FROM: U.S. DEFENSE DEPARTMENT
CONTRACTS
DEFENSE LOGISTICS AGENCY
Meridian Medical Technologies, Columbia, Md., has been awarded a maximum $123,191,610 modification (P00013) exercising the third one-year option period on a one-year base contract (SPM2DP-11-D-0002) with four one-year option periods for nerve agent antidotes in auto-injectors and services related to basic maintenance and surge readiness. This is a firm-fixed-price contract. Locations of performance are Maryland and Missouri with a Dec. 31, 2014 performance completion date. Using military services are Army, Navy, Air Force, and Marine Corps. Type of appropriation is fiscal 2011 through fiscal 2015 defense working capital and warstopper funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
NAVY
DZSP 21 LLC, Philadelphia, Pa., is being awarded $85,998,135 modification to previously awarded cost-plus-award-fee contract (N40192-13-C-3001) to exercise the fifth award option period for base operation support services at Joint Region Marianas. The work to be performed provides for general management and administration services; command and staff (public affairs office); public safety; port operations; ordnance; material management; galley; facilities management and engineering services; sustainment, restoration and modernization; facilities services; utilities (electrical, wastewater, steam and demineralized water, and potable water); base support vehicles and equipment; and environmental. After award of this option, the total cumulative contract value will be $799,295,163. Work will be performed at various installations in the U.S. Territory of Guam, and work is expected to be completed December 2014. Fiscal 2014 Navy working capital funds; fiscal 2014 operations an
d maintenance, Navy; fiscal 2014 operation and maintenance, Air Force; fiscal 2014 operations and maintenance, Army Reserve; fiscal 2014 operations and maintenance, Defense agencies; and fiscal 2014 Defense Commissary Agency account contract funds in the amount of $32,853,236 are obligated on this award and will not expire at the end of the current fiscal year. The Naval Facilities Engineering Command, Marianas, Guam, is the contracting activity.
Turner Construction Co., Washington, D.C., is being awarded a $41,407,500 firm-fixed-price contract for the Medical Clinic Replacement at Naval Support Activity Annapolis. The work to be performed provides for the construction of a multi-story, free standing health clinic on the North Severn side of the United States Naval Academy. This new clinic will be a replacement facility for the current health clinic. The new health clinic encompasses primary care, orthopedics, physical therapy, dental, optometry and mental health as well as ancillaries, support and administrative space. The facility also has an emergency response support mission. Supporting facilities construction will include all site utilities, site preparation, site improvements, environmental mitigation, paving (parking and roadways), and access roads. Work will be performed in Annapolis, Md., and is expected to be completed by January 2016. Fiscal 2013 military construction, defense medical contract funds in the amount of $41,407,500 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website with eight proposals received. The Naval Facilities Engineering Command, Washington, Washington, D.C., is the contracting activity (N40080-14-C-0154).
S. S. Dannaway and Associates Inc.*, Honolulu, Hawaii, is being awarded a maximum $10,000,000 indefinite-delivery/indefinite-quantity contract for architect-engineer services for fire protection and related services at various locations under the Naval Facilities Engineering Command (NAVFAC) Pacific area of responsibility (AOR). The work to be performed provides for services that include design and engineering services for preparation of technical reports including conducting engineering investigations and concept studies; preliminary and final design plans and specifications; construction estimates; operations and maintenance manuals; record drawings; shop drawing reviews; technical review of design plans and specification prepared by A-E firms and government forces; water flow testing; final acceptance testing of all types of installed fire protection systems and other consulting requiring immediate action. Work will be performed at various Navy and Marine Corps facilities and other government facilities within the NAVFAC Pacific AOR including, but not limited to Hawaii (55 percent), Guam (30 percent), and Far East (15 percent). The term of the contract is not to exceed 60 months, with an expected completion date of December 2018. Fiscal 2013 military construction, Navy contract funds in the amount of $10,000 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, Pacific, Pearl Harbor, Hawaii, is the contracting activity (N62742-14-D-0001).
ARMY
Military Hardware*, Wilmington, N.C., was awarded a $51,952,200 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for improved modular tactical holsters with a minimum order of 100 units and a maximum of 300,000 units. Funding and location will be determined with each order. Estimated completion date is Dec. 16, 2018. Bids were solicited via the Internet with 25 received. Army Contracting Command, Natick, Mass., is the contracting activity (W911QY-14-D-0002).
Atlantic Diving Supply*, Virginia, Beach, Va., was awarded a $24,288,000 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for improved modular tactical holsters. The contract minimum is 100 units and the contract maximum is not to exceed 300,000 units. Funding and location will be determined with each order. Estimated completion date is Dec. 16, 2018. Bids were solicited via the Internet with 25 received. Army Contracting Command, Natick, Mass., is the contracting activity (W911QY-14-D-0001).
Bell Helicopter Textron Inc., Hurst, Texas, was awarded an $18,556,810 modification (P00009) to contract W58RGZ-12-C-0030 for an undefined contract action for six additional months of contractor logistics support for the Bell 407, Huey, Jet Ranger, and OH-58A&C helicopters in Al Taji, Iraq, in accordance with foreign military sales case IQ-B-UDZ. Fiscal 2014 other procurement funds in the amount of $9,092,838 were obligated at the time of the award. Estimated completion date is Aug. 8, 2014. One bid was solicited with one received. Work will be performed in Iraq and Piney Flats, Tenn. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.
American Southwest Electronic*, Las Vegas, Nev., was awarded a $13,087,038 firm-fixed-price contract for the West Bank Mississippi River Levee, Mississippi River and Tributaries Project, Atchafalaya Basin Levee District, Pointe Coupee Seepage Control, New Roads Relief Wells, Pointe Coupee Parish, La. Fiscal 2014 other procurement funds in the amount of $13,087,038 were obligated at the time of the award. Estimated completion date is Dec. 19, 2014. Bids were solicited via the Internet with nine received. Work will be performed in Plaquemines, La. Army Corps of Engineers, New Orleans, La., is the contracting activity (W912P8-14-C-0015).
Structural Assoc. Inc.*, East Syracuse, N.Y., was awarded an $11,163,100 firm-fixed-price contract to design and-build a soldier specialty care clinic at Fort Drum, New York. Fiscal 2014 military construction funds in the amount of $11,163,100 were obligated at the time of the award. Estimated completion date is Dec.17, 2015. Thirty bids were solicited with six received. Work will be performed at Fort Drum, N.Y. Army Corps of Engineers, New York, N.Y., is the contracting activity (W912DS-14-C-0003).
Reema Consulting Services, Gaithersburg, Md., was awarded a $9,900,000 firm-fixed-price contract for operations support services for program management soldier weapons, Picatinny Arsenal, N.J. These services will be for the following: senior and junior operations specialist, computer graphics specialist, public affairs specialist, technical editor specialist and information technology specialist. Funding and location will be determined with each order. Estimated completion date is Dec. 17, 2018. Bids were solicited via the Internet with seven received. Army Contracting Command, Picatinny Arsenal, N.J., is the contracting activity (W15QKN-14-D-0008).
Oracle America, Reston, Va., was awarded a $7,043,216 modification (P00054) to contract N00024-01-C-6110 for Oracle PeopleSoft licenses and maintenance services. Fiscal 2014 research, development, testing and evaluation funds in the amount of $2,297,739 were obligated at the time of the award. Estimated completion date is Dec. 20, 2014. Bids were solicited via the Internet with one received. Work will be performed in Reston, Va. Army Contracting Command, Picatinny Arsenal, N.J., is the contracting activity.
AIR FORCE
Rockwell Collins Inc., Government Systems, Cedar Rapids, Iowa, has been awarded a $46,654,122 cost-plus-incentive-fee contract for B-2 Common Very Low Frequency Receiver Increment 1 Engineering Manufacturing Development (EMD) Effort. The EMD phase includes the modification, qualification, and testing of the system which consists primarily of an existing terminal/receiver design, an antenna, a Human Machine Interface display, power supply, and other ancillary equipment to enable receipt and display of emergency action messages, including a mission planning ground station. Work will be performed at Richardson, Texas, and is expected to be completed by June 28, 2018. This award is the result of a sole-source acquisition. Fiscal 2013 research and development funds in the amount of $4,184,895 are being obligated at time of award. Air Force Life Cycle Management Center/WWZK, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8616-14-C-6061).
The Boeing Co., Seal Beach, Calif., has been awarded a $12,322,017 cost-plus-incentive-fee and cost-plus-fixed-fee modification (P00063) on an existing contract (FA8819-08-C-0006) for the Space Based Space Surveillance Block 10 System. The contract modification is for uninterrupted satellite operations, maintenance, and anomaly resolution of the Space Based Space Surveillance Block 10 System. Fiscal 2014 operations and maintenance funds in the amount of $4,895,000 are being obligated at the time of award. Work will be performed at El Segundo, Calif.; Colorado Springs, Colo.; Shriever Air Force Base, Colo.; and Boulder, Colo.; and is expected to be complete by June 20, 2015. Space and Missile Systems Center, Space Superiority Systems Directorate, El Segundo, Calif., is the contracting activity.
Exelis Inc., Herndon, Va., has been awarded a $10,000,000 indefinite-delivery/indefinite-quantity cost-plus-fixed-fee modification (P00011) for a ceiling increase to an existing contract (FA8750-09-D-0002). The total cumulative face value of the contract is $59,900,000. The contract modification is to maintain support and prevent loss of support for the 120 operationally deployed systems and continue basic development to address operational gaps. The principle purpose is for the research and development, integration, testing, deployment, enhancement, and maintenance of Information Support Server Environment Cross-Domain Sharing capabilities throughout the Air Force, the DoD Intelligence Information Systems community. Work will be performed at Herndon, Va., and is expected to be completed by June 14, 2016. This is a ceiling increase modification and no funding will be obligated at time of award. Air Force Research Laboratory/RIKE, Rome, N.Y., is the contracting activity
Northrop Grumman Systems Corp., NGIS, Herndon, Va., has been awarded an $8,424,108 modification (P00012) for an existing cost-plus-fixed-fee contract (FA8750-13-C-0120) for software enhancement/testing/integration/maintenance. The contract modification is to provide a full spectrum of technical support to the National Air and Space Intelligence Center to maintain, enhance and operate the current infrastructure and applications and incorporate new capabilities required to meet future mission requirements. This is accomplished by performing operations and maintenance, and intelligence production support to operate, maintain, modernize, extend the capabilities of, and utilize NASIC's current functional capabilities to include the Automated Virtual Information Production Support System. Work will be performed at Fairborn, Ohio, and is expected to be completed by Dec. 17, 2014. Fiscal 2014 operations and maintenance funds in the amount of $5,079,000 are being obligated at time of award. Air Force Research Laboratory/RIKE, Rome, N.Y., is the contracting activity.
*Small Business
Wednesday, December 18, 2013
TWO REAL INVESTORS PLEAD GUILTY FOR ROLES IN BID RIGGING REAL ESTATE FORECLOSURE AUCTIONS
FROM: U.S. JUSTICE DEPARTMENT
TWO NORTHERN CALIFORNIA REAL ESTATE INVESTORS AGREE TO PLEAD GUILTY TO BID RIGGING AT PUBLIC REAL ESTATE FORECLOSURE AUCTIONS
Investigation Has Yielded 40 Plea Agreements to Date
WASHINGTON — Two Northern California real estate investors have agreed to plead guilty for their roles in conspiracies to rig bids and commit mail fraud at public real estate foreclosure auctions in Northern California, the Department of Justice announced.
Felony charges were filed today in the U.S. District Court for the Northern District of California, in San Francisco, against Florence Fung of Sacramento, Calif, and Michael Navone of San Rafael, Calif. Fung and Navone are the 39th and 40th individuals to plead guilty or agree to plead guilty as a result of the department’s ongoing antitrust investigations into bid rigging and fraud at public real estate foreclosure auctions in Northern California.
According to court documents, Fung and Navone conspired with others, for various lengths of time between February 2009 and January 2011, not to bid against one another, but instead to designate a winning bidder to obtain selected properties at public real estate foreclosure auctions in San Mateo County. Fung and Navone also were charged with conspiring to use the mail to carry out schemes to fraudulently acquire title to selected properties sold at public auctions, to make and receive payoffs and to divert money to co-conspirators that would have gone to mortgage holders and others. Navone was also charged with participating in similar conspiracies in San Francisco County beginning as early as October 2009 until about January 2011.
“Instead of competing at real estate foreclosure auctions, the conspirators agreed not to bid against one another and determined among themselves who would submit the winning bid, stifling honest and fair competition,” said Bill Baer, Assistant Attorney General in charge of the Department of Justice’s Antitrust Division. “The Antitrust Division and its partners at the FBI continue to remain committed to holding accountable investors who attempt to subvert the competitiveness of the bidding process.”
The department said that the primary purpose of the conspiracies was to suppress and restrain competition and to conceal payoffs in order to obtain selected real estate offered at San Mateo and San Francisco county public foreclosure auctions at non-competitive prices. When real estate properties are sold at these auctions, the proceeds are used to pay off the mortgage and other debt attached to the property, with remaining proceeds, if any, paid to the homeowner. According to court documents, these conspirators paid and received money that otherwise would have gone to pay off the mortgage and other holders of debt secured by the properties, and, in some cases, the defaulting homeowner.
“The FBI continues to join the Antitrust Division in holding criminals accountable for bid rigging and fraudulent practices at public real estate foreclosure auctions,” said David J. Johnson, FBI Special Agent in Charge of the San Francisco Field Office. “Anticompetitive practices disrupt a fair marketplace and the FBI will investigate these types of crimes.”
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for the Sherman Act charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than $1 million. A count of conspiracy to commit mail fraud carries a maximum sentence of 30 years in prison and a $1 million fine. The government can also seek to forfeit the proceeds earned from participating in the conspiracy to commit mail fraud.
Today’s charges are the latest filed by the department in its ongoing investigation into bid rigging and fraud at public real estate foreclosure auctions in San Francisco, San Mateo, Contra Costa, and Alameda counties, Calif. These investigations are being conducted by the Antitrust Division’s San Francisco Office and the FBI’s San Francisco Office. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact the Antitrust Division’s San Francisco Office at 415-436-6660, visit www.justice.gov/atr/contact/newcase.html or call the FBI tip line at 415-553-7400.
Today’s charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ offices and state and local partners, it is the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants, including more than 2,900 mortgage fraud defendants.
TWO NORTHERN CALIFORNIA REAL ESTATE INVESTORS AGREE TO PLEAD GUILTY TO BID RIGGING AT PUBLIC REAL ESTATE FORECLOSURE AUCTIONS
Investigation Has Yielded 40 Plea Agreements to Date
WASHINGTON — Two Northern California real estate investors have agreed to plead guilty for their roles in conspiracies to rig bids and commit mail fraud at public real estate foreclosure auctions in Northern California, the Department of Justice announced.
Felony charges were filed today in the U.S. District Court for the Northern District of California, in San Francisco, against Florence Fung of Sacramento, Calif, and Michael Navone of San Rafael, Calif. Fung and Navone are the 39th and 40th individuals to plead guilty or agree to plead guilty as a result of the department’s ongoing antitrust investigations into bid rigging and fraud at public real estate foreclosure auctions in Northern California.
According to court documents, Fung and Navone conspired with others, for various lengths of time between February 2009 and January 2011, not to bid against one another, but instead to designate a winning bidder to obtain selected properties at public real estate foreclosure auctions in San Mateo County. Fung and Navone also were charged with conspiring to use the mail to carry out schemes to fraudulently acquire title to selected properties sold at public auctions, to make and receive payoffs and to divert money to co-conspirators that would have gone to mortgage holders and others. Navone was also charged with participating in similar conspiracies in San Francisco County beginning as early as October 2009 until about January 2011.
“Instead of competing at real estate foreclosure auctions, the conspirators agreed not to bid against one another and determined among themselves who would submit the winning bid, stifling honest and fair competition,” said Bill Baer, Assistant Attorney General in charge of the Department of Justice’s Antitrust Division. “The Antitrust Division and its partners at the FBI continue to remain committed to holding accountable investors who attempt to subvert the competitiveness of the bidding process.”
The department said that the primary purpose of the conspiracies was to suppress and restrain competition and to conceal payoffs in order to obtain selected real estate offered at San Mateo and San Francisco county public foreclosure auctions at non-competitive prices. When real estate properties are sold at these auctions, the proceeds are used to pay off the mortgage and other debt attached to the property, with remaining proceeds, if any, paid to the homeowner. According to court documents, these conspirators paid and received money that otherwise would have gone to pay off the mortgage and other holders of debt secured by the properties, and, in some cases, the defaulting homeowner.
“The FBI continues to join the Antitrust Division in holding criminals accountable for bid rigging and fraudulent practices at public real estate foreclosure auctions,” said David J. Johnson, FBI Special Agent in Charge of the San Francisco Field Office. “Anticompetitive practices disrupt a fair marketplace and the FBI will investigate these types of crimes.”
A violation of the Sherman Act carries a maximum penalty of 10 years in prison and a $1 million fine for individuals. The maximum fine for the Sherman Act charges may be increased to twice the gain derived from the crime or twice the loss suffered by the victims if either amount is greater than $1 million. A count of conspiracy to commit mail fraud carries a maximum sentence of 30 years in prison and a $1 million fine. The government can also seek to forfeit the proceeds earned from participating in the conspiracy to commit mail fraud.
Today’s charges are the latest filed by the department in its ongoing investigation into bid rigging and fraud at public real estate foreclosure auctions in San Francisco, San Mateo, Contra Costa, and Alameda counties, Calif. These investigations are being conducted by the Antitrust Division’s San Francisco Office and the FBI’s San Francisco Office. Anyone with information concerning bid rigging or fraud related to public real estate foreclosure auctions should contact the Antitrust Division’s San Francisco Office at 415-436-6660, visit www.justice.gov/atr/contact/newcase.html or call the FBI tip line at 415-553-7400.
Today’s charges were brought in connection with the President’s Financial Fraud Enforcement Task Force. The task force was established to wage an aggressive, coordinated and proactive effort to investigate and prosecute financial crimes. With more than 20 federal agencies, 94 U.S. Attorneys’ offices and state and local partners, it is the broadest coalition of law enforcement, investigatory and regulatory agencies ever assembled to combat fraud. Since its formation, the task force has made great strides in facilitating increased investigation and prosecution of financial crimes; enhancing coordination and cooperation among federal, state and local authorities; addressing discrimination in the lending and financial markets and conducting outreach to the public, victims, financial institutions and other organizations. Over the past three fiscal years, the Justice Department has filed nearly 10,000 financial fraud cases against nearly 15,000 defendants, including more than 2,900 mortgage fraud defendants.
W VIRGINIA AWARDED ADDITIONAL $242,000 GRANT FOR HURRICANE SANDY RELIEF
FROM: U.S. LABOR DEPARTMENT HURRICANE
West Virginia awarded additional funding by US Labor Department to assist with continuing recovery efforts following Hurricane Sandy
WASHINGTON — The U.S. Department of Labor today announced a $242,000 National Emergency Grant supplemental award to assist with the continuing cleanup and recovery efforts in the wake of heavy snowfall associated with Hurricane Sandy that affected north-central West Virginia between Oct. 29 and Nov. 8, 2012. The funds are being awarded to WorkForce West Virginia and will provide for the continuation of temporary employment for eligible individuals to assist with the cleanup of affected areas.
"West Virginia has made substantial progress in the recovery efforts; however, the devastating impact of Hurricane Sandy continues to linger," said Eric M. Seleznow, acting assistant secretary of labor for employment and training. "This funding will help with the continuing cleanup of several state parks, while also providing temporary work to those in need of employment."
On Nov. 27, 2012, the Federal Emergency Management Agency declared 18 West Virginia counties eligible for FEMA's Public Assistance Program, following damaged caused by heavy snowfall associated with Hurricane Sandy. This grant serves 5 of those 18 counties: Barbour, Preston, Tucker, Upshur and Webster.
The original National Emergency Grant was approved on Dec. 21, 2012, for $300,000, following the FEMA declaration. This supplemental funding brings the total funds awarded for this project to $542,000.
National Emergency Grants are part of the secretary of labor's discretionary fund and are awarded based on a state's ability to meet specific guidelines.
West Virginia awarded additional funding by US Labor Department to assist with continuing recovery efforts following Hurricane Sandy
WASHINGTON — The U.S. Department of Labor today announced a $242,000 National Emergency Grant supplemental award to assist with the continuing cleanup and recovery efforts in the wake of heavy snowfall associated with Hurricane Sandy that affected north-central West Virginia between Oct. 29 and Nov. 8, 2012. The funds are being awarded to WorkForce West Virginia and will provide for the continuation of temporary employment for eligible individuals to assist with the cleanup of affected areas.
"West Virginia has made substantial progress in the recovery efforts; however, the devastating impact of Hurricane Sandy continues to linger," said Eric M. Seleznow, acting assistant secretary of labor for employment and training. "This funding will help with the continuing cleanup of several state parks, while also providing temporary work to those in need of employment."
On Nov. 27, 2012, the Federal Emergency Management Agency declared 18 West Virginia counties eligible for FEMA's Public Assistance Program, following damaged caused by heavy snowfall associated with Hurricane Sandy. This grant serves 5 of those 18 counties: Barbour, Preston, Tucker, Upshur and Webster.
The original National Emergency Grant was approved on Dec. 21, 2012, for $300,000, following the FEMA declaration. This supplemental funding brings the total funds awarded for this project to $542,000.
National Emergency Grants are part of the secretary of labor's discretionary fund and are awarded based on a state's ability to meet specific guidelines.
SECRETARY OF STATE KERRY'S REMARKS WITH PHILIPPINE FOREIGN SECRETARY ROSARIO
FROM: U.S. STATE DEPARTMENT
Remarks With Philippine Foreign Secretary Albert del Rosario
John Kerry
Secretary of State
Secretary of State
Department of Foreign Affairs
Manila, Philippines
December 17, 2013
MODERATOR: Friends from the media, let us welcome the arrival of the Honorable Foreign Affairs Secretary Albert S. del Rosario and His Excellency, John F. Kerry, Secretary of State of the United States of America.
Ladies and gentlemen, the Honorable Foreign Affairs Secretary Albert S. del Rosario and His Excellency, John F. Kerry, Secretary of State of the United States of America, will now give their respective statements on the results of the bilateral meeting between the two countries.
Secretary del Rosario.
SECRETARY DEL ROSARIO: Good afternoon, ladies and gentlemen. It was my pleasure and privilege to have welcomed the Secretary of State John Kerry and his delegation to the Philippines. John, I’d like to take this opportunity to once again reiterate our deep appreciation for the tremendous assistance and support that we received in the aftermath of Yolanda in terms of expressions of sympathy, and of course the support which was huge, and included the search-and-rescue teams, relief operations, as well logistics, including 50 – over 50 aircraft and sea vessels. And this also reflected itself in terms of 1,000 U.S. soldiers and Marines on the ground who offered direct assistance and without a doubt helped to save many lives.
We are deeply moved by this, John, and I must say to you that we are very grateful, and I also received from the good Secretary the support for the Philippines in terms of the dauntless task that’s ahead for recovery and reconstruction for the Philippines.
Based on our shared history, our shared values, our shared aspirations, John, the Secretary and I continue to work incessantly on promoting the various dimensions of our bilateral relations that extend from political to defense and security, to economic cooperation, to regional and global concerns. We discussed on how we would elevate our alliance to another level, and this came in the form of the framework on increased rotational presence which we are currently negotiating. We discussed the ways on which we will be able to address transnational threats. We discussed how we would address counterterrorism, the securing of our maritime borders. And this is receiving a significant boost from the Global Security Fund that has been made available to us, which essentially assists our coast guard and as well our PNP, Philippine National Police.
We discussed to a large extent economic cooperation, how this will be expanded, and what areas we’re moving towards. We discussed the TPP. We discussed, for example, the Partners For Growth, Millennium Challenge, how that’s progressing. And we looked at this in terms of how we can be helpful to good governance, to inclusive growth, and to (inaudible).
We discussed as well the WPS, our favorite topic, and the ADIZ, and of course the elements on freedom of navigation and of course adherence to the rule of law. We discussed other topics and – which are of mutual interest. And finally, we reiterated the commitment that we will continue to work towards a more effective partnership and as well a closer friendship.
So thank you, Mr. Secretary. Thank you, everyone.
SECRETARY KERRY: Well, thank you very much, Albert. Mangandang hapon. Good afternoon, everybody. I’m very happy to be here. And I want to thank my good friend, Foreign Secretary Albert del Rosario. He is always very generous in his relationships with us, and especially in his welcome to me. We have met now on the side of meetings in Brunei, in Bali, and we have met in Washington, and now I have an opportunity to be able to come here back to Manila. And I’m very, very pleased to be here with you, Albert. I very much look forward later this evening to meeting with President Aquino at the Malacanang Palace.
And for me, it really is a special pleasure to be able to be back in Manila. First of all, there’s such a great energy in the Philippines today. The economy of the Philippines over the course of the last year has been one of the fastest growing in the world. And I know having my previous visit canceled because of a typhoon, a storm, I’m particularly grateful that President Aquino and Foreign Secretary del Rosario gave me the forbearance to be able to reschedule. I said I would come before the end of the year, and I’m glad that I am here before the end of the year.
I have really always marveled at the amazing spirit of the Filipino people, and I’ve come to know it. I know something about it. First of all, we obviously, all of us in the world, marvel at the remarkable resilience and strength of the Filipino people in responding to the terrible devastation of Typhoon Yolanda. Mr. Secretary, the world has seen your strength and the strength of your people, and we admire it.
Since the typhoon hit, I’m proud to say that the United States has worked very, very closely with our partners in the Philippines. And I’m very grateful on behalf of the American people to Secretary del Rosario for his comments of thanks. The American people are proud to help, and the American people, I think, take great pride in the fact that there is a spirit in our country of helping those in distress, but also there is a special affection for the Philippines. We have been tied together for a long time, and in our meeting today, I reassured the Foreign Secretary of the United States’ commitment to stand by the Philippines as they go through the process now of the recovery and the reconstruction.
We have a long tradition of working together on these kinds of things, from countering extremism to strengthening our economic ties, our maritime security, to fighting poverty and creating the conditions for broad-based prosperity and growth. One of the most enduring aspects of our legacy, our partnership, are the binding ties, the personal ties, between our people. More than 300,000 American citizens live in the Philippines, and nearly four million people of Filipino origin live in the United States and contribute in so many ways to America’s diverse cultural heritage.
I’ve had personal connections to the Philippines for a long period of time, but most recently in 1986, I became involved as a young senator in the effort to have an accountable election when President Marcos called a snap election, and to make certain that democracy was restored in the Philippines. I worked with then-to-become President Cory Aquino and with NAMFREL and others, and I’m proud that during that period of time, I got to travel around the Philippines and see people voting. I will never forget being in Danao and then later up here in Manila and watching people stand, thousands at a time in line, for the privilege of voting, of having their fingers stamped and their thumbs, and of standing in the hot sun in order to make democracy work. It was inspiring. And I’ll never forget the look on the faces of people who were voting for the first time, and the yellow shirts and waving their pro-democracy banners. The courage of the Filipino people then lit a spark that actually traveled around the world, and it inspired not just a young freshman senator from Massachusetts, but it inspired popular movements from Eastern Europe to Burma.
The United States is proud of the rich history that we share and our enduring alliance with the Philippines, which is an important democracy and one of America’s key treaty allies in the dynamic Asia Pacific region, one of our five allies. As the foreign secretary and I discussed today, the United States is committed to working with the Philippines to address its most pressing security challenges. That’s why we are negotiating a strong and enduring framework agreement that would enhance defense cooperation under our alliance, including through an increased rotational presence of U.S. forces in Philippines. And that’s why we have committed $40 million for a new initiative to improve the Philippines’s maritime security and maritime domain awareness.
That’s also why we support efforts to reduce tensions surrounding the territorial and maritime disputes in the South China Sea in two important ways – first, we strongly support ASEAN’s efforts with China to move quickly to conclude a code of conduct as a key to reducing the risk of accidents or miscalculation. In that process, we think that claimants have a responsibility to clarify their claims and to align their claims with international law. That is the way to proceed in resolving any disputes over the South China Sea – peacefully, and with international law.
Second, we support internationally recognized dispute resolution mechanisms such as those that are provided in the Law of the Sea Convention. The United States strongly opposes the use of intimidation, coercion, or aggression to advance territorial claims. And I assured the foreign secretary that the United States remains firmly committed to the security of the Philippines and the region. Today, I raised our deep concerns about China’s announcement of an East China Sea Air Defense Identification Zone. I told the foreign secretary that the United States does not recognize that zone and does not accept it. The zone should not be implemented, and China should refrain from taking similar unilateral actions elsewhere in the region, and particularly over the South China Sea.
I am also pleased to announce that the United States and the Philippines have negotiated an MOU to cooperate in the restoration, operation, and maintenance of Clark Veterans Cemetery. This agreement is not just another piece of paper. It’s about upholding a sacred promise to honor those who served and sacrificed on all of our behalf. So I am enormously gratified that we are ensuring that the 8,600 Americans and Filipinos who are buried on the hallow grounds of that cemetery will receive the respect and the dignity that they deserve. And I might add I was honored today to lay a wreath at the cemetery here in Manila where some 17,201 American and Filipino men and women are buried from World War II. That is the largest cemetery in which Americans are buried from World War II, and it is a remarkable place and it is a humbling tribute to the links between us in our struggle for freedom and for democracy and for dignity.
The United States is also one of the Philippines largest trading partners in Asia. Last year, $22 billion crossed between us in two-way trade. So we look forward to working with the Philippines to further deepen our trade relationship, understanding that this benefits both of us, that it creates jobs in America, in the Philippines – puts people to work, it raises the standard of living, but it also raises the standard of doing business, and that works for everybody.
So we discussed today the possibilities of the Philippines interest in joining the Trans-Pacific Partnership, which is a trade pact that will raise standards and increase broad-based sustainable economic growth throughout the region. And we will be welcoming an initial team to engage with us in early January to have technical discussions regarding this possibility.
All of you know that the Philippines is, of course, an ASEAN state. And the Philippines participation in the U.S.-ASEAN Expanded Economic Engagement Initiative is helping to strengthen the relationship of 10 countries of ASEAN, and lay the groundwork for these nations’ future participation in high-standard agreements such as the TPP. Nearly three decades ago, an unassuming political novice, courageous leader by the name of Corazon Aquino rose to the presidency on the top of a wave called People Power.
Just as the United States did then, today we will stand ready to be a partner in helping the Filipino people realize their full promise. As we meet today’s challenges and chart a path forward together, we draw strength from the principle of the foundation of our shared history, and we look forward to strengthening our relationship by bringing you the greetings of President Obama, who looks forward to coming to the region in the spring of next year, and we will continue to be present and accounted for in our relationships and in our efforts in this region.
Thank you, Mr. Secretary.
MODERATOR: Now, Secretary del Rosario and Secretary Kerry are ready to take a few questions from our media friends.
Manny, please.
QUESTION: Good afternoon, sirs. Manny Mogado from Reuters. You mentioned two developments in the South China Sea and the East China Sea – the ADIZ and the new condition of American warship with the Chinese warship. May we know what America is seeking from China, from the certain set of operational norms or rules, to (inaudible) this? And how soon can the two sides settle this issue to avoid miscalculation and accidents?
And can we ask Secretary del Rosario to comment on the issue since there’s a rising tension between China and the U.S., and there’s (inaudible) increased rotational presence of U.S. forces in the Philippines. Is the Philippines concerned about these developments? And what are our – what do we see? How can we be affected by this?
And my second part of the question is on the TPP. You said that there would be a technical team coming to the U.S. next month. How far can we go from here, since the Philippines has yet to amend its constitution to open up its economy? Thank you.
MODERATOR: Secretary Kerry.
SECRETARY KERRY: Well, with respect to China, let me make it very clear. We don’t view the situation as one of rising tensions. That is not the way we view this, and we don’t want rising tensions, and we’re not looking to do anything except continue a process that President Obama initiated a number of years ago when he began the rebalance to Asia. And what we are involved in are normal processes by which we work with other countries in order to raise their maritime protection capacity. We all have interests in preventing smuggling and preventing terrorism and patrolling our borders and so forth.
So we’re not suggesting that we’re doing something out of the ordinary here. We don’t want anything except a rule-of-law approach to the resolution of any issues and conflicts. So when you say what do we want from China, we would hope to continue to work closely with China, as we are on North Korea and other issues – trade and so forth – in an effort to try to resolve these kinds of differences or questions in a peaceful way. We believe there is a structure that exists – the Law of the Sea structure, an arbitration process. We have not taken a position on the particular claims asserted by anybody. We have taken a position on the way that we think they should be resolved. So we support arbitration and we support rule of law. We do not support unilateral actions that have the impact of being provocative and raising the temperature and potential conflict.
So we are not approaching this with any particular view towards China except to say when China makes a unilateral move, we will state our position and make clear what we agree or disagree with, and that’s what we’ve done with respect to the ADIZ. We do not accept it. We think it is – there’s a way to approach it. A country has a right to establish an ADIZ. But it has to be done through a process of consultation, work with the International Aviation Organization, and in a way that other nations are consulted and work with it. And we think that’s the best way to proceed, and I think most countries in the world believe that’s the best way to proceed.
With respect to the TPP and how far can you go, that’s really a decision that the Philippines has to make. We’re here to talk about the possibilities. Your leaders will have to make their own judgments about those possibilities. And we encourage a robust debate. People may see benefits, they may see downsides, and it’s up to your leadership. We’re not going to presume to tell you what you ought to do or suggest anything, but we do think there are benefits in this agreement, and we hope the Philippines will see the benefits and want to seize them. It is completely up to your leaders to make their decisions about where to go.
MODERATOR: Secretary del Rosario.
SECRETARY DEL ROSARIO: I think on the ADIZ, we had stated an official position as far as China’s establishment of an ADIZ over the East China Sea. Our position was the – China, in doing this, effectively is attempting to transform an air zone into its own domestic airspace, and we think that this is – could lead to compromising freedom of flight in terms of civil aviation. It could also compromise, we believe, safety of and security of the affected nations.
We have called on China to ensure that their actions are not – do not jeopardize the regional security and stability, and we have actually taken the position that – of greater concern, we believe, are the announcements being made by the spokesperson of China and the Chinese ambassador to the Philippines that they will consider ADIZs in other areas in due course. Now, that, for us, is – it will be a problem if it is something that involves the South China Sea.
As far as the TPP is concerned, the president is – I believe is – would like us to positively explore to what extent we can participate, and the U.S. has offered guidance, and we are accepting that offer. And as a matter of fact, we have been meeting with USTR, and there is a technical consultation that will take place in January.
MODERATOR: Thank you, Manny.
Indira.
QUESTION: Thank you. Indira Lakshmanan from Bloomberg News. First question is for Secretary del Rosario and also if Secretary Kerry can add anything to it. Japan has announced its new defense security strategy passed today by the Abe government, and China was quick to denounce it. Do you think that China’s concerns are overblown, or is – or has Japan not even gone far enough in expanding its military considering the constraints? If both of you could address that.
And then Secretary Kerry, on Syria, can you confirm that the U.S. is talking to the Islamic Front? And there were reports that the Islamic Front actually walked out of that meeting today. What do you hope to achieve by it? And also, your close colleague, the French Foreign Minister Fabius, has said that he’s pessimistic about the Geneva II conference actually happening. To get your thoughts on that?
MODERATOR: Secretary del Rosario.
SECRETARY DEL ROSARIO: Yeah. I’m afraid I’ll have to beg for your understanding and pass up that question. I’ve not been briefed on that. That happened this morning, you said. Once I take a look and come to a position, I will send you an email.
MODERATOR: Secretary Kerry.
SECRETARY KERRY: Well, as many of you know, the United States and Japan had what we call a 2+2 meeting a couple of months ago – 2+2 meaning both the Defense Secretary and the Secretary of State, their foreign minister, and their defense secretary, both of us meeting – and we met in Tokyo. And there, we laid out a plan going well into the future. It’s a joint vision of Japan-U.S. cooperation in terms of security for the region and elsewhere. Japan is increasingly playing a responsible, important role in terms of humanitarian assistance, peacekeeping – engagement in seeking peace, the Palestinian-Israeli issue, other issues.
And so our belief is that with respect to the participation in the overall challenges of this region, Japan has an ability to play an increasingly more modern and engaged role. This is something that we have been working on and they have been planning for some period of time. So again, this is not a sudden response to something or anything that anybody should get particularly upset about. It seems to me that we’re only talking about constructive efforts within internationally accepted frameworks, and for peaceful and appropriate purposes. And it is yet to be determined exactly what that role will be or exactly where they will go, but they have an ability to be able to participate more, and we welcome that in the context of our strategic thinking and in terms of our 2+2 engagement. So that is really a reflection, I think, of a path that we’ve been talking about for some period of time, what happened earlier today.
With respect to Syria, the Islamic Front, and Geneva II, the United States has not met yet to date with the Islamic Front. There has not been a discussion, but it’s possible that it could take place. There is an effort afoot among all of the supporter nations of the Syrian opposition, the moderate opposition, to want to broaden the base of moderate opposition and to broaden the base of representation of the Syrian people in the Geneva II negotiation. So there will be some discussions that the UN, Lakhdar Brahimi, the special envoy, and we and others – the UK, France, others in the region – will engage in, in order to make sure that the delegation that goes to Geneva will be as broadly representative as possible of the legitimate oppositionists who could be acceptable at that table. That obviously does not include the radical extremists and the worst elements that are to some degree on the ground.
With respect to Foreign Minister Fabius’s comments, I would just say that we continue to work very, very hard to aim towards Geneva II and the conference. And the reason is very simple – what is the alternative? There’s no alternative other than continued fighting, continued destruction, continued growth in the refugee population, continued potential disintegration of a whole country, and the continued increase of the numbers of radical extremists who are appearing on the scene to fill the void. That is dangerous. We have no choice but to push towards a Geneva conference.
Now, whether it happens, I believe that it can take place in January, but it’s – nobody’s ever suggested it’s going to be easy. Nobody ever suggested that this path is going to suddenly just happen like that and is going to produce an outcome. It is very difficult and it’s not going to happen that rapidly. But the alternative is far worse than fighting to get to the table to have a negotiation and have a negotiated resolution. And I will continue to push for that as well as others because we believe that’s the only solution to the problem of Syria. And so we must find a way to get to that negotiation. Whether it’s difficult or not or whether it has got big hurdles in front of it or not, there is no better alternative than trying to do that.
MODERATOR: Thank you. Next question, Tarra. This is the second to the last question.
QUESTION: Hi, good afternoon, sirs. I’m Tarra from the Philippine Daily Inquirer. Sir, the international community has repeatedly called for sovereignty and rule of law as regards to the situation in South China Sea. But it seems that China has repeatedly taken activities viewed as alarming or provocative, like the ADIZ and the refusal to take part in arbitration. Where do you think is the situation headed, and is there a tipping point, if any at all?
SECRETARY KERRY: Well, I think what’s important, folks, is to lower the intensity, avoid the provocations, work through international law, and for the claimants to stay united and to press international law as the means of resolving this. In my judgment, that is the best way to proceed. And I hope that ultimately, our – that the leaders in China will see the wisdom of engaging in that activity to work through any claims in those institutions and through those laws that were set up specifically to resolve those kinds of claims.
In this day and age, we should be long past the time of unilateral assertion and of coercion as a means of trying to back up that assertion. So our hope is that the parties will come together, continue to proceed through arbitration and international law, and I’m confident that that can ultimately resolve these kinds of questions. And I think we have to have faith in that kind of process. The United States will stand with our friends in this region who are asserting their efforts to try to resolve this through that kind of legal peaceful process. We think that’s the responsible way to proceed, and that’s what the United States will continue to support.
MODERATOR: The last question will come from Keith.
QUESTION: Keith Bradsher, The New York Times. There’s been talk in the Philippines of climate justice following Typhoon Haiyan or Typhoon Yolanda. Do you see the typhoon as a warning of further super-storms? And if it is, does the United States have a moral and/or financial obligation to provide assistance to the extent of its historical carbon emissions? Thank you.
MODERATOR: Secretary del Rosario.
SECRETARY DEL ROSARIO: Well, I think it has been said that the intensity of and force of Typhoon Yolanda could (inaudible) the expectation in the future that possibly Yolanda could be the norm. So I think that climate change should be such. This is, of course, a threat that we must address, and I think every country on its own must be prepared to address the expectation that Yolanda is not a once in a lifetime, that it may happen again. And that’s why the president has come up with a national plan for reconstruction that will actually be unveiled tomorrow.
And the plan calls for a – not only a build back, but a build back better so that we can enable ourselves to be in a position to withstand similar threats in terms of natural catastrophes. I think each country has got to make provisions for itself, and I think the community of nations hopefully will come to the assistance of nations that are – that suffer this misfortune. That’s – we are a village, a global village, and I think we need to help one another. And natural catastrophes do not choose whether you’re a wealthy country or a poor country. I think that is the reality of what’s happening.
And we are – of course, we’ve reached a point in Yolanda where we’re realizing that the outpouring of support, the overwhelming support we’ve received from the international community, is something that we did not expect. And so we see in our neighbors, in the rest of the global community, we see a face of kindness and a spirit of generosity, and we’re ultimately very grateful for that.
MODERATOR: Secretary Kerry.
SECRETARY KERRY: I’ve been involved in this issue since the 1980s, and I believe in the science of climate change. I believe the scientists who tell us that it is happening, that human beings are contributing to it – a significant cause of the increase of emissions which is creating major changes across the planet. And the scientists predict that we will see massive changes in agriculture, in ecosystems, in fisheries, in water supplies, food security, increased heat, fires, and intensity in storms.
Now, having said everything I just said, science cannot prove that Typhoon Yolanda was specifically the result of climate change. It is not possible to make that direct linkage at this point in time, even though they are predicting greater intensity of storms, but over time a pattern will evolve, and that may become more determinative.
Nevertheless, what we face today is sufficient to say that developed nations in the world need to take the lead in order to reduce emissions and begin to deal with this problem that lots of nations, like the Pacific Islands and others who haven’t caused anything, are feeling the consequences of. That is why we have a major emitters forum of the top 20 emitting countries who are working towards taking steps both of mitigation and prevention.
And President Obama has taken the initiative to put in place a climate action plan in the United States, and is trying to achieve by administrative effort what he cannot get through the United States Congress. And we have taken strong measures on automobile efficiency, new standards for tailpipes on power generation, new power plants, and other things. So we are responding.
We have also responded by trying to help other countries to be able to develop their energy programs, to use USAID for clean and alternative energy and renewable energy and other kinds of programs, as well as to engage in some planning for mitigation and to help other countries to be able to do it. Now, what the levels ought to be is going to be subject to a hot and heavy political debate, obviously. But it is clear that this issue is growing in consequence and importance, and it requires governments all over the world to push towards the next Conference of the Parties that will take place under the UN in order to try to come to an agreement about how we are going to avoid the worst consequences of what has already been put into play.
So President Obama and the United States recognize – at least this Administration recognizes and many senators and congressmen join them – in recognizing a responsibility to try to help deal with this. But there is no yet agreed-upon process by which people will actually implement that, and that is really the fight and struggle over the course of the next Conference of the Parties and the future.
MODERATOR: Thank you, Secretary Kerry and Secretary del Rosario. Ladies and gentlemen, that ends our joint press conference.
Ladies and gentlemen, the Honorable Foreign Affairs Secretary Albert S. del Rosario and His Excellency, John F. Kerry, Secretary of State of the United States of America, will now give their respective statements on the results of the bilateral meeting between the two countries.
Secretary del Rosario.
SECRETARY DEL ROSARIO: Good afternoon, ladies and gentlemen. It was my pleasure and privilege to have welcomed the Secretary of State John Kerry and his delegation to the Philippines. John, I’d like to take this opportunity to once again reiterate our deep appreciation for the tremendous assistance and support that we received in the aftermath of Yolanda in terms of expressions of sympathy, and of course the support which was huge, and included the search-and-rescue teams, relief operations, as well logistics, including 50 – over 50 aircraft and sea vessels. And this also reflected itself in terms of 1,000 U.S. soldiers and Marines on the ground who offered direct assistance and without a doubt helped to save many lives.
We are deeply moved by this, John, and I must say to you that we are very grateful, and I also received from the good Secretary the support for the Philippines in terms of the dauntless task that’s ahead for recovery and reconstruction for the Philippines.
Based on our shared history, our shared values, our shared aspirations, John, the Secretary and I continue to work incessantly on promoting the various dimensions of our bilateral relations that extend from political to defense and security, to economic cooperation, to regional and global concerns. We discussed on how we would elevate our alliance to another level, and this came in the form of the framework on increased rotational presence which we are currently negotiating. We discussed the ways on which we will be able to address transnational threats. We discussed how we would address counterterrorism, the securing of our maritime borders. And this is receiving a significant boost from the Global Security Fund that has been made available to us, which essentially assists our coast guard and as well our PNP, Philippine National Police.
We discussed to a large extent economic cooperation, how this will be expanded, and what areas we’re moving towards. We discussed the TPP. We discussed, for example, the Partners For Growth, Millennium Challenge, how that’s progressing. And we looked at this in terms of how we can be helpful to good governance, to inclusive growth, and to (inaudible).
We discussed as well the WPS, our favorite topic, and the ADIZ, and of course the elements on freedom of navigation and of course adherence to the rule of law. We discussed other topics and – which are of mutual interest. And finally, we reiterated the commitment that we will continue to work towards a more effective partnership and as well a closer friendship.
So thank you, Mr. Secretary. Thank you, everyone.
SECRETARY KERRY: Well, thank you very much, Albert. Mangandang hapon. Good afternoon, everybody. I’m very happy to be here. And I want to thank my good friend, Foreign Secretary Albert del Rosario. He is always very generous in his relationships with us, and especially in his welcome to me. We have met now on the side of meetings in Brunei, in Bali, and we have met in Washington, and now I have an opportunity to be able to come here back to Manila. And I’m very, very pleased to be here with you, Albert. I very much look forward later this evening to meeting with President Aquino at the Malacanang Palace.
And for me, it really is a special pleasure to be able to be back in Manila. First of all, there’s such a great energy in the Philippines today. The economy of the Philippines over the course of the last year has been one of the fastest growing in the world. And I know having my previous visit canceled because of a typhoon, a storm, I’m particularly grateful that President Aquino and Foreign Secretary del Rosario gave me the forbearance to be able to reschedule. I said I would come before the end of the year, and I’m glad that I am here before the end of the year.
I have really always marveled at the amazing spirit of the Filipino people, and I’ve come to know it. I know something about it. First of all, we obviously, all of us in the world, marvel at the remarkable resilience and strength of the Filipino people in responding to the terrible devastation of Typhoon Yolanda. Mr. Secretary, the world has seen your strength and the strength of your people, and we admire it.
Since the typhoon hit, I’m proud to say that the United States has worked very, very closely with our partners in the Philippines. And I’m very grateful on behalf of the American people to Secretary del Rosario for his comments of thanks. The American people are proud to help, and the American people, I think, take great pride in the fact that there is a spirit in our country of helping those in distress, but also there is a special affection for the Philippines. We have been tied together for a long time, and in our meeting today, I reassured the Foreign Secretary of the United States’ commitment to stand by the Philippines as they go through the process now of the recovery and the reconstruction.
We have a long tradition of working together on these kinds of things, from countering extremism to strengthening our economic ties, our maritime security, to fighting poverty and creating the conditions for broad-based prosperity and growth. One of the most enduring aspects of our legacy, our partnership, are the binding ties, the personal ties, between our people. More than 300,000 American citizens live in the Philippines, and nearly four million people of Filipino origin live in the United States and contribute in so many ways to America’s diverse cultural heritage.
I’ve had personal connections to the Philippines for a long period of time, but most recently in 1986, I became involved as a young senator in the effort to have an accountable election when President Marcos called a snap election, and to make certain that democracy was restored in the Philippines. I worked with then-to-become President Cory Aquino and with NAMFREL and others, and I’m proud that during that period of time, I got to travel around the Philippines and see people voting. I will never forget being in Danao and then later up here in Manila and watching people stand, thousands at a time in line, for the privilege of voting, of having their fingers stamped and their thumbs, and of standing in the hot sun in order to make democracy work. It was inspiring. And I’ll never forget the look on the faces of people who were voting for the first time, and the yellow shirts and waving their pro-democracy banners. The courage of the Filipino people then lit a spark that actually traveled around the world, and it inspired not just a young freshman senator from Massachusetts, but it inspired popular movements from Eastern Europe to Burma.
The United States is proud of the rich history that we share and our enduring alliance with the Philippines, which is an important democracy and one of America’s key treaty allies in the dynamic Asia Pacific region, one of our five allies. As the foreign secretary and I discussed today, the United States is committed to working with the Philippines to address its most pressing security challenges. That’s why we are negotiating a strong and enduring framework agreement that would enhance defense cooperation under our alliance, including through an increased rotational presence of U.S. forces in Philippines. And that’s why we have committed $40 million for a new initiative to improve the Philippines’s maritime security and maritime domain awareness.
That’s also why we support efforts to reduce tensions surrounding the territorial and maritime disputes in the South China Sea in two important ways – first, we strongly support ASEAN’s efforts with China to move quickly to conclude a code of conduct as a key to reducing the risk of accidents or miscalculation. In that process, we think that claimants have a responsibility to clarify their claims and to align their claims with international law. That is the way to proceed in resolving any disputes over the South China Sea – peacefully, and with international law.
Second, we support internationally recognized dispute resolution mechanisms such as those that are provided in the Law of the Sea Convention. The United States strongly opposes the use of intimidation, coercion, or aggression to advance territorial claims. And I assured the foreign secretary that the United States remains firmly committed to the security of the Philippines and the region. Today, I raised our deep concerns about China’s announcement of an East China Sea Air Defense Identification Zone. I told the foreign secretary that the United States does not recognize that zone and does not accept it. The zone should not be implemented, and China should refrain from taking similar unilateral actions elsewhere in the region, and particularly over the South China Sea.
I am also pleased to announce that the United States and the Philippines have negotiated an MOU to cooperate in the restoration, operation, and maintenance of Clark Veterans Cemetery. This agreement is not just another piece of paper. It’s about upholding a sacred promise to honor those who served and sacrificed on all of our behalf. So I am enormously gratified that we are ensuring that the 8,600 Americans and Filipinos who are buried on the hallow grounds of that cemetery will receive the respect and the dignity that they deserve. And I might add I was honored today to lay a wreath at the cemetery here in Manila where some 17,201 American and Filipino men and women are buried from World War II. That is the largest cemetery in which Americans are buried from World War II, and it is a remarkable place and it is a humbling tribute to the links between us in our struggle for freedom and for democracy and for dignity.
The United States is also one of the Philippines largest trading partners in Asia. Last year, $22 billion crossed between us in two-way trade. So we look forward to working with the Philippines to further deepen our trade relationship, understanding that this benefits both of us, that it creates jobs in America, in the Philippines – puts people to work, it raises the standard of living, but it also raises the standard of doing business, and that works for everybody.
So we discussed today the possibilities of the Philippines interest in joining the Trans-Pacific Partnership, which is a trade pact that will raise standards and increase broad-based sustainable economic growth throughout the region. And we will be welcoming an initial team to engage with us in early January to have technical discussions regarding this possibility.
All of you know that the Philippines is, of course, an ASEAN state. And the Philippines participation in the U.S.-ASEAN Expanded Economic Engagement Initiative is helping to strengthen the relationship of 10 countries of ASEAN, and lay the groundwork for these nations’ future participation in high-standard agreements such as the TPP. Nearly three decades ago, an unassuming political novice, courageous leader by the name of Corazon Aquino rose to the presidency on the top of a wave called People Power.
Just as the United States did then, today we will stand ready to be a partner in helping the Filipino people realize their full promise. As we meet today’s challenges and chart a path forward together, we draw strength from the principle of the foundation of our shared history, and we look forward to strengthening our relationship by bringing you the greetings of President Obama, who looks forward to coming to the region in the spring of next year, and we will continue to be present and accounted for in our relationships and in our efforts in this region.
Thank you, Mr. Secretary.
MODERATOR: Now, Secretary del Rosario and Secretary Kerry are ready to take a few questions from our media friends.
Manny, please.
QUESTION: Good afternoon, sirs. Manny Mogado from Reuters. You mentioned two developments in the South China Sea and the East China Sea – the ADIZ and the new condition of American warship with the Chinese warship. May we know what America is seeking from China, from the certain set of operational norms or rules, to (inaudible) this? And how soon can the two sides settle this issue to avoid miscalculation and accidents?
And can we ask Secretary del Rosario to comment on the issue since there’s a rising tension between China and the U.S., and there’s (inaudible) increased rotational presence of U.S. forces in the Philippines. Is the Philippines concerned about these developments? And what are our – what do we see? How can we be affected by this?
And my second part of the question is on the TPP. You said that there would be a technical team coming to the U.S. next month. How far can we go from here, since the Philippines has yet to amend its constitution to open up its economy? Thank you.
MODERATOR: Secretary Kerry.
SECRETARY KERRY: Well, with respect to China, let me make it very clear. We don’t view the situation as one of rising tensions. That is not the way we view this, and we don’t want rising tensions, and we’re not looking to do anything except continue a process that President Obama initiated a number of years ago when he began the rebalance to Asia. And what we are involved in are normal processes by which we work with other countries in order to raise their maritime protection capacity. We all have interests in preventing smuggling and preventing terrorism and patrolling our borders and so forth.
So we’re not suggesting that we’re doing something out of the ordinary here. We don’t want anything except a rule-of-law approach to the resolution of any issues and conflicts. So when you say what do we want from China, we would hope to continue to work closely with China, as we are on North Korea and other issues – trade and so forth – in an effort to try to resolve these kinds of differences or questions in a peaceful way. We believe there is a structure that exists – the Law of the Sea structure, an arbitration process. We have not taken a position on the particular claims asserted by anybody. We have taken a position on the way that we think they should be resolved. So we support arbitration and we support rule of law. We do not support unilateral actions that have the impact of being provocative and raising the temperature and potential conflict.
So we are not approaching this with any particular view towards China except to say when China makes a unilateral move, we will state our position and make clear what we agree or disagree with, and that’s what we’ve done with respect to the ADIZ. We do not accept it. We think it is – there’s a way to approach it. A country has a right to establish an ADIZ. But it has to be done through a process of consultation, work with the International Aviation Organization, and in a way that other nations are consulted and work with it. And we think that’s the best way to proceed, and I think most countries in the world believe that’s the best way to proceed.
With respect to the TPP and how far can you go, that’s really a decision that the Philippines has to make. We’re here to talk about the possibilities. Your leaders will have to make their own judgments about those possibilities. And we encourage a robust debate. People may see benefits, they may see downsides, and it’s up to your leadership. We’re not going to presume to tell you what you ought to do or suggest anything, but we do think there are benefits in this agreement, and we hope the Philippines will see the benefits and want to seize them. It is completely up to your leaders to make their decisions about where to go.
MODERATOR: Secretary del Rosario.
SECRETARY DEL ROSARIO: I think on the ADIZ, we had stated an official position as far as China’s establishment of an ADIZ over the East China Sea. Our position was the – China, in doing this, effectively is attempting to transform an air zone into its own domestic airspace, and we think that this is – could lead to compromising freedom of flight in terms of civil aviation. It could also compromise, we believe, safety of and security of the affected nations.
We have called on China to ensure that their actions are not – do not jeopardize the regional security and stability, and we have actually taken the position that – of greater concern, we believe, are the announcements being made by the spokesperson of China and the Chinese ambassador to the Philippines that they will consider ADIZs in other areas in due course. Now, that, for us, is – it will be a problem if it is something that involves the South China Sea.
As far as the TPP is concerned, the president is – I believe is – would like us to positively explore to what extent we can participate, and the U.S. has offered guidance, and we are accepting that offer. And as a matter of fact, we have been meeting with USTR, and there is a technical consultation that will take place in January.
MODERATOR: Thank you, Manny.
Indira.
QUESTION: Thank you. Indira Lakshmanan from Bloomberg News. First question is for Secretary del Rosario and also if Secretary Kerry can add anything to it. Japan has announced its new defense security strategy passed today by the Abe government, and China was quick to denounce it. Do you think that China’s concerns are overblown, or is – or has Japan not even gone far enough in expanding its military considering the constraints? If both of you could address that.
And then Secretary Kerry, on Syria, can you confirm that the U.S. is talking to the Islamic Front? And there were reports that the Islamic Front actually walked out of that meeting today. What do you hope to achieve by it? And also, your close colleague, the French Foreign Minister Fabius, has said that he’s pessimistic about the Geneva II conference actually happening. To get your thoughts on that?
MODERATOR: Secretary del Rosario.
SECRETARY DEL ROSARIO: Yeah. I’m afraid I’ll have to beg for your understanding and pass up that question. I’ve not been briefed on that. That happened this morning, you said. Once I take a look and come to a position, I will send you an email.
MODERATOR: Secretary Kerry.
SECRETARY KERRY: Well, as many of you know, the United States and Japan had what we call a 2+2 meeting a couple of months ago – 2+2 meaning both the Defense Secretary and the Secretary of State, their foreign minister, and their defense secretary, both of us meeting – and we met in Tokyo. And there, we laid out a plan going well into the future. It’s a joint vision of Japan-U.S. cooperation in terms of security for the region and elsewhere. Japan is increasingly playing a responsible, important role in terms of humanitarian assistance, peacekeeping – engagement in seeking peace, the Palestinian-Israeli issue, other issues.
And so our belief is that with respect to the participation in the overall challenges of this region, Japan has an ability to play an increasingly more modern and engaged role. This is something that we have been working on and they have been planning for some period of time. So again, this is not a sudden response to something or anything that anybody should get particularly upset about. It seems to me that we’re only talking about constructive efforts within internationally accepted frameworks, and for peaceful and appropriate purposes. And it is yet to be determined exactly what that role will be or exactly where they will go, but they have an ability to be able to participate more, and we welcome that in the context of our strategic thinking and in terms of our 2+2 engagement. So that is really a reflection, I think, of a path that we’ve been talking about for some period of time, what happened earlier today.
With respect to Syria, the Islamic Front, and Geneva II, the United States has not met yet to date with the Islamic Front. There has not been a discussion, but it’s possible that it could take place. There is an effort afoot among all of the supporter nations of the Syrian opposition, the moderate opposition, to want to broaden the base of moderate opposition and to broaden the base of representation of the Syrian people in the Geneva II negotiation. So there will be some discussions that the UN, Lakhdar Brahimi, the special envoy, and we and others – the UK, France, others in the region – will engage in, in order to make sure that the delegation that goes to Geneva will be as broadly representative as possible of the legitimate oppositionists who could be acceptable at that table. That obviously does not include the radical extremists and the worst elements that are to some degree on the ground.
With respect to Foreign Minister Fabius’s comments, I would just say that we continue to work very, very hard to aim towards Geneva II and the conference. And the reason is very simple – what is the alternative? There’s no alternative other than continued fighting, continued destruction, continued growth in the refugee population, continued potential disintegration of a whole country, and the continued increase of the numbers of radical extremists who are appearing on the scene to fill the void. That is dangerous. We have no choice but to push towards a Geneva conference.
Now, whether it happens, I believe that it can take place in January, but it’s – nobody’s ever suggested it’s going to be easy. Nobody ever suggested that this path is going to suddenly just happen like that and is going to produce an outcome. It is very difficult and it’s not going to happen that rapidly. But the alternative is far worse than fighting to get to the table to have a negotiation and have a negotiated resolution. And I will continue to push for that as well as others because we believe that’s the only solution to the problem of Syria. And so we must find a way to get to that negotiation. Whether it’s difficult or not or whether it has got big hurdles in front of it or not, there is no better alternative than trying to do that.
MODERATOR: Thank you. Next question, Tarra. This is the second to the last question.
QUESTION: Hi, good afternoon, sirs. I’m Tarra from the Philippine Daily Inquirer. Sir, the international community has repeatedly called for sovereignty and rule of law as regards to the situation in South China Sea. But it seems that China has repeatedly taken activities viewed as alarming or provocative, like the ADIZ and the refusal to take part in arbitration. Where do you think is the situation headed, and is there a tipping point, if any at all?
SECRETARY KERRY: Well, I think what’s important, folks, is to lower the intensity, avoid the provocations, work through international law, and for the claimants to stay united and to press international law as the means of resolving this. In my judgment, that is the best way to proceed. And I hope that ultimately, our – that the leaders in China will see the wisdom of engaging in that activity to work through any claims in those institutions and through those laws that were set up specifically to resolve those kinds of claims.
In this day and age, we should be long past the time of unilateral assertion and of coercion as a means of trying to back up that assertion. So our hope is that the parties will come together, continue to proceed through arbitration and international law, and I’m confident that that can ultimately resolve these kinds of questions. And I think we have to have faith in that kind of process. The United States will stand with our friends in this region who are asserting their efforts to try to resolve this through that kind of legal peaceful process. We think that’s the responsible way to proceed, and that’s what the United States will continue to support.
MODERATOR: The last question will come from Keith.
QUESTION: Keith Bradsher, The New York Times. There’s been talk in the Philippines of climate justice following Typhoon Haiyan or Typhoon Yolanda. Do you see the typhoon as a warning of further super-storms? And if it is, does the United States have a moral and/or financial obligation to provide assistance to the extent of its historical carbon emissions? Thank you.
MODERATOR: Secretary del Rosario.
SECRETARY DEL ROSARIO: Well, I think it has been said that the intensity of and force of Typhoon Yolanda could (inaudible) the expectation in the future that possibly Yolanda could be the norm. So I think that climate change should be such. This is, of course, a threat that we must address, and I think every country on its own must be prepared to address the expectation that Yolanda is not a once in a lifetime, that it may happen again. And that’s why the president has come up with a national plan for reconstruction that will actually be unveiled tomorrow.
And the plan calls for a – not only a build back, but a build back better so that we can enable ourselves to be in a position to withstand similar threats in terms of natural catastrophes. I think each country has got to make provisions for itself, and I think the community of nations hopefully will come to the assistance of nations that are – that suffer this misfortune. That’s – we are a village, a global village, and I think we need to help one another. And natural catastrophes do not choose whether you’re a wealthy country or a poor country. I think that is the reality of what’s happening.
And we are – of course, we’ve reached a point in Yolanda where we’re realizing that the outpouring of support, the overwhelming support we’ve received from the international community, is something that we did not expect. And so we see in our neighbors, in the rest of the global community, we see a face of kindness and a spirit of generosity, and we’re ultimately very grateful for that.
MODERATOR: Secretary Kerry.
SECRETARY KERRY: I’ve been involved in this issue since the 1980s, and I believe in the science of climate change. I believe the scientists who tell us that it is happening, that human beings are contributing to it – a significant cause of the increase of emissions which is creating major changes across the planet. And the scientists predict that we will see massive changes in agriculture, in ecosystems, in fisheries, in water supplies, food security, increased heat, fires, and intensity in storms.
Now, having said everything I just said, science cannot prove that Typhoon Yolanda was specifically the result of climate change. It is not possible to make that direct linkage at this point in time, even though they are predicting greater intensity of storms, but over time a pattern will evolve, and that may become more determinative.
Nevertheless, what we face today is sufficient to say that developed nations in the world need to take the lead in order to reduce emissions and begin to deal with this problem that lots of nations, like the Pacific Islands and others who haven’t caused anything, are feeling the consequences of. That is why we have a major emitters forum of the top 20 emitting countries who are working towards taking steps both of mitigation and prevention.
And President Obama has taken the initiative to put in place a climate action plan in the United States, and is trying to achieve by administrative effort what he cannot get through the United States Congress. And we have taken strong measures on automobile efficiency, new standards for tailpipes on power generation, new power plants, and other things. So we are responding.
We have also responded by trying to help other countries to be able to develop their energy programs, to use USAID for clean and alternative energy and renewable energy and other kinds of programs, as well as to engage in some planning for mitigation and to help other countries to be able to do it. Now, what the levels ought to be is going to be subject to a hot and heavy political debate, obviously. But it is clear that this issue is growing in consequence and importance, and it requires governments all over the world to push towards the next Conference of the Parties that will take place under the UN in order to try to come to an agreement about how we are going to avoid the worst consequences of what has already been put into play.
So President Obama and the United States recognize – at least this Administration recognizes and many senators and congressmen join them – in recognizing a responsibility to try to help deal with this. But there is no yet agreed-upon process by which people will actually implement that, and that is really the fight and struggle over the course of the next Conference of the Parties and the future.
MODERATOR: Thank you, Secretary Kerry and Secretary del Rosario. Ladies and gentlemen, that ends our joint press conference.
SECRETARY OF STATE KERRY'S REMARKS AT AMERICAN CHAMBER OF COMMERCE EVENT IN MANILA, PHILIPPINES
FROM: U.S. STATE DEPARTMENT
Remarks at American Chamber of Commerce Business Community Event
John Kerry
Secretary of State
Secretary of State
Manila, Philippines
December 17, 2013
Well, Rick, thank you very, very much. Thank you for a great welcome here to the combined Chamber of Commerce and the Makati Business Club. And I’m really honored by the distinguished guests who are here. Thank you very much, all of you, for taking time to come and join us. And for the executives from various businesses, thank you for taking a minute away. And I hope our exchange here this afternoon, though it isn’t going to be the longest in the world, will give us a chance to share a few thoughts and a vision about the relationship between the Philippines and the United States, and the future.
We are obviously living in an extraordinary time in terms of business. And during my confirmation hearing to be Secretary of State, I made it very clear that in my judgment, foreign policy today is economic policy to a large degree – not always everything, but very significantly. And good economic policy is also good foreign policy. So it really goes hand-in-hand. We’re living in a voracious, competitive marketplace. The spoils go to the nimble and the creative, and you need to be able to get out into the market and project and win your market share and do it everywhere. That’s the difference of the world that we’re living in now. And you can’t just be big and powerful and win all the time, as we’ve learned. It used to be you could make mistakes but you’d still kind of lumber along. I don’t think that’s true in today’s world. It’s very unforgiving, as most of you know, so – and not unlike the world politics, I might add.
So I’m very, very happy to be here, and I really just want to begin by thanking all of you for your extraordinary efforts with respect to trying to save lives and bring relief to the victims of Typhoon Yolanda. I know there are many in the American business community, along with our Embassy staff, who I am grateful to say – and I say thank you today – served as powerful ambassadors of our nation’s character and our compassion.
I want to thank Coca-Cola for donating trucks for the delivery of relief supplies which were some of the very first vehicles that were able to get on the road after the disaster. I want to thank Proctor & Gamble for partnering with Coca-Cola to get the sari-sari stores back up and running and provide an immediate boost to the local economy. I want to thank Dow for donating a generator to power Tacloban’s water plant, which ensured that many residents who had no access to water were not going to go thirsty and possibly even worse. And I want to thank FedEx for donating space on your airplanes in order to be able to deliver relief supplies. And Cargill is also donating $500,000 to help the devastated agricultural sector to be able to recover. Citibank donated $230 – $250,000 to the Philippine Red Cross immediately after the typhoon struck, and I understand that Citi is going to make an announcement soon about an additional donation and long-term commitment with the Philippine Red Cross.
So we’re really grateful for those kinds of efforts. That is great corporate citizenship, global citizenship, and we’re proud that the United States of America and American citizens that aren’t corporations reached out with not just their hearts and their words, but with their actions.
I also want to thank everyone at AmCham Foundation for helping to direct donations from across the American business community to professional relief organizations and to areas where support was absolutely needed the most. By the way, tomorrow, I will be going down to Tacloban and personally viewing what is happening there, and we will be adding our efforts as a government to try to provide additional assistance. The support from the American business community in the aftermath of the disaster, I believe, is really symbolic, a powerful symbol of the strength of the relationship between the United States and the Philippines.
And this is not a new relationship, as we all know. Rick was telling me a moment ago that etched in stone at the chamber is the early date of 111 years ago when the chamber started its activities here. And from that moment on, we have really stood shoulder-to-shoulder, particularly in a distinguished way during the course of World War II. I just came from the cemetery where more than 17,000 – 17,201, I think – Filipino and American men and women are interred in the largest war cemetery in the world, for America at least. And so there are 29 Medal of Honor winners interred at that cemetery, and that is a significant statement about how we stood shoulder-to-shoulder in the wake of World War II and against tyranny. And then we stood shoulder-to-shoulder in the wake of one of the world’s worst natural disasters. And we stand today, two vibrant democracies that are committed to each other’s strength and prosperity. And I think so many of you in this room today are contributing to that and have over the years.
In the first half of this year, the economy of the Philippines was among the fastest-growing economies in the world. And with our work together, I believe and President Obama believes that we can ensure that the Philippines continues in that direction in spite of everything that the nation has endured and lost over the course of the last months. The Philippines proves the kind of transformation that is possible when free markets and free people and a free marketplace of ideas, combined together to be able to unleash the creative entrepreneurial spirit of individual human beings. It’s a winning combination, and that’s why the country’s success sends a powerful message not just throughout the region, but on a global basis.
It wasn’t too long ago, I will tell you, that there was a very different Philippines, and I knew it and knew it well. 1986, when I was in my first two years as a senator, the first place I traveled to as a senator was come here to the Philippines. And I came here for a number of different reasons and became involved in the effort to try to promote reform. And I remember a long meeting, maybe a five-hour meeting with then-President Marcos, which inspired me to go back and change the law with respect to our relationship to the Philippines. (Laughter.) And that evolved into his calling a snap election and I then became involved with NAMFREL, the national movement for a free Philippines, and involved with Jose Concepcion and others and built a system to have accountability in that election.
Ultimately, I was sitting in the Manila – in the hotel when a young woman in tears came up to me and pleaded with me to come down to the cathedral to meet with some young women, and I did. I went to the sacristy and met with those women, and it was a stunning story that unfolded as they, in tears and fearing for their life, told me they were putting vote tallies into the computer but none of those tallies were coming out on the tote board. And that was the beginning of the end of the Marcos regime at that time. We went back to America, reported it to Ronald Reagan, he sent Senator Laxalt over, and the rest is history. And that was when Cory Aquino came to power, somebody I knew, worked with, and appreciated because of her having lived right next to my hometown in Boston, having lived in Newton.
So that’s my link here. The truth is there’s an even earlier link because way back when, I had – my grandfather’s cousin was actually the governor of the Philippines in the 1900s, and so I always had this connection and sense of this country.
Now is a critical moment for the Philippines and the next chapter of our history together. What I’m referring to is the potential of the TPP, the Trans-Pacific Partnership, which has an ability to be able to raise standards of doing business, open up new opportunities, and put 40 percent of the GDP of the world into one economic group that has an ability to be able to affect global trade, and obviously create millions of jobs. We will welcome a Philippine delegation to Washington at the end of January for the start of technical consultations regarding this. And the TPP, as I said, will bring 40 percent of the world’s economy – the world’s economy – together in one historic high-standard trade agreement. The TPP will ensure that high standards will be set for workers and consumers, and the environment will be the standard for the most dynamic economic region in the world, and that will set an example to the rest of the world.
So on every front, the Philippines and the United States have an opportunity to forge a stronger foundation for economic growth and development, and that’s why we are working with our counterparts on intellectual property issues to make it possible for the removal of the Philippines from the Special 301 list. In addition, that’s why we are committed to working with the Government of the Philippines so that the nation can return to the FAA’s Category 1 list, making the travel and exchange between our two countries much more efficient and much easier.
Each of these initiatives that I just mentioned has the potential to expand exchange between the United States and Philippines, and each of them has the ability to drive your businesses to even greater success and drive greater prosperity between our countries.
So today, I want to hear from you. I want to take a moment just to walk around, have a chance to talk for a little while. Let me thank you all for the extraordinary work that you are already doing for helping to build this deeper dynamic economic relationship between our countries. And I hope that in the next few minutes – I’ve already picked up a couple of things I need to work on. FedEx has an issue and some other things. (Laughter.) So I expect to be importuned in the next few moments, and I look forward to hearing from you all.
Thanks for the privilege of being here again, and it’s great to see you all. I appreciate you coming. Thank you. (Applause.)
We are obviously living in an extraordinary time in terms of business. And during my confirmation hearing to be Secretary of State, I made it very clear that in my judgment, foreign policy today is economic policy to a large degree – not always everything, but very significantly. And good economic policy is also good foreign policy. So it really goes hand-in-hand. We’re living in a voracious, competitive marketplace. The spoils go to the nimble and the creative, and you need to be able to get out into the market and project and win your market share and do it everywhere. That’s the difference of the world that we’re living in now. And you can’t just be big and powerful and win all the time, as we’ve learned. It used to be you could make mistakes but you’d still kind of lumber along. I don’t think that’s true in today’s world. It’s very unforgiving, as most of you know, so – and not unlike the world politics, I might add.
So I’m very, very happy to be here, and I really just want to begin by thanking all of you for your extraordinary efforts with respect to trying to save lives and bring relief to the victims of Typhoon Yolanda. I know there are many in the American business community, along with our Embassy staff, who I am grateful to say – and I say thank you today – served as powerful ambassadors of our nation’s character and our compassion.
I want to thank Coca-Cola for donating trucks for the delivery of relief supplies which were some of the very first vehicles that were able to get on the road after the disaster. I want to thank Proctor & Gamble for partnering with Coca-Cola to get the sari-sari stores back up and running and provide an immediate boost to the local economy. I want to thank Dow for donating a generator to power Tacloban’s water plant, which ensured that many residents who had no access to water were not going to go thirsty and possibly even worse. And I want to thank FedEx for donating space on your airplanes in order to be able to deliver relief supplies. And Cargill is also donating $500,000 to help the devastated agricultural sector to be able to recover. Citibank donated $230 – $250,000 to the Philippine Red Cross immediately after the typhoon struck, and I understand that Citi is going to make an announcement soon about an additional donation and long-term commitment with the Philippine Red Cross.
So we’re really grateful for those kinds of efforts. That is great corporate citizenship, global citizenship, and we’re proud that the United States of America and American citizens that aren’t corporations reached out with not just their hearts and their words, but with their actions.
I also want to thank everyone at AmCham Foundation for helping to direct donations from across the American business community to professional relief organizations and to areas where support was absolutely needed the most. By the way, tomorrow, I will be going down to Tacloban and personally viewing what is happening there, and we will be adding our efforts as a government to try to provide additional assistance. The support from the American business community in the aftermath of the disaster, I believe, is really symbolic, a powerful symbol of the strength of the relationship between the United States and the Philippines.
And this is not a new relationship, as we all know. Rick was telling me a moment ago that etched in stone at the chamber is the early date of 111 years ago when the chamber started its activities here. And from that moment on, we have really stood shoulder-to-shoulder, particularly in a distinguished way during the course of World War II. I just came from the cemetery where more than 17,000 – 17,201, I think – Filipino and American men and women are interred in the largest war cemetery in the world, for America at least. And so there are 29 Medal of Honor winners interred at that cemetery, and that is a significant statement about how we stood shoulder-to-shoulder in the wake of World War II and against tyranny. And then we stood shoulder-to-shoulder in the wake of one of the world’s worst natural disasters. And we stand today, two vibrant democracies that are committed to each other’s strength and prosperity. And I think so many of you in this room today are contributing to that and have over the years.
In the first half of this year, the economy of the Philippines was among the fastest-growing economies in the world. And with our work together, I believe and President Obama believes that we can ensure that the Philippines continues in that direction in spite of everything that the nation has endured and lost over the course of the last months. The Philippines proves the kind of transformation that is possible when free markets and free people and a free marketplace of ideas, combined together to be able to unleash the creative entrepreneurial spirit of individual human beings. It’s a winning combination, and that’s why the country’s success sends a powerful message not just throughout the region, but on a global basis.
It wasn’t too long ago, I will tell you, that there was a very different Philippines, and I knew it and knew it well. 1986, when I was in my first two years as a senator, the first place I traveled to as a senator was come here to the Philippines. And I came here for a number of different reasons and became involved in the effort to try to promote reform. And I remember a long meeting, maybe a five-hour meeting with then-President Marcos, which inspired me to go back and change the law with respect to our relationship to the Philippines. (Laughter.) And that evolved into his calling a snap election and I then became involved with NAMFREL, the national movement for a free Philippines, and involved with Jose Concepcion and others and built a system to have accountability in that election.
Ultimately, I was sitting in the Manila – in the hotel when a young woman in tears came up to me and pleaded with me to come down to the cathedral to meet with some young women, and I did. I went to the sacristy and met with those women, and it was a stunning story that unfolded as they, in tears and fearing for their life, told me they were putting vote tallies into the computer but none of those tallies were coming out on the tote board. And that was the beginning of the end of the Marcos regime at that time. We went back to America, reported it to Ronald Reagan, he sent Senator Laxalt over, and the rest is history. And that was when Cory Aquino came to power, somebody I knew, worked with, and appreciated because of her having lived right next to my hometown in Boston, having lived in Newton.
So that’s my link here. The truth is there’s an even earlier link because way back when, I had – my grandfather’s cousin was actually the governor of the Philippines in the 1900s, and so I always had this connection and sense of this country.
Now is a critical moment for the Philippines and the next chapter of our history together. What I’m referring to is the potential of the TPP, the Trans-Pacific Partnership, which has an ability to be able to raise standards of doing business, open up new opportunities, and put 40 percent of the GDP of the world into one economic group that has an ability to be able to affect global trade, and obviously create millions of jobs. We will welcome a Philippine delegation to Washington at the end of January for the start of technical consultations regarding this. And the TPP, as I said, will bring 40 percent of the world’s economy – the world’s economy – together in one historic high-standard trade agreement. The TPP will ensure that high standards will be set for workers and consumers, and the environment will be the standard for the most dynamic economic region in the world, and that will set an example to the rest of the world.
So on every front, the Philippines and the United States have an opportunity to forge a stronger foundation for economic growth and development, and that’s why we are working with our counterparts on intellectual property issues to make it possible for the removal of the Philippines from the Special 301 list. In addition, that’s why we are committed to working with the Government of the Philippines so that the nation can return to the FAA’s Category 1 list, making the travel and exchange between our two countries much more efficient and much easier.
Each of these initiatives that I just mentioned has the potential to expand exchange between the United States and Philippines, and each of them has the ability to drive your businesses to even greater success and drive greater prosperity between our countries.
So today, I want to hear from you. I want to take a moment just to walk around, have a chance to talk for a little while. Let me thank you all for the extraordinary work that you are already doing for helping to build this deeper dynamic economic relationship between our countries. And I hope that in the next few minutes – I’ve already picked up a couple of things I need to work on. FedEx has an issue and some other things. (Laughter.) So I expect to be importuned in the next few moments, and I look forward to hearing from you all.
Thanks for the privilege of being here again, and it’s great to see you all. I appreciate you coming. Thank you. (Applause.)
EPA WARNING ABOUT CARBON MONOXIDE POISONING
FROM: U.S. ENVIRONMENTAL PROTECTION AGENCY
Sources of Carbon Monoxide
Unvented kerosene and gas space heaters; leaking chimneys and furnaces; back-drafting from furnaces, gas water heaters, wood stoves, and fireplaces; gas stoves; generators and other gasoline powered equipment; automobile exhaust from attached garages; and tobacco smoke. Incomplete oxidation during combustion in gas ranges and unvented gas or kerosene heaters may cause high concentrations of CO in indoor air. Worn or poorly adjusted and maintained combustion devices (e.g., boilers, furnaces) can be significant sources, or if the flue is improperly sized, blocked, disconnected, or is leaking. Auto, truck, or bus exhaust from attached garages, nearby roads, or parking areas can also be a source.
Health Effects Associated with Carbon Monoxide
At low concentrations, fatigue in healthy people and chest pain in people with heart disease. At higher concentrations, impaired vision and coordination; headaches; dizziness; confusion; nausea. Can cause flu-like symptoms that clear up after leaving home. Fatal at very high concentrations. Acute effects are due to the formation of carboxyhemoglobin in the blood, which inhibits oxygen intake. At moderate concentrations, angina, impaired vision, and reduced brain function may result. At higher concentrations, CO exposure can be fatal.
Levels in Homes
Average levels in homes without gas stoves vary from 0.5 to 5 parts per million (ppm). Levels near properly adjusted gas stoves are often 5 to 15 ppm and those near poorly adjusted stoves may be 30 ppm or higher.
Steps to Reduce Exposure to Carbon Monoxide
It is most important to be sure combustion equipment is maintained and properly adjusted. Vehicular use should be carefully managed adjacent to buildings and in vocational programs. Additional ventilation can be used as a temporary measure when high levels of CO are expected for short periods of time.
Keep gas appliances properly adjusted.
Consider purchasing a vented space heater when replacing an unvented one.
Use proper fuel in kerosene space heaters.
Install and use an exhaust fan vented to outdoors over gas stoves.
Open flues when fireplaces are in use.
Choose properly sized wood stoves that are certified to meet EPA emission standards. Make certain that doors on all wood stoves fit tightly.
Have a trained professional inspect, clean, and tune-up central heating system (furnaces, flues, and chimneys) annually. Repair any leaks promptly.
Do not idle the car inside garage.
Top of Page
Measurement Methods
Some relatively high-cost infrared radiation adsorption and electrochemical instruments do exist. Moderately priced real-time measuring devices are also available. A passive monitor is currently under development.
Sources of Carbon Monoxide
Unvented kerosene and gas space heaters; leaking chimneys and furnaces; back-drafting from furnaces, gas water heaters, wood stoves, and fireplaces; gas stoves; generators and other gasoline powered equipment; automobile exhaust from attached garages; and tobacco smoke. Incomplete oxidation during combustion in gas ranges and unvented gas or kerosene heaters may cause high concentrations of CO in indoor air. Worn or poorly adjusted and maintained combustion devices (e.g., boilers, furnaces) can be significant sources, or if the flue is improperly sized, blocked, disconnected, or is leaking. Auto, truck, or bus exhaust from attached garages, nearby roads, or parking areas can also be a source.
Health Effects Associated with Carbon Monoxide
At low concentrations, fatigue in healthy people and chest pain in people with heart disease. At higher concentrations, impaired vision and coordination; headaches; dizziness; confusion; nausea. Can cause flu-like symptoms that clear up after leaving home. Fatal at very high concentrations. Acute effects are due to the formation of carboxyhemoglobin in the blood, which inhibits oxygen intake. At moderate concentrations, angina, impaired vision, and reduced brain function may result. At higher concentrations, CO exposure can be fatal.
Levels in Homes
Average levels in homes without gas stoves vary from 0.5 to 5 parts per million (ppm). Levels near properly adjusted gas stoves are often 5 to 15 ppm and those near poorly adjusted stoves may be 30 ppm or higher.
Steps to Reduce Exposure to Carbon Monoxide
It is most important to be sure combustion equipment is maintained and properly adjusted. Vehicular use should be carefully managed adjacent to buildings and in vocational programs. Additional ventilation can be used as a temporary measure when high levels of CO are expected for short periods of time.
Keep gas appliances properly adjusted.
Consider purchasing a vented space heater when replacing an unvented one.
Use proper fuel in kerosene space heaters.
Install and use an exhaust fan vented to outdoors over gas stoves.
Open flues when fireplaces are in use.
Choose properly sized wood stoves that are certified to meet EPA emission standards. Make certain that doors on all wood stoves fit tightly.
Have a trained professional inspect, clean, and tune-up central heating system (furnaces, flues, and chimneys) annually. Repair any leaks promptly.
Do not idle the car inside garage.
Top of Page
Measurement Methods
Some relatively high-cost infrared radiation adsorption and electrochemical instruments do exist. Moderately priced real-time measuring devices are also available. A passive monitor is currently under development.
WHITE HOUSE READOUT OF PRESIDENT OBAMA'S MEETING WITH LEADING TECH COMPANY EXECUTIVES
FROM: THE WHITE HOUSE
Readout of the President’s Meeting with CEOs
Today, the President and the Vice President met with executives from leading tech companies in the Roosevelt Room. The group discussed a number of issues of shared importance to the federal government and the tech sector, including the progress being made to improve performance and capacity issues with HeathCare.Gov. The President also announced that Kurt DelBene, who most recently served as president of the Microsoft Office Division, will succeed Jeff Zients as Senior Advisor to Secretary Sebelius who will lead our ongoing efforts to improve HealthCare.gov and the Health Insurance Marketplace starting this Wednesday. The group discussed the challenges surround federal IT procurement. The President made clear his continued focus on improving the way we deliver technology to maximize innovation, efficiency and customer service, and encouraged the CEOs to continue to share their ideas on how to do so. Finally, the group discussed the national security and economic impacts of unauthorized intelligence disclosures. This was an opportunity for the President to hear from CEOs directly as we near completion of our review of signals intelligence programs, building on the feedback we’ve received from the private sector in recent weeks and months. The President made clear his belief in an open, free, and innovative internet and listened to the group’s concerns and recommendations, and made clear that we will consider their input as well as the input of other outside stakeholders as we finalize our review of signals intelligence programs.
Readout of the President’s Meeting with CEOs
Today, the President and the Vice President met with executives from leading tech companies in the Roosevelt Room. The group discussed a number of issues of shared importance to the federal government and the tech sector, including the progress being made to improve performance and capacity issues with HeathCare.Gov. The President also announced that Kurt DelBene, who most recently served as president of the Microsoft Office Division, will succeed Jeff Zients as Senior Advisor to Secretary Sebelius who will lead our ongoing efforts to improve HealthCare.gov and the Health Insurance Marketplace starting this Wednesday. The group discussed the challenges surround federal IT procurement. The President made clear his continued focus on improving the way we deliver technology to maximize innovation, efficiency and customer service, and encouraged the CEOs to continue to share their ideas on how to do so. Finally, the group discussed the national security and economic impacts of unauthorized intelligence disclosures. This was an opportunity for the President to hear from CEOs directly as we near completion of our review of signals intelligence programs, building on the feedback we’ve received from the private sector in recent weeks and months. The President made clear his belief in an open, free, and innovative internet and listened to the group’s concerns and recommendations, and made clear that we will consider their input as well as the input of other outside stakeholders as we finalize our review of signals intelligence programs.
U.S. OFFICIAL,S REMARKS ON INTERNATIONAL LAW ENFORCEMENT CHALLENGES IN PARIS, FRANCE
FROM: U.S. STATE DEPARTMENT
Confronting Converging Threats and the Dark Shadows of the Global Economy: Preventing Downward Spirals of Chaos, Insecurity, and Instability
Remarks
David M. Luna
Director for Anticrime Programs, Bureau of International Narcotics and Law Enforcement Affairs
Conseil Superieur de la Formation et de la Recherche Strategique
Paris, France
December 13, 2013
[As Prepared]
Good afternoon.
I would like to thank Alain Bauer, President of the Conseil Supérieur de la Formation et de la Recherche Stratégique (CSFRS) and the Government of France for their kind invitation to attend the “IVèmes Assises Nationales de la Recherche Stratégique” and share the U.S. perspective on some of the transnational challenges and risks that threaten our common security and interests in many parts of the world today.
It is always a pleasure for me to participate in events at military centers of learning like the École Militaire, where students and scholars can educate one other about the strategic art of confronting complex threats and challenges in a rapidly-changing world.
I can personally attest to the value of higher military education, having studied at the U.S. Army War College. While at the War College, not only did I gain a nuanced understanding of current global threats and pathways to promote and defend our national interests, I learned also that the Defense Department and the State Department are not from different planets, as we used to say in Washington. I came to understand that collaboration—across agencies, across borders—could act as a force multiplier for our own efforts.
So a big “hooah!” all around to military colleges for educating future leaders and fostering a Whole-of-Government, Whole-of-Society approach to global security.
Finally, I would also like to recognize my good friend Dr. Xavier Raufer, Université Paris II MCC, Conseil Scientifique, for his leadership over the years to address global security issues and foster collaboration between the United States and France against transnational crime, terrorism, and corruption.
In the time allotted to me, I would like to outline the converging threats that are increasingly alarming to the United States and our partners; how the United States is responding to these threats; and, finally, how the international community mitigates these threats and builds resiliency through collective action.
Navigating Global Threats and Geo-Security Risks: Human Disasters
Distinguished ladies and gentlemen, we live at a time of great promise and great peril. The theme of this roundtable—“Disorders of the world and crime: structural perspectives”—is timely.
Ever the optimist, I believe that through collaborative platforms, networks, and partnerships, we can create order from chaos and increase our ability to pull humanity back from the brink of disaster, especially where criminal entrepreneurs and illicit networks exploit calamity to erode our collective security and economic stability.
Corruption
Corruption is a particularly destabilizing force to our security, development, and prosperity agenda. Corruption is the lifeblood of transnational organized crime. International criminals have tremendous financial resources, and they spare no expense to corrupt government and law enforcement officials. Not only does corruption undermine security, development, and the rule of law, but it also erodes public trust in institutions, distorts markets, and fuels the spread of organized crime and terror.
Many of the threats we see emerging today are unified in one way or another by one common factor: corruption. Even in the most advanced economies, dark corners exist where a parallel, illicit market thrives. In these dark shadows, corrupt business leaders, government officials, and criminals are working together to influence the economies of many countries. Wherever criminal elements and their corrupt facilitators operate with impunity, our collective efforts to rid the world of ungoverned spaces, promote democracy and the rule of law, and expand legitimate economic opportunities will always be incomplete.
Illicit Trade
Illicit trade—or, as some have called it, “the dark side of globalization”—is another human-caused disaster, and one that I had the opportunity to discuss yesterday at the OECD High-Level Risk Forum as chair of the OECD Task Force on Charting Illicit Trade.
The illegal economy includes narcotics trafficking, wildlife trafficking, human trafficking, illegal logging, counterfeit consumer goods and medications, and other illicit enterprises. It is a network of shadowy markets in which illegal arms brokers and narcotics kingpins act as the new CEOs and venture capitalists.
According to some estimates, the illegal economy accounts for eight to 15 percent of world GDP, and in many parts of the developing world, it may account for several times this estimate. The estimated annual costs and revenues generated by transnational illicit networks and organized crime groups are staggering:
Bribery: Significant portion of $1 trillion
Narcotics Trafficking: $750 billion to $1 trillion
Counterfeited and Pirated Products: $500 billion
Environmental Crime (illegal wildlife trade, logging, trade in CFCs, and toxic waste dumping): $20 to $40 billion
Human Trafficking: 20.9 million victims globally, $32 billion annually
Credit Card Fraud: $10 to 12 billion
Simply put, illicit trade is a barrier to economic growth. It distorts legitimate markets, disrupts global supply chains, and depletes natural resources. It also imperils our collective security. We all experience the effects of illicit trade every day:
When governments cannot afford to provide vital public services and law enforcement because legitimate revenue streams from legitimate commerce are being siphoned away by corrupt officials, smugglers, and criminals;
When businesses suffer loss of revenue because of counterfeiting or black market distribution of their products;
When men, women, and children are trafficked and exploited, leading to the breakdown of families and communities, degradation of human capital, threats to public health, and extortion and subversion of government officials; and
When illicit financial flows and dirty money enter the global financial system, eroding the integrity of legitimate markets while giving false hope to victimized communities that illicit enterprise can replace fair and open markets.
Legitimate commerce loses as the illegal economy expands. We must shut down the illegal economy and create legitimate, transparent markets across the investment frontiers of tomorrow.
Terrorism
We have also come to understand how terrorism can create world disorder, chaos, and insecurity as terrorists engage in cowardly and criminal acts to destabilize peace and security across our communities.
Corruption, crime, and terrorism—the “unholy trinity” as Dr. Louise Shelley, Dr. Raufer, and other distinguished scholars have dubbed it—are the drivers of the global threat environment, the merging and blending of an ever-expanding array of illicit actors and networks.
In an interconnected world, the pipelines linking these threat actors and networks cut across borders, infiltrate and corrupt licit markets, penetrate fragile governments, and undercut the interests and security of our partners across the international community.
The growing illegal economy supports and enables corrupt officials, criminals, terrorists, and insurgents to mingle and conduct business with another. We must build our own networks to fight these illicit networks and break their corruptive influence.
Navigating Global Threats and Geo-Security Risks: Natural Disasters
Let me now say a few words about the cataclysmic events that threaten global security, especially those forces of nature that, when crossed with human disasters, engender an unprecedented level of vulnerability. Catastrophic heat waves, typhoons, earthquakes, flooding, new diseases—any one of these disasters can cause major disruptions to our physical infrastructure, economies, and institutions. When they converge with other geo-security threats, they create the “perfect storm” that can wreak havoc on the stability and security of states and communities. Across the Sahel, climate change, scarcity of resources, and human-caused disasters are contributing to anti-government movements, instability, and the breakdown of social harmony and cohesion.
I cannot emphasize this enough: to manage change and mitigate emerging geo-security risks such as these, we must better understand the adverse effects that corruption, illicit trade, and other global threats can have on economic growth and on achieving millennium development goals, as well as our security. More so now than ever before, it is crucial that we work together to address these international and transnational challenges.
Ladies and gentlemen, corruption and crime exist in every corner of the globe. So do terrorism and climate change. They occur in many of our communities, and on those occasions when they converge, they can bring disorder and instability. In this scenario, shadowy markets, criminal entrepreneurs, and illicit networks could become de facto service providers as governments collapse and chaos and insecurity increase, and in the worst case scenario, prey on the victims of pandemics, storms, and other disasters.
Diplomatic Engagement, Collaborative Platforms, Public-Private Partnerships, and Resiliency
In this ever-changing world, we need to adopt smarter, proactive approaches to market forces, natural disasters, and our own ethical failings. If we do not act, transnational threats will continue to imperil our communities, economies, and ways of life.
We must build a community of responsible governments, businesses, and civil society organizations, working together to build market resiliency, safeguard government integrity, and preserve our common security.
The United States has recently taken steps to make countering the convergence of illicit threats a national security priority. On July 25, 2011, the White House released the Strategy to Combat Transnational Organized Crime: Addressing Converging Threats to National Security, which aims to protect Americans and citizens of partner nations from violence and exploitation at the hands of transnational criminal networks.
While the problem of transnational illicit networks is as ancient as the trade routes that many such networks still employ today, the United States and its partners recognize the importance of net-centric partnerships to confront converging threats and the lethal nexus of organized crime, corruption, and terrorism along global illicit pathways and financial hubs.
Of growing concern are illicit financial hubs and their potentially complicit banks and market-based facilitators and super fixers—such as corrupt lawyers, accountants, black market procurers of commodities and services, and cross-border illicit transport movers.
Illicit financial hubs and sanctuaries help to create the permissive environment that enables illicit funds to enter through vulnerable points in the system and be transferred very rapidly, often with little control or regulation, anywhere in the world. All it takes is a single illicit actor or bank to accept an unsavory client for illicit funds or goods to spread and disguise themselves across the globe, from financial markets in New York and London to Dubai, Hong Kong, and other financial centers.
In support of the Strategy, the U.S. Congress established the Transnational Organized Crime Rewards Program in order to assist efforts to dismantle transnational criminal organizations and bring their leaders and members to justice. The new program complements the Narcotics Rewards Program by offering rewards up to $5 million for information on significant transnational criminal organizations involved in activities beyond drug trafficking, such as human trafficking, money laundering, maritime piracy, and trafficking in arms, counterfeits, and other illicit goods. We anticipate that by rewarding informants who provide leads and tips that help hobble transnational organized criminals, we can protect our citizens and homeland, and target similar threats abroad.
Moving forward, the United States will continue to build collaborative partnerships and knowledge-based platforms with the United Nations Office on Drugs and Crime (UNODC), the World Bank, the G8/G20, INTERPOL, the Financial Action Task Force (FATF), World Customs Organization (WCO), the European Union, the Asia Pacific Economic Cooperation Forum (APEC), Association of Southeast Asian Nations (ASEAN), Organization of American States (OAS), African Union (AU), and other regional and sub-regional bodies.
A New Paradigm to Confronting Transnational Threats: Convergence
In closing, at a time when global risks are growing and converging, the international community must come together to better understand the current and future disorders of our world. To confront today’s threats, risk and challenges, we must escape the conventional, inside-the-box mindset, and think more four-dimensionally—we must view today’s converging threats through a more panoramic prism and better understand how threats are increasingly linked and how illicit vectors come together in some of today’s” hot spots” and create a bigger threat altogether.
I would like to share five converging threats that I believe will be among the most critical for the international community to confront in the coming years.
Sustainability and Security: Harming our environment also harms humanity. Environmental security issues will be among the great challenges we face in the coming decades, including the impact that climate change, rapid urbanization, deforestation, natural disasters, and pandemics will have on food supplies, water levels, fisheries, and other critical resources. Given that we are a global community, consuming annually what some estimate is the equivalent of one-and-one half times our planet’s carry capacity, our ecological footprint is detrimental and unsustainable. Moreover, when we couple this with climate change, droughts, scarcity of resources, and humanitarian disasters that will trigger forced migrations. I expect that we will see more conflict and violence across some parts of the world. Global health security threats are likely to increase for many reasons, among them climate change bringing existing diseases to new areas; urbanization packing more people together in unhealthy environments, cheek-by-jowl with domestic animals that harbor cross-species viruses; and even progress in the life sciences that could enable malefactors to create microbial threats even as legitimate scientists develop new tools to defend ourselves against disease. In some of these ungoverned spaces and insecurity hubs, criminal networks and other illicit actors may become increasingly dominant.
Cybercrime and Virtual Currencies: Another emerging threat that many in the international community are concerned about these days is cybercrime. Cyber-based threats will continue to increase daily and as communities around the world lose data, money, and ideas through cyber intrusions and cyber criminals. In recent months, there has also been much reporting on the criminal exploitation of virtual currency systems that further transnational criminal operations, and the opportunities that cyberspace provides to entrepreneurial criminals to engage in illicit activities on-line and to launder their “dirty money” undetected. For example, earlier this year law enforcement shutdown several virtual currency platforms exploited by illicit actors including those involved in the Liberty Reserve $6 billion money laundering operation, which included credit card fraud, identity theft, investment fraud, computer hacking, narcotics trafficking, and child pornography. In another case, the U.S. Department of Justice has alleged that customers of Silk Road, the largest narcotic and contraband marketplace on the Internet to date, were required to pay in bitcoins to enable both the operator of Silk Road and its sellers to evade detection and launder hundreds of millions of dollars. While of growing concern, virtual currencies, have yet to overtake more traditional methods to move funds internationally, whether for legitimate or criminal purposes. Nonetheless, use of virtual currencies will continue to grow, especially among criminals eyeing to launder their illicit proceeds.
Human Trafficking and Enslaved Human Capital: Human trafficking will also continue to be a threat to communities across the world, especially as organized criminal networks target vulnerable men, women, and children. In many countries, victims of human trafficking, also known as trafficking in persons and modern slavery, are exploited, abused and forced to work in sweatshops, brothels, fields, and other trades and settings, some hidden behind dark corners, others in plain view, including as child soldiers. The thriving business that human trafficking constitutes allows criminals to make billions from the labor and exploitation of their victims. In addition to poverty, unemployment, and a lack of opportunities, as discussed earlier, natural disasters, conflict and political instability can also increase the incidence of human trafficking as people become vulnerable due to insecurity and economic distress. As long as some countries continue to turn a blind eye to the extent of human trafficking within and across their borders, governments and communities will not be able to build the new markets and investment frontiers to grow their economy due to the significant loss of their human and social capital.
Megacities, Population Tsunamis, and Dark Slums of Criminality: Megacities as a security issue will demand increasing attention as more and more people gravitate to cities for economic opportunities, escape from conflict zones, forced migration related to climate change, or are trafficked as indentured slaves. Many megacities are taxed and overflowing with newcomers, and yet they only keep increasing in population size. Faced with poverty and resource distribution imbalances, newcomers may be marginalized and resort to the shadowy economy to sustain themselves, leaving insecure pockets, crime ridden communities, and heightened ethnic and religious fault lines. In the coming years, it is reasonable for megacities to experience a convergence of economic security, environment security, sustainable security, and national security coming together to deal with the pressures of urbanization. Unmitigated, social unrest in megacities will have destabilizing impacts that will provide platforms for organized crime and other illicit networks to exploit, including trafficking people or exporting extremist recruits to spawn violence in other parts of the world.
Crime-Terror Convergence/Pipelines: I have been talking a lot about crime-terror pipelines over the past several years. In fact, through a partnership between the Defense and State Departments, the United States has brought together some of the top experts in the world to examine not only the possible crime-terror nexus but also to help us better understand the crime-terror pipelines across the global threat environment so that we can work with the international community to map threat networks, identify interlocking nodes, and to coordinate efforts to disrupt and dismantle transnational illicit bad actors and networks. We need to leverage more non-kinetic methods, especially financial tools and criminal justice responses, to better target corrupt actors and illicit pathways, and follow the money to disrupt and dismantle pipelines, target their facilitators, and eliminate their financial resources. We also need to better coordinate diplomatic efforts to identify and uproot safe havens and exploitable sanctuaries that enable criminals, terrorists, and other illicit actors and networks to corrupt governments, access illegal markets, and stage operations without fear of reprisal from law enforcement. I also believe, as Doug Farah and others have advanced, that there is a greater need to coordinate and expose and prevent conditions for the nesting of illicit forces with criminalized states such as we see, for example, in some parts of the Sahel. Some of the thinking and research which helped to inform our dialogues on combating crime-terror pipelines can be found in a book published in May 2013 by the National Defense University, “Convergence: Illicit Networks and National Security in the Age of Globalization.”
*****
The geo-security threats and risks that the international community confronts each day are very real and growing in complexity. However, our commitment to work through our common challenges will help us navigate the global threat environment. The United States is keen to strengthen cooperation with France and other committed partners to address these cross-border threats, in coordination with the international community and leaders and stewards of global security in both public and private sectors.
In the immortal words of one of the world’s greatest leaders and humanitarians of our lifetime, and someone who has had a tremendous impact on my views on humanity and security, I would like to conclude with a quote from Nelson Mandela, which I hope will end on a positive, inspiring note on the power of resiliency:
I am fundamentally an optimist. Whether that comes from nature or nurture, I cannot say. Part of being optimistic is keeping one’s head pointed toward the sun, one’s feet moving forward. There were many dark moments when my faith in humanity was sorely tested, but I would not and could not give myself up to despair. That way lays defeat and death.
We cannot give ourselves up to despair, we must march forward together to confront today’s global threats and anticipate tomorrow’s challenges recognizing that the real threat centers in their convergence. Thank you.
Confronting Converging Threats and the Dark Shadows of the Global Economy: Preventing Downward Spirals of Chaos, Insecurity, and Instability
Remarks
David M. Luna
Director for Anticrime Programs, Bureau of International Narcotics and Law Enforcement Affairs
Conseil Superieur de la Formation et de la Recherche Strategique
Paris, France
December 13, 2013
[As Prepared]
Good afternoon.
I would like to thank Alain Bauer, President of the Conseil Supérieur de la Formation et de la Recherche Stratégique (CSFRS) and the Government of France for their kind invitation to attend the “IVèmes Assises Nationales de la Recherche Stratégique” and share the U.S. perspective on some of the transnational challenges and risks that threaten our common security and interests in many parts of the world today.
It is always a pleasure for me to participate in events at military centers of learning like the École Militaire, where students and scholars can educate one other about the strategic art of confronting complex threats and challenges in a rapidly-changing world.
I can personally attest to the value of higher military education, having studied at the U.S. Army War College. While at the War College, not only did I gain a nuanced understanding of current global threats and pathways to promote and defend our national interests, I learned also that the Defense Department and the State Department are not from different planets, as we used to say in Washington. I came to understand that collaboration—across agencies, across borders—could act as a force multiplier for our own efforts.
So a big “hooah!” all around to military colleges for educating future leaders and fostering a Whole-of-Government, Whole-of-Society approach to global security.
Finally, I would also like to recognize my good friend Dr. Xavier Raufer, Université Paris II MCC, Conseil Scientifique, for his leadership over the years to address global security issues and foster collaboration between the United States and France against transnational crime, terrorism, and corruption.
In the time allotted to me, I would like to outline the converging threats that are increasingly alarming to the United States and our partners; how the United States is responding to these threats; and, finally, how the international community mitigates these threats and builds resiliency through collective action.
Navigating Global Threats and Geo-Security Risks: Human Disasters
Distinguished ladies and gentlemen, we live at a time of great promise and great peril. The theme of this roundtable—“Disorders of the world and crime: structural perspectives”—is timely.
Ever the optimist, I believe that through collaborative platforms, networks, and partnerships, we can create order from chaos and increase our ability to pull humanity back from the brink of disaster, especially where criminal entrepreneurs and illicit networks exploit calamity to erode our collective security and economic stability.
Corruption
Corruption is a particularly destabilizing force to our security, development, and prosperity agenda. Corruption is the lifeblood of transnational organized crime. International criminals have tremendous financial resources, and they spare no expense to corrupt government and law enforcement officials. Not only does corruption undermine security, development, and the rule of law, but it also erodes public trust in institutions, distorts markets, and fuels the spread of organized crime and terror.
Many of the threats we see emerging today are unified in one way or another by one common factor: corruption. Even in the most advanced economies, dark corners exist where a parallel, illicit market thrives. In these dark shadows, corrupt business leaders, government officials, and criminals are working together to influence the economies of many countries. Wherever criminal elements and their corrupt facilitators operate with impunity, our collective efforts to rid the world of ungoverned spaces, promote democracy and the rule of law, and expand legitimate economic opportunities will always be incomplete.
Illicit Trade
Illicit trade—or, as some have called it, “the dark side of globalization”—is another human-caused disaster, and one that I had the opportunity to discuss yesterday at the OECD High-Level Risk Forum as chair of the OECD Task Force on Charting Illicit Trade.
The illegal economy includes narcotics trafficking, wildlife trafficking, human trafficking, illegal logging, counterfeit consumer goods and medications, and other illicit enterprises. It is a network of shadowy markets in which illegal arms brokers and narcotics kingpins act as the new CEOs and venture capitalists.
According to some estimates, the illegal economy accounts for eight to 15 percent of world GDP, and in many parts of the developing world, it may account for several times this estimate. The estimated annual costs and revenues generated by transnational illicit networks and organized crime groups are staggering:
Bribery: Significant portion of $1 trillion
Narcotics Trafficking: $750 billion to $1 trillion
Counterfeited and Pirated Products: $500 billion
Environmental Crime (illegal wildlife trade, logging, trade in CFCs, and toxic waste dumping): $20 to $40 billion
Human Trafficking: 20.9 million victims globally, $32 billion annually
Credit Card Fraud: $10 to 12 billion
Simply put, illicit trade is a barrier to economic growth. It distorts legitimate markets, disrupts global supply chains, and depletes natural resources. It also imperils our collective security. We all experience the effects of illicit trade every day:
When governments cannot afford to provide vital public services and law enforcement because legitimate revenue streams from legitimate commerce are being siphoned away by corrupt officials, smugglers, and criminals;
When businesses suffer loss of revenue because of counterfeiting or black market distribution of their products;
When men, women, and children are trafficked and exploited, leading to the breakdown of families and communities, degradation of human capital, threats to public health, and extortion and subversion of government officials; and
When illicit financial flows and dirty money enter the global financial system, eroding the integrity of legitimate markets while giving false hope to victimized communities that illicit enterprise can replace fair and open markets.
Legitimate commerce loses as the illegal economy expands. We must shut down the illegal economy and create legitimate, transparent markets across the investment frontiers of tomorrow.
Terrorism
We have also come to understand how terrorism can create world disorder, chaos, and insecurity as terrorists engage in cowardly and criminal acts to destabilize peace and security across our communities.
Corruption, crime, and terrorism—the “unholy trinity” as Dr. Louise Shelley, Dr. Raufer, and other distinguished scholars have dubbed it—are the drivers of the global threat environment, the merging and blending of an ever-expanding array of illicit actors and networks.
In an interconnected world, the pipelines linking these threat actors and networks cut across borders, infiltrate and corrupt licit markets, penetrate fragile governments, and undercut the interests and security of our partners across the international community.
The growing illegal economy supports and enables corrupt officials, criminals, terrorists, and insurgents to mingle and conduct business with another. We must build our own networks to fight these illicit networks and break their corruptive influence.
Navigating Global Threats and Geo-Security Risks: Natural Disasters
Let me now say a few words about the cataclysmic events that threaten global security, especially those forces of nature that, when crossed with human disasters, engender an unprecedented level of vulnerability. Catastrophic heat waves, typhoons, earthquakes, flooding, new diseases—any one of these disasters can cause major disruptions to our physical infrastructure, economies, and institutions. When they converge with other geo-security threats, they create the “perfect storm” that can wreak havoc on the stability and security of states and communities. Across the Sahel, climate change, scarcity of resources, and human-caused disasters are contributing to anti-government movements, instability, and the breakdown of social harmony and cohesion.
I cannot emphasize this enough: to manage change and mitigate emerging geo-security risks such as these, we must better understand the adverse effects that corruption, illicit trade, and other global threats can have on economic growth and on achieving millennium development goals, as well as our security. More so now than ever before, it is crucial that we work together to address these international and transnational challenges.
Ladies and gentlemen, corruption and crime exist in every corner of the globe. So do terrorism and climate change. They occur in many of our communities, and on those occasions when they converge, they can bring disorder and instability. In this scenario, shadowy markets, criminal entrepreneurs, and illicit networks could become de facto service providers as governments collapse and chaos and insecurity increase, and in the worst case scenario, prey on the victims of pandemics, storms, and other disasters.
Diplomatic Engagement, Collaborative Platforms, Public-Private Partnerships, and Resiliency
In this ever-changing world, we need to adopt smarter, proactive approaches to market forces, natural disasters, and our own ethical failings. If we do not act, transnational threats will continue to imperil our communities, economies, and ways of life.
We must build a community of responsible governments, businesses, and civil society organizations, working together to build market resiliency, safeguard government integrity, and preserve our common security.
The United States has recently taken steps to make countering the convergence of illicit threats a national security priority. On July 25, 2011, the White House released the Strategy to Combat Transnational Organized Crime: Addressing Converging Threats to National Security, which aims to protect Americans and citizens of partner nations from violence and exploitation at the hands of transnational criminal networks.
While the problem of transnational illicit networks is as ancient as the trade routes that many such networks still employ today, the United States and its partners recognize the importance of net-centric partnerships to confront converging threats and the lethal nexus of organized crime, corruption, and terrorism along global illicit pathways and financial hubs.
Of growing concern are illicit financial hubs and their potentially complicit banks and market-based facilitators and super fixers—such as corrupt lawyers, accountants, black market procurers of commodities and services, and cross-border illicit transport movers.
Illicit financial hubs and sanctuaries help to create the permissive environment that enables illicit funds to enter through vulnerable points in the system and be transferred very rapidly, often with little control or regulation, anywhere in the world. All it takes is a single illicit actor or bank to accept an unsavory client for illicit funds or goods to spread and disguise themselves across the globe, from financial markets in New York and London to Dubai, Hong Kong, and other financial centers.
In support of the Strategy, the U.S. Congress established the Transnational Organized Crime Rewards Program in order to assist efforts to dismantle transnational criminal organizations and bring their leaders and members to justice. The new program complements the Narcotics Rewards Program by offering rewards up to $5 million for information on significant transnational criminal organizations involved in activities beyond drug trafficking, such as human trafficking, money laundering, maritime piracy, and trafficking in arms, counterfeits, and other illicit goods. We anticipate that by rewarding informants who provide leads and tips that help hobble transnational organized criminals, we can protect our citizens and homeland, and target similar threats abroad.
Moving forward, the United States will continue to build collaborative partnerships and knowledge-based platforms with the United Nations Office on Drugs and Crime (UNODC), the World Bank, the G8/G20, INTERPOL, the Financial Action Task Force (FATF), World Customs Organization (WCO), the European Union, the Asia Pacific Economic Cooperation Forum (APEC), Association of Southeast Asian Nations (ASEAN), Organization of American States (OAS), African Union (AU), and other regional and sub-regional bodies.
A New Paradigm to Confronting Transnational Threats: Convergence
In closing, at a time when global risks are growing and converging, the international community must come together to better understand the current and future disorders of our world. To confront today’s threats, risk and challenges, we must escape the conventional, inside-the-box mindset, and think more four-dimensionally—we must view today’s converging threats through a more panoramic prism and better understand how threats are increasingly linked and how illicit vectors come together in some of today’s” hot spots” and create a bigger threat altogether.
I would like to share five converging threats that I believe will be among the most critical for the international community to confront in the coming years.
Sustainability and Security: Harming our environment also harms humanity. Environmental security issues will be among the great challenges we face in the coming decades, including the impact that climate change, rapid urbanization, deforestation, natural disasters, and pandemics will have on food supplies, water levels, fisheries, and other critical resources. Given that we are a global community, consuming annually what some estimate is the equivalent of one-and-one half times our planet’s carry capacity, our ecological footprint is detrimental and unsustainable. Moreover, when we couple this with climate change, droughts, scarcity of resources, and humanitarian disasters that will trigger forced migrations. I expect that we will see more conflict and violence across some parts of the world. Global health security threats are likely to increase for many reasons, among them climate change bringing existing diseases to new areas; urbanization packing more people together in unhealthy environments, cheek-by-jowl with domestic animals that harbor cross-species viruses; and even progress in the life sciences that could enable malefactors to create microbial threats even as legitimate scientists develop new tools to defend ourselves against disease. In some of these ungoverned spaces and insecurity hubs, criminal networks and other illicit actors may become increasingly dominant.
Cybercrime and Virtual Currencies: Another emerging threat that many in the international community are concerned about these days is cybercrime. Cyber-based threats will continue to increase daily and as communities around the world lose data, money, and ideas through cyber intrusions and cyber criminals. In recent months, there has also been much reporting on the criminal exploitation of virtual currency systems that further transnational criminal operations, and the opportunities that cyberspace provides to entrepreneurial criminals to engage in illicit activities on-line and to launder their “dirty money” undetected. For example, earlier this year law enforcement shutdown several virtual currency platforms exploited by illicit actors including those involved in the Liberty Reserve $6 billion money laundering operation, which included credit card fraud, identity theft, investment fraud, computer hacking, narcotics trafficking, and child pornography. In another case, the U.S. Department of Justice has alleged that customers of Silk Road, the largest narcotic and contraband marketplace on the Internet to date, were required to pay in bitcoins to enable both the operator of Silk Road and its sellers to evade detection and launder hundreds of millions of dollars. While of growing concern, virtual currencies, have yet to overtake more traditional methods to move funds internationally, whether for legitimate or criminal purposes. Nonetheless, use of virtual currencies will continue to grow, especially among criminals eyeing to launder their illicit proceeds.
Human Trafficking and Enslaved Human Capital: Human trafficking will also continue to be a threat to communities across the world, especially as organized criminal networks target vulnerable men, women, and children. In many countries, victims of human trafficking, also known as trafficking in persons and modern slavery, are exploited, abused and forced to work in sweatshops, brothels, fields, and other trades and settings, some hidden behind dark corners, others in plain view, including as child soldiers. The thriving business that human trafficking constitutes allows criminals to make billions from the labor and exploitation of their victims. In addition to poverty, unemployment, and a lack of opportunities, as discussed earlier, natural disasters, conflict and political instability can also increase the incidence of human trafficking as people become vulnerable due to insecurity and economic distress. As long as some countries continue to turn a blind eye to the extent of human trafficking within and across their borders, governments and communities will not be able to build the new markets and investment frontiers to grow their economy due to the significant loss of their human and social capital.
Megacities, Population Tsunamis, and Dark Slums of Criminality: Megacities as a security issue will demand increasing attention as more and more people gravitate to cities for economic opportunities, escape from conflict zones, forced migration related to climate change, or are trafficked as indentured slaves. Many megacities are taxed and overflowing with newcomers, and yet they only keep increasing in population size. Faced with poverty and resource distribution imbalances, newcomers may be marginalized and resort to the shadowy economy to sustain themselves, leaving insecure pockets, crime ridden communities, and heightened ethnic and religious fault lines. In the coming years, it is reasonable for megacities to experience a convergence of economic security, environment security, sustainable security, and national security coming together to deal with the pressures of urbanization. Unmitigated, social unrest in megacities will have destabilizing impacts that will provide platforms for organized crime and other illicit networks to exploit, including trafficking people or exporting extremist recruits to spawn violence in other parts of the world.
Crime-Terror Convergence/Pipelines: I have been talking a lot about crime-terror pipelines over the past several years. In fact, through a partnership between the Defense and State Departments, the United States has brought together some of the top experts in the world to examine not only the possible crime-terror nexus but also to help us better understand the crime-terror pipelines across the global threat environment so that we can work with the international community to map threat networks, identify interlocking nodes, and to coordinate efforts to disrupt and dismantle transnational illicit bad actors and networks. We need to leverage more non-kinetic methods, especially financial tools and criminal justice responses, to better target corrupt actors and illicit pathways, and follow the money to disrupt and dismantle pipelines, target their facilitators, and eliminate their financial resources. We also need to better coordinate diplomatic efforts to identify and uproot safe havens and exploitable sanctuaries that enable criminals, terrorists, and other illicit actors and networks to corrupt governments, access illegal markets, and stage operations without fear of reprisal from law enforcement. I also believe, as Doug Farah and others have advanced, that there is a greater need to coordinate and expose and prevent conditions for the nesting of illicit forces with criminalized states such as we see, for example, in some parts of the Sahel. Some of the thinking and research which helped to inform our dialogues on combating crime-terror pipelines can be found in a book published in May 2013 by the National Defense University, “Convergence: Illicit Networks and National Security in the Age of Globalization.”
*****
The geo-security threats and risks that the international community confronts each day are very real and growing in complexity. However, our commitment to work through our common challenges will help us navigate the global threat environment. The United States is keen to strengthen cooperation with France and other committed partners to address these cross-border threats, in coordination with the international community and leaders and stewards of global security in both public and private sectors.
In the immortal words of one of the world’s greatest leaders and humanitarians of our lifetime, and someone who has had a tremendous impact on my views on humanity and security, I would like to conclude with a quote from Nelson Mandela, which I hope will end on a positive, inspiring note on the power of resiliency:
I am fundamentally an optimist. Whether that comes from nature or nurture, I cannot say. Part of being optimistic is keeping one’s head pointed toward the sun, one’s feet moving forward. There were many dark moments when my faith in humanity was sorely tested, but I would not and could not give myself up to despair. That way lays defeat and death.
We cannot give ourselves up to despair, we must march forward together to confront today’s global threats and anticipate tomorrow’s challenges recognizing that the real threat centers in their convergence. Thank you.
Tuesday, December 17, 2013
CONGRESSMAN CAMP COMMENTS ON BUDGET VOTE
FROM: CONGRESSMAN DAVE CAMP, CHAIRMAN OF HOUSE WAYS AND MEANS COMMITTEE
On December 12, the House of Representatives passed, with a bipartisan vote, H.J.Res. 59, the two-year budget compromise negotiated by House Budget Chairman Paul Ryan (R-WI) and Senate Budget Chairwoman Patty Murray (D-WA). H.J.Res.59 reduces the deficit by approximately $23 billion without raising taxes.
Following the vote Camp said, “Today, I joined in a bipartisan vote for a two year budget that reduces the deficit and includes reductions in mandatory spending without raising taxes. This will give Congress the opportunity to work on serious solutions, like tax reform, to strengthen the economy so job creators can grow, hire and increase wages and address our long-term debt crisis.”
On December 12, the House of Representatives passed, with a bipartisan vote, H.J.Res. 59, the two-year budget compromise negotiated by House Budget Chairman Paul Ryan (R-WI) and Senate Budget Chairwoman Patty Murray (D-WA). H.J.Res.59 reduces the deficit by approximately $23 billion without raising taxes.
Following the vote Camp said, “Today, I joined in a bipartisan vote for a two year budget that reduces the deficit and includes reductions in mandatory spending without raising taxes. This will give Congress the opportunity to work on serious solutions, like tax reform, to strengthen the economy so job creators can grow, hire and increase wages and address our long-term debt crisis.”
U.S. DEFENSE CONTRACTS FOR DECEMBER 17, 2013
FROM: U.S. DEFENSE DEPARTMENT
CONTRACTS
MISSILE DEFENSE AGENCY
Raytheon Co. Integrated Defense Systems, Woburn, Mass., is being awarded $172,680,000 contract modification (P00019) under firm-fixed-price contract HQ0147-12-C-0006, increasing the total contract value from $580,766,787 to $753,446,787. Under this contract modification, the contractor will manufacture and deliver the AN/TPY-2 Radar #12 (CLIN 0018) with associated spares (CLIN 0019). The work will be performed in Woburn, Mass. The performance period is from December 2013 through March 2016. Fiscal 2013 procurement funds in the amount of $172,680,000 are being obligated on this award. The Missile Defense Agency, Huntsville, Ala., is the contracting activity.
NAVY
JCON Group, Construction and Design*, Miami, Fla. (N69450-14-D-0754); Orocon -- Carother Joint Venture 1*, Oxford, Miss. (N69450-14-D-0755); Mitchell Industrial Contractors Inc., and Brasfield and Gorrie LLC, a Joint Venture*, Madison, Ala. (N69450-14-D-0756); PentaCon LLC*, Catoosa, Okla. (N69450-14-D-0757); TMG Services Inc.*, Cleveland, Ohio (N69450-14-D-0758), and Leebcor Services LLC*, Williamsburg, Va. (N69450-14-D-0759); are each being awarded an indefinite-delivery/indefinite-quantity multiple award design-build construction contract for construction projects, located primarily within the Naval Facilities Engineering Command (NAVFAC) Southeast area of responsibility (AOR). The maximum dollar value including the base period and four option years for all six contracts combined is $95,000,000. The work to be performed provides for, but is not limited to, new construction, renovation, alteration, demolition, repair work, and any necessary design including: industrial, airfield, aircraft hangar, aircraft traffic control, infrastructure, administrative, training, dormitory, and community support facilities. JCON Group, Construction and Design is being awarded task order 0001 at $8,696,000 for the construction of an enlisted dining facility located at Naval Air Station, Meridian, Miss. Work for this task order is expected to be completed by October 2015. All work on this contract will be performed primarily within the NAVFAC Southeast AOR which includes Mississippi (48 percent), Florida Panhandle area (48 percent), and in the remainder of the NAVFAC Southeast AOR (4 percent). The term of the contract is not to exceed 60 months, with an expected completion date of December 2018. Fiscal 2013 military construction, Navy, and fiscal 2014 operations and maintenance, Navy contract funds in the amount of $8,701,000 are obligated on this award and $5,000 will expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website with 51 proposals received. These six contractors may compete for task orders under the terms and conditions of the awarded contract. The Naval Facilities Engineering Command, Southeast, Jacksonville, Fla., is the contracting activity.
The Boeing Co., St. Louis, Mo., is being awarded a $70,032,166 firm-fixed-price contract for the procurement of 12 encapsulated harpoon all-up round tactical missiles; five harpoon Grade B exercise missiles; two encapsulated harpoon certification training vehicles and shipping containers; 100 harpoon improved fuze booster kits; 50 harpoon improved fuze kits; two harpoon blast test vehicles; and associated hardware and containers for the U.S. Navy and various foreign military sales customers. Work will be performed in the St. Charles, Mo. (48.2 percent); United Kingdom (12 percent); McKinney, Texas (8.83 percent); Middletown, Conn. (4.77 percent); Elkton, Md., (4.16 percent); Toledo, Ohio (3.72 percent); Lilititz, Pa. (2.24 percent); Joplin, Mo. (2.09 percent); Galena, Kan. (1.9 percent); St. Louis, Mo. (1.74 percent); Grove, Okla. (1.38 percent); Lancaster, Pa. (1.04 percent); Huntsville, Ala. (1.0 percent); Newton, Pa. (0.8 percent); China Lake, Calif. (0.8 percent); Chandler, Ariz. (0.7 percent); Minneapolis, Minn. (0.56 percent); East Camden, Ark. (0.55 percent); and various locations in the continental United States (3.52 percent). Work is expected to be completed in December, 2014. Foreign military sales in the amount of $67,638,493 and fiscal 2013 weapons procurement, Navy contract funds in the amount of $70,032,166 will be obligated at time of award, $2,393,673 of which expire at the end of the current fiscal year. This contract combines purchases for the U.S. Navy ($2,393,673; 3.42 percent); the governments of Korea ($38,122,613; 54.44 percent); Canada ($9,981,318; 14.25 percent); Japan ($7,679,885; 10.97 percent); Germany ($6,491,198; 9.27 percent); Australia ($3,354,415; 4.79 percent); Taiwan ($812,520; 1.16 percent); Saudi Arabia ($460,952; .66 percent); Turkey ($444,749; .64 percent); Egypt ($239,618; .34 percent); and the United Kingdom ($51,225; .07 percent) under the Foreign Military Sales program. 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-0005).
Watts Contrack, a Joint Venture, Honolulu, Hawaii, is being awarded a $57,084,144, firm-fixed-price contract for the construction of the MV-22 hangar and infrastructure and aircraft staging area at the Marine Corps Base Hawaii. The work to be performed provides for the construction of a hangar, apron, and taxiway to support one MV-22 squadron. The hangar is a multi-story type II modified aircraft maintenance hangar to provide a weather protected shelter for inspection, service, and maintenance for the MV-22 aircrafts. The high bay aircraft maintenance hangar will be steel frame construction with a standing seam metal roof installed over a steel metal deck. The second floor administrative space of the hangar will be steel framed with metal deck and concrete fill. Other primary and supporting facilities include aircraft taxiway, aircraft taxiway shoulders, Substation No. 3 feeder upgrade and utility infrastructure. The project will also construct an aircraft staging area to support one MV-22 squadron, which consists of 12 aircrafts. Site preparations include clear/grub, earthwork, site grading and excavation. Paving and site improvements include site storm drainage systems and taxiway shoulders. The contract also contains one unexercised option, which if exercised would increase cumulative contract value to an estimated $58,999,995. Work will be performed in Kaneohe Bay, Hawaii, and is expected to be completed by September 2015. Fiscal 2010, 2011 and 2013 military construction, Navy contract funds in the amount of $57,084,144 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website, with nine proposals received. The Naval Facilities Engineering Command, Pacific, Pearl Harbor, Hawaii, is the contracting activity (N62742-14-C-1327).
Lockheed Martin Corp., Missiles and Fire Control, Orlando, Fla., is being awarded a $33,996,000 firm-fixed-price contract for procurement of AN/AAQ-30(A) Target Sight Systems (TSS) and data. AN/AAQ-30(A) TSS will be integrated into the AH-1Z Cobra Attack helicopter as part of the Marine Corps H-1 upgrades program for the remanufacture of legacy aircraft with state of the art designs incorporated into the existing fleet of AH-1W's, converting them to AH-1Z. The TSS provides target identification and tracking, passive targeting for integrated weapons, including Hellfire missiles, and a laser designation capability supporting friendly laser-guided weapons. Work will be performed in Orlando, Fla. (80 percent), and Ocala, Fla. (20 percent), and is expected to complete by May 2016. Fiscal 2013 and 2014 aircraft procurement Navy contract funds in the amount of $31,163,000 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was not competitively procured in accordance with 10 U.S.C. 2304(c)(1), as set forth in FAR 6.302-1(b)(1)(ii) - only one responsible source and no other supplies or services will satisfy agency requirements. The Naval Surface Warfare Center, Crane, Ind., is the contracting activity (N00164-14-C-JQ65).
Raytheon Missile Systems, Tucson, Ariz., is being awarded a $16,331,483 modification to previously awarded contract (N00024 13 C-5402) for fiscal 2014 standard missile depot and intermediate level maintenance, all-up-round re-certifications, and special maintenance tasks. Work will be performed in Tucson, Ariz. (95 percent), Camden, Ark. (3 percent), and Burlington, Mass. (2 percent), and is expected to be completed by December 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $16,331,483 will be obligated at time of award and will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
AIR FORCE
The Boeing Co., Seattle, Wash., has been awarded an $81,972,630 delivery order (0378) on an existing contract (F33657-01-D-0013) for C-32A and C-40B/C integrated fleet support (IFS). The contract modification is to provide support for calendar year 2014 IFS. Work will be performed at Joint Base Andrews, Md., Scott Air Force Base, Ill., Ramstein Air Base, Germany, Hickam AFB, Hawaii, and other locations as necessary to support the aircraft, and work is expected to be completed by Dec. 3, 2014. Fiscal 2014 operations and maintenance funds in the amount of $81,972,630 are being obligated at time of award. Air Force Life Cycle Management Center/WLKLB, Tinker AFB, Okla., is the contracting activity.
A-Tech Corp., doing business as Applied Technology Associates, Albuquerque, N.M., has been awarded a $60,000,000 not-to-exceed, indefinite-delivery/indefinite-quantity contract (FA9453-14-D-0312) with cost-plus-fixed-fee task orders to assist Air Force Research Laboratory's Space Vehicles Directorate, Spacecraft Technology Division in the development, evaluation and integration of new technologes, as well as innovative operational concepts, leading to improved operational systems in support of the warfigter. The award was solicited electronically as a total small business set-aside, and three proposals were received. Work will be performed at Albuquerque, N.M., and Kirtland AFB, N.M., and is expected to be completed by March 20, 2019. Fiscal 2013 research and development funds (task orders 0001 through 0006) in the amount of $723,000 are being obligated at same time as the basic contract. Air Force Research Laboratory/RVKVV, Kirtland AFB, N.M., is the contracting activity.
Northrop Grumman Systems Corp., Redondo Beach, Calif., has been awarded a not-to-exceed $19,970,000 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract to provide research and development pertaining to the development and implementation of condition-based maintenance plus structural integrity. The scope of the program is to develop and demonstrate a probabilistic, risk-based, flight-by-flight individual aircraft tracking (IAT) framework to replace the baseline deterministic IAT framework currently used for legacy aircraft. Deliverables will include technical reports and may include hardware and software. The award is a result of a competitive acquisition. Unlimited offers were solicited, and four offers were received. Work will be performed at Redondo Beach, Calif., and Wright-Patterson AFB, Ohio, and is expected to be completed by March 17, 2020. Fiscal 2013 research and development funds for task order 0001 in the amount of $140,446 are being obligated on this task order, which has a total value of $2,052,203. Air Force Research Laboratory/RQKPD, Wright-Patterson AFB, Ohio, is the contracting activity (FA8650-14-D-2413).
Raytheon Co., Integrated Defense Systems, Sudbury, Mass., has been awarded a $6,896,385 modification (P0005) on an existing cost-plus-fixed-fee, firm-fixed-price, cost-reimbursement contract (FA8730-13-C-0003) for the Taiwan Surveillance Radar program follow-on support string upgrade engineering change proposal. The contract modification provides a continental United States sustainment string upgrade that creates a controlled site-like testing environment for build deployment and system troubleshooting at the CONUS development facility. Work will be performed at Sudbury, Mass., and is expected to be completed by Nov. 8, 2017. This contract involves foreign military sales to Taiwan. Air Force Life Cycle Management Center/HBNA, Hanscom AFB, Mass., is the contracting activity.
DEFENSE LOGISTICS AGENCY
Nacco Materials Handling Group Inc., doing business as Hyster Co., Greenville, N.C., has been awarded a maximum $28,725,000 fixed-price with economic-price-adjustment contract for Navy shipboard-use forklifts. This contract is a competitive acquisition, and four offers were received. Location of performance is North Carolina with a Dec. 16, 2018 performance completion date. This contract is a five-year base with no option year periods. Using military service is Navy. Type of appropriation is fiscal 2014 through fiscal 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPM8E8-14-D-0002).
The Oilgear Co., Milwaukee, Wis., has been awarded a maximum $16,000,000 modification (P00004) exercising the third one-year option period on a two-year base contract (SPM8EE-10-D-0004) with three one-year option periods for meter assembly skids and fuel. This is a fixed-price with economic-price-adjustment contract. Location of performance is Wisconsin with a Jan. 28, 2015 performance completion date. Using military service is Army. 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.
Rocky Brands Inc., Nelsonville, Ohio, has been awarded a maximum $14,957,408 modification (P00005) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1017) with four one-year option periods for Army hot weather combat boots. This is a firm-fixed-price contract. Locations of performance are Ohio and Puerto Rico with a Dec. 21, 2014 performance completion date. Using military services are Army and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Signature Flight Support Corp., Las Vegas, Nev., has been awarded a maximum $14,649,857 fixed-price with economic-price-adjustment contract for into-plane jet fuel. This contract is a sole source acquisition. Location of performance is Nevada with a March 31, 2018 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2018 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va.; (SP0600-14-D-0023).
Mercury Air Centers, doing business as Atlantic Aviation, Reno, Nev., has been awarded a maximum $13,496,963 fixed-price with economic-price-adjustment contract for into-plane jet fuel. This contract is a sole-source acquisition. Location of performance is Nevada with a March 31, 2018 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2018 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-D-0022).
Altama Delta Corp., Atlanta, Ga., has been awarded a maximum $10,340,320 modification (P00005) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1018) with four one-year option periods for Army hot weather combat boots. This is a firm-fixed-price contract. Locations of performance are Georgia and Tennessee with a Dec. 21, 2014 performance completion date. Using military services are Army and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
*Small Business
CONTRACTS
MISSILE DEFENSE AGENCY
Raytheon Co. Integrated Defense Systems, Woburn, Mass., is being awarded $172,680,000 contract modification (P00019) under firm-fixed-price contract HQ0147-12-C-0006, increasing the total contract value from $580,766,787 to $753,446,787. Under this contract modification, the contractor will manufacture and deliver the AN/TPY-2 Radar #12 (CLIN 0018) with associated spares (CLIN 0019). The work will be performed in Woburn, Mass. The performance period is from December 2013 through March 2016. Fiscal 2013 procurement funds in the amount of $172,680,000 are being obligated on this award. The Missile Defense Agency, Huntsville, Ala., is the contracting activity.
NAVY
JCON Group, Construction and Design*, Miami, Fla. (N69450-14-D-0754); Orocon -- Carother Joint Venture 1*, Oxford, Miss. (N69450-14-D-0755); Mitchell Industrial Contractors Inc., and Brasfield and Gorrie LLC, a Joint Venture*, Madison, Ala. (N69450-14-D-0756); PentaCon LLC*, Catoosa, Okla. (N69450-14-D-0757); TMG Services Inc.*, Cleveland, Ohio (N69450-14-D-0758), and Leebcor Services LLC*, Williamsburg, Va. (N69450-14-D-0759); are each being awarded an indefinite-delivery/indefinite-quantity multiple award design-build construction contract for construction projects, located primarily within the Naval Facilities Engineering Command (NAVFAC) Southeast area of responsibility (AOR). The maximum dollar value including the base period and four option years for all six contracts combined is $95,000,000. The work to be performed provides for, but is not limited to, new construction, renovation, alteration, demolition, repair work, and any necessary design including: industrial, airfield, aircraft hangar, aircraft traffic control, infrastructure, administrative, training, dormitory, and community support facilities. JCON Group, Construction and Design is being awarded task order 0001 at $8,696,000 for the construction of an enlisted dining facility located at Naval Air Station, Meridian, Miss. Work for this task order is expected to be completed by October 2015. All work on this contract will be performed primarily within the NAVFAC Southeast AOR which includes Mississippi (48 percent), Florida Panhandle area (48 percent), and in the remainder of the NAVFAC Southeast AOR (4 percent). The term of the contract is not to exceed 60 months, with an expected completion date of December 2018. Fiscal 2013 military construction, Navy, and fiscal 2014 operations and maintenance, Navy contract funds in the amount of $8,701,000 are obligated on this award and $5,000 will expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website with 51 proposals received. These six contractors may compete for task orders under the terms and conditions of the awarded contract. The Naval Facilities Engineering Command, Southeast, Jacksonville, Fla., is the contracting activity.
The Boeing Co., St. Louis, Mo., is being awarded a $70,032,166 firm-fixed-price contract for the procurement of 12 encapsulated harpoon all-up round tactical missiles; five harpoon Grade B exercise missiles; two encapsulated harpoon certification training vehicles and shipping containers; 100 harpoon improved fuze booster kits; 50 harpoon improved fuze kits; two harpoon blast test vehicles; and associated hardware and containers for the U.S. Navy and various foreign military sales customers. Work will be performed in the St. Charles, Mo. (48.2 percent); United Kingdom (12 percent); McKinney, Texas (8.83 percent); Middletown, Conn. (4.77 percent); Elkton, Md., (4.16 percent); Toledo, Ohio (3.72 percent); Lilititz, Pa. (2.24 percent); Joplin, Mo. (2.09 percent); Galena, Kan. (1.9 percent); St. Louis, Mo. (1.74 percent); Grove, Okla. (1.38 percent); Lancaster, Pa. (1.04 percent); Huntsville, Ala. (1.0 percent); Newton, Pa. (0.8 percent); China Lake, Calif. (0.8 percent); Chandler, Ariz. (0.7 percent); Minneapolis, Minn. (0.56 percent); East Camden, Ark. (0.55 percent); and various locations in the continental United States (3.52 percent). Work is expected to be completed in December, 2014. Foreign military sales in the amount of $67,638,493 and fiscal 2013 weapons procurement, Navy contract funds in the amount of $70,032,166 will be obligated at time of award, $2,393,673 of which expire at the end of the current fiscal year. This contract combines purchases for the U.S. Navy ($2,393,673; 3.42 percent); the governments of Korea ($38,122,613; 54.44 percent); Canada ($9,981,318; 14.25 percent); Japan ($7,679,885; 10.97 percent); Germany ($6,491,198; 9.27 percent); Australia ($3,354,415; 4.79 percent); Taiwan ($812,520; 1.16 percent); Saudi Arabia ($460,952; .66 percent); Turkey ($444,749; .64 percent); Egypt ($239,618; .34 percent); and the United Kingdom ($51,225; .07 percent) under the Foreign Military Sales program. 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-0005).
Watts Contrack, a Joint Venture, Honolulu, Hawaii, is being awarded a $57,084,144, firm-fixed-price contract for the construction of the MV-22 hangar and infrastructure and aircraft staging area at the Marine Corps Base Hawaii. The work to be performed provides for the construction of a hangar, apron, and taxiway to support one MV-22 squadron. The hangar is a multi-story type II modified aircraft maintenance hangar to provide a weather protected shelter for inspection, service, and maintenance for the MV-22 aircrafts. The high bay aircraft maintenance hangar will be steel frame construction with a standing seam metal roof installed over a steel metal deck. The second floor administrative space of the hangar will be steel framed with metal deck and concrete fill. Other primary and supporting facilities include aircraft taxiway, aircraft taxiway shoulders, Substation No. 3 feeder upgrade and utility infrastructure. The project will also construct an aircraft staging area to support one MV-22 squadron, which consists of 12 aircrafts. Site preparations include clear/grub, earthwork, site grading and excavation. Paving and site improvements include site storm drainage systems and taxiway shoulders. The contract also contains one unexercised option, which if exercised would increase cumulative contract value to an estimated $58,999,995. Work will be performed in Kaneohe Bay, Hawaii, and is expected to be completed by September 2015. Fiscal 2010, 2011 and 2013 military construction, Navy contract funds in the amount of $57,084,144 are obligated on this award and will not expire at the end of the current fiscal year. This contract was competitively procured via the Navy Electronic Commerce Online website, with nine proposals received. The Naval Facilities Engineering Command, Pacific, Pearl Harbor, Hawaii, is the contracting activity (N62742-14-C-1327).
Lockheed Martin Corp., Missiles and Fire Control, Orlando, Fla., is being awarded a $33,996,000 firm-fixed-price contract for procurement of AN/AAQ-30(A) Target Sight Systems (TSS) and data. AN/AAQ-30(A) TSS will be integrated into the AH-1Z Cobra Attack helicopter as part of the Marine Corps H-1 upgrades program for the remanufacture of legacy aircraft with state of the art designs incorporated into the existing fleet of AH-1W's, converting them to AH-1Z. The TSS provides target identification and tracking, passive targeting for integrated weapons, including Hellfire missiles, and a laser designation capability supporting friendly laser-guided weapons. Work will be performed in Orlando, Fla. (80 percent), and Ocala, Fla. (20 percent), and is expected to complete by May 2016. Fiscal 2013 and 2014 aircraft procurement Navy contract funds in the amount of $31,163,000 will be obligated at time of award and will not expire at the end of the current fiscal year. This contract was not competitively procured in accordance with 10 U.S.C. 2304(c)(1), as set forth in FAR 6.302-1(b)(1)(ii) - only one responsible source and no other supplies or services will satisfy agency requirements. The Naval Surface Warfare Center, Crane, Ind., is the contracting activity (N00164-14-C-JQ65).
Raytheon Missile Systems, Tucson, Ariz., is being awarded a $16,331,483 modification to previously awarded contract (N00024 13 C-5402) for fiscal 2014 standard missile depot and intermediate level maintenance, all-up-round re-certifications, and special maintenance tasks. Work will be performed in Tucson, Ariz. (95 percent), Camden, Ark. (3 percent), and Burlington, Mass. (2 percent), and is expected to be completed by December 2014. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $16,331,483 will be obligated at time of award and will expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
AIR FORCE
The Boeing Co., Seattle, Wash., has been awarded an $81,972,630 delivery order (0378) on an existing contract (F33657-01-D-0013) for C-32A and C-40B/C integrated fleet support (IFS). The contract modification is to provide support for calendar year 2014 IFS. Work will be performed at Joint Base Andrews, Md., Scott Air Force Base, Ill., Ramstein Air Base, Germany, Hickam AFB, Hawaii, and other locations as necessary to support the aircraft, and work is expected to be completed by Dec. 3, 2014. Fiscal 2014 operations and maintenance funds in the amount of $81,972,630 are being obligated at time of award. Air Force Life Cycle Management Center/WLKLB, Tinker AFB, Okla., is the contracting activity.
A-Tech Corp., doing business as Applied Technology Associates, Albuquerque, N.M., has been awarded a $60,000,000 not-to-exceed, indefinite-delivery/indefinite-quantity contract (FA9453-14-D-0312) with cost-plus-fixed-fee task orders to assist Air Force Research Laboratory's Space Vehicles Directorate, Spacecraft Technology Division in the development, evaluation and integration of new technologes, as well as innovative operational concepts, leading to improved operational systems in support of the warfigter. The award was solicited electronically as a total small business set-aside, and three proposals were received. Work will be performed at Albuquerque, N.M., and Kirtland AFB, N.M., and is expected to be completed by March 20, 2019. Fiscal 2013 research and development funds (task orders 0001 through 0006) in the amount of $723,000 are being obligated at same time as the basic contract. Air Force Research Laboratory/RVKVV, Kirtland AFB, N.M., is the contracting activity.
Northrop Grumman Systems Corp., Redondo Beach, Calif., has been awarded a not-to-exceed $19,970,000 cost-plus-fixed-fee, indefinite-delivery/indefinite-quantity contract to provide research and development pertaining to the development and implementation of condition-based maintenance plus structural integrity. The scope of the program is to develop and demonstrate a probabilistic, risk-based, flight-by-flight individual aircraft tracking (IAT) framework to replace the baseline deterministic IAT framework currently used for legacy aircraft. Deliverables will include technical reports and may include hardware and software. The award is a result of a competitive acquisition. Unlimited offers were solicited, and four offers were received. Work will be performed at Redondo Beach, Calif., and Wright-Patterson AFB, Ohio, and is expected to be completed by March 17, 2020. Fiscal 2013 research and development funds for task order 0001 in the amount of $140,446 are being obligated on this task order, which has a total value of $2,052,203. Air Force Research Laboratory/RQKPD, Wright-Patterson AFB, Ohio, is the contracting activity (FA8650-14-D-2413).
Raytheon Co., Integrated Defense Systems, Sudbury, Mass., has been awarded a $6,896,385 modification (P0005) on an existing cost-plus-fixed-fee, firm-fixed-price, cost-reimbursement contract (FA8730-13-C-0003) for the Taiwan Surveillance Radar program follow-on support string upgrade engineering change proposal. The contract modification provides a continental United States sustainment string upgrade that creates a controlled site-like testing environment for build deployment and system troubleshooting at the CONUS development facility. Work will be performed at Sudbury, Mass., and is expected to be completed by Nov. 8, 2017. This contract involves foreign military sales to Taiwan. Air Force Life Cycle Management Center/HBNA, Hanscom AFB, Mass., is the contracting activity.
DEFENSE LOGISTICS AGENCY
Nacco Materials Handling Group Inc., doing business as Hyster Co., Greenville, N.C., has been awarded a maximum $28,725,000 fixed-price with economic-price-adjustment contract for Navy shipboard-use forklifts. This contract is a competitive acquisition, and four offers were received. Location of performance is North Carolina with a Dec. 16, 2018 performance completion date. This contract is a five-year base with no option year periods. Using military service is Navy. Type of appropriation is fiscal 2014 through fiscal 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPM8E8-14-D-0002).
The Oilgear Co., Milwaukee, Wis., has been awarded a maximum $16,000,000 modification (P00004) exercising the third one-year option period on a two-year base contract (SPM8EE-10-D-0004) with three one-year option periods for meter assembly skids and fuel. This is a fixed-price with economic-price-adjustment contract. Location of performance is Wisconsin with a Jan. 28, 2015 performance completion date. Using military service is Army. 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.
Rocky Brands Inc., Nelsonville, Ohio, has been awarded a maximum $14,957,408 modification (P00005) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1017) with four one-year option periods for Army hot weather combat boots. This is a firm-fixed-price contract. Locations of performance are Ohio and Puerto Rico with a Dec. 21, 2014 performance completion date. Using military services are Army and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Signature Flight Support Corp., Las Vegas, Nev., has been awarded a maximum $14,649,857 fixed-price with economic-price-adjustment contract for into-plane jet fuel. This contract is a sole source acquisition. Location of performance is Nevada with a March 31, 2018 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2018 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va.; (SP0600-14-D-0023).
Mercury Air Centers, doing business as Atlantic Aviation, Reno, Nev., has been awarded a maximum $13,496,963 fixed-price with economic-price-adjustment contract for into-plane jet fuel. This contract is a sole-source acquisition. Location of performance is Nevada with a March 31, 2018 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 through fiscal 2018 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-D-0022).
Altama Delta Corp., Atlanta, Ga., has been awarded a maximum $10,340,320 modification (P00005) exercising the first one-year option period on a one-year base contract (SPM1C1-13-D-1018) with four one-year option periods for Army hot weather combat boots. This is a firm-fixed-price contract. Locations of performance are Georgia and Tennessee with a Dec. 21, 2014 performance completion date. Using military services are Army and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
*Small Business
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