming app economy that’s created hundreds of thousands of jobs. Six years ago, only 5 percent of the world’s smartphones ran on American operating systems. Today, more than 80 percent do. (Applause.)
And, yes, we decided to fix a broken health care system. (Applause.) And it’s interesting -- I was talking to some of the studio execs here, and I said, look, the rollout of the new health care marketplace was rough and nobody was more frustrated about the problems with our website than I am. And yet, here in Southern California and here across this state, there are thousands of people every single day who are getting health care for the first time -- for the first time -- because of this. (Applause.) And, by the way, the website is continually working better, so check it out. (Laughter.)
But as a country, we're now poised to gain health coverage for millions of Americans, starting on January 1st, and that includes more than 350,000 here in California who have already signed up. And thanks in part to the Affordable Care Act, health care costs are growing at the slowest rate in 50 years. Employer-based health care costs are growing at about one-third the rate of a decade ago. And that means that if the studios here or your employers aren't having to spend as much on health care, they can hire more folks and reinvest more in the business, and come up with those cool technologies that -- I don’t exactly understand how they work, but -- (laughter) -- were really neat to look at. (Laughter.)
And, by the way, we've done all this while bringing down our deficits. (Applause.) After years of trillion-dollar deficits, we reined in spending. You would think sometimes listening to folks in Washington that we haven't made any progress on that front. We wound down two wars. We changed a tax code that was too skewed towards the wealthiest Americans at the expense of the middle class. You add it all up, we’ve cut our deficits by more than half, and they continue to go down faster than any time since World War II. (Applause.)
So all told, our businesses created 7.8 million new jobs over the past 44 months. America has gone farther, recovered faster than most other industrialized nations. But, as Mellody said, we've got more work to do. The stock market is doing great, corporate profits soaring, but too many Americans aren’t sharing in that success. And everybody here who works at DreamWorks -- a really good place to work. I'm going to ask Jeff if maybe I can work here. (Applause.) But all of you have friends and family and neighbors who aren't as lucky. And you know there are still a lot of folks who are struggling out there. And my top priority is making sure that this country remains a country where everybody who is willing to work hard can get ahead.
And we'd be a lot further along without some of the dysfunction and obstruction we've seen in Washington. (Applause.) We would be a lot further along if we could just get folks to act with some sense -- (laughter) -- if we didn’t have one wing of one party that was a little less obsessed with repealing health care for 40 million people, more concerned with making sure the law works. If they hadn't spent 40 votes trying to repeal the Affordable Care Act, they might have actually taken some votes on rebuilding our infrastructure, or instituting early childhood education for young people across this country, or investing more money in basic research that helps to create the amazing technologies that many of you utilize. Any of the serious proposals I've put forward that would be creating jobs right now, they could have been taking votes on that.
Instead of rooting for failure, or refighting old battles, Republicans in Congress need to work with us to improve those things about the Affordable Care Act that aren't working as well as they should, and implement policies to strengthen the middle class and create jobs. (Applause.)
A couple of weeks ago, House Republican leaders handed out a piece of paper to their members and on the top it said, “Agenda 2014.” I'm not making this up. Below that, it was blank. (Laughter.) It was a blank sheet of paper -- nothing to create jobs or grow the economy or strengthen the middle class.
And I’ve put forward my plans to create new jobs and even the odds for the middle class. And I’ve put forward plans that gives some Republicans some of the things that they want in exchange for ideas that will create good jobs right now. And so far, they won’t consider them.
Some people have heard me say my list of top five movies -- “The Godfather,” one and two, have to be on it. But it turns out Marlon Brando had it easy, because when it comes to Congress, there’s no such thing as an “offer they can’t refuse.” (Laughter.) I mean, I just keep on coming back. (Laughter.) I'm going to keep on trying, though. (Laughter.) I am, because we've got no choice. (Applause.)
The American people agree with us that jobs, growing the economy should be our number-one priority. And we've got to make some investments to make that happen. And we've got to give a better bargain to the middle class and everybody who is working to join the middle class. And that means building on those cornerstones of what makes for a strong middle class -- good jobs, a good education, a home of your own, health care when you get sick, a secure retirement even if you're not rich. So we can help manufacturers bring more jobs back to America by investing in American clean-energy technology, and putting people to work building roads and bridges and schools and high-speed broadband networks that attract businesses from around the world.
We can prepare our children and our workers for the global competition that they’ll face -- expanding high-quality preschool education, redesigning our high schools, investing in community colleges and job training, and tackling rising college costs, so that young people can afford it. We can help responsible homeowners afford a mortgage or refinancing at today’s low rates, help build a rock-solid housing system for decades to come, instead of boom and bust.
We can bring the promise of a secure retirement back to reach for middle-class families, finding new ways to make it easier for workers to save, and strengthening Social Security, and getting immigration reform done so that undocumented workers are paying their fair share of taxes, but they're not living in the shadows -- (applause) -- and we're attracting the best and the brightest from all around the world.
As I was getting a tour of DreamWorks, I didn't ask, but just looking at faces, I could tell there were some folks who are here not because they were born here, but because they want to be here and they bring extraordinary talents to the United States. And that's part of what makes America special. And that's part of what, by the way, makes California special, because it's always been this magnet of dreamers and strivers. And people coming from every direction saying to themselves, you know, if I work hard there I can have my piece of the American Dream.
We're going to continue to make progress on all those fronts. And, yes, we are going to continue to implement the health care law. The product is good. People want it. And we should not live in a country where people are going bankrupt just because they get sick. And anybody who is going to keep on pushing against that, they will meet my resistance, because I am willing to fix any problems that there are, but I'm not going to abandon people to make sure that they've got health insurance in this country. That is not something we're going to do. (Applause.) And the good news is, as I said, thousands of Californians are already signing up.
I read a really powerful story over the weekend I just want to mention about uninsured folks in Kentucky who are signing up in droves in one of the poorest counties in the country. Some of them can't imagine what having health insurance would be like. And you read these stories and you realize how important it is for folks in Kentucky -- a state, by the way, that did not vote for me -- (laughter) -- and if Kentucky can do it, than every state should be able to do it.
We should be able to expand Medicaid all across the country. There are millions of people who, right now, even under the law, may not get health care that they deserve because their governors have refused to do it just for political reasons -- expanding Medicaid. Fortunately, California, obviously, is not one of them. But this is a fight that we're going to keep fighting, because it's worth fighting. And that's what Mellody referred to.
It's true. I'm not an ideological guy, but there are some things I really believe in. And part of what I believe in is that the essence of this country, what makes this place special, is this idea that Hollywood is glorified and held up, but I actually think it’s true that here, more than anyplace else, no matter what you look like, where you come from, what your last name is, who you love, you should be able to make it if you're willing to work hard. That's what I believe. (Applause.)
And there’s certain values that make that a reality. I have my critics, obviously, but since were here in Hollywood, I want to think about something that the late, great Chicago film critic, Robert [Roger] Ebert said -- and I was fortunate to get to know Roger Ebert and was always inspired by how he handled some really tough stuff. “Kindness,” he wrote, “covers all of my political beliefs.” Kindness covers all of my political beliefs.
And when I think about what I'm fighting for, what gets me up every single day, that captures it just about as much as anything. Kindness; empathy -- that sense that I have a stake in your success; that I'm going to make sure, just because Malia and Sasha are doing well, that's not enough -- I want your kids to do well also. And I'm willing to help to build good schools so that they get a great education, even if mine are already getting a great education.
And I'm going to invest in infrastructure and building things like the Golden Gate Bridge and the Hoover Dam and the Internet -- (laughter) -- because I'm investing for the next generation, not just this one. And that's what binds us together, and that's how we've always moved forward, based on the idea that we have a stake in each other’s success. And that's what drives me. And that's what will continue to drive me.
I believe that every kid should have opportunity. I believe our daughters should have the same opportunities as our sons. I believe that Jeffrey’s kids should be able to aspire to whatever they can dream of, but I also want to make sure that the person who’s cleaning up Jeffrey’s office, that their kid has that same possibility.
And we may have different ideas and different policies on how to do things, but that shouldn’t negate that that core vision is what we're fighting for, and we should be able to sit down together and to keep dreaming and keep working, and to make sure that the American Dream that's been described here in Southern California is sustained for generations to come.
And what’s stopping us is not policy details; it’s not technical issues. It’s to summon the courage to put politics aside once in a while and remember that we've got more in common than our politics would suggest. And as long as I've got the privilege of serving as your President, that's what I'm going to keep on making sure that I do -- to put politics aside once in a while and work on your behalf. (Applause.)
So, thank you, DreamWorks, for what you do. (Applause.) Thank you, Jeffrey, for your hospitality. God bless you. God bless America. (Applause.) Can't wait to see your next movie. (Applause.)
A PUBLICATION OF RANDOM U.S.GOVERNMENT PRESS RELEASES AND ARTICLES
Thursday, November 28, 2013
LIBRARY OF CONGRESS SHARES GEORGE WASHINGTON'S PROCLAMATION FOR A DAY OF THANKSGIVING
FROM: U.S. LIBRARY OF CONGRESS
The Writings of George Washington from the Original Manuscript Sources, 1745-1799. John C. Fitzpatrick, Editor.
[Note 77: A copy of this proclamation was sent to the executives of the States by the President in a brief form letter (October 3). This form is recorded in the "Letter Book" in the Washington Papers.]
City of New York, October 3, 1789.
Whereas it is the duty of all Nations to acknowledge the providence of Almighty God, to obey his will, to be grateful for his benefits, and humbly to implore his protection and favor, and Whereas both Houses of Congress have by their joint Committee78 requested me "to recommend to the People of the United States a day of public thanks-giving and prayer to be observed by acknowledging with grateful hearts the many signal favors of Almighty God, especially by affording them an opportunity peaceably to establish a form of government for their safety and happiness."
[Note 78: The Senate concurred in the House resolve to this effect, September 26.]
Now therefore I do recommend and assign Thursday the 26th. day of November next to be devoted by the People of these States to the service of that great and glorious Being, who is the beneficent Author of all the good that was, that is, or that will be. That we may then all unite in rendering unto him our sincere and humble thanks, for his kind care and protection of the People of this country previous to their becoming a Nation, for the signal and manifold mercies, and the favorable interpositions of his providence, which we experienced in the course and conclusion of the late war, for the great degree of tranquillity, union, and plenty, which we have since enjoyed, for the peaceable and rational manner in which we have been enabled to establish constitutions of government for our safety and happiness, and particularly the national One now lately instituted, for the civil and religious liberty with which we are blessed, and the means we have of acquiring and diffusing useful knowledge and in general for all the great and various favors which he hath been pleased to confer upon us.
And also that we may then unite in most humbly offering our prayers and supplications to the great Lord and Ruler of Nations and beseech him to pardon our national and other transgressions, to enable us all, whether in public or private stations, to perform our several and relative duties properly and punctually, to render our national government a blessing to all the People, by constantly being a government of wise, just and constitutional laws, discreetly and faithfully executed and obeyed, to protect and guide all Sovereigns and Nations (especially such as have shown kindness unto us) and to bless them with good government, peace, and concord. To promote the knowledge and practice of true religion and virtue, and the encrease of science among them and Us, and generally to grant unto all Mankind such a degree of temporal prosperity as he alone knows to be best.79
[Note 79: From the original in the writing of William Jackson. It was signed by Washington, who had written in the day "third" in the date.
This was the first national Thanksgiving Day proclamation under the Constitution.]
The Writings of George Washington from the Original Manuscript Sources, 1745-1799. John C. Fitzpatrick, Editor.
[Note 77: A copy of this proclamation was sent to the executives of the States by the President in a brief form letter (October 3). This form is recorded in the "Letter Book" in the Washington Papers.]
City of New York, October 3, 1789.
Whereas it is the duty of all Nations to acknowledge the providence of Almighty God, to obey his will, to be grateful for his benefits, and humbly to implore his protection and favor, and Whereas both Houses of Congress have by their joint Committee78 requested me "to recommend to the People of the United States a day of public thanks-giving and prayer to be observed by acknowledging with grateful hearts the many signal favors of Almighty God, especially by affording them an opportunity peaceably to establish a form of government for their safety and happiness."
[Note 78: The Senate concurred in the House resolve to this effect, September 26.]
Now therefore I do recommend and assign Thursday the 26th. day of November next to be devoted by the People of these States to the service of that great and glorious Being, who is the beneficent Author of all the good that was, that is, or that will be. That we may then all unite in rendering unto him our sincere and humble thanks, for his kind care and protection of the People of this country previous to their becoming a Nation, for the signal and manifold mercies, and the favorable interpositions of his providence, which we experienced in the course and conclusion of the late war, for the great degree of tranquillity, union, and plenty, which we have since enjoyed, for the peaceable and rational manner in which we have been enabled to establish constitutions of government for our safety and happiness, and particularly the national One now lately instituted, for the civil and religious liberty with which we are blessed, and the means we have of acquiring and diffusing useful knowledge and in general for all the great and various favors which he hath been pleased to confer upon us.
And also that we may then unite in most humbly offering our prayers and supplications to the great Lord and Ruler of Nations and beseech him to pardon our national and other transgressions, to enable us all, whether in public or private stations, to perform our several and relative duties properly and punctually, to render our national government a blessing to all the People, by constantly being a government of wise, just and constitutional laws, discreetly and faithfully executed and obeyed, to protect and guide all Sovereigns and Nations (especially such as have shown kindness unto us) and to bless them with good government, peace, and concord. To promote the knowledge and practice of true religion and virtue, and the encrease of science among them and Us, and generally to grant unto all Mankind such a degree of temporal prosperity as he alone knows to be best.79
[Note 79: From the original in the writing of William Jackson. It was signed by Washington, who had written in the day "third" in the date.
This was the first national Thanksgiving Day proclamation under the Constitution.]
STANLEY ELECTRIC CO. LTD PLEADS GUILTY TO PRICE FIXING AUTO PARTS
FROM: U.S. JUSTICE DEPARTMENT
Wednesday, November 27, 2013
Stanley Electric Co. Ltd. Agrees to Plead Guilty to Price Fixing on Automobile Parts Installed in U.s. Cars
Company Agrees to Pay $1.44 Million Criminal Fine
Stanley Electric Co. Ltd., a Tokyo-based company, has agreed to plead guilty and to pay a $1.44 million criminal fine for its participation in a conspiracy to fix prices of lamp ballasts installed in cars sold in the United States and elsewhere, the Department of Justice announced today.
According to a one-count felony charge filed today in U.S. District Court for the Eastern District of Michigan in Detroit, Stanley Electric engaged in a conspiracy to rig bids for, and to fix, stabilize and maintain the prices of, automotive high-intensity discharge (HID) lamp ballasts sold to automakers in the United States and elsewhere. Stanley Electric has also agreed to cooperate with the department’s ongoing investigation. The plea agreement is subject to court approval.
The department said that Stanley Electric and its co-conspirators sold or supplied the ballasts at noncompetitive prices to automakers in the United States and elsewhere. Stanley Electric’s involvement in the conspiracy to fix prices of automotive HID lamp ballasts lasted from as early as July 1998 until at least February 2010.
Stanley Electric manufactures and sells automotive HID headlamps, which contain automotive HID lamp ballasts. An automotive HID lamp ballast is an electrical device that is essential for the operation of an HID headlamp. It regulates the electrical current used to ignite and control the electrical arc that generates the intensely bright light emitted by an automotive HID headlamp fixture.
The department said the company and its co-conspirators carried out the conspiracy through meetings and conversations in which they discussed and agreed upon bids, price quotations and price adjustments and agreed to allocate among the companies certain sales of HID lamp ballasts sold to automobile and component manufacturers.
Including Stanley, 23 corporations have been charged in the department’s investigation into price fixing and bid rigging in the auto parts industry. Those companies have agreed to pay a total of over $1.8 billion in fines. Additionally, 26 individuals have been charged.
Stanley Electric Co. Ltd. is charged with price fixing in violation of the Sherman Act, which carries a maximum penalty of a $100 million criminal fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
Wednesday, November 27, 2013
Stanley Electric Co. Ltd. Agrees to Plead Guilty to Price Fixing on Automobile Parts Installed in U.s. Cars
Company Agrees to Pay $1.44 Million Criminal Fine
Stanley Electric Co. Ltd., a Tokyo-based company, has agreed to plead guilty and to pay a $1.44 million criminal fine for its participation in a conspiracy to fix prices of lamp ballasts installed in cars sold in the United States and elsewhere, the Department of Justice announced today.
According to a one-count felony charge filed today in U.S. District Court for the Eastern District of Michigan in Detroit, Stanley Electric engaged in a conspiracy to rig bids for, and to fix, stabilize and maintain the prices of, automotive high-intensity discharge (HID) lamp ballasts sold to automakers in the United States and elsewhere. Stanley Electric has also agreed to cooperate with the department’s ongoing investigation. The plea agreement is subject to court approval.
The department said that Stanley Electric and its co-conspirators sold or supplied the ballasts at noncompetitive prices to automakers in the United States and elsewhere. Stanley Electric’s involvement in the conspiracy to fix prices of automotive HID lamp ballasts lasted from as early as July 1998 until at least February 2010.
Stanley Electric manufactures and sells automotive HID headlamps, which contain automotive HID lamp ballasts. An automotive HID lamp ballast is an electrical device that is essential for the operation of an HID headlamp. It regulates the electrical current used to ignite and control the electrical arc that generates the intensely bright light emitted by an automotive HID headlamp fixture.
The department said the company and its co-conspirators carried out the conspiracy through meetings and conversations in which they discussed and agreed upon bids, price quotations and price adjustments and agreed to allocate among the companies certain sales of HID lamp ballasts sold to automobile and component manufacturers.
Including Stanley, 23 corporations have been charged in the department’s investigation into price fixing and bid rigging in the auto parts industry. Those companies have agreed to pay a total of over $1.8 billion in fines. Additionally, 26 individuals have been charged.
Stanley Electric Co. Ltd. is charged with price fixing in violation of the Sherman Act, which carries a maximum penalty of a $100 million criminal fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
JUSTICE, CHILD CARE CENTER SETTLE AMERICANS WITH DISABILITIES (ADA) CASE
FROM: U.S. JUSTICE DEPARTMENT
Wednesday, November 27, 2013
Justice Department Reaches Agreement with Oklahoma Child Care Center to Ensure Equal Rights for Children with Disabilities
The Justice Department announced today that it has reached a settlement with Camelot Child Development Center of Oklahoma City and Edmond, Okla., under the Americans with Disabilities Act (ADA). The settlement resolves allegations that Camelot violated the ADA by prohibiting a child with Down syndrome from field trips, and threatening to expel her, because of her developmental delays. Because the child is not fully toilet-trained, she wears pull-up diapers and requires help with toileting. Camelot provides toileting assistance to younger children, but Camelot refused to provide such assistance to the child with Down syndrome during field trips. As a result, the child could not join in these outings with the other children. In addition, at one point, Camelot threatened to expel the child because of her need for toileting assistance.
Title III of the ADA prohibits discrimination on the basis of disability in child care centers. Under the ADA, child care centers must make reasonable modifications to their policies, practices or procedures when necessary to provide equal access to a child with a disability, unless a modification would fundamentally alter the nature of the goods and services. Personal services, such as diapering or toileting assistance, may be required for children who need it due to a disability, regardless of age, when such personal services are provided to other children.
Camelot worked cooperatively with the Justice Department throughout the investigation to change its policies to ensure the center will treat children with disabilities fairly and equally. Under the agreement, Camelot will also pay $3,000 to the family and provide one full year of child care services free of charge to compensate the child and the mother for the harm they have endured as a result of Camelot’s actions. In addition, Camelot will train its staff on the ADA and develop and implement an anti-discrimination policy. The department will monitor Camelot’s compliance for three years.
“Equal access to school and after-school programs is essential to children and parents across the country,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “School and after-school programs allow children with disabilities to learn and play with their peers and develop important social skills. The Civil Rights Division takes disability discrimination in child care settings very seriously and will not allow the exclusion of children with developmental delays.”
“Children are our most valuable resource and must be afforded equal opportunities to grow, learn, and develop,” said U.S. Attorney Sanford C. Coats. “The Americans with Disabilities Act ensures that a child with a disability has the same access to those opportunities as a child who is not disabled.”
Wednesday, November 27, 2013
Justice Department Reaches Agreement with Oklahoma Child Care Center to Ensure Equal Rights for Children with Disabilities
The Justice Department announced today that it has reached a settlement with Camelot Child Development Center of Oklahoma City and Edmond, Okla., under the Americans with Disabilities Act (ADA). The settlement resolves allegations that Camelot violated the ADA by prohibiting a child with Down syndrome from field trips, and threatening to expel her, because of her developmental delays. Because the child is not fully toilet-trained, she wears pull-up diapers and requires help with toileting. Camelot provides toileting assistance to younger children, but Camelot refused to provide such assistance to the child with Down syndrome during field trips. As a result, the child could not join in these outings with the other children. In addition, at one point, Camelot threatened to expel the child because of her need for toileting assistance.
Title III of the ADA prohibits discrimination on the basis of disability in child care centers. Under the ADA, child care centers must make reasonable modifications to their policies, practices or procedures when necessary to provide equal access to a child with a disability, unless a modification would fundamentally alter the nature of the goods and services. Personal services, such as diapering or toileting assistance, may be required for children who need it due to a disability, regardless of age, when such personal services are provided to other children.
Camelot worked cooperatively with the Justice Department throughout the investigation to change its policies to ensure the center will treat children with disabilities fairly and equally. Under the agreement, Camelot will also pay $3,000 to the family and provide one full year of child care services free of charge to compensate the child and the mother for the harm they have endured as a result of Camelot’s actions. In addition, Camelot will train its staff on the ADA and develop and implement an anti-discrimination policy. The department will monitor Camelot’s compliance for three years.
“Equal access to school and after-school programs is essential to children and parents across the country,” said Acting Assistant Attorney General Jocelyn Samuels for the Civil Rights Division. “School and after-school programs allow children with disabilities to learn and play with their peers and develop important social skills. The Civil Rights Division takes disability discrimination in child care settings very seriously and will not allow the exclusion of children with developmental delays.”
“Children are our most valuable resource and must be afforded equal opportunities to grow, learn, and develop,” said U.S. Attorney Sanford C. Coats. “The Americans with Disabilities Act ensures that a child with a disability has the same access to those opportunities as a child who is not disabled.”
COLD ON THE ATOMIC LEVEL
FROM: NATIONAL SCIENCE FOUNDATION
Research models behavior of ultra-cold atoms and polar molecules
Theoretical physicist Ana Maria Rey uses the computer, as well as pencil and paper, to develop mathematical models that describe the behavior of ultra-cold atoms. The idea is to use these systems to learn more about condensed matter physics and quantum mechanics with the goal of inspiring new materials, precision measurements and quantum information.
Using ultra-cold atoms, "we aim to develop synthetic materials that do not exist in nature, but which can help us understand materials that do exist in nature," says National Science Foundation (NSF)-funded scientist Rey, a research assistant professor in the University of Colorado Boulder's Department of Physics and a fellow at JILA, a joint institute of the university and the National Institute of Standards and Technology.
"Electrons in solids can exhibit rich behavior, complex behavior, that we do not understand," she adds. "This behavior comes from interactions of many electrons. When the electrons in the solids interact and see other electrons, the laws of quantum mechanics govern how they behave. This is very complicated behavior. This behavior is so complex that even a classical computer cannot solve it."
Rey is a recent recipient of one of this year's prestigious MacArthur fellowships, a $625,000 no-strings-attached award, popularly known as a "genius" grant. These go to talented individuals who have shown extraordinary originality and dedication in their fields.
She also has received about $500,000 in NSF funding since her arrival at JILA in 2008 for work that includes modeling the behavior of ultra-cold atoms and polar molecules.
Rey and her colleagues create artificial materials by trapping atoms with light. In order to do this, "we have to make them very cold," she explains. "We then use lasers to try to mimic the potential that electrons feel in real solids."
Ultimately, her research could lead to new materials for more effective superconductors, as well as new magnetic behavior that could speed up computer development. One of the eventual goals, for example, is to develop new materials that superconduct at room temperature, rather than only in extreme cold.
"This will help everything, because nowadays you have to cool the materials down, which is very expensive," she says. "If we don't have to cool them down, everything that uses superconductivity can be made much less expensively."
She also is developing a comprehensive theoretical framework for an optical-lattice quantum computer based on alkaline earth metals, and she already has proposed solutions for problems associated with storing, addressing, and transporting qubits, which are the quantum equivalent of traditional computing bits.
Among other things, she is attempting to resolve long-standing obstacles to large-scale entanglement between atoms, which quantum computers require both for communication and calculations.
"We want to use atoms trapped in light to create a quantum computer," she says. "The internal levels of the atom are the qubits of the computer. For example, we are proposing atoms in the second column of the periodic table--alkaline Earth elements, such as strontium--which have large number of degrees of freedom to improve computation capabilities."
Such research potentially could produce smaller and faster computers with capabilities that classical computers do not now have. "A classical computer has to do its computations one at a time, but with quantum mechanics, all the computations are done in parallel," she says.
Finally, she also is working on advances in developing an optical atomic clock.
"Atoms are a tool that allows us to measure time in a very precise way," she says. "The energy levels of an atom are like the ticking of a clock. The higher the energy separation between levels, the more ticks you have and the more precise your clock.
"The atomic clock measures time, and to measure time better, we need more atoms," she says. "The more atoms we have, the higher the signal-to-noise ratio, meaning that in principle, the clock is more precise."
One persistent problem, however, is that atoms collide, "and that is bad for the clock," she adds. "What I have done is try to understand the origins of these collisions, and try to control them in order to improve the clock."
-- Marlene Cimons, National Science Foundation
Research models behavior of ultra-cold atoms and polar molecules
Theoretical physicist Ana Maria Rey uses the computer, as well as pencil and paper, to develop mathematical models that describe the behavior of ultra-cold atoms. The idea is to use these systems to learn more about condensed matter physics and quantum mechanics with the goal of inspiring new materials, precision measurements and quantum information.
Using ultra-cold atoms, "we aim to develop synthetic materials that do not exist in nature, but which can help us understand materials that do exist in nature," says National Science Foundation (NSF)-funded scientist Rey, a research assistant professor in the University of Colorado Boulder's Department of Physics and a fellow at JILA, a joint institute of the university and the National Institute of Standards and Technology.
"Electrons in solids can exhibit rich behavior, complex behavior, that we do not understand," she adds. "This behavior comes from interactions of many electrons. When the electrons in the solids interact and see other electrons, the laws of quantum mechanics govern how they behave. This is very complicated behavior. This behavior is so complex that even a classical computer cannot solve it."
Rey is a recent recipient of one of this year's prestigious MacArthur fellowships, a $625,000 no-strings-attached award, popularly known as a "genius" grant. These go to talented individuals who have shown extraordinary originality and dedication in their fields.
She also has received about $500,000 in NSF funding since her arrival at JILA in 2008 for work that includes modeling the behavior of ultra-cold atoms and polar molecules.
Rey and her colleagues create artificial materials by trapping atoms with light. In order to do this, "we have to make them very cold," she explains. "We then use lasers to try to mimic the potential that electrons feel in real solids."
Ultimately, her research could lead to new materials for more effective superconductors, as well as new magnetic behavior that could speed up computer development. One of the eventual goals, for example, is to develop new materials that superconduct at room temperature, rather than only in extreme cold.
"This will help everything, because nowadays you have to cool the materials down, which is very expensive," she says. "If we don't have to cool them down, everything that uses superconductivity can be made much less expensively."
She also is developing a comprehensive theoretical framework for an optical-lattice quantum computer based on alkaline earth metals, and she already has proposed solutions for problems associated with storing, addressing, and transporting qubits, which are the quantum equivalent of traditional computing bits.
Among other things, she is attempting to resolve long-standing obstacles to large-scale entanglement between atoms, which quantum computers require both for communication and calculations.
"We want to use atoms trapped in light to create a quantum computer," she says. "The internal levels of the atom are the qubits of the computer. For example, we are proposing atoms in the second column of the periodic table--alkaline Earth elements, such as strontium--which have large number of degrees of freedom to improve computation capabilities."
Such research potentially could produce smaller and faster computers with capabilities that classical computers do not now have. "A classical computer has to do its computations one at a time, but with quantum mechanics, all the computations are done in parallel," she says.
Finally, she also is working on advances in developing an optical atomic clock.
"Atoms are a tool that allows us to measure time in a very precise way," she says. "The energy levels of an atom are like the ticking of a clock. The higher the energy separation between levels, the more ticks you have and the more precise your clock.
"The atomic clock measures time, and to measure time better, we need more atoms," she says. "The more atoms we have, the higher the signal-to-noise ratio, meaning that in principle, the clock is more precise."
One persistent problem, however, is that atoms collide, "and that is bad for the clock," she adds. "What I have done is try to understand the origins of these collisions, and try to control them in order to improve the clock."
-- Marlene Cimons, National Science Foundation
Wednesday, November 27, 2013
PARDON THE TURKEY
FROM: THE WHITE HOUSE
Remarks by the President at Pardoning of the Thanksgiving Turkey
North Portico
1:30 P.M. EST
THE PRESIDENT: Good afternoon, everybody, and happy Thanksgiving.
The office of the presidency -- the most powerful position in the world -- brings with it many awesome and solemn responsibilities. This is not one of them. (Laughter.) But the White House Turkey Pardon is a great tradition. And I know Malia loves it -- as does Sasha.
Generally speaking, Thanksgiving is a bad day to be a turkey. Especially at a house with two dogs. So I salute our two guests of honor -- Caramel and Popcorn -- for their bravery. They came all the way from outside Badger, Minnesota to be with us. They, like my Chief of Staff, are Vikings fans. (Laughter.) I’m not sure that they know -- (turkeys gobble) -- uh-oh. (Laughter.) See. I'm not sure they know that that my Bears are heading to Minnesota on Sunday, but in the spirit of Thanksgiving, I'm going to give them a break. (Laughter.)
We are also excited to have students from Badger High School here. (Applause.) Where are you guys? There they are, right there. And finally, let me say thank you to John Burkel, chairman of the National Turkey Federation. Give him a big round of applause. (Applause.)
Now, 80 turkeys on John’s farm competed for the chance to make it to the White House, and stay off the Thanksgiving table. It was, quite literally, the hunger games. (Laughter.) and then, after weeks of vocal practice and prepping for the cameras, the two tributes, Caramel and Popcorn went head-to-head together for America’s vote as top gobbler.
The competition was stiff, but we can officially declare that Popcorn is the winner -- (applause) -- proving that even a turkey with a funny name can find a place in politics. (Laughter.) As for Caramel, he’s sticking around, and he’s already busy raising money for his next campaign. (Laughter.)
On a more serious note, later today, Michelle, Malia, Sasha, and I will bring a couple less fortunate turkeys to a great organization that works to help out our neighbors here in D.C. who need it most. And I want to thank Jaindl’s Turkey Farm in Orefield, Pennsylvania, for donating those dressed birds for the fifth year in a row. This is a reminder that this is a season to not only be thankful for the incredible blessings that we have, but also to remember the neediest and generously serve those who are not as fortunate.
On a more serious note, later today, Michelle, Malia, Sasha, and I will bring a couple less fortunate turkeys to a great organization that works to help out our neighbors here in D.C. who need it most. And I want to thank Jaindl’s Turkey Farm in Orefield, Pennsylvania, for donating those dressed birds for the fifth year in a row. This is a reminder that this is a season to not only be thankful for the incredible blessings that we have, but also to remember the neediest and generously serve those who are not as fortunate.
This is a quintessentially American holiday, and during this time we give thanks to our friends and our family, for citizens who show compassion to those in need, and for neighbors who help strangers they’ve never met. We give thanks for the blessings of freedom and opportunity that previous generations worked so hard to secure for. And we give thanks for the service and sacrifice of our brave men and women in uniform who serve our nation around the world.
For those of you who are watching, you keep us safe. You make us proud, and you remind us of our own obligations to build on the work of our predecessors and leave something better for our own kids.
So on behalf of the Obama family, I want to wish everybody a very happy Thanksgiving. Tomorrow, as we gather with our own friends and family, we’ll count ourselves lucky that there’s more to be thankful for than we can ever say, and more to be hopeful for than we can ever imagine.
And now, before these turkeys get away -- with the power vested in me, I want to grant Popcorn a full reprieve. Come on. (Laughter.) Popcorn, you have a full reprieve from cranberry sauce and stuffing. We wish you well. And we’re going to give Carmel a break as well.
All right? (Laughter.) Congratulations, everybody. (Applause.) Happy Thanksgiving, everybody. See you, Popcorn. (Applause.) Get out of the rain. (Laughter.)
END
U.S. DEFENSE DEPARTMENT CONTRACTS FOR NOVEMBER 27, 2013
FROM: U.S. DEFENSE DEPARTMENT
CONTRACTS
NAVY
Toyon Research Corp.**, Goleta, Calif. (N68936-14-D-0001), and Integrity Applications Inc.**, Chantilly, Va. (N68936-14-D-0002), are each being awarded a cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract for the development and fielding of intelligence, surveillance, reconnaissance, and targeting systems to improve warfighter situational awareness and weapon delivery capabilities. The estimated aggregate ceiling for both contracts is $42,282,088, with the companies having an opportunity to compete for individual delivery orders. Work will be performed in Goleta, Calif., and Chantilly, Va. and work is expected to be completed in November 2018. Funds are not being obligated at time of award. Funds will be obligated on individual delivery orders as they are issued. This contract was competitively procured via an electronic request for proposals as a 100 percent small business set-aside; seven offers were received. The Naval Air Warfare Center Weapons Division, China Lake, Calif., is the contracting activity.
Raytheon Co., Integrated Defense Systems, San Diego, Calif., is being awarded a $32,388,530 modification to previously awarded contract (N00024-10-C-2205) for lifecycle engineering and support services for LPD 17 class integrated shipboard electronic systems. The following services will be provided: lifecycle engineering and support services, including post-delivery planning, logistics and engineering, homeport technical support, integrated product data environment, data maintenance, equipment management, systems integration and design engineering, software support, research engineering, obsolescence management (both technical and logistics), material readiness support, emergent repair planning, training and logistics support; Planning Yard support of integrated electronic systems, including fleet modernization planning, ship alteration development and installation, material management, configuration data management, research engineering, logistics documentation, and other logistics and executing activity coordination, and management; performance-based logistics support, including providing sustaining engineering and obsolescence management support for unique LPD 17 class integrated shipboard electronic systems. Work will be performed in San Diego, Calif. (98 percent), and Norfolk, Va. (2 percent), and is expected to be completed by December 2014. Fiscal 2005 and 2012 shipbuilding and conversion, Navy; fiscal 2014 shipbuilding and conversion, Navy and fiscal 2014 operations and maintenance, Navy funds in the amount of $6,229,134 will be obligated at time of award. Contract funds in the amount of $1,814,508 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
Helix Electric Inc., San Diego, Calif., is being awarded a $24,788,000 firm-fixed-price contract for Dry Dock 8 electrical distribution upgrade at Norfolk Naval Shipyard. The work to be performed provides for the upgrade of existing shore power to support the new class of aircraft carriers. Specifically, this project involves installation of an electrical distribution system, a system capable of providing shore power and industrial power at the dry dock. The contractor will also be responsible for removal and disposal of the existing power system. The project includes provisions to support the shore power requirements of the adjacent future pier replacement and provides for all electrical, civil, structural and mechanical work associated with the electrical upgrades. The contract also contains one unexercised option, which if exercised would increase cumulative contract value to $24,973,000. Work will be performed in Portsmouth, Va., and is expected to be completed by December 2015. Fiscal 2013 military construction, Navy contract funds in the amount of $24,788,000 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with seven proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Va., is the contracting activity (N40085-14-C-8106).
Northrop Grumman Systems Corp., Aerospace Systems, San Diego, Calif., is being awarded a $13,857,607 cost-plus-fixed-fee contract for logistics services in support of the MQ-8B/C Fire Scout unmanned air vehicle. This work will be performed in Patuxent River, Md. (70 percent), and Pt. Mugu, Calif. (30 percent), and is expected to be completed in November 2014. Fiscal 2014 operations and maintenance, Navy funds in the amount of $13,857,607 are being obligated at time of award, all of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to 10U.S.C. 2304 (c) (1). The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-C-0012).
Rockwell Collins Inc., Richardson, Texas, is being awarded a $10,834,820 fixed-firm-price contract for sustaining engineering services in support of the E-6B Mercury aircraft. This contract includes sustaining engineering services for the Mission Avionics System, the Long Trailing Wire Assembly, the Short Trailing Wire Assembly, the High Power Transmit Set and the Internet Protocol Bandwidth Expansion Phase 4 system. Work will be performed in Richardson, Texas (60 percent) and Tinker Air Force Base, Oklahoma City, Okla. (40 percent) and is expected to be completed in November 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $2,033,000 are being obligated on this award, all of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-C-0027).
Raytheon Co., Tucson, Ariz., is being awarded a $9,720,715 modification to a previously awarded firm-fixed-price, indefinite-delivery/indefinite-quantity contract (N00019-09-D-0005) to exercise an option for the procurement of 210 HARM AGM-88B/C Guidance Sections for the U.S. Air Force (190) and the Government of Germany (20); 25 HARM AGM-88BC Control Sections for the U.S. Air Force (20) and the Government of Germany (5), including associated technical data. Work will be performed in Tucson, Ariz., and is expected to be completed in August 2015. Fiscal 2014 operations and maintenance, Air Force and foreign military sales funds in the amount of $8,280,290 will be obligated at time of award, $7,222,105 of which will expire at the end of the current fiscal year. This contract combines purchases for the U.S. Air Force ($8,662,530; 89 percent) and the Government of Germany ($1,058,185; 11 percent) under the Foreign Military Sales Program. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Drew Marine USA, Inc., Whippany, N.J., is being awarded a $9,202,490 modification under a previously awarded indefinite-delivery/indefinite-quantity contract with firm-fixed-price delivery orders (N00033-12-D-8000) to exercise a one-year option for the worldwide supply, delivery and services for shipboard chemical treatment; foam testing, supply and disposal; industrial gases; and refrigerants for all U.S. naval ships of Military Sealift Command (MSC) and any other vessel specifically identified by MSC. Work will be performed worldwide and is expected to be completed November 2014. If all options are exercised this effort will continue through November 2016. Fiscal 2014 working capital contract funds in the amount of $9,202,490 are being obligated, and funds will expire at the end of that fiscal year. The U.S. Navy’s Military Sealift Command, Washington, D.C., is the contracting activity (N00033-12-D-8000).
The Hana Group Inc., Honolulu, Hawaii, is being awarded a $6,803,449 modification to previously awarded cost-plus-fixed-fee contract (N00178-07-D-5082) to exercise option three for range and business/financial support services. Work will be performed at Kauai, Hawaii, and work is expected to be completed Dec. 1. 2014. If all options are exercised, work will be completed by Dec. 1, 2015. This modification increases the value of the basic task order to a new total value of $27,096,766. Fiscal 2014 operations and maintenance, Navy funds in the amount of $633,150 will be obligated at the time of award, and funds will expire at the end of the current fiscal year. This contract was competitively procured using the Navy Sea Port e-procurement portal, with four offers received in response to this solicitation. The NAVSUP Fleet Logistics Center, Pearl Harbor, Hawaii, is the contracting activity.
DEFENSE LOGISTICS AGENCY
Defense Contract Services Inc.*, Leander, Texas, has been awarded a maximum $20,790,000 firm-fixed-price contract for non-personal services to perform the operation and maintenance for fuels service center and manage all programs and actions required to support the fuels management flight located on Edwards Air Force Base, Calif. This contract is a competitive acquisition, and 14 offers were received. Locations of performance are Texas and California with a Dec. 31, 2025 performance completion date. This is a 12-year base contract with one four-year option period. Using military service is Air Force. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-C-5402).
Dixie Chemical Company Inc.**, Houston, Texas, has been awarded a maximum $15,179,076 firm-fixed-price contract for production, storage, and distribution of various types of high density, synthetic hydrocarbon type propellants. This contract is a competitive acquisition, and three offers were received. Location of performance is Texas with a Nov. 30, 2018 performance completion date. This is a five-year base contract with no option year periods. Using military services are Navy, Air Force, federal civilian agencies and defense contractors. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, San Antonio, Texas, (SPE601-14-D-1502).
Bethel Industries, Inc.**, Jersey City, N.J., has been awarded a maximum $13,967,796 modification (P00014) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1015) with four one-year option periods for combat utility uniform trousers. This is a firm-fixed-price, indefinite-quantity contract. Locations of performance are New Jersey and Mississippi with a Dec. 4, 2014 performance completion date. Using military service is Marine Corps. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Short Bark Industries Inc.***, Vonore, Tenn., has been awarded a maximum $10,835,538 modification (P00009) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1005) with four one-year option periods for combat utility uniform blouses. This is a firm-fixed-price, indefinite-quantity contract. Locations of performance are Tennessee, Puerto Rico, and Mississippi with a Dec. 4, 2014 performance completion date. Using military service is Marine Corps. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Refinery Associates of Texas Inc.**, New Braunfels, Texas, has been awarded a maximum $8,435,714 fixed-price with economic-price-adjustment contract for fuel. This contract is a competitive acquisition, and seventeen offers were received. Locations of performance are Texas and United Arab Emirates with a Jan. 30, 2015 performance completion date. This is a two-year base contract with no option year periods. Using military services are Army, Navy, Air Force, and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-D-0453).
Kandor Manufacturing Inc.****, Arecibo, Puerto Rico, has been awarded a maximum $6,690,641 modification (P00009) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1014) with four one-year option periods for combat utility uniform blouses. This is a firm-fixed-price, indefinite-quantity contract. Locations of performance are Puerto Rico and Mississippi with a Dec. 4, 2014 performance completion date. Using military service is Marine Corps. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
AIR FORCE
The Boeing Co., St. Louis, Mo., has been awarded a $15,500,000 firm-fixed-price modification (P00021) to firm-fixed-price contract (FA8634-12-C-2651) for the procurement of disorientation recovery function capability on the F-15SA aircraft for the Royal Saudi Air Force. Work will be performed in St. Louis, Mo., and will be completed by Feb. 2, 2015. Foreign military sales funds for Saudi Arabia in the amount of $2,365,121 are being obligated at time of award. The Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity.
Honeywell International Inc., Clearwater, Fla., has been awarded a $9,997,263 cost-plus-fixed-fee contract for the Pendulous Integrating Gyroscopic Accelerometer (PIGA, a component on the Intercontinental Ballistic Missile). Honeywell will repair PIGA float assemblies which is an ongoing repair effort. This effort will produce 96 PIGA floats that will be reinserted within the PIGA float assembly repair line. The PIGA float is an extremely complex, critical precision sub-assembly that is the heart of the PIGA instrument. Work will be performed in Clearwater, Fla., and is expected to be completed by Nov. 30, 2015. This award is the result of a sole-source acquisition. Fiscal 2014 operations and maintenance funds in the amount of $8,234,569 are being obligated at time of award. Air Force Nuclear Weapons Center/PZBF, Hill Air Force Base, Utah, is the contracting activity (FA8204-14-C-0002).
ARMY
General Dynamics Land Systems Inc., Sterling Heights, Mich., was awarded a $6,950,520 contract modification (P00025) for contract W56HZV-11-C-C002. Modification is for an equitable adjustment resulting from the impact of a government stop-work order under the Ground Combat Vehicle Technology Development Phase contract. Fiscal 2014 research, development, test and evaluation funds were obligated at the time of the award. Estimated completion date is June 4, 2014. Bids were solicited via the Internet with three received. Work location is Sterling Heights, Mich. Army Contracting Command (Tank and Automotive), Warren, Mich., is the contracting agency.
City of Monterey, Monterey, Calif., was awarded a $7,024,196 cost contract with options for base operations support services. Fiscal 2014 operations and maintenance, Army funds in the amount of $3,780,100 were obligated at the time of the award. Estimated completion date is Nov. 30, 2014. One bid was solicited and one received. Work location is Monterey, Calif. Army Contracting Command, Fort Sam Houston, Texas, is the contracting agency (W9124J-14-D-0001).
TRANSPORTATION COMMAND
American Auto Logistics, Limited Partnership, Park Ridge, N.J., is being awarded a $69,000,000 delivery order modification 04 to previously awarded delivery order DAMT01-03-D-0184-0009 to provide Department of Defense-sponsored shipments of privately owned vehicles belonging to military service members and transportation of DOD-sponsored shipments of POVs for DOD civilian employees. Work will be performed at multiple locations both within and outside of the continental U.S., through March 21, 2014. Fiscal year 2014 Transportation Working Capital Funds of $69,000,000 are being obligated at the time of modification execution. The contracting activity is the U.S. Transportation Command Directorate of Acquisition, Scott Air Force Base, Ill.
AAR Airlift Group, Inc., Palm Bay, Fla., is being awarded an indefinite delivery/indefinite quantity, fixed-price with economic price adjustment contract for dedicated fixed wing services in the Central Africa Region (Uganda, Central Africa Republic, the Democratic Republic of Congo, and South Sudan). Performance is from Dec. 28, 2013 to Oct. 27, 2015. Funds will be obligated on individual task orders and are Army operations & maintenance funds. This contract was a competitive acquisition, and four proposals were received. The contracting activity is the U.S. Transportation Command Directorate of Acquisition, Scott Air Force Base, Ill., (HTC711-14-D-R026).
*Veteran Owned Small Business
**Small Business
***Small InHubZone, Woman Owned Business
****Small Disadvantaged Business
CONTRACTS
NAVY
Toyon Research Corp.**, Goleta, Calif. (N68936-14-D-0001), and Integrity Applications Inc.**, Chantilly, Va. (N68936-14-D-0002), are each being awarded a cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract for the development and fielding of intelligence, surveillance, reconnaissance, and targeting systems to improve warfighter situational awareness and weapon delivery capabilities. The estimated aggregate ceiling for both contracts is $42,282,088, with the companies having an opportunity to compete for individual delivery orders. Work will be performed in Goleta, Calif., and Chantilly, Va. and work is expected to be completed in November 2018. Funds are not being obligated at time of award. Funds will be obligated on individual delivery orders as they are issued. This contract was competitively procured via an electronic request for proposals as a 100 percent small business set-aside; seven offers were received. The Naval Air Warfare Center Weapons Division, China Lake, Calif., is the contracting activity.
Raytheon Co., Integrated Defense Systems, San Diego, Calif., is being awarded a $32,388,530 modification to previously awarded contract (N00024-10-C-2205) for lifecycle engineering and support services for LPD 17 class integrated shipboard electronic systems. The following services will be provided: lifecycle engineering and support services, including post-delivery planning, logistics and engineering, homeport technical support, integrated product data environment, data maintenance, equipment management, systems integration and design engineering, software support, research engineering, obsolescence management (both technical and logistics), material readiness support, emergent repair planning, training and logistics support; Planning Yard support of integrated electronic systems, including fleet modernization planning, ship alteration development and installation, material management, configuration data management, research engineering, logistics documentation, and other logistics and executing activity coordination, and management; performance-based logistics support, including providing sustaining engineering and obsolescence management support for unique LPD 17 class integrated shipboard electronic systems. Work will be performed in San Diego, Calif. (98 percent), and Norfolk, Va. (2 percent), and is expected to be completed by December 2014. Fiscal 2005 and 2012 shipbuilding and conversion, Navy; fiscal 2014 shipbuilding and conversion, Navy and fiscal 2014 operations and maintenance, Navy funds in the amount of $6,229,134 will be obligated at time of award. Contract funds in the amount of $1,814,508 will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
Helix Electric Inc., San Diego, Calif., is being awarded a $24,788,000 firm-fixed-price contract for Dry Dock 8 electrical distribution upgrade at Norfolk Naval Shipyard. The work to be performed provides for the upgrade of existing shore power to support the new class of aircraft carriers. Specifically, this project involves installation of an electrical distribution system, a system capable of providing shore power and industrial power at the dry dock. The contractor will also be responsible for removal and disposal of the existing power system. The project includes provisions to support the shore power requirements of the adjacent future pier replacement and provides for all electrical, civil, structural and mechanical work associated with the electrical upgrades. The contract also contains one unexercised option, which if exercised would increase cumulative contract value to $24,973,000. Work will be performed in Portsmouth, Va., and is expected to be completed by December 2015. Fiscal 2013 military construction, Navy contract funds in the amount of $24,788,000 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with seven proposals received. The Naval Facilities Engineering Command, Mid-Atlantic, Norfolk, Va., is the contracting activity (N40085-14-C-8106).
Northrop Grumman Systems Corp., Aerospace Systems, San Diego, Calif., is being awarded a $13,857,607 cost-plus-fixed-fee contract for logistics services in support of the MQ-8B/C Fire Scout unmanned air vehicle. This work will be performed in Patuxent River, Md. (70 percent), and Pt. Mugu, Calif. (30 percent), and is expected to be completed in November 2014. Fiscal 2014 operations and maintenance, Navy funds in the amount of $13,857,607 are being obligated at time of award, all of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to 10U.S.C. 2304 (c) (1). The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-C-0012).
Rockwell Collins Inc., Richardson, Texas, is being awarded a $10,834,820 fixed-firm-price contract for sustaining engineering services in support of the E-6B Mercury aircraft. This contract includes sustaining engineering services for the Mission Avionics System, the Long Trailing Wire Assembly, the Short Trailing Wire Assembly, the High Power Transmit Set and the Internet Protocol Bandwidth Expansion Phase 4 system. Work will be performed in Richardson, Texas (60 percent) and Tinker Air Force Base, Oklahoma City, Okla. (40 percent) and is expected to be completed in November 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $2,033,000 are being obligated on this award, all of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-C-0027).
Raytheon Co., Tucson, Ariz., is being awarded a $9,720,715 modification to a previously awarded firm-fixed-price, indefinite-delivery/indefinite-quantity contract (N00019-09-D-0005) to exercise an option for the procurement of 210 HARM AGM-88B/C Guidance Sections for the U.S. Air Force (190) and the Government of Germany (20); 25 HARM AGM-88BC Control Sections for the U.S. Air Force (20) and the Government of Germany (5), including associated technical data. Work will be performed in Tucson, Ariz., and is expected to be completed in August 2015. Fiscal 2014 operations and maintenance, Air Force and foreign military sales funds in the amount of $8,280,290 will be obligated at time of award, $7,222,105 of which will expire at the end of the current fiscal year. This contract combines purchases for the U.S. Air Force ($8,662,530; 89 percent) and the Government of Germany ($1,058,185; 11 percent) under the Foreign Military Sales Program. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Drew Marine USA, Inc., Whippany, N.J., is being awarded a $9,202,490 modification under a previously awarded indefinite-delivery/indefinite-quantity contract with firm-fixed-price delivery orders (N00033-12-D-8000) to exercise a one-year option for the worldwide supply, delivery and services for shipboard chemical treatment; foam testing, supply and disposal; industrial gases; and refrigerants for all U.S. naval ships of Military Sealift Command (MSC) and any other vessel specifically identified by MSC. Work will be performed worldwide and is expected to be completed November 2014. If all options are exercised this effort will continue through November 2016. Fiscal 2014 working capital contract funds in the amount of $9,202,490 are being obligated, and funds will expire at the end of that fiscal year. The U.S. Navy’s Military Sealift Command, Washington, D.C., is the contracting activity (N00033-12-D-8000).
The Hana Group Inc., Honolulu, Hawaii, is being awarded a $6,803,449 modification to previously awarded cost-plus-fixed-fee contract (N00178-07-D-5082) to exercise option three for range and business/financial support services. Work will be performed at Kauai, Hawaii, and work is expected to be completed Dec. 1. 2014. If all options are exercised, work will be completed by Dec. 1, 2015. This modification increases the value of the basic task order to a new total value of $27,096,766. Fiscal 2014 operations and maintenance, Navy funds in the amount of $633,150 will be obligated at the time of award, and funds will expire at the end of the current fiscal year. This contract was competitively procured using the Navy Sea Port e-procurement portal, with four offers received in response to this solicitation. The NAVSUP Fleet Logistics Center, Pearl Harbor, Hawaii, is the contracting activity.
DEFENSE LOGISTICS AGENCY
Defense Contract Services Inc.*, Leander, Texas, has been awarded a maximum $20,790,000 firm-fixed-price contract for non-personal services to perform the operation and maintenance for fuels service center and manage all programs and actions required to support the fuels management flight located on Edwards Air Force Base, Calif. This contract is a competitive acquisition, and 14 offers were received. Locations of performance are Texas and California with a Dec. 31, 2025 performance completion date. This is a 12-year base contract with one four-year option period. Using military service is Air Force. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-C-5402).
Dixie Chemical Company Inc.**, Houston, Texas, has been awarded a maximum $15,179,076 firm-fixed-price contract for production, storage, and distribution of various types of high density, synthetic hydrocarbon type propellants. This contract is a competitive acquisition, and three offers were received. Location of performance is Texas with a Nov. 30, 2018 performance completion date. This is a five-year base contract with no option year periods. Using military services are Navy, Air Force, federal civilian agencies and defense contractors. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, San Antonio, Texas, (SPE601-14-D-1502).
Bethel Industries, Inc.**, Jersey City, N.J., has been awarded a maximum $13,967,796 modification (P00014) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1015) with four one-year option periods for combat utility uniform trousers. This is a firm-fixed-price, indefinite-quantity contract. Locations of performance are New Jersey and Mississippi with a Dec. 4, 2014 performance completion date. Using military service is Marine Corps. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Short Bark Industries Inc.***, Vonore, Tenn., has been awarded a maximum $10,835,538 modification (P00009) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1005) with four one-year option periods for combat utility uniform blouses. This is a firm-fixed-price, indefinite-quantity contract. Locations of performance are Tennessee, Puerto Rico, and Mississippi with a Dec. 4, 2014 performance completion date. Using military service is Marine Corps. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Refinery Associates of Texas Inc.**, New Braunfels, Texas, has been awarded a maximum $8,435,714 fixed-price with economic-price-adjustment contract for fuel. This contract is a competitive acquisition, and seventeen offers were received. Locations of performance are Texas and United Arab Emirates with a Jan. 30, 2015 performance completion date. This is a two-year base contract with no option year periods. Using military services are Army, Navy, Air Force, and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-D-0453).
Kandor Manufacturing Inc.****, Arecibo, Puerto Rico, has been awarded a maximum $6,690,641 modification (P00009) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1014) with four one-year option periods for combat utility uniform blouses. This is a firm-fixed-price, indefinite-quantity contract. Locations of performance are Puerto Rico and Mississippi with a Dec. 4, 2014 performance completion date. Using military service is Marine Corps. Type of appropriation is fiscal 2014 through fiscal 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
AIR FORCE
The Boeing Co., St. Louis, Mo., has been awarded a $15,500,000 firm-fixed-price modification (P00021) to firm-fixed-price contract (FA8634-12-C-2651) for the procurement of disorientation recovery function capability on the F-15SA aircraft for the Royal Saudi Air Force. Work will be performed in St. Louis, Mo., and will be completed by Feb. 2, 2015. Foreign military sales funds for Saudi Arabia in the amount of $2,365,121 are being obligated at time of award. The Air Force Life Cycle Management Center, Wright-Patterson Air Force Base, Ohio, is the contracting activity.
Honeywell International Inc., Clearwater, Fla., has been awarded a $9,997,263 cost-plus-fixed-fee contract for the Pendulous Integrating Gyroscopic Accelerometer (PIGA, a component on the Intercontinental Ballistic Missile). Honeywell will repair PIGA float assemblies which is an ongoing repair effort. This effort will produce 96 PIGA floats that will be reinserted within the PIGA float assembly repair line. The PIGA float is an extremely complex, critical precision sub-assembly that is the heart of the PIGA instrument. Work will be performed in Clearwater, Fla., and is expected to be completed by Nov. 30, 2015. This award is the result of a sole-source acquisition. Fiscal 2014 operations and maintenance funds in the amount of $8,234,569 are being obligated at time of award. Air Force Nuclear Weapons Center/PZBF, Hill Air Force Base, Utah, is the contracting activity (FA8204-14-C-0002).
ARMY
General Dynamics Land Systems Inc., Sterling Heights, Mich., was awarded a $6,950,520 contract modification (P00025) for contract W56HZV-11-C-C002. Modification is for an equitable adjustment resulting from the impact of a government stop-work order under the Ground Combat Vehicle Technology Development Phase contract. Fiscal 2014 research, development, test and evaluation funds were obligated at the time of the award. Estimated completion date is June 4, 2014. Bids were solicited via the Internet with three received. Work location is Sterling Heights, Mich. Army Contracting Command (Tank and Automotive), Warren, Mich., is the contracting agency.
City of Monterey, Monterey, Calif., was awarded a $7,024,196 cost contract with options for base operations support services. Fiscal 2014 operations and maintenance, Army funds in the amount of $3,780,100 were obligated at the time of the award. Estimated completion date is Nov. 30, 2014. One bid was solicited and one received. Work location is Monterey, Calif. Army Contracting Command, Fort Sam Houston, Texas, is the contracting agency (W9124J-14-D-0001).
TRANSPORTATION COMMAND
American Auto Logistics, Limited Partnership, Park Ridge, N.J., is being awarded a $69,000,000 delivery order modification 04 to previously awarded delivery order DAMT01-03-D-0184-0009 to provide Department of Defense-sponsored shipments of privately owned vehicles belonging to military service members and transportation of DOD-sponsored shipments of POVs for DOD civilian employees. Work will be performed at multiple locations both within and outside of the continental U.S., through March 21, 2014. Fiscal year 2014 Transportation Working Capital Funds of $69,000,000 are being obligated at the time of modification execution. The contracting activity is the U.S. Transportation Command Directorate of Acquisition, Scott Air Force Base, Ill.
AAR Airlift Group, Inc., Palm Bay, Fla., is being awarded an indefinite delivery/indefinite quantity, fixed-price with economic price adjustment contract for dedicated fixed wing services in the Central Africa Region (Uganda, Central Africa Republic, the Democratic Republic of Congo, and South Sudan). Performance is from Dec. 28, 2013 to Oct. 27, 2015. Funds will be obligated on individual task orders and are Army operations & maintenance funds. This contract was a competitive acquisition, and four proposals were received. The contracting activity is the U.S. Transportation Command Directorate of Acquisition, Scott Air Force Base, Ill., (HTC711-14-D-R026).
*Veteran Owned Small Business
**Small Business
***Small InHubZone, Woman Owned Business
****Small Disadvantaged Business
FORMER HONEYWELL EMPLOYEE DEBARRED BY STATE DEPARTMENT FOR DOCUMENT FABRICATION
FROM: U.S. STATE DEPARTMENT
State Department Debars Former Honeywell International Employee for Export Violations
Media Note
Office of the Spokesperson
Washington, DC
November 27, 2013
The State Department issued an order administratively debarring LeAnne Lesmeister, former compliance officer at Honeywell International, Inc. (Honeywell), from participating in any activities that are subject to the International Traffic in Arms Regulations (ITAR)(22 C.F.R. parts 120-130) for violations of the Arms Export Controls Act (AECA)(22 U.S.C. § 2778) and the ITAR.
Honeywell voluntarily disclosed to the Department numerous ITAR violations carried out by Ms. Lesmeister, its senior export compliance officer in Clearwater, Florida, between 2008 and 2012. Ms. Lesmeister, who had worked in export compliance at Honeywell for twenty-seven years, used her position to circumvent Honeywell’s export compliance program in the fabrication of various export control documents that Ms. Lesmeister presented as Department of State authorizations. Relying on these falsified authorizations, Honeywell exported defense articles, including technical data, and provided defense services to various foreign persons without Department approval in violation of the AECA and ITAR.
The State Department’s Office of Defense Trade Controls Compliance in the Bureau of Political-Military Affairs performed an extensive compliance review of the disclosed violations. The results of that review indicated no direct harm to U.S. foreign policy or national security. The nature of the violations, however, prompted the Deputy Assistant Secretary for Defense Trade Controls in the Bureau of Political-Military Affairs to formally charge Ms. Lesmeister with twenty-one violations of the AECA and ITAR in connection with her creation and use of Department authorizations, containing false statements or omitting and misrepresenting material facts for the purpose of exporting, retransferring, or furnishing defense articles, technical data, or defense services, and causing the unauthorized export of technical data and provision of defense services.
This administrative debarment is the result of the Department’s first institution of an administrative proceeding by referral of a charging letter before an Administrative Law Judge for consideration pursuant to ITAR § 128.4. The referral and debarment followed Ms. Lesmeister's failure to answer the formal charges.
Acknowledging the serious nature of the violations, Honeywell cooperated fully with the Department’s review and implemented remedial measures to resolve the conditions that allowed the misconduct of one employee, in a position of authority, to bring about significant export compliance violations.
This administrative proceeding highlights the range of potential penalties that may be imposed by the Department on entities or individuals for ITAR violations. Individuals, if found culpable, may not be shielded by their employers for their independent violations. Those persons tasked with an entity’s export responsibilities, should be vigilant in their compliance with all export control regulations.
Under the terms of the administrative debarment, Ms. Lesmeister will be prevented from participating directly or indirectly in any activities that are subject to ITAR for a period of three years and until an application for reinstatement is submitted and approved by the Department. The Department determined that civil penalties were not appropriate at this time.
State Department Debars Former Honeywell International Employee for Export Violations
Media Note
Office of the Spokesperson
Washington, DC
November 27, 2013
The State Department issued an order administratively debarring LeAnne Lesmeister, former compliance officer at Honeywell International, Inc. (Honeywell), from participating in any activities that are subject to the International Traffic in Arms Regulations (ITAR)(22 C.F.R. parts 120-130) for violations of the Arms Export Controls Act (AECA)(22 U.S.C. § 2778) and the ITAR.
Honeywell voluntarily disclosed to the Department numerous ITAR violations carried out by Ms. Lesmeister, its senior export compliance officer in Clearwater, Florida, between 2008 and 2012. Ms. Lesmeister, who had worked in export compliance at Honeywell for twenty-seven years, used her position to circumvent Honeywell’s export compliance program in the fabrication of various export control documents that Ms. Lesmeister presented as Department of State authorizations. Relying on these falsified authorizations, Honeywell exported defense articles, including technical data, and provided defense services to various foreign persons without Department approval in violation of the AECA and ITAR.
The State Department’s Office of Defense Trade Controls Compliance in the Bureau of Political-Military Affairs performed an extensive compliance review of the disclosed violations. The results of that review indicated no direct harm to U.S. foreign policy or national security. The nature of the violations, however, prompted the Deputy Assistant Secretary for Defense Trade Controls in the Bureau of Political-Military Affairs to formally charge Ms. Lesmeister with twenty-one violations of the AECA and ITAR in connection with her creation and use of Department authorizations, containing false statements or omitting and misrepresenting material facts for the purpose of exporting, retransferring, or furnishing defense articles, technical data, or defense services, and causing the unauthorized export of technical data and provision of defense services.
This administrative debarment is the result of the Department’s first institution of an administrative proceeding by referral of a charging letter before an Administrative Law Judge for consideration pursuant to ITAR § 128.4. The referral and debarment followed Ms. Lesmeister's failure to answer the formal charges.
Acknowledging the serious nature of the violations, Honeywell cooperated fully with the Department’s review and implemented remedial measures to resolve the conditions that allowed the misconduct of one employee, in a position of authority, to bring about significant export compliance violations.
This administrative proceeding highlights the range of potential penalties that may be imposed by the Department on entities or individuals for ITAR violations. Individuals, if found culpable, may not be shielded by their employers for their independent violations. Those persons tasked with an entity’s export responsibilities, should be vigilant in their compliance with all export control regulations.
Under the terms of the administrative debarment, Ms. Lesmeister will be prevented from participating directly or indirectly in any activities that are subject to ITAR for a period of three years and until an application for reinstatement is submitted and approved by the Department. The Department determined that civil penalties were not appropriate at this time.
U.S. MARSHALS RETRIEVE 2003 DOUBLE HOMICIDE SUSPECT FROM ARGENTINA
FROM: U.S. MARSHALS SERVICE
2003 Double Homicide Suspect Who Fled to Argentina
Extradited Back to Miami by U.S. Marshals
Miami, FL – Hugo Ramon Quesada, a man wanted on homicide charges by the Miami Dade Police Department arrived back in the U.S. today after being extradited from Argentina.
Deputy U.S. Marshals flew to Argentina earlier this week and took custody of Quesada and returned him to Miami today at 6:10 a.m. Quesada was turned over to the custody of the Miami Dade Police Department upon arrival at the Miami International Airport. In August 2003, an arrest warrant was issued by the Miami Dade Police Department that charges Quesada with two counts of first degree murder, and one count of attempted murder.
On Sunday, Aug. 10, 2003, Quesada went to the home of his wife, Martiza Quesada in Miami and allegedly murdered her. Quesada is alleged to have also killed his wife’s stepfather Emilio Xiques at the same residence and placed his body in a tool shed in the yard. According to police reports, Quesada then drove to his wife’s mother’s home in the Little Havana neighborhood of Miami and told her he had just killed her daughter and her husband. Quesada is accused of then stabbing his wife’s mother in the back and fleeing the residence, leaving her for dead. Quesada’s mother-in-law was critically wounded but survived the attack and was able to provide police with the identity of her attacker. Quesada fled the crime scene in a white vehicle rented by Maritza Quesada and was never seen again.
Miami Dade Police homicide detectives named Quesada as a suspect, but soon realized that Quesada fled the United States and returned to his home country of Argentina. On Aug. 19, 2003, Miami Dade police detectives requested the assistance of the U.S. Marshals to track down Quesada in Argentina in hopes of returning the suspect back to Miami to face criminal charges. During the next three years, Deputy U.S. Marshals and ICE/HSI agents assigned to the U.S. Marshals Fugitive Task Force began interviewing numerous family members and associates of Quesada in Miami to determine where the fugitive was hiding in Argentina.
Hard work and determination finally paid off when Deputy Marshals and ICE/HSI agents in Miami developed information in July 2006 on a location where Quesada was hiding out in Argentina. Deputy Marshals and HSI agents forwarded this information to Interpol Inspectors in Argentina. Deputy Marshals also requested the State Attorney’s Office in Miami to pursue a Provisional Arrest Warrant through the Department of Justice/Office of International Affairs in Washington, D.C.
On Nov. 2, 2006, Quesada was arrested by the Federal Police of Argentina (Interpol) in Buenos Aires, Argentina on the outstanding Provisional Arrest Warrant from the United States. At the time of his arrest, Quesada was utilizing the identity of his brother-in-law in an attempt to avoid capture. Quesada began fighting the extradition process to avoid being returned to the South Florida to face homicide charges.
On Aug. 21, the Supreme Court of Buenos Aires in Argentina approved the extradition of Quesada to be returned back to the United States. On Oct. 24, the Government of Argentina formally approved the extradition. Quesada arrived this morning escorted by U.S. Marshals and was turned over to Miami Dade Police homicide detectives.
This arrest and successful extradition has been the result of the combined efforts of: the Miami Dade Police Department, the Miami Dade State Attorney’s Office, agents with the U.S. Department of Homeland Security/ ICE Homeland Security Investigations, the Federal Police of Argentina assigned to Interpol, Department of Justice Office of International Affairs and the U.S. Marshals Service.
2003 Double Homicide Suspect Who Fled to Argentina
Extradited Back to Miami by U.S. Marshals
Miami, FL – Hugo Ramon Quesada, a man wanted on homicide charges by the Miami Dade Police Department arrived back in the U.S. today after being extradited from Argentina.
Deputy U.S. Marshals flew to Argentina earlier this week and took custody of Quesada and returned him to Miami today at 6:10 a.m. Quesada was turned over to the custody of the Miami Dade Police Department upon arrival at the Miami International Airport. In August 2003, an arrest warrant was issued by the Miami Dade Police Department that charges Quesada with two counts of first degree murder, and one count of attempted murder.
On Sunday, Aug. 10, 2003, Quesada went to the home of his wife, Martiza Quesada in Miami and allegedly murdered her. Quesada is alleged to have also killed his wife’s stepfather Emilio Xiques at the same residence and placed his body in a tool shed in the yard. According to police reports, Quesada then drove to his wife’s mother’s home in the Little Havana neighborhood of Miami and told her he had just killed her daughter and her husband. Quesada is accused of then stabbing his wife’s mother in the back and fleeing the residence, leaving her for dead. Quesada’s mother-in-law was critically wounded but survived the attack and was able to provide police with the identity of her attacker. Quesada fled the crime scene in a white vehicle rented by Maritza Quesada and was never seen again.
Miami Dade Police homicide detectives named Quesada as a suspect, but soon realized that Quesada fled the United States and returned to his home country of Argentina. On Aug. 19, 2003, Miami Dade police detectives requested the assistance of the U.S. Marshals to track down Quesada in Argentina in hopes of returning the suspect back to Miami to face criminal charges. During the next three years, Deputy U.S. Marshals and ICE/HSI agents assigned to the U.S. Marshals Fugitive Task Force began interviewing numerous family members and associates of Quesada in Miami to determine where the fugitive was hiding in Argentina.
Hard work and determination finally paid off when Deputy Marshals and ICE/HSI agents in Miami developed information in July 2006 on a location where Quesada was hiding out in Argentina. Deputy Marshals and HSI agents forwarded this information to Interpol Inspectors in Argentina. Deputy Marshals also requested the State Attorney’s Office in Miami to pursue a Provisional Arrest Warrant through the Department of Justice/Office of International Affairs in Washington, D.C.
On Nov. 2, 2006, Quesada was arrested by the Federal Police of Argentina (Interpol) in Buenos Aires, Argentina on the outstanding Provisional Arrest Warrant from the United States. At the time of his arrest, Quesada was utilizing the identity of his brother-in-law in an attempt to avoid capture. Quesada began fighting the extradition process to avoid being returned to the South Florida to face homicide charges.
On Aug. 21, the Supreme Court of Buenos Aires in Argentina approved the extradition of Quesada to be returned back to the United States. On Oct. 24, the Government of Argentina formally approved the extradition. Quesada arrived this morning escorted by U.S. Marshals and was turned over to Miami Dade Police homicide detectives.
This arrest and successful extradition has been the result of the combined efforts of: the Miami Dade Police Department, the Miami Dade State Attorney’s Office, agents with the U.S. Department of Homeland Security/ ICE Homeland Security Investigations, the Federal Police of Argentina assigned to Interpol, Department of Justice Office of International Affairs and the U.S. Marshals Service.
DOD ARTICLE ON RESPONSE TO CLIMATE CHANGE
Right: Flooded areas of Boulder County, Colo. are seen from a U.S. Army UH-60 Black Hawk helicopter Sept. 18, 2013. U.S. Army National Guard photo by Staff Sgt. Jecca Geffre.
FROM: U.S. DEFENSE DEPARTMENT
DOD Wraps Climate Change Response into Master Plans
By Cheryl Pellerin
American Forces Press Service
WASHINGTON, Nov. 26, 2013 – The effects of climate change are already evident at Defense Department installations in the United States and overseas, and DOD expects climate change to challenge its ability to fulfill its mission in the future, according to the first DOD Climate Change Adaptation Roadmap.
John Conger, the acting deputy undersecretary of defense for installations and environment told American Forces Press Service the roadmap was completed in 2012 and published early this year.
The document “had us do a variety of things,” Conger said. “But the piece that I think is the crux of the report is, rather than creating a stovepipe within the DOD organizational structure to deal with climate change, [the document says] we are going to integrate climate change considerations into the normal processes, the day-to-day jobs of everybody.”
Such language is going to be integrated into various guidance documents, he added, “and we’ve already started doing that.”
The department’s action is part of a federal government effort to address the global challenge. In June, President Barack Obama launched a Climate Action Plan to cut carbon pollution, prepare communities for climate change impacts and lead similar international efforts.
Across the United States, local communities and cities are updating building codes, adjusting the way they manage natural resources, investing in more resilient infrastructure and planning for rapid recovery from damage that could occur due to climate change.
And on Nov. 1, the president issued an executive order on climate preparedness directing federal agencies to modernize programs to support climate-resilient investments, manage lands and waters for climate change preparedness and resilience, and plan for climate-change-related risk, among other things.
The order also forms an interagency council on climate preparedness and resilience, chaired by the White House and composed of more than 25 agencies, including the Defense Department.
The foundation for DOD’s strategic policy on climate change began with the defense secretary’s publication in 2010 of the Quadrennial Defense Review. The QDR, produced every four years, translates the National Defense Strategy into policies and initiatives.
In 2010, the QDR for the first time linked climate change and national security. It said climate change may affect DOD by shaping the department’s operating environments, roles and missions, have significant geopolitical impacts worldwide, and accelerate instability or conflict.
The QDR said DOD also would have to adjust to climate change impacts on its facilities, infrastructure, training and testing activities and military capabilities.
As the acting deputy undersecretary of defense for installations and environment, Conger also is the department’s senior climate official, and his first job is to manage the installations and environment portfolio.
“That includes over 500 bases and 300,000 buildings and 2.2 billion square feet of space,” he said. “The infrastructure has a plant replacement value on the order of $850 billion. There’s a lot of stuff out there that is all going to be impacted by changes in the climate.”
Conger said the department has to plan for the contingencies that climate change poses just as it would plan for any other contingency, driven by any other force in the world.
“As I look at managing the infrastructure, I have to think about risk as well in that context,” he said. “What is climate change likely to do? What are the major changes that will occur that will affect that $850 billion real property portfolio?”
The obvious threats are things like a rise in sea-levels, storm surges and storm intensity, but there’s also drought and thawing permafrost that affects bases in Alaska, the deputy undersecretary added.
“Similarly, on our installations we have over 400 endangered species,” he said. “We manage those species through documents called integrated natural resources management plans and we manage [them] not through some degree of altruism … but the fact is that if we don’t manage those species effectively and they do appear more threatened, then other regulatory agencies will put limits on what we can do on our property and that will impact training.”
Conger added, “We said, ‘Take climate into account. Make sure you have planned for this. Make sure you have thought about it and addressed it in your [installation management] plans.’”
“These are all, in my mind, sensible, reasonable steps that don’t cost very much money today and just require a little bit of forethought in order to reduce our exposure to risk tomorrow.”
The president’s June Climate Action Plan categorized recommendations for action in terms of mitigating or eliminating emissions that cause climate change, adapting to climate change, and working internationally on climate change, Conger said.
DOD has been looking at mitigation, or the energy problem, for a long time, the deputy undersecretary added.
Energy and climate are tied together, Conger said, because energy and emissions are tied together.
“We are working very hard and diligently to reduce our energy usage, to reduce our energy intensity and to increase the use of renewable energy, which doesn’t have emissions,” he said. “And we have done each of these things not because it is good for the climate or because it reduces emissions but because they provide mission and monetary benefits.”
Conger says the department’s $4 billion annual utility bill drives the search for energy-efficiency, renewable-energy development projects and more. All have benefits from a mission perspective first, he said, and also turn out to be good for the environment.
FROM: U.S. DEFENSE DEPARTMENT
DOD Wraps Climate Change Response into Master Plans
By Cheryl Pellerin
American Forces Press Service
WASHINGTON, Nov. 26, 2013 – The effects of climate change are already evident at Defense Department installations in the United States and overseas, and DOD expects climate change to challenge its ability to fulfill its mission in the future, according to the first DOD Climate Change Adaptation Roadmap.
John Conger, the acting deputy undersecretary of defense for installations and environment told American Forces Press Service the roadmap was completed in 2012 and published early this year.
The document “had us do a variety of things,” Conger said. “But the piece that I think is the crux of the report is, rather than creating a stovepipe within the DOD organizational structure to deal with climate change, [the document says] we are going to integrate climate change considerations into the normal processes, the day-to-day jobs of everybody.”
Such language is going to be integrated into various guidance documents, he added, “and we’ve already started doing that.”
The department’s action is part of a federal government effort to address the global challenge. In June, President Barack Obama launched a Climate Action Plan to cut carbon pollution, prepare communities for climate change impacts and lead similar international efforts.
Across the United States, local communities and cities are updating building codes, adjusting the way they manage natural resources, investing in more resilient infrastructure and planning for rapid recovery from damage that could occur due to climate change.
And on Nov. 1, the president issued an executive order on climate preparedness directing federal agencies to modernize programs to support climate-resilient investments, manage lands and waters for climate change preparedness and resilience, and plan for climate-change-related risk, among other things.
The order also forms an interagency council on climate preparedness and resilience, chaired by the White House and composed of more than 25 agencies, including the Defense Department.
The foundation for DOD’s strategic policy on climate change began with the defense secretary’s publication in 2010 of the Quadrennial Defense Review. The QDR, produced every four years, translates the National Defense Strategy into policies and initiatives.
In 2010, the QDR for the first time linked climate change and national security. It said climate change may affect DOD by shaping the department’s operating environments, roles and missions, have significant geopolitical impacts worldwide, and accelerate instability or conflict.
The QDR said DOD also would have to adjust to climate change impacts on its facilities, infrastructure, training and testing activities and military capabilities.
As the acting deputy undersecretary of defense for installations and environment, Conger also is the department’s senior climate official, and his first job is to manage the installations and environment portfolio.
“That includes over 500 bases and 300,000 buildings and 2.2 billion square feet of space,” he said. “The infrastructure has a plant replacement value on the order of $850 billion. There’s a lot of stuff out there that is all going to be impacted by changes in the climate.”
Conger said the department has to plan for the contingencies that climate change poses just as it would plan for any other contingency, driven by any other force in the world.
“As I look at managing the infrastructure, I have to think about risk as well in that context,” he said. “What is climate change likely to do? What are the major changes that will occur that will affect that $850 billion real property portfolio?”
The obvious threats are things like a rise in sea-levels, storm surges and storm intensity, but there’s also drought and thawing permafrost that affects bases in Alaska, the deputy undersecretary added.
“Similarly, on our installations we have over 400 endangered species,” he said. “We manage those species through documents called integrated natural resources management plans and we manage [them] not through some degree of altruism … but the fact is that if we don’t manage those species effectively and they do appear more threatened, then other regulatory agencies will put limits on what we can do on our property and that will impact training.”
Conger added, “We said, ‘Take climate into account. Make sure you have planned for this. Make sure you have thought about it and addressed it in your [installation management] plans.’”
“These are all, in my mind, sensible, reasonable steps that don’t cost very much money today and just require a little bit of forethought in order to reduce our exposure to risk tomorrow.”
The president’s June Climate Action Plan categorized recommendations for action in terms of mitigating or eliminating emissions that cause climate change, adapting to climate change, and working internationally on climate change, Conger said.
DOD has been looking at mitigation, or the energy problem, for a long time, the deputy undersecretary added.
Energy and climate are tied together, Conger said, because energy and emissions are tied together.
“We are working very hard and diligently to reduce our energy usage, to reduce our energy intensity and to increase the use of renewable energy, which doesn’t have emissions,” he said. “And we have done each of these things not because it is good for the climate or because it reduces emissions but because they provide mission and monetary benefits.”
Conger says the department’s $4 billion annual utility bill drives the search for energy-efficiency, renewable-energy development projects and more. All have benefits from a mission perspective first, he said, and also turn out to be good for the environment.
SECRETARY OF STATE KERRY'S REMARKS ON GENEVA TALKS WITH IRAN
FROM: U.S. STATE DEPARTMENT
Remarks
John Kerry
Secretary of State
Washington, DC
November 26, 2013
SECRETARY KERRY: You'll be hearing a lot about what the United States and our partners just achieved in Geneva so I wanted to take a minute to share with you an inside view of what we really accomplished here and to explain very clearly what it is and what it isn't. First of all, this is a beginning. It's a first step. Over the coming months, we're going to roll up our sleeves and keep working with the parties at the table in order to reach a final, comprehensive agreement that ensures Iran will not acquire a nuclear weapon and that the nuclear program that they do have will be entirely peaceful. And that has to be absolutely verifiable.
So let me lay out the main points of what we've already achieved here in this first step agreement. And the reason I want to do that is, it's significant. This agreement that we've just signed is the first in almost a decade to put any kind of meaningful limits on Iran's nuclear program. And we're not just slowing down its progress; we're actually halting it and even rolling it back in some key areas. That's very important. It means that even as we continue to move forward with negotiations, Iran's nuclear program will not move forward, and in some respects it's going to be moving backwards.
So here's exactly what this agreement does. In order to work, nuclear weapons require either highly enriched uranium or plutonium. Uranium, as I'm sure you know, is found in nature, but it's found in a form, a raw form, that can't be used for a bomb. So to make it useful for nuclear weapons, you need to separate the majority of the uranium that is not useful for nuclear weapons from the small amount that is, and this is a process called enrichment.
Highly enriched uranium, or HEU, can be produced in a number of ways, but an increasingly common way is through the use of centrifuges because they are low power, very cheap to operate, and easy to hide. Uranium for weapons is about 90% enriched. And uranium for reactors, for instance to give you nuclear power for your electricity in your home, is usually at about 5%. So you see the difference here. Plutonium, on the other hand, is not found in nature. It requires putting uranium into a reactor and then you separate out the plutonium from the uranium. Our proposal addresses both of these paths to nuclear weapons.
On enrichment, we are eliminating Iran's stockpile of already enriched - 20% enriched - uranium. We are holding their centrifuge program where it is today, and we are stopping them from using their most advanced centrifuges. These are centrifuges that can separate uranium very quickly and do the enrichment very fast so they are very risky and that's why we keep them away from that process for now.
On plutonium, we're putting on hold the most meaningful parts of their reactor that's currently under construction in a place called Arak, Iran. Now this is their most likely source of plutonium, and that's why it's something we are absolutely determined to stop. On top of this, we're also adding more international inspections so that we know exactly what Iran is doing at these risky places and that is very consistent with our deal and, most importantly, it's so that we can make absolutely certain that they are not using these facilities during the time that we're negotiating the comprehensive deal in order to move towards nuclear weapons. In other words, we're verifying, and for the first time, we will get inspectors into their critical facilities every single day.
Now let me tell you what this first step does not do, because some people are putting out some misinformation on it and I want it to be clear. It does not lift the current architecture of our sanctions. Our sanctions are basically banking and oil sanctions, and those sanctions will stay in place. All the core sanctions on financial services remain firmly in place, and we do this in exchange for Iran keeping its end of the agreement -- that they will get a small amount of additional money which is totally reversible if we need to, if they don't keep their word, but we give them a small amount of relief. Iran will be allowed to repatriate about $4.2 billion or so in oil revenues and will be allowed to export about $2.5 billion in petrochemicals and vehicles. So believe me, when I say this relief is limited and reversible, I mean it.
We all know that if the agreement falls apart, Iran is going to quickly face even tougher sanctions. I want you to know these were not easy negotiations. We drove a very hard bargain to achieve what we needed to in terms of our verification and certainty about where they're going. And we drove a hard bargain because we have one unwavering purpose in our goal. President Obama has been absolutely clear that Iran cannot and will not acquire a nuclear weapon. And today, thanks to this effort, we took an important first step towards guaranteeing that that never happens, and I think we did it in the most effective way. We did it through diplomacy.
So now it's time to get back to work. We are immediately going to work on the final agreement, the comprehensive agreement, and our diplomats and our experts will be at the negotiating table very soon again working to achieve this final comprehensive agreement that addresses all of our concerns and our friends: Israel, Saudi Arabia, the Arab Emirates, others. The whole world has an interest in making sure that this is a peaceful program. We absolutely also have an interest in trying to achieve that through a peaceful, diplomatic means and also to have a total answer to the question that challenges the security of the United States, the Middle East, and the world.
So we're going to get this done, I hope, but we're not cocky about it. We're not overconfident. It's going to take a lot of work, and in the end, it's really up to Iran to make the choice, to prove that its program is indeed peaceful. They can say it, but saying it doesn't make it happen. It has to be proven. And in the end, they have to be the ones to make the choice to do that. So let's work together, all of us, to try and forge a different future that benefits all of us. Thank you.
Remarks
John Kerry
Secretary of State
Washington, DC
November 26, 2013
SECRETARY KERRY: You'll be hearing a lot about what the United States and our partners just achieved in Geneva so I wanted to take a minute to share with you an inside view of what we really accomplished here and to explain very clearly what it is and what it isn't. First of all, this is a beginning. It's a first step. Over the coming months, we're going to roll up our sleeves and keep working with the parties at the table in order to reach a final, comprehensive agreement that ensures Iran will not acquire a nuclear weapon and that the nuclear program that they do have will be entirely peaceful. And that has to be absolutely verifiable.
So let me lay out the main points of what we've already achieved here in this first step agreement. And the reason I want to do that is, it's significant. This agreement that we've just signed is the first in almost a decade to put any kind of meaningful limits on Iran's nuclear program. And we're not just slowing down its progress; we're actually halting it and even rolling it back in some key areas. That's very important. It means that even as we continue to move forward with negotiations, Iran's nuclear program will not move forward, and in some respects it's going to be moving backwards.
So here's exactly what this agreement does. In order to work, nuclear weapons require either highly enriched uranium or plutonium. Uranium, as I'm sure you know, is found in nature, but it's found in a form, a raw form, that can't be used for a bomb. So to make it useful for nuclear weapons, you need to separate the majority of the uranium that is not useful for nuclear weapons from the small amount that is, and this is a process called enrichment.
Highly enriched uranium, or HEU, can be produced in a number of ways, but an increasingly common way is through the use of centrifuges because they are low power, very cheap to operate, and easy to hide. Uranium for weapons is about 90% enriched. And uranium for reactors, for instance to give you nuclear power for your electricity in your home, is usually at about 5%. So you see the difference here. Plutonium, on the other hand, is not found in nature. It requires putting uranium into a reactor and then you separate out the plutonium from the uranium. Our proposal addresses both of these paths to nuclear weapons.
On enrichment, we are eliminating Iran's stockpile of already enriched - 20% enriched - uranium. We are holding their centrifuge program where it is today, and we are stopping them from using their most advanced centrifuges. These are centrifuges that can separate uranium very quickly and do the enrichment very fast so they are very risky and that's why we keep them away from that process for now.
On plutonium, we're putting on hold the most meaningful parts of their reactor that's currently under construction in a place called Arak, Iran. Now this is their most likely source of plutonium, and that's why it's something we are absolutely determined to stop. On top of this, we're also adding more international inspections so that we know exactly what Iran is doing at these risky places and that is very consistent with our deal and, most importantly, it's so that we can make absolutely certain that they are not using these facilities during the time that we're negotiating the comprehensive deal in order to move towards nuclear weapons. In other words, we're verifying, and for the first time, we will get inspectors into their critical facilities every single day.
Now let me tell you what this first step does not do, because some people are putting out some misinformation on it and I want it to be clear. It does not lift the current architecture of our sanctions. Our sanctions are basically banking and oil sanctions, and those sanctions will stay in place. All the core sanctions on financial services remain firmly in place, and we do this in exchange for Iran keeping its end of the agreement -- that they will get a small amount of additional money which is totally reversible if we need to, if they don't keep their word, but we give them a small amount of relief. Iran will be allowed to repatriate about $4.2 billion or so in oil revenues and will be allowed to export about $2.5 billion in petrochemicals and vehicles. So believe me, when I say this relief is limited and reversible, I mean it.
We all know that if the agreement falls apart, Iran is going to quickly face even tougher sanctions. I want you to know these were not easy negotiations. We drove a very hard bargain to achieve what we needed to in terms of our verification and certainty about where they're going. And we drove a hard bargain because we have one unwavering purpose in our goal. President Obama has been absolutely clear that Iran cannot and will not acquire a nuclear weapon. And today, thanks to this effort, we took an important first step towards guaranteeing that that never happens, and I think we did it in the most effective way. We did it through diplomacy.
So now it's time to get back to work. We are immediately going to work on the final agreement, the comprehensive agreement, and our diplomats and our experts will be at the negotiating table very soon again working to achieve this final comprehensive agreement that addresses all of our concerns and our friends: Israel, Saudi Arabia, the Arab Emirates, others. The whole world has an interest in making sure that this is a peaceful program. We absolutely also have an interest in trying to achieve that through a peaceful, diplomatic means and also to have a total answer to the question that challenges the security of the United States, the Middle East, and the world.
So we're going to get this done, I hope, but we're not cocky about it. We're not overconfident. It's going to take a lot of work, and in the end, it's really up to Iran to make the choice, to prove that its program is indeed peaceful. They can say it, but saying it doesn't make it happen. It has to be proven. And in the end, they have to be the ones to make the choice to do that. So let's work together, all of us, to try and forge a different future that benefits all of us. Thank you.
WEATHERFORD INTERNATIONAL SUBSIDIARIES PLEAD GUILTY TO FCPA AND TRADING WITH THE ENEMY ACT VIOLATIONS
FROM: U.S. JUSTICE DEPARTMENT
Tuesday, November 26, 2013
Three Subsidiaries of Weatherford International Limited Agree to Plead Guilty to FCPA and Export Control Violations
Weatherford International and Subsidiaries Agree to Pay $252 Million in Penalties and Fines
Three subsidiaries of Weatherford International Limited (Weatherford International), a Swiss oil services company that trades on the New York Stock Exchange, have agreed to plead guilty to anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) and export controls violations under the International Emergency Economic Powers Act (IEEPA) and the Trading With the Enemy Act (TWEA). Weatherford International and its subsidiaries have also agreed to pay more than $252 million in penalties and fines.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Kenneth Magidson of the Southern District of Texas, and Assistant Director in Charge Valerie Parlave of the FBI’s Washington Field Office made the announcement.
Weatherford Services Limited (Weatherford Services), a subsidiary of Weatherford International, today agreed to plead guilty to violating the anti-bribery provisions of the FCPA. As part of a coordinated FCPA resolution, the department today also filed a criminal information in U.S. District Court for the Southern District of Texas charging Weatherford International with one count of violating the internal controls provisions of the FCPA. To resolve the charge, Weatherford International has agreed to pay an $87.2 million criminal penalty as part of a deferred prosecution agreement with the department.
“Effective internal accounting controls are not only good policy, they are required by law for publicly traded companies – and for good reason,” said Acting Assistant Attorney General Raman. “This case demonstrates how loose controls and an anemic compliance environment can foster foreign bribery and fraud by a company’s subsidiaries around the globe. Although Weatherford’s extensive remediation and its efforts to improve its compliance functions are positive signs, the corrupt conduct of Weatherford International’s subsidiaries allowed it to earn millions of dollars in illicit profits, for which it is now paying a significant price.”
“When business executives engage in bribery and pay-offs in order to obtain contracts, an uneven marketplace is created and honest competitor companies are put at a disadvantage,” said Assistant Director in Charge Parlave. “The FBI is committed to investigating corrupt backroom deals that influence contract procurement and threaten our global commerce.”
In a separate matter, Weatherford International and four of its subsidiaries today agreed to pay a combined $100 million to resolve a criminal and administrative export controls investigation conducted by the U.S. Attorney’s Office for the Southern District of Texas, the Department of Commerce’s Bureau of Industry and Security, and the Department of the Treasury’s Office of Foreign Assets Control. As part of the resolution of that investigation, Weatherford International has agreed to enter into a deferred prosecution agreement for a term of two years and two of its subsidiaries have agreed to plead guilty to export controls charges.
“The resolution today of these criminal charges represents the seriousness that our office and the Department of Justice puts on enforcing the export control and sanctions laws,” said U.S. Attorney Magidson.
In a related FCPA matter, the U.S. Securities and Exchange Commission ( SEC) filed a settlement today in which Weatherford International consented to the entry of a permanent injunction against FCPA violations and agreed to pay $65,612,360 in disgorgement, prejudgment interest, and civil penalties. Weatherford International also agreed with the SEC to comply with certain undertakings regarding its FCPA compliance program, including the retention of an independent corporate compliance monitor.
The combined investigations resulted in the conviction of three Weatherford subsidiaries, the entry by Weatherford International into two deferred prosecution agreements and a civil settlement, and the payment of a total of $252,690,606 in penalties and fines.
FCPA Violations
According to court documents filed by the department, prior to 2008, Weatherford International knowingly failed to establish an effective system of internal accounting controls designed to detect and prevent corruption, including FCPA violations. The company failed to implement these internal controls despite operating in an industry with a substantial corruption risk profile and despite growing its global footprint in large part by purchasing existing companies, often themselves in countries with high corruption risks. As a result, a permissive and uncontrolled environment existed within which employees of certain of Weatherford International’s wholly owned subsidiaries in Africa and the Middle East were able to engage in corrupt conduct over the course of many years, including both bribery of foreign officials and fraudulent misuse of the United Nations’ Oil for Food Program.
Court documents state that Weatherford Services employees established and operated a joint venture in Africa with two local entities controlled by foreign officials and their relatives from 2004 through at least 2008. The foreign officials selected the entities with which Weatherford Services would partner, and Weatherford Services and Weatherford International employees knew that the members of the local entities included foreign officials’ relatives and associates. Notwithstanding the fact that the local entities did not contribute capital, expertise or labor to the joint venture, neither Weatherford Services nor Weatherford International investigated why the local entities were involved in the joint venture. The sole purpose of those local entities, in fact, was to serve as conduits through which Weatherford Services funneled hundreds of thousands of dollars in payments to the foreign officials controlling them. In exchange for the payments they received from Weatherford Services through the joint venture, the foreign officials awarded the joint venture lucrative contracts, gave Weatherford Services inside information about competitors’ pricing, and took contracts away from Weatherford Services’ competitors and awarded them to the joint venture.
Additionally, Weatherford Services employees in Africa bribed a foreign official so that he would approve the renewal of an oil services contract, according to court documents. Weatherford Services funneled bribery payments to the foreign official through a freight forwarding agent it retained via a consultancy agreement in July 2006. Weatherford Services generated sham purchase orders for consulting services the freight forwarding agent never performed, and the freight forwarding agent, in turn, generated sham invoices for those same nonexistent services. When paid for those invoices, the freight forwarding agent passed at least some of those monies on to the foreign official with the authority to approve Weatherford Services’ contract renewal. In exchange for these payments, the foreign official awarded the renewal contract to Weatherford Services in 2006.
Further, according to court documents, in a third scheme in the Middle East, from 2005 through 2011, employees of Weatherford Oil Tools Middle East Limited (WOTME), another Weatherford International subsidiary, awarded improper “volume discounts” to a distributor who supplied Weatherford International products to a government-owned national oil company, believing that those discounts were being used to create a slush fund with which to make bribe payments to decision-makers at the national oil company. Between 2005 and 2011, WOTME paid approximately $15 million in volume discounts to the distributor.
Weatherford International’s failure to implement effective internal accounting controls also permitted corrupt conduct relating to the United Nations’ Oil for Food Program to occur, according to court documents. Between in or about February 2002 and in or about July 2002, WOTME paid approximately $1,470,128 in kickbacks to the government of Iraq on nine contracts with Iraq’s Ministry of Oil, as well as other ministries, to provide oil drilling and refining equipment. WOTME falsely recorded these kickbacks as other, seemingly legitimate, types of costs and fees. Further, WOTME concealed the kickbacks from the U.N. by inflating contract prices by 10 percent.
According to court documents, these corrupt transactions in Africa and the Middle East earned Weatherford International profits of $54,486,410, which were included in the consolidated financial statements that Weatherford International filed with the SEC .
In addition to the guilty plea by Weatherford Services, the deferred prosecution agreement entered into by Weatherford International and the Department requires the company to cooperate with law enforcement, retain an independent corporate compliance monitor for at least 18 months, and continue to implement an enhanced compliance program and internal controls designed to prevent and detect future FCPA violations. The agreement acknowledges Weatherford International’s cooperation in this matter, including conducting a thorough internal investigation into bribery and related misconduct, and its extensive remediation and compliance improvement efforts.
Export Control Violations
According to court documents filed today in a separate matter, between 1998 and 2007, Weatherford International and some its subsidiaries engaged in conduct that violated various U.S. export control and sanctions laws by exporting or re-exporting oil and gas drilling equipment to, and conducting Weatherford business operations in, sanctioned countries without the required U.S. Government authorization. In addition to the involvement of employees of several Weatherford International subsidiaries, some Weatherford International executives, managers, or employees on multiple occasions participated in, directed, approved, and facilitated the transactions and the conduct of its various subsidiaries.
This conduct involved persons within the U.S.-based management structure of Weatherford International participating in conduct by Weatherford International foreign subsidiaries, and the unlicensed export or re-export of U.S.-origin goods to Cuba, Iran, Sudan, and Syria. Weatherford subsidiaries Precision Energy Services Colombia Ltd. (PESC) and Precision Energy Services Ltd. (PESL), both headquartered in Canada, conducted business in the country of Cuba. Weatherford’s subsidiary Weatherford Oil Tools Middle East (WOTME), headquartered in the United Arab Emirates (UAE), conducted business in the countries of Iran, Sudan, and Syria. Weatherford’s subsidiary Weatherford Production Optimisation f/k/a eProduction Solutions U.K. Ltd. (eProd-U.K.), headquartered in the United Kingdom, conducted business in the country of Iran. Weatherford generated approximately $110 million in revenue from its illegal transactions in Cuba, Iran, Syria and Sudan.
To resolve these charges, Weatherford and its subsidiaries will pay a total penalty of $100 million, with a $48 million monetary penalty paid pursuant to a deferred prosecution agreement, $2 million paid in criminal fines pursuant to the two guilty pleas, and a $50 million civil penalty paid pursuant to a Department of Commerce settlement agreement to resolve 174 violations charged by Commerce’s Bureau of Industry and Security. Weatherford International and certain of its affiliates are also signing a $91 million settlement agreement with the Department of the Treasury to resolve their civil liability arising out of the same underlying course of conduct, which will be deemed satisfied by the payments above.
The FCPA case was investigated by the FBI’s Washington Field Office and its team of special agents dedicated to the investigation of foreign bribery cases. The case is being prosecuted by Trial Attorney Jason Linder of the Criminal Division’s Fraud Section, with the assistance of Assistant U.S. Attorney Mark McIntyre of the Southern District of Texas. The case was previously investigated by Fraud Section Trial Attorneys Kathleen Hamann and Allan Medina, with assistance from the Criminal Division’s Asset Forfeiture and Money Laundering Section. The Justice Department also acknowledges and expresses its appreciation for the significant assistance provided by the SEC’s FCPA Unit.
The export case was investigated by the Department of Commerce’s Bureau of Industry and Security, Office of Export Enforcement, and the Department of the Treasury’s Office of Foreign Assets Control. The case is being prosecuted by Assistant U.S. Attorney S. Mark McIntyre and was previously investigated by Assistant U.S. Attorney Jeff Vaden.
Tuesday, November 26, 2013
Three Subsidiaries of Weatherford International Limited Agree to Plead Guilty to FCPA and Export Control Violations
Weatherford International and Subsidiaries Agree to Pay $252 Million in Penalties and Fines
Three subsidiaries of Weatherford International Limited (Weatherford International), a Swiss oil services company that trades on the New York Stock Exchange, have agreed to plead guilty to anti-bribery provisions of the Foreign Corrupt Practices Act (FCPA) and export controls violations under the International Emergency Economic Powers Act (IEEPA) and the Trading With the Enemy Act (TWEA). Weatherford International and its subsidiaries have also agreed to pay more than $252 million in penalties and fines.
Acting Assistant Attorney General Mythili Raman of the Justice Department’s Criminal Division, U.S. Attorney Kenneth Magidson of the Southern District of Texas, and Assistant Director in Charge Valerie Parlave of the FBI’s Washington Field Office made the announcement.
Weatherford Services Limited (Weatherford Services), a subsidiary of Weatherford International, today agreed to plead guilty to violating the anti-bribery provisions of the FCPA. As part of a coordinated FCPA resolution, the department today also filed a criminal information in U.S. District Court for the Southern District of Texas charging Weatherford International with one count of violating the internal controls provisions of the FCPA. To resolve the charge, Weatherford International has agreed to pay an $87.2 million criminal penalty as part of a deferred prosecution agreement with the department.
“Effective internal accounting controls are not only good policy, they are required by law for publicly traded companies – and for good reason,” said Acting Assistant Attorney General Raman. “This case demonstrates how loose controls and an anemic compliance environment can foster foreign bribery and fraud by a company’s subsidiaries around the globe. Although Weatherford’s extensive remediation and its efforts to improve its compliance functions are positive signs, the corrupt conduct of Weatherford International’s subsidiaries allowed it to earn millions of dollars in illicit profits, for which it is now paying a significant price.”
“When business executives engage in bribery and pay-offs in order to obtain contracts, an uneven marketplace is created and honest competitor companies are put at a disadvantage,” said Assistant Director in Charge Parlave. “The FBI is committed to investigating corrupt backroom deals that influence contract procurement and threaten our global commerce.”
In a separate matter, Weatherford International and four of its subsidiaries today agreed to pay a combined $100 million to resolve a criminal and administrative export controls investigation conducted by the U.S. Attorney’s Office for the Southern District of Texas, the Department of Commerce’s Bureau of Industry and Security, and the Department of the Treasury’s Office of Foreign Assets Control. As part of the resolution of that investigation, Weatherford International has agreed to enter into a deferred prosecution agreement for a term of two years and two of its subsidiaries have agreed to plead guilty to export controls charges.
“The resolution today of these criminal charges represents the seriousness that our office and the Department of Justice puts on enforcing the export control and sanctions laws,” said U.S. Attorney Magidson.
In a related FCPA matter, the U.S. Securities and Exchange Commission ( SEC) filed a settlement today in which Weatherford International consented to the entry of a permanent injunction against FCPA violations and agreed to pay $65,612,360 in disgorgement, prejudgment interest, and civil penalties. Weatherford International also agreed with the SEC to comply with certain undertakings regarding its FCPA compliance program, including the retention of an independent corporate compliance monitor.
The combined investigations resulted in the conviction of three Weatherford subsidiaries, the entry by Weatherford International into two deferred prosecution agreements and a civil settlement, and the payment of a total of $252,690,606 in penalties and fines.
FCPA Violations
According to court documents filed by the department, prior to 2008, Weatherford International knowingly failed to establish an effective system of internal accounting controls designed to detect and prevent corruption, including FCPA violations. The company failed to implement these internal controls despite operating in an industry with a substantial corruption risk profile and despite growing its global footprint in large part by purchasing existing companies, often themselves in countries with high corruption risks. As a result, a permissive and uncontrolled environment existed within which employees of certain of Weatherford International’s wholly owned subsidiaries in Africa and the Middle East were able to engage in corrupt conduct over the course of many years, including both bribery of foreign officials and fraudulent misuse of the United Nations’ Oil for Food Program.
Court documents state that Weatherford Services employees established and operated a joint venture in Africa with two local entities controlled by foreign officials and their relatives from 2004 through at least 2008. The foreign officials selected the entities with which Weatherford Services would partner, and Weatherford Services and Weatherford International employees knew that the members of the local entities included foreign officials’ relatives and associates. Notwithstanding the fact that the local entities did not contribute capital, expertise or labor to the joint venture, neither Weatherford Services nor Weatherford International investigated why the local entities were involved in the joint venture. The sole purpose of those local entities, in fact, was to serve as conduits through which Weatherford Services funneled hundreds of thousands of dollars in payments to the foreign officials controlling them. In exchange for the payments they received from Weatherford Services through the joint venture, the foreign officials awarded the joint venture lucrative contracts, gave Weatherford Services inside information about competitors’ pricing, and took contracts away from Weatherford Services’ competitors and awarded them to the joint venture.
Additionally, Weatherford Services employees in Africa bribed a foreign official so that he would approve the renewal of an oil services contract, according to court documents. Weatherford Services funneled bribery payments to the foreign official through a freight forwarding agent it retained via a consultancy agreement in July 2006. Weatherford Services generated sham purchase orders for consulting services the freight forwarding agent never performed, and the freight forwarding agent, in turn, generated sham invoices for those same nonexistent services. When paid for those invoices, the freight forwarding agent passed at least some of those monies on to the foreign official with the authority to approve Weatherford Services’ contract renewal. In exchange for these payments, the foreign official awarded the renewal contract to Weatherford Services in 2006.
Further, according to court documents, in a third scheme in the Middle East, from 2005 through 2011, employees of Weatherford Oil Tools Middle East Limited (WOTME), another Weatherford International subsidiary, awarded improper “volume discounts” to a distributor who supplied Weatherford International products to a government-owned national oil company, believing that those discounts were being used to create a slush fund with which to make bribe payments to decision-makers at the national oil company. Between 2005 and 2011, WOTME paid approximately $15 million in volume discounts to the distributor.
Weatherford International’s failure to implement effective internal accounting controls also permitted corrupt conduct relating to the United Nations’ Oil for Food Program to occur, according to court documents. Between in or about February 2002 and in or about July 2002, WOTME paid approximately $1,470,128 in kickbacks to the government of Iraq on nine contracts with Iraq’s Ministry of Oil, as well as other ministries, to provide oil drilling and refining equipment. WOTME falsely recorded these kickbacks as other, seemingly legitimate, types of costs and fees. Further, WOTME concealed the kickbacks from the U.N. by inflating contract prices by 10 percent.
According to court documents, these corrupt transactions in Africa and the Middle East earned Weatherford International profits of $54,486,410, which were included in the consolidated financial statements that Weatherford International filed with the SEC .
In addition to the guilty plea by Weatherford Services, the deferred prosecution agreement entered into by Weatherford International and the Department requires the company to cooperate with law enforcement, retain an independent corporate compliance monitor for at least 18 months, and continue to implement an enhanced compliance program and internal controls designed to prevent and detect future FCPA violations. The agreement acknowledges Weatherford International’s cooperation in this matter, including conducting a thorough internal investigation into bribery and related misconduct, and its extensive remediation and compliance improvement efforts.
Export Control Violations
According to court documents filed today in a separate matter, between 1998 and 2007, Weatherford International and some its subsidiaries engaged in conduct that violated various U.S. export control and sanctions laws by exporting or re-exporting oil and gas drilling equipment to, and conducting Weatherford business operations in, sanctioned countries without the required U.S. Government authorization. In addition to the involvement of employees of several Weatherford International subsidiaries, some Weatherford International executives, managers, or employees on multiple occasions participated in, directed, approved, and facilitated the transactions and the conduct of its various subsidiaries.
This conduct involved persons within the U.S.-based management structure of Weatherford International participating in conduct by Weatherford International foreign subsidiaries, and the unlicensed export or re-export of U.S.-origin goods to Cuba, Iran, Sudan, and Syria. Weatherford subsidiaries Precision Energy Services Colombia Ltd. (PESC) and Precision Energy Services Ltd. (PESL), both headquartered in Canada, conducted business in the country of Cuba. Weatherford’s subsidiary Weatherford Oil Tools Middle East (WOTME), headquartered in the United Arab Emirates (UAE), conducted business in the countries of Iran, Sudan, and Syria. Weatherford’s subsidiary Weatherford Production Optimisation f/k/a eProduction Solutions U.K. Ltd. (eProd-U.K.), headquartered in the United Kingdom, conducted business in the country of Iran. Weatherford generated approximately $110 million in revenue from its illegal transactions in Cuba, Iran, Syria and Sudan.
To resolve these charges, Weatherford and its subsidiaries will pay a total penalty of $100 million, with a $48 million monetary penalty paid pursuant to a deferred prosecution agreement, $2 million paid in criminal fines pursuant to the two guilty pleas, and a $50 million civil penalty paid pursuant to a Department of Commerce settlement agreement to resolve 174 violations charged by Commerce’s Bureau of Industry and Security. Weatherford International and certain of its affiliates are also signing a $91 million settlement agreement with the Department of the Treasury to resolve their civil liability arising out of the same underlying course of conduct, which will be deemed satisfied by the payments above.
The FCPA case was investigated by the FBI’s Washington Field Office and its team of special agents dedicated to the investigation of foreign bribery cases. The case is being prosecuted by Trial Attorney Jason Linder of the Criminal Division’s Fraud Section, with the assistance of Assistant U.S. Attorney Mark McIntyre of the Southern District of Texas. The case was previously investigated by Fraud Section Trial Attorneys Kathleen Hamann and Allan Medina, with assistance from the Criminal Division’s Asset Forfeiture and Money Laundering Section. The Justice Department also acknowledges and expresses its appreciation for the significant assistance provided by the SEC’s FCPA Unit.
The export case was investigated by the Department of Commerce’s Bureau of Industry and Security, Office of Export Enforcement, and the Department of the Treasury’s Office of Foreign Assets Control. The case is being prosecuted by Assistant U.S. Attorney S. Mark McIntyre and was previously investigated by Assistant U.S. Attorney Jeff Vaden.
WHITE HOUSE STATEMENT ON HOBBY LOBBY SUPREME COURT CASE
FROM: THE WHITE HOUSE
Statement by the Press Secretary Regarding Sebelius v. Hobby Lobby Stores, Inc.
The health care law puts women and families in control of their health care by covering vital preventive care, like cancer screenings and birth control, free of charge. Earlier this year, the Obama Administration asked the Supreme Court to consider a legal challenge to the health care law’s requirement that for-profit corporations include birth control coverage in insurance available to their employees. We believe this requirement is lawful and essential to women’s health and are confident the Supreme Court will agree.
We do not comment on specifics of a case pending before the Court. As a general matter, our policy is designed to ensure that health care decisions are made between a woman and her doctor. The President believes that no one, including the government or for-profit corporations, should be able to dictate those decisions to women. The Administration has already acted to ensure no church or similar religious institution will be forced to provide contraception coverage and has made a commonsense accommodation for non-profit religious organizations that object to contraception on religious grounds. These steps protect both women’s health and religious beliefs, and seek to ensure that women and families--not their bosses or corporate CEOs--can make personal health decisions based on their needs and their budgets.
Statement by the Press Secretary Regarding Sebelius v. Hobby Lobby Stores, Inc.
The health care law puts women and families in control of their health care by covering vital preventive care, like cancer screenings and birth control, free of charge. Earlier this year, the Obama Administration asked the Supreme Court to consider a legal challenge to the health care law’s requirement that for-profit corporations include birth control coverage in insurance available to their employees. We believe this requirement is lawful and essential to women’s health and are confident the Supreme Court will agree.
We do not comment on specifics of a case pending before the Court. As a general matter, our policy is designed to ensure that health care decisions are made between a woman and her doctor. The President believes that no one, including the government or for-profit corporations, should be able to dictate those decisions to women. The Administration has already acted to ensure no church or similar religious institution will be forced to provide contraception coverage and has made a commonsense accommodation for non-profit religious organizations that object to contraception on religious grounds. These steps protect both women’s health and religious beliefs, and seek to ensure that women and families--not their bosses or corporate CEOs--can make personal health decisions based on their needs and their budgets.
COMPANY PLEADS GUILTY TO ROLE IN AUTOMOTIVE PARTS PRICE FIXING CONSPIRACY
FROM: U.S. JUSTICE DEPARTMENT
Tuesday, November 26, 2013
Toyo Tire & Rubber Co. Ltd. Agrees to Plead Guilty to Price Fixing on Automobile Parts Installed in U.S. Cars
Company Agrees to Pay $120 Million Criminal Fine
Osaka, Japan-based Toyo Tire & Rubber Co. Ltd. has agreed to plead guilty and to pay a $120 million criminal fine for its role in two separate conspiracies to fix the prices of automotive components involving anti-vibration rubber and driveshaft parts installed in cars sold in the United States and elsewhere, the Department of Justice announced today.
According to a two-count felony charge filed today in U.S. District Court for the Northern District of Ohio in Toledo, Toyo engaged in a conspiracy to allocate sales of, to rig bids for, and to fix the prices of automotive anti-vibration rubber parts it sold to Toyota Motor Corp., Nissan Motor Corp., Fuji Heavy Industries Ltd. – more commonly known by its brand name, Subaru – and certain of their subsidiaries, affiliates and suppliers, in the United States and elsewhere. According to the charge, Toyo and its co-conspirators carried out the anti-vibration rubber parts conspiracy from as early as March 1996 until at least May 2012.
In addition, according to the charge, Toyo engaged in a separate conspiracy to allocate sales of, and to fix, raise and maintain the prices of automotive constant-velocity-joint boots it sold to U.S. subsidiaries of GKN plc, a British automotive parts supplier . According to the charge, Toyo and its co-conspirators carried out the constant-velocity-joint boots conspiracy from as early as January 2006 until as late as September 2010.
Toyo, which has subsidiaries based in Franklin, Ky., and White, Ga., has agreed to cooperate with the department’s ongoing investigation. The plea agreement is subject to court approval.
“Today’s charge is the latest step in the Antitrust Division’s effort to hold automobile part suppliers accountable for their illegal and collusive conduct,” said Renata B. Hesse, Deputy Assistant Attorney General for the Department of Justice’s Antitrust Division. “The division continues to vigorously prosecute companies and individuals that seek to maximize their profits through illegal and anticompetitive means.”
Automotive anti-vibration rubber parts are comprised primarily of rubber and metal, and include engine mounts and suspension bushings. They are installed in automobiles for the purpose of reducing road and engine vibration. Automotive constant-velocity-joint boots are composed of rubber or plastic, and are used to cover the constant-velocity-joints of an automobile to protect the joints from contaminants.
The department said the company and its co-conspirators carried out the conspiracies through meetings and conversations, discussed and agreed upon bids, price quotations and price adjustments, and agreed to allocate among the companies certain sales of the anti-vibration rubber and constant-velocity-joint boots parts sold to automobile and component manufacturers.
Including Toyo, 22 companies and 26 executives have been charged in the Justice Department’s ongoing investigation into the automotive parts industry. All 22 companies have either pleaded guilty or have agreed to plead guilty and have agreed to pay more than $1.8 billion in criminal fines. Of the 26 executives, 20 have been sentenced to serve time in U.S. prisons or have entered into plea agreements calling for significant prison sentences.
Toyo is charged with price fixing in violation of the Sherman Act, which carries a maximum penalty of a $100 million criminal fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
Tuesday, November 26, 2013
Toyo Tire & Rubber Co. Ltd. Agrees to Plead Guilty to Price Fixing on Automobile Parts Installed in U.S. Cars
Company Agrees to Pay $120 Million Criminal Fine
Osaka, Japan-based Toyo Tire & Rubber Co. Ltd. has agreed to plead guilty and to pay a $120 million criminal fine for its role in two separate conspiracies to fix the prices of automotive components involving anti-vibration rubber and driveshaft parts installed in cars sold in the United States and elsewhere, the Department of Justice announced today.
According to a two-count felony charge filed today in U.S. District Court for the Northern District of Ohio in Toledo, Toyo engaged in a conspiracy to allocate sales of, to rig bids for, and to fix the prices of automotive anti-vibration rubber parts it sold to Toyota Motor Corp., Nissan Motor Corp., Fuji Heavy Industries Ltd. – more commonly known by its brand name, Subaru – and certain of their subsidiaries, affiliates and suppliers, in the United States and elsewhere. According to the charge, Toyo and its co-conspirators carried out the anti-vibration rubber parts conspiracy from as early as March 1996 until at least May 2012.
In addition, according to the charge, Toyo engaged in a separate conspiracy to allocate sales of, and to fix, raise and maintain the prices of automotive constant-velocity-joint boots it sold to U.S. subsidiaries of GKN plc, a British automotive parts supplier . According to the charge, Toyo and its co-conspirators carried out the constant-velocity-joint boots conspiracy from as early as January 2006 until as late as September 2010.
Toyo, which has subsidiaries based in Franklin, Ky., and White, Ga., has agreed to cooperate with the department’s ongoing investigation. The plea agreement is subject to court approval.
“Today’s charge is the latest step in the Antitrust Division’s effort to hold automobile part suppliers accountable for their illegal and collusive conduct,” said Renata B. Hesse, Deputy Assistant Attorney General for the Department of Justice’s Antitrust Division. “The division continues to vigorously prosecute companies and individuals that seek to maximize their profits through illegal and anticompetitive means.”
Automotive anti-vibration rubber parts are comprised primarily of rubber and metal, and include engine mounts and suspension bushings. They are installed in automobiles for the purpose of reducing road and engine vibration. Automotive constant-velocity-joint boots are composed of rubber or plastic, and are used to cover the constant-velocity-joints of an automobile to protect the joints from contaminants.
The department said the company and its co-conspirators carried out the conspiracies through meetings and conversations, discussed and agreed upon bids, price quotations and price adjustments, and agreed to allocate among the companies certain sales of the anti-vibration rubber and constant-velocity-joint boots parts sold to automobile and component manufacturers.
Including Toyo, 22 companies and 26 executives have been charged in the Justice Department’s ongoing investigation into the automotive parts industry. All 22 companies have either pleaded guilty or have agreed to plead guilty and have agreed to pay more than $1.8 billion in criminal fines. Of the 26 executives, 20 have been sentenced to serve time in U.S. prisons or have entered into plea agreements calling for significant prison sentences.
Toyo is charged with price fixing in violation of the Sherman Act, which carries a maximum penalty of a $100 million criminal fine for corporations. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
U.S. EXPORT-IMPORT BANK APPROVES OVER $61 MILLION TO AID EXPORT OF WIND-TURBINE GENERATORS
FROM: U.S. EXPORT-IMPORT BANK
Ex-Im Bank Approves $61.1 Million for Export of U.S.-Made Wind-Turbine Generators to Costa Rica
Washington, D.C. – The Export-Import Bank of the United States (Ex-Im Bank) has approved a $61.1 million direct loan to Inversiones Eolicas de Orosi Dos S.A. (Orosi), a subsidiary of the leading Central American wind-generation company Globeleq Mesoamerica Energy, for the purchase of wind-turbine generators manufactured by Gamesa in Fairless Hills, Pa.
The authorization, which represents Ex-Im Bank’s first wind transaction in Costa Rica and fourth utility-scale wind project overall, will support approximately 200 U.S. jobs, according to bank estimates derived from Departments of Commerce and Labor data and methodology.
“We at Ex-Im Bank continue to support renewable-energy projects that improve our environment and showcase American innovation,” said Ex-Im Bank Chairman and President Fred P. Hochberg. “Our financing will help Gamesa expand their export of renewable energy technology and in the process support U.S. jobs throughout the wind industry.”
Gamesa’s wind-turbine generators are the chosen technology for the 50 megawatt Orosi wind-farm project located in the province of Guanacaste. Costa Rica is currently focusing on different renewable-energy projects.
Founded in 1976, Gamesa has manufactured wind turbines since 1994. To date, Gamesa has installed and commissioned wind farms in 42 countries with a total capacity exceeding 27,000 megawatts.
“Ex-Im Bank has been at the vanguard of President Obama's national export initiative," said David Flitterman, chairman of Gamesa North America. "The bank has facilitated a number of export projects for Gamesa, including the Orosi project, and continues to work with us to create new opportunities for growth and expansion. With their competitive rates and expertise, Ex-Im Bank is opening up new markets and opportunities for U.S.-manufactured goods, and that's increasing investments at home and sustaining American jobs across the supply chain.”
Ex-Im Bank Approves $61.1 Million for Export of U.S.-Made Wind-Turbine Generators to Costa Rica
Washington, D.C. – The Export-Import Bank of the United States (Ex-Im Bank) has approved a $61.1 million direct loan to Inversiones Eolicas de Orosi Dos S.A. (Orosi), a subsidiary of the leading Central American wind-generation company Globeleq Mesoamerica Energy, for the purchase of wind-turbine generators manufactured by Gamesa in Fairless Hills, Pa.
The authorization, which represents Ex-Im Bank’s first wind transaction in Costa Rica and fourth utility-scale wind project overall, will support approximately 200 U.S. jobs, according to bank estimates derived from Departments of Commerce and Labor data and methodology.
“We at Ex-Im Bank continue to support renewable-energy projects that improve our environment and showcase American innovation,” said Ex-Im Bank Chairman and President Fred P. Hochberg. “Our financing will help Gamesa expand their export of renewable energy technology and in the process support U.S. jobs throughout the wind industry.”
Gamesa’s wind-turbine generators are the chosen technology for the 50 megawatt Orosi wind-farm project located in the province of Guanacaste. Costa Rica is currently focusing on different renewable-energy projects.
Founded in 1976, Gamesa has manufactured wind turbines since 1994. To date, Gamesa has installed and commissioned wind farms in 42 countries with a total capacity exceeding 27,000 megawatts.
“Ex-Im Bank has been at the vanguard of President Obama's national export initiative," said David Flitterman, chairman of Gamesa North America. "The bank has facilitated a number of export projects for Gamesa, including the Orosi project, and continues to work with us to create new opportunities for growth and expansion. With their competitive rates and expertise, Ex-Im Bank is opening up new markets and opportunities for U.S.-manufactured goods, and that's increasing investments at home and sustaining American jobs across the supply chain.”
Tuesday, November 26, 2013
DOD DEFENSE CONTRACTS FOR NOVEMBER 26, 2013
FROM: U.S. DEFENSE DEPARTMENT
CONTRACTS
NAVY
Rolls-Royce Corp., Indianapolis, Ind., is being awarded a $57,146,970 modification to a previously awarded firm-fixed-price contract (N00019-10-C-0020) to exercise an option for MissionCareTM maintenance services in support of the V-22’s inventory of AE1107C engines. The services being performed will include O-level supply support, Repair of Repairable engine components and whole engines, field service representatives, low power repairs, program management, various site support and delivery of all Contract Data Requirements Lists. Work will be performed in Oakland, Calif. (70 percent) and Indianapolis, Ind. (30 percent), and is expected to be completed in February 2015. Fiscal 2013 aircraft procurement, Air Force; fiscal 2014 research, development, test and evaluation, Navy; fiscal 2014 aircraft procurement, Navy; fiscal 2014 operations and maintenance, Navy; fiscal 2014 operations and maintenance, Navy Reserve; fiscal 2014 operations and maintenance, Navy overseas contingency operations; fiscal 2014 operations and maintenance, Special Operations Command; fiscal 2014 operations and maintenance, Air Force overseas contingency operations contract funds in the amount of $57,146,970 will be obligated on this award, $55,580,178 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
BAE Systems Electronics, Intelligence & Support/Electronic Solutions, Nashua, N.H., is being awarded a $28,167,428 modification to a previously awarded firm-fixed-price contract (N00019-13-C-0010) to exercise an option for the procurement of procure 262 AN/ALE-55 fiber optic towed decoys (FOTDs) and 70 electronic frequency converters (EFC). The AN/ALE-55 FOTDs and EFCs are components of the integrated defensive electronic counter measures suite. The AN/ALE-55 provides the capability to transmit complex electronic countermeasures techniques from an off-board transmitter. Work will be performed in Nashua, N.H. (80.6 percent); Mountain View, Calif. (12 percent); and Chelmsford Essex, United Kingdom (7.4 percent), and is expected to be completed in November 2015. Fiscal 2013 and 2014 aircraft procurement, Navy and fiscal 2014 procurement of ammunition, Marine Corps contract funds in the amount of $28,167,428, will be obligated at the time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Atlantic NICC Joint Venture LLC*, Falls Church, Va., is being awarded a maximum amount $19,500,000 indefinite-delivery/indefinite-quantity job order contract for construction, alteration and repair of industrial, commercial, and utility projects to government facilities at various Department of Defense activities within Maryland, Virginia, and Washington, D.C. The maximum dollar value, including the base period and four option years, is $97,500,000. No task orders are being issued at this time. Work will be performed in Patuxent River, Md. (31 percent), Dahlgren, Va. (30 percent), Indian Head, Md. (22 percent), and Annapolis, Md. (17 percent), with an expected completion date of November 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $50,000 are obligated on this award and will expire at the end of the current fiscal year. This contract was originally competitively procured via the Navy Electronic Commerce Online website with 20 proposals received. This contract action is a re-award as a result of corrective action taken due to a Government Accountability Office protest. The Naval Facilities Engineering Command, Washington, Washington, D.C., is the contracting activity (N40080-14-D-0352).
Atlantic NICC Joint Venture LLC*, Falls Church, Va., is being awarded maximum amount $19,500,000 indefinite-delivery/indefinite-quantity job order contract for construction, alteration and repair of industrial, commercial, and utility projects to government facilities at various Department of Defense activities within Maryland, Virginia, and Washington, D.C. The maximum dollar value, including the base period and four option years, is $97,500,000. No task orders are being issued at this time. Work will be performed in Naval Support Activity Washington, Washington, D.C. (30 percent), Regional Officer in Charge of Construction Quantico, Va. (27 percent), Naval Support Activity Bethesda, Md. (25 percent), and Joint Base Anacostia-Bolling, Washington, D.C. (18 percent), with an expected completion date of November 2014. Fiscal 2014 operation and maintenance, Navy contract funds in the amount of $50,000 are obligated on this award and will expire at the end of the current fiscal year. This contract was originally competitively procured via the Navy Electronic Commerce Online website, with 21 offers received. This contract action is a re-award as a result of corrective action taken due to a Government Accountability Office protest. The Naval Facilities Engineering Command, Washington, Washington, D.C., is the contracting activity (N40080-14-D-0353).
BREMCOR Joint Venture, Arlington, Va., is being awarded an $18,922,837 modification under a previously awarded firm-fixed-price, indefinite-delivery/indefinite-quantity contract (N62470-06-D-4611) to exercise option seven for base operation support services at Naval Station Guantanamo Bay. The work to be performed provides for base operation support services to include but not limited to: port operations, base support vehicles and equipment, elevator maintenance, equipment maintenance, heating ventilation and air conditioning maintenance, environmental, pest control, janitorial services, transportation, fire alarms, and facility management. Work also provides for service calls consisting of repairs of base facilities, transportation, janitorial, pest control, and fire alarm systems. The total contract amount after exercise of this option will be $129,287,881. Work will be performed in Guantanamo Bay, Cuba, and work is expected to be completed November 2014. Fiscal 2014 operations and maintenance, Navy; fiscal 2014 Navy working capital funds; fiscal 2014 defense health fund; and fiscal 2014 Department of Defense schools contract funds in the amount of $7,099,162 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Southeast, Jacksonville, Fla., is the contracting activity.
Bell-Boeing Joint Project Office, Amarillo, Texas, is being awarded an $18,064,906 modification to a previously awarded cost-plus-incentive-fee contract (N00019-09-D-0008) for additional joint performance based logistics support for the Marine Corps (MV-22), Air Force, and Special Forces Operations Command (CV-22) aircraft. Work will be performed in Amarillo, Texas (50 percent); and Philadelphia, Pa. (50 percent), and is expected to be completed in January 2014. Fiscal 2014 operations and maintenance, Air Force; fiscal 2014 operations and maintenance, Navy; fiscal 2014 operations and maintenance, Special Operations Command; fiscal 2014 aircraft procurement, Navy; fiscal 2013 aircraft procurement, Air Force; and fiscal 2013 Defense-wide procurement, Special Operations Command contract funds in the amount of $18,064,906 will be obligated at time of award, $14,658,487 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Motorola Solutions Inc., U.S. Federal Government Markets Division, Columbia, Md., is being awarded a $17,248,849 modification under a previously awarded firm-fixed-price contract (N39430-13-C-1220) to exercise option period one for global sustainment of enterprise land and mobile radio systems at 53 military installations worldwide. The work to be performed provides for preventive and corrective maintenance to sustain the enterprise land and mobile radio system and associated equipment and Information Assurance Vulnerability Alert compliance/patch management. This includes fixed, mobile and portable units, dispatching equipment and all associated equipment currently deployed as part of Naval Facilities Engineering Command’s enterprise land and mobile radio systems worldwide. Responsibility of troubleshooting, removal, and replacing of the equipment for these units is also included as part of this requirement. The total contract amount after exercise of this option will be $48,429,904. Work will be performed at 53 military installations worldwide, and work is expected to be completed December 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $17,248,849 are obligated on this award and will expire at the end of the current fiscal year. The Naval Facilities Engineering and Expeditionary Warfare Center, Port Hueneme, Calif., is the contracting activity.
US Information Technologies, Chantilly, Va., is being awarded a $12,952,659 modification under a previously awarded indefinite-delivery/indefinite-quantity contract (N00033-11-D-6505) with firm-fixed-price and/or firm-fixed-price level-of-effort task orders to exercise an option for support services for maintenance and development of Military Sealift Command’s Oracle based information systems. Work will be performed in Washington, D.C., and is expected to be completed by December 2014. Fiscal 2014 working capital contract funds in the amount of $12,952,659 are being obligated, and will not expire at the end of the current fiscal year. The Military Sealift Command, Washington, D.C., is the contracting activity (N00033-11-D-6505).
Insitu Inc., Bingen, Wash., is being awarded an $8,845,101 modification to a previously awarded firm-fixed-price contract (N00019-10-C-0054) to exercise an option for the procurement of one Low Rate Initial Production II RQ-21A Blackjack Unmanned Aircraft System, to include air vehicles, ground control stations, launch and recovery equipment, and air vehicle support equipment. Work will be performed in Bingen, Wash., and is expected to be completed in May 2014. Fiscal 2013 procurement, Marine Corps contract funds in the amount of $8,845,101 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
DEFENSE LOGISTICS AGENCY
Ziehm Imaging Inc.*, Orlando, Fla., has been awarded a maximum $22,156,582 modification (P00008) exercising the third one-year option period on a one-year base contract (SPM2D1-11-D-8344) with seven one-year option periods for radiology systems, subsystems, and components. This is a fixed-price with economic-price-adjustment contract. Location of performance is Florida with a Nov. 29, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal year 2014 through fiscal year 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
AIR FORCE
Raytheon Technical Services Company LLC, Sterling, Va., has been awarded a $13,267,175 modification (P00023) to an existing firm-fixed-price contract (FA7022-11-C-0010) for radar operations and maintenance services. This modification provides for the exercise of option year three for a period of performance from Jan. 1, 2014 through Dec. 31, 2014. The contract modification will ensure the availability of the COBRA DANE's radar facility to collect 100 percent of the tasked data that passes through its field of view. The necessary support shall be provided 24 hours per day, 365 days per year. Work will performed at Eareckson Air Station, Shemya, Alaska, and is expected to be completed by Dec. 31, 2015. Fiscal 2014 operations and maintenance funds will be incrementally funded January 2014, in the amount of $3,688,845. The 21st Contracting Squadron, Peterson Air Force Base, Colo., is the contracting activity.
Ahntech Inc., San Diego Calif., has been awarded a $12,435,300 modification (P00008) to an existing firm-fixed-price contract (FA4890-13-C-0005) to continue to provide program support for Air Combat Command’s Primary Training Ranges Operations and Maintenance Services (PTR O&M), currently, but not limited to, PTR O&M support services. The work under this program provides OM&S of range threat, scoring, and feedback systems. The program also provides for target, road, grounds, and limited facility maintenance. The contract modification is for the exercise of option year one services for the period of performance from Jan. 1, 2014 through Dec. 31, 2014. Work will be performed at nine ACC Primary Training Ranges locations at Seymour Johnson Air Force Base , N.C., Shaw AFB, S.C., Moody AFB, Ga., Dyess AFB, Texas, Ellsworth AFB, S.D., Holloman AFB, N.M., Mountain Home AFB, Idaho and the Nevada Test and Training Range, and is expected to be completed by Dec. 31, 2014. Fiscal 2014 operations and maintenance funds in the amount of $1,246,780 are being obligated at time of award. ACC AMIC/PKCB, Newport News, Va., is the contracting activity.
Odyssey Systems Consulting Group Ltd., Wakefield, Mass., was awarded an $8,456,784 modification (P00008) on an existing cost-plus-fixed-fee, cost-reimbursable contract (FA8721-13-C-0022) for professional acquisition support services. This contract modification provides for the exercise of an option for an additional six months of professional acquisition support services under the basic contract. Work will be performed at Hanscom Air Force Base, Mass., and is expected to be completed by April 17, 2014. This modification provides professional acquisition support services in support of Space C2 Surveillance Division and the Theater Battle Control Division of classified foreign military sales. FMS support account for approximately 14 percent of the stated modification. Fiscal 2013 operations and maintenance, research and development, procurement and foreign military sales funds in the amount of $65,000 were obligated at time of award. Air Force Life Cycle Management Center, Enterprise Acquisition Division/PZM is the contracting activity. (Awarded Sept. 3, 2013)
Bering Sea Environmental LLC, Anchorage Alaska, will be awarded a $6,762,241 modification (P00039) to an existing firm-fixed-price contract (FA4890-11-C-0004) to continue to provide program support for Air Combat Command’s (ACC), Air Combat Training System Operations and Maintenance Support Services (ACTS O&M), currently, but not limited to, ACTS O&M support services. The work under ACTS includes all maintenance and repairs on ACTS pods and debriefing stations, transports and loading of pods onto the aircrafts and preparing data cartridges both before and after missions. The contract modification is for the exercise of option year three services for the period of performance from Jan. 1, 2014 through Dec. 31, 2014. Work will be performed at Eglin Air Force Base, Fla., Langley AFB, Va., Seymour Johnson, N.C., Shaw AFB, S.C., Barksdale AFB, La., Mountain Home AFB, Idaho, as well as outside of the continental United States funded sites at Lakenheath Air Base, United Kingdom, Spangdahlem AB, Germany, and Aviano AB, Italy, and is expected to be completed by Dec. 31, 2014. This contract includes unclassified foreign military sales (1.8 percent ) for the Royal Singapore Air Force. Fiscal 2014 operations and maintenance funds in the amount of $1,144,627 are being obligated at time of award. ACC AMIC/PKCB, Newport News, Va., is the contracting activity.
*Small Business
CONTRACTS
NAVY
Rolls-Royce Corp., Indianapolis, Ind., is being awarded a $57,146,970 modification to a previously awarded firm-fixed-price contract (N00019-10-C-0020) to exercise an option for MissionCareTM maintenance services in support of the V-22’s inventory of AE1107C engines. The services being performed will include O-level supply support, Repair of Repairable engine components and whole engines, field service representatives, low power repairs, program management, various site support and delivery of all Contract Data Requirements Lists. Work will be performed in Oakland, Calif. (70 percent) and Indianapolis, Ind. (30 percent), and is expected to be completed in February 2015. Fiscal 2013 aircraft procurement, Air Force; fiscal 2014 research, development, test and evaluation, Navy; fiscal 2014 aircraft procurement, Navy; fiscal 2014 operations and maintenance, Navy; fiscal 2014 operations and maintenance, Navy Reserve; fiscal 2014 operations and maintenance, Navy overseas contingency operations; fiscal 2014 operations and maintenance, Special Operations Command; fiscal 2014 operations and maintenance, Air Force overseas contingency operations contract funds in the amount of $57,146,970 will be obligated on this award, $55,580,178 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
BAE Systems Electronics, Intelligence & Support/Electronic Solutions, Nashua, N.H., is being awarded a $28,167,428 modification to a previously awarded firm-fixed-price contract (N00019-13-C-0010) to exercise an option for the procurement of procure 262 AN/ALE-55 fiber optic towed decoys (FOTDs) and 70 electronic frequency converters (EFC). The AN/ALE-55 FOTDs and EFCs are components of the integrated defensive electronic counter measures suite. The AN/ALE-55 provides the capability to transmit complex electronic countermeasures techniques from an off-board transmitter. Work will be performed in Nashua, N.H. (80.6 percent); Mountain View, Calif. (12 percent); and Chelmsford Essex, United Kingdom (7.4 percent), and is expected to be completed in November 2015. Fiscal 2013 and 2014 aircraft procurement, Navy and fiscal 2014 procurement of ammunition, Marine Corps contract funds in the amount of $28,167,428, will be obligated at the time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Atlantic NICC Joint Venture LLC*, Falls Church, Va., is being awarded a maximum amount $19,500,000 indefinite-delivery/indefinite-quantity job order contract for construction, alteration and repair of industrial, commercial, and utility projects to government facilities at various Department of Defense activities within Maryland, Virginia, and Washington, D.C. The maximum dollar value, including the base period and four option years, is $97,500,000. No task orders are being issued at this time. Work will be performed in Patuxent River, Md. (31 percent), Dahlgren, Va. (30 percent), Indian Head, Md. (22 percent), and Annapolis, Md. (17 percent), with an expected completion date of November 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $50,000 are obligated on this award and will expire at the end of the current fiscal year. This contract was originally competitively procured via the Navy Electronic Commerce Online website with 20 proposals received. This contract action is a re-award as a result of corrective action taken due to a Government Accountability Office protest. The Naval Facilities Engineering Command, Washington, Washington, D.C., is the contracting activity (N40080-14-D-0352).
Atlantic NICC Joint Venture LLC*, Falls Church, Va., is being awarded maximum amount $19,500,000 indefinite-delivery/indefinite-quantity job order contract for construction, alteration and repair of industrial, commercial, and utility projects to government facilities at various Department of Defense activities within Maryland, Virginia, and Washington, D.C. The maximum dollar value, including the base period and four option years, is $97,500,000. No task orders are being issued at this time. Work will be performed in Naval Support Activity Washington, Washington, D.C. (30 percent), Regional Officer in Charge of Construction Quantico, Va. (27 percent), Naval Support Activity Bethesda, Md. (25 percent), and Joint Base Anacostia-Bolling, Washington, D.C. (18 percent), with an expected completion date of November 2014. Fiscal 2014 operation and maintenance, Navy contract funds in the amount of $50,000 are obligated on this award and will expire at the end of the current fiscal year. This contract was originally competitively procured via the Navy Electronic Commerce Online website, with 21 offers received. This contract action is a re-award as a result of corrective action taken due to a Government Accountability Office protest. The Naval Facilities Engineering Command, Washington, Washington, D.C., is the contracting activity (N40080-14-D-0353).
BREMCOR Joint Venture, Arlington, Va., is being awarded an $18,922,837 modification under a previously awarded firm-fixed-price, indefinite-delivery/indefinite-quantity contract (N62470-06-D-4611) to exercise option seven for base operation support services at Naval Station Guantanamo Bay. The work to be performed provides for base operation support services to include but not limited to: port operations, base support vehicles and equipment, elevator maintenance, equipment maintenance, heating ventilation and air conditioning maintenance, environmental, pest control, janitorial services, transportation, fire alarms, and facility management. Work also provides for service calls consisting of repairs of base facilities, transportation, janitorial, pest control, and fire alarm systems. The total contract amount after exercise of this option will be $129,287,881. Work will be performed in Guantanamo Bay, Cuba, and work is expected to be completed November 2014. Fiscal 2014 operations and maintenance, Navy; fiscal 2014 Navy working capital funds; fiscal 2014 defense health fund; and fiscal 2014 Department of Defense schools contract funds in the amount of $7,099,162 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Southeast, Jacksonville, Fla., is the contracting activity.
Bell-Boeing Joint Project Office, Amarillo, Texas, is being awarded an $18,064,906 modification to a previously awarded cost-plus-incentive-fee contract (N00019-09-D-0008) for additional joint performance based logistics support for the Marine Corps (MV-22), Air Force, and Special Forces Operations Command (CV-22) aircraft. Work will be performed in Amarillo, Texas (50 percent); and Philadelphia, Pa. (50 percent), and is expected to be completed in January 2014. Fiscal 2014 operations and maintenance, Air Force; fiscal 2014 operations and maintenance, Navy; fiscal 2014 operations and maintenance, Special Operations Command; fiscal 2014 aircraft procurement, Navy; fiscal 2013 aircraft procurement, Air Force; and fiscal 2013 Defense-wide procurement, Special Operations Command contract funds in the amount of $18,064,906 will be obligated at time of award, $14,658,487 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Motorola Solutions Inc., U.S. Federal Government Markets Division, Columbia, Md., is being awarded a $17,248,849 modification under a previously awarded firm-fixed-price contract (N39430-13-C-1220) to exercise option period one for global sustainment of enterprise land and mobile radio systems at 53 military installations worldwide. The work to be performed provides for preventive and corrective maintenance to sustain the enterprise land and mobile radio system and associated equipment and Information Assurance Vulnerability Alert compliance/patch management. This includes fixed, mobile and portable units, dispatching equipment and all associated equipment currently deployed as part of Naval Facilities Engineering Command’s enterprise land and mobile radio systems worldwide. Responsibility of troubleshooting, removal, and replacing of the equipment for these units is also included as part of this requirement. The total contract amount after exercise of this option will be $48,429,904. Work will be performed at 53 military installations worldwide, and work is expected to be completed December 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $17,248,849 are obligated on this award and will expire at the end of the current fiscal year. The Naval Facilities Engineering and Expeditionary Warfare Center, Port Hueneme, Calif., is the contracting activity.
US Information Technologies, Chantilly, Va., is being awarded a $12,952,659 modification under a previously awarded indefinite-delivery/indefinite-quantity contract (N00033-11-D-6505) with firm-fixed-price and/or firm-fixed-price level-of-effort task orders to exercise an option for support services for maintenance and development of Military Sealift Command’s Oracle based information systems. Work will be performed in Washington, D.C., and is expected to be completed by December 2014. Fiscal 2014 working capital contract funds in the amount of $12,952,659 are being obligated, and will not expire at the end of the current fiscal year. The Military Sealift Command, Washington, D.C., is the contracting activity (N00033-11-D-6505).
Insitu Inc., Bingen, Wash., is being awarded an $8,845,101 modification to a previously awarded firm-fixed-price contract (N00019-10-C-0054) to exercise an option for the procurement of one Low Rate Initial Production II RQ-21A Blackjack Unmanned Aircraft System, to include air vehicles, ground control stations, launch and recovery equipment, and air vehicle support equipment. Work will be performed in Bingen, Wash., and is expected to be completed in May 2014. Fiscal 2013 procurement, Marine Corps contract funds in the amount of $8,845,101 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
DEFENSE LOGISTICS AGENCY
Ziehm Imaging Inc.*, Orlando, Fla., has been awarded a maximum $22,156,582 modification (P00008) exercising the third one-year option period on a one-year base contract (SPM2D1-11-D-8344) with seven one-year option periods for radiology systems, subsystems, and components. This is a fixed-price with economic-price-adjustment contract. Location of performance is Florida with a Nov. 29, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal year 2014 through fiscal year 2015 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
AIR FORCE
Raytheon Technical Services Company LLC, Sterling, Va., has been awarded a $13,267,175 modification (P00023) to an existing firm-fixed-price contract (FA7022-11-C-0010) for radar operations and maintenance services. This modification provides for the exercise of option year three for a period of performance from Jan. 1, 2014 through Dec. 31, 2014. The contract modification will ensure the availability of the COBRA DANE's radar facility to collect 100 percent of the tasked data that passes through its field of view. The necessary support shall be provided 24 hours per day, 365 days per year. Work will performed at Eareckson Air Station, Shemya, Alaska, and is expected to be completed by Dec. 31, 2015. Fiscal 2014 operations and maintenance funds will be incrementally funded January 2014, in the amount of $3,688,845. The 21st Contracting Squadron, Peterson Air Force Base, Colo., is the contracting activity.
Ahntech Inc., San Diego Calif., has been awarded a $12,435,300 modification (P00008) to an existing firm-fixed-price contract (FA4890-13-C-0005) to continue to provide program support for Air Combat Command’s Primary Training Ranges Operations and Maintenance Services (PTR O&M), currently, but not limited to, PTR O&M support services. The work under this program provides OM&S of range threat, scoring, and feedback systems. The program also provides for target, road, grounds, and limited facility maintenance. The contract modification is for the exercise of option year one services for the period of performance from Jan. 1, 2014 through Dec. 31, 2014. Work will be performed at nine ACC Primary Training Ranges locations at Seymour Johnson Air Force Base , N.C., Shaw AFB, S.C., Moody AFB, Ga., Dyess AFB, Texas, Ellsworth AFB, S.D., Holloman AFB, N.M., Mountain Home AFB, Idaho and the Nevada Test and Training Range, and is expected to be completed by Dec. 31, 2014. Fiscal 2014 operations and maintenance funds in the amount of $1,246,780 are being obligated at time of award. ACC AMIC/PKCB, Newport News, Va., is the contracting activity.
Odyssey Systems Consulting Group Ltd., Wakefield, Mass., was awarded an $8,456,784 modification (P00008) on an existing cost-plus-fixed-fee, cost-reimbursable contract (FA8721-13-C-0022) for professional acquisition support services. This contract modification provides for the exercise of an option for an additional six months of professional acquisition support services under the basic contract. Work will be performed at Hanscom Air Force Base, Mass., and is expected to be completed by April 17, 2014. This modification provides professional acquisition support services in support of Space C2 Surveillance Division and the Theater Battle Control Division of classified foreign military sales. FMS support account for approximately 14 percent of the stated modification. Fiscal 2013 operations and maintenance, research and development, procurement and foreign military sales funds in the amount of $65,000 were obligated at time of award. Air Force Life Cycle Management Center, Enterprise Acquisition Division/PZM is the contracting activity. (Awarded Sept. 3, 2013)
Bering Sea Environmental LLC, Anchorage Alaska, will be awarded a $6,762,241 modification (P00039) to an existing firm-fixed-price contract (FA4890-11-C-0004) to continue to provide program support for Air Combat Command’s (ACC), Air Combat Training System Operations and Maintenance Support Services (ACTS O&M), currently, but not limited to, ACTS O&M support services. The work under ACTS includes all maintenance and repairs on ACTS pods and debriefing stations, transports and loading of pods onto the aircrafts and preparing data cartridges both before and after missions. The contract modification is for the exercise of option year three services for the period of performance from Jan. 1, 2014 through Dec. 31, 2014. Work will be performed at Eglin Air Force Base, Fla., Langley AFB, Va., Seymour Johnson, N.C., Shaw AFB, S.C., Barksdale AFB, La., Mountain Home AFB, Idaho, as well as outside of the continental United States funded sites at Lakenheath Air Base, United Kingdom, Spangdahlem AB, Germany, and Aviano AB, Italy, and is expected to be completed by Dec. 31, 2014. This contract includes unclassified foreign military sales (1.8 percent ) for the Royal Singapore Air Force. Fiscal 2014 operations and maintenance funds in the amount of $1,144,627 are being obligated at time of award. ACC AMIC/PKCB, Newport News, Va., is the contracting activity.
*Small Business
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