FROM: U.S. DEFENSE DEPARTMENT
CONTRACTS
ARMY
Lockheed Martin Missiles and Fire Control, Grand Prairie, Texas, was awarded a $610,892,663 modification (P00003) to foreign military sales contract W31P4Q-14-C-0034 for the PATRIOT system advanced capability production to include 92 one pack missiles, 50 launcher modification kits and associated ground equipment, tooling, and initial spares. Fiscal 2013 and fiscal 2014 other procurement funds and other procurement funds, Army in the amount of $873,811,534 from previous modifications were obligated at the time of the award. Estimated completion date is May 31, 2016. Work will be performed in Grand Prairie, Lufkin, and El Paso, Texas; Camden, Ariz.; Chelmsford, Mass; Ocala, Fla.; Huntsville, Ala.; and Anaheim, Calif. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.
TFAB Ground Systems LLC*, Madison, Ala., was awarded a $76,812,703 modification (P00005) to contract W9124J-12-D-0011 for engine diagnostic systems to ensure readiness of Chinook and Blackhawk helicopter engines. Funding and work performance location will be determined with each order. Estimated completion date is May 24, 2018. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.
EADS-N.A., Herndon, Va., was awarded a $34,018,858 modification (P00772) to sole-source, foreign military sales contract W58RGZ-06-C-0194 for six Lakota helicopters with the environmental control unit, mission equipment package and airborne radio communication (ARC-231) radios for the Royal Thai Army. Fiscal 2010 other procurement, Army funds in the amount of $34,018,857 were obligated at the time of the award. Estimated completion date is April 3, 2015. Work will be performed in Columbus, Miss. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.
BH Defense LLC*, Arlington, Va. was awarded a $12,150,976 modification (P00003) to foreign military sales contract W91247-13-C-0015 to the Iraq International Academy for the education and development of senior Iraqi leadership. Fiscal 2014 other procurement funds in the amount of $12,150,976 were obligated at the time of the award. Estimated completion date is March 31, 2016. Work will be performed in Iraq. Army Contracting Command, Ft. Bragg N.C. is the contracting activity.
L-3 National Security Solutions was awarded a $9,673,703 modification (P00015) to contract W52P1J-13-F-3003 for tier 1 service desk support in the National Capital Region. Fiscal 2014 operations and maintenance, Army funds in the amount of $1,181,654 were obligated at the time of the award. Estimated completion date is March 29, 2015. Work will be performed in Washington, D.C. Army Contracting Command, Reston, Va., is the contracting activity.
TSI Corp.*, Las Vegas, Nev., was awarded an $8,425,301 modification (P00006) to contract W9124J-12-D-0012 to support engineering design, general maintenance services, service orders/HVAC technical support and heavy equipment operations/maintenance. Funding and work performance location will be determined with each order. Estimated completion date is March 31, 2015. Army Contracting Command, Fort Hood, Texas, is the contracting activity.
Northcon Construction Inc.*, Hayden Idaho, was awarded an $8,000,000 firm-fixed-price contract for the maintenance, repair, upgrade and construction of military and civilian facilities, primarily at Fort Polk, La. Funding and work performance location will be determined with each order. Estimated completion date is March 24, 2017. Bids were solicited via the Internet with 18 received. U.S. Army Corps of Engineers, Fort Worth, Texas, is the contracting activity (W9126G-14-D-0021).
NAVY
Black Construction/MACE International Joint Venture, Harmon, Guam, is being awarded a maximum amount $95,000,000 indefinite-delivery/indefinite-quantity contract for design-build/design-bid-build construction projects at the U.S. Navy Support Facility, Diego Garcia. The work to be performed is for general building type projects to include new construction, repair, renovation, demolition and alteration of facilities. Facilities include, but are not limited to: aviation and aircraft, marine, barracks and personnel housing, administrative, warehouse and supply, training, personnel support and service, security level and abasement and handling of hazardous/regulated material, etc. No task orders are being issued at this time. The term of this contract is not to exceed 60 months, with an expected completion date of March 2019. Work will be performed in Diego Garcia, British Indian Ocean Territory. Fiscal 2014 operations and maintenance, Navy contract funds in the amount of $30,000 are obligated on this award and will expire at the end of the current fiscal year. This contract was competitively procured via the Federal Business Opportunities website, with two proposals received. The Naval Facilities Engineering Command, Pacific, Joint Base Pearl Harbor-Hickam, Hawaii, is the contracting activity (N62742-14-D-1303).
General Dynamics Land Systems-Force Protection, Ladson, S.C., is being awarded a $74,655,710 firm-fixed-price contract for the development, design, and production of 916 Cougar egress upgrade kits in support of the Program Executive Officer Land Systems, Program Manager, Mine Resistant Ambush Protected Vehicles. The kit includes upgrades to four existing vehicle systems: front doors; rear doors; rear steps; and exhaust. The upgrades are needed to increase survivability for the user in the case of an attack or accident. Work will be performed in Ladson, S.C., and work is expected to be completed September 2015. The term of the contract is not to exceed 18 months. Fiscal 2012 other procurement, Marine Corps; fiscal 2012 other procurement, Navy; fiscal 2013 research, development, test, and evaluation, Navy; and fiscal 2014 operations and maintenance, Marine Corps contract funds in the amount of $65,024,224 will be obligated at the time of award and will expire at the end of the current fiscal year. Fiscal 2013 other procurement, Navy and fiscal 2013 other procurement, Air Force contract funds in the amount of $9,631,486 will also be obligated at time of award and will not expire until Sept. 30, 2015. This contract was competitively awarded via the Federal Business Opportunities website, with one offer received. The Marine Corps Systems Command, Quantico, Va., is the contracting activity (M67854-14-C-5501).
SERCO, Reston, Va., is being awarded a potential $46,041,918 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract to provide life cycle sustainment, integration, acquisition and technical support for anti-terrorism/force protection Naval Electronic Surveillance Systems to Department of Defense agencies and other government activities as required. This is one of three contracts awarded: each awardee (CACI, N66001-14-D-0052; Honeywell, N66001-14-D-0053) will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two, one-year option periods which, if exercised, would bring the potential ceiling value of this award to an estimated $ 77,641,933. Work will be performed at the contractor’s facilities (60 percent), and at government facilities (40 percent) to include operational platform sites, shore-based sites, and training activities located in the continental United States, Alaska, Hawaii, and locations worldwide. The period of performance of the base period is from March 28, 2014 through March 27, 2017. Fiscal 2014 operations and maintenance, Navy, and other procurement, Navy, funds in the amount of $33,000 will be obligated at the time of award, and will not expire at the end of the current fiscal year. This contract was competitively procured via a full and open solicitation (N66001-12-R-0001) and publication on the Federal Business Opportunities website and the SPAWAR e-Commerce Central website. Three proposals were received and three were selected for award. The Space and Naval Warfare Systems Center Pacific, San Diego, Calif., is the contracting activity (N66001-13-D-0054).
Honeywell, Columbia, Md., is being awarded a potential $43,196,813 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract to provide life cycle sustainment, integration, acquisition and technical support for anti-terrorism/force protection Naval Electronic Surveillance Systems to Department of Defense agencies and other government activities as required. This is one of three contracts awarded: each awardee (CACI, N66001-14-D-0052; SERCO, N66001-14-D-0054) will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two, one-year option periods which, if exercised, would bring the potential ceiling value of this award to an estimated $71,713,083. Work will be performed at the contractor’s facilities (60 percent), and at government facilities (40 percent) to include operational platform sites, shore-based sites, and training activities located in the continental United States, Alaska, Hawaii, and locations worldwide. The period of performance of the base period is from March 28, 2014 through March 27, 2017. Fiscal 2014 operations and maintenance, Navy, and other procurement, Navy, funds in the amount of $33,000 will be obligated at the time of award, and will not expire at the end of the current fiscal year. This contract was competitively procured via a full and open solicitation and publication on the Federal Business Opportunities website and the SPAWAR e-Commerce Central website. Three proposals were received and three were selected for award. The Space and Naval Warfare Systems Center Pacific, San Diego, Calif., is the contracting activity (N66001-13-D-0053).
CACI Inc., Federal, Chantilly, Va., is being awarded a potential $42,382,869 indefinite-delivery/indefinite-quantity, cost-plus-fixed-fee contract to provide life cycle sustainment, integration, acquisition and technical support for anti-terrorism/force protection Naval Electronic Surveillance Systems to Department of Defense agencies and other government activities as required. This is one of three contracts awarded: each awardee (Honeywell, N66001-14-D-0053; SERCO, N66001-14-D-0054) will have the opportunity to compete for task orders during the ordering period. This three-year contract includes two, one-year option periods which, if exercised, would bring the potential ceiling value of this award to an estimated $70,999,791. Work will be performed at the contractor’s facilities (60 percent), and at government facilities (40 percent) to include operational platform sites, shore-based sites, and training activities located in the continental United States, Alaska, Hawaii, and locations worldwide. The period of performance of the base period is from March 28, 2014 through March 27, 2017. Fiscal 2014 operations and maintenance, Navy, and other procurement, Navy, funds in the amount of $33,000 will be obligated at the time of award, and will not expire at the end of the current fiscal year. This contract was competitively procured via a full and open solicitation and publication on the Federal Business Opportunities website and the SPAWAR e-Commerce Central website. Three proposals were received and three were selected for award. The Space and Naval Warfare Systems Center Pacific, San Diego, Calif., is the contracting activity (N66001-13-D-0052).
Lion-Vallen Industries, Dayton, Ohio, is being awarded a $20,609,800 firm-fixed-price requirements contract for logistics services to manage, support, and operate the Marine Corps Consolidated Storage Program Individual Issue Facility and Unit Issue Facility warehouse network. Contractor support consists of managing infantry combat clothing equipment, chemical, biological, radiological, and nuclear defense equipment, special training allowance pool, soft-walled shelters and camouflage netting, and contractor-owned contractor-operated Asset Visibility Capability system. This contract contains two one-month options which, if exercised, would bring the cumulative value of this contract to $24,761,800. Work will be performed at the same time in Barstow, Calif. (23 percent); Camp Lejuene, N.C. (18 percent); Camp Pendleton, Calif. (13 percent); Okinawa, Japan (10 percent); Miramar, Calif. (9 percent); Camp Geiger, N.C. (7 percent); Twenty-nine Palms, Calif. (4 percent); Cherry Point, N.C. (4 percent); Kaneohe Bay, Hawaii (3 percent); Yuma, Ariz. (2 percent); Beaufort, S.C. (2 percent); Iwakuni, Japan (2 percent); New River, N.C. (2 percent); and Bridgeport, Calif. (1 percent). Work is expected to be completed January 2015. If options are exercised, work will continue through March 2015. Fiscal 2014 operation and maintenance funds in amount of $20,609,800 will be obligated at the time of award, and will expire at the end of the current fiscal year. This contract was competitively procured via solicitations on the Navy Electronic Commerce Online website, with two proposals received. The Marine Corps Logistics Command, Albany, Ga., is the contracting activity (M67004-14-D-0003).
Canadian Commercial Corp., Ottawa, Ontario, Canada, is being awarded a $16,394,215 firm-fixed-price contract to repair four items required to support the P-3 aircraft. Work will be performed at Fort Lauderdale, Fla., (80 percent) and Ontario, Canada (20 percent), and work is expected to be completed by March 28, 2019. Fiscal 2014 Navy working capital funds will be used on the contract, but no funds will be obligated at the time of award. No contract funds will expire before the end of the current fiscal year. This contract was a non-competitive requirement in accordance with 10 U.S.C. 2304(c)(1). NAVSUP Weapons Systems Support, Philadelphia, Pa., is the contracting activity (N00383-14-D-019F).
Lockheed Martin Corp., Owego, N.Y., is being awarded $13,065,996 for firm-fixed-price delivery order GCAR under previously awarded a Defense Logistics Agency basic ordering agreement (SPRPA1-09-G-002Y) for the acquisition of 19 radar receiver processors used in support of the MH 60R helicopter. This announcement involves a foreign military sale for the government of Australia (100 percent). Work will be performed at Owego N.Y (56 percent) and Syracuse N.Y. (44 percent), and work is expected to be completed by March 2017. Foreign military sales funds in the amount of $13,065,996 will be obligated at the time of award. These funds will not expire before the end of the current fiscal year. This was a non-competitive requirement in accordance with FAR 6.302.1. The NAVSUP Weapons System Support, Philadelphia Pa., is the contracting activity.
Moran Towing Corp., New Canaan, Conn., is being awarded an $11,147,644 firm-fixed-price contract for seven time-chartered, U.S.-flagged tractor tugs for day-to-day operations in Norfolk, Va., and surrounding waters, including ship handling, docking and undocking services. This contract includes a three one-year options and one 11-month option which, if exercised, would bring the cumulative value of this contract to $58,104,254. Work will be performed in Norfolk, Va., and surrounding waters, and is expected to be completed by February 2019. Fiscal 2014 working capital funds in the amount of $5,882,090 are being obligated at the time of award. Contract funds will expire at the end of the current fiscal year. This contract was competitively procured with over 100 proposals solicited via the Federal Business Opportunities website, with one offer received. Military Sealift Command, Washington, D.C., is the contracting activity (N00033-14-C-2108).
Insitu Inc., Bingen, Wash., is being awarded $8,355,422 for firm-fixed-price delivery order 0025 against a previously issued basic ordering agreement (N00019-12-G-0008) for the hardware and services required to operate, maintain, and support previously procured RQ-21A EOC unmanned aircraft systems in support of overseas contingency operations. Hardware and services to be provided include spare and consumable parts and in-theatre field service representatives to supplement Marine Corps operators and maintainers. Work will be performed in Bingen, Wash., and is expected to be completed in December 2014. Fiscal 2014 operations and maintenance, overseas contingency operations Marine Corps funds in the amount of $8,355,422 will be obligated at time of award, all of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Washington Patriot Construction*, Gig Harbor, Wash., is being awarded $8,299,445 for firm-fixed-price task order 0018 under a previously awarded multiple award construction contract (N44255-10-D-5008) for relocation and consolidation of Puget Sound Naval Shipyard and Intermediate Maintenance Facility Shop and Administrative Facilities at Naval Base Kitsap-Bangor. The work to be performed provides for construction of a new facility to house relocated three existing Naval Support Operations. Work will be performed in Silverdale, Wash., and is expected to be completed by October 2015. Fiscal 2011 military construction, Navy contract funds in the amount of $8,299,445 are being obligated on this award and will not expire at the end of the current fiscal year. Three proposals were received for this task order. The Naval Facilities Engineering Command, Northwest, Silverdale, Wash., is the contracting activity.
CH2M Hill Inc., Virginia Beach, Va., is being awarded $7,333,250 for cost-plus-award-fee task order 0019 under a previously awarded indefinite-delivery/indefinite-quantity, architect-engineering contract (N62470-11-D-8012) for Comprehensive Environmental Response, Compensation, and Liability Act Munitions Response sites investigations, Title II services, program support services, and community relations at the former Vieques Naval Training Range and Naval Ammunition Support Detachment. Work will be performed in Vieques, Puerto Rico, and is expected to be completed by December 2018. Fiscal 2014 environmental restoration, Navy contract funds in the amount of $7,333,250 are being obligated on this award and will not expire at the end of the current fiscal year. One proposal was received for this task order. The Naval Facilities Engineering Command, Atlantic, Norfolk, Va., is the contracting activity.
Maersk Line, Ltd., Norfolk, Va., is being issued a $7,117,355 modification under a previously awarded firm-fixed-price contract (N00033-13-C-2505) to exercise a three-month option for the operation and maintenance of five U.S. Navy ocean surveillance ships and two U.S. Navy missile range instrumentation ships. The ships support the Navy’s surveillance towed array sensor system operations and the U.S. Air Force’s dual band radar monitoring operations. Work will be performed at sea worldwide, and is expected to be completed by July 2014. Fiscal 2014 working capital funds in the amount of $7,117,355 are being obligated at the time of award, and will not expire at the end of the fiscal year. The Military Sealift Command, Washington, D.C., is the contracting activity.
Vigor Industrial LLC, Portland, Ore., is being awarded a $6,875,938 firm-fixed-price contract for a 68-calendar day mid-term shipyard availability of USNS Guadalupe (T-AO 200). Work will include 72,000-hour main engine maintenance; main engine turbocharger overhaul; port shaft brake overhaul; starboard power take-off clutch/coupling overhaul, deck non-skid preservation; roller door replacement; and gypsy winch overhauls. Guadalupe’s primary mission is to provide fuel to U.S. Navy ships at sea and jet fuel to aircraft assigned to aircraft carriers. The contract includes options which, if exercised, would bring the total contract value to $8,153,218. Work will be performed in Portland, Ore., and is expected to be completed by July 2014. Fiscal 2014 working capital contract funds in the amount of $6,875,938 are being obligated at the time of award, and will expire at the end of the current fiscal year. This contract was competitively procured, with proposals solicited via the Federal Business Opportunities website, with two offers received. Military Sealift Command Washington, D.C., is the contracting activity (N00033-14-C-7501).
AIR FORCE
Matrix Research Inc., Dayton, Ohio, has been awarded a not-to-exceed $45,085,000 indefinite-delivery/indefinite-quantity contract for development and demonstration of supportable and manufacturable low observable (LO) technologies. This program will develop, demonstrate, and transition supportable and manufacturable technologies that will reduce the production and life cycle sustainment burden of LO treatments, materials, repairs, and processes. Work will be performed in Dayton, Ohio and is expected to be completed by April 2020. Fiscal 2014 research, development, test and evaluation funds in the amount of $975,000 will be obligated at award on individual task orders. This was a competitive award based on Broad Agency Announcement BAA-RQKM-2013-0013, with a total of two proposals received. The Air Force Research Laboratory/RQK, Wright-Patterson Air Force Base, Ohio, is the contracting activity (FA8650-14-D-5400).
Kaman Precision Products Inc., Orlando, Fla., has been awarded a $41,634,163 modification (P00012) to firm-fixed-price contract FA8681-13-C-0029 for Lot 11 production of Joint Programmable Fuze systems. The contract modification provides for the exercise of an option for an additional quantity of 10,001 state-of-the-art fuze systems being produced under the basic contract. The location of performance is Orlando, Fla., and work is expected to be completed by April 2016. Fiscal 2013 procurement funds in the amount of $1,519,495; fiscal 2014 procurement funds in the amount of $36,280,545 and fiscal 2014 overseas contingency operations funds in the amount of $3,834,123 will be obligated at award. Air Force Life Cycle Management Center/EBDK, Eglin Air Force Base, Fla., is the contracting activity.
General Electric Aviation, Cincinnati, Ohio, has been awarded an estimated $24,902,353 firm-fixed-price contract for out-of-warranty repairs of the F138 engine. Work will be performed in Ohio and is expected to be completed March 31, 2016. No funds are being obligated at award. The award is a result of a sole-source acquisition. The Oklahoma City Air Logistics Center Propulsion Contracting Office, Oklahoma City, Okla., is the contracting activity (FA8124-14-D-0003).
Sierra Nevada Corp., Sparks, Nev., has been awarded a $14,022,709 firm-fixed-price, cost-plus-fixed-fee contract for contractor logistics support of the precision strike package on the AC-130W aircraft, Stinger II Program. Work will be performed at Cannon Air Force Base, N.M., and is expected to be completed March 31, 2015. Contractor logistics support employees also deploy with aircraft in support of special operations missions. The award is the result of a sole-source acquisition. Fiscal 2014 operations and maintenance funds in the amount of $10,936,854 will be obligated at award. The contracting activity is the Air Force Life Cycle Management Center, Special Operation Forces Contracting Division, Robins Air Force Base, Ga., (FA8509-14-C-0001).
Cubic Defense Applications Inc., San Diego, Calif., has been awarded a $6,883,316 firm-fixed-price, cost-plus-fixed-fee and cost contract for the procurement of P5 Combat Training System (P5CTS) Depot follow-on CLS. The P5CTS consists of the airborne subsystem, or "pod" and the ground subsystem. The contract is for CLS for the procurement of supply chain/inventory management spares replenishment; repair and overhaul; demilitarization and disposal; systems/sustaining engineering and system integration. The location of performance is San Diego, Calif., for the ground subsystem and Fort Walton Beach, Fla., for the airborne subsystem. The work is expected to be complete by March 5, 2015. Fiscal 2014 operations and maintenance funds in the amount of $6,883,316 are being obligated at award. This award is the result of a sole-source acquisition. Air Force Life Cycle Management Center/EBYK, Eglin Air Force Base, Fla., is the contracting activity (FA8678-14-C-0005).
DEFENSE LOGISTICS AGENCY
Science Application International Corp., Fairfield, N.J., has been awarded a maximum $40,000,000 four-month prime vendor bridge modification (P00035) on contract (SPM500-02-D-0121) for maintenance, repair, and operations. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is New Jersey with a July 31, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
US Foods Inc., Fairburn, Ga., has been awarded a maximum $27,418,049 five-month prime vendor bridge contract (SPM300-14-D-3747) for food and beverage support. This is a fixed-price with economic-price-adjustment contract. Location of performance is Georgia with an Aug. 30, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Federal Resources Supply Co., Stevenville, Md., has been awarded a maximum $24,240,094 fixed-price with economic-price-adjustment contract for medical test equipment and accessories. This is a competitive acquisition and six offers were received. This is a five-year base contract with no option periods. Location of performance is Maryland with a March 27, 2019 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 2019 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa., (SPM2DH-14-D-8222).
Sysco Eastern Maryland, Pokomoke City, Md., has been awarded a maximum $21,375,000 five-month prime vendor bridge contract (SPM300-14-D-3751) for food and beverage support. This is a fixed-price with economic-price-adjustment contract. Location of performance is Maryland with an Aug. 30, 2014 performance completion date. Using military services are Army, Navy, Air Force, and Marine Corps. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Triumph Gear Systems, Park City, Utah, has been awarded a maximum $19,991,773 firm-fixed-price, indefinite-quantity/indefinite-quantity contract for aircraft parts and support. This is a sole-source acquisition. This is a three-year base contract with two one-year option periods. Location of performance is Utah with a Dec. 31, 2020 performance completion date. Using military service is Navy. Type of appropriation is fiscal 2014 through fiscal 2020 Navy working capital funds. The contracting activity is the Defense Logistics Agency Aviation, Philadelphia, Pa., (SPRPA1-14-D-001W).
Willbros Government Services, Tulsa, Okla., has been awarded a maximum $14,229,960 firm-fixed-price contract for fuel services. This is a competitive acquisition, and five offers were received. This is a five-year base contract with three five-year option periods. Locations of performance are Oklahoma and Arizona with an April 30, 2019 performance completion date. Using military service is Army. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Energy, Fort Belvoir, Va., (SP0600-14-C-5409).
Sysco Foodservice Alabama, Calera, Ala., has been awarded a maximum $12,488,422 five-month prime vendor bridge contract (SPM300-14-D-3745) for food and beverage support. This is a fixed-price with economic-price-adjustment contract. Locations of performance are Alabama and Florida with an Aug. 30, 2014 performance completion date. Using military services are Army and Air Force. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
SupplyCore Inc., Rockford, Ill.,* has been awarded a maximum $10,000,000 four-month prime vendor bridge modification (P00035) on contract (SPM500-02-D-0122) for maintenance, repair, and operations. This is a firm-fixed-price, indefinite-delivery/indefinite-quantity contract. Location of performance is Illinois with a July 31, 2014 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
*Small Business
Friday, March 28, 2014
JENS STOLTENBERG CHOSEN TO BE NEW SECRETARY GENERAL OF NATO
FROM: U.S. DEFENSE DEPARTMENT
Former Norwegian Prime Minister Designated to Lead NATO
By Claudette Roulo
American Forces Press Service
WASHINGTON, March 28, 2014 – Former prime minister of Norway, Jens Stoltenberg, was designated today to serve as the next secretary general of NATO.
Defense Secretary Chuck Hagel said in a statement that he welcomed the selection.
“Former Prime Minister Stoltenberg will bring strong credentials and experience to the alliance at a critically important time,” Hagel said.
“NATO has been and continues to be a force for peace, prosperity and freedom, not only in Europe, but around the world,” the defense secretary said. The United States, he added, will continue to strongly support the alliance and all of its member nations.
America's commitment to NATO's collective defense is firm and resolute, Hagel said.
Stoltenberg will succeed current Secretary General Anders Fogh Rasmussen when his term expires Oct. 1, 2014. Rasmussen was prime minister of Denmark for eight years before becoming NATO secretary general in 2009.
"I want to express my deepest gratitude and appreciation to NATO Secretary General Rasmussen for his many years of strong leadership, for his commitment to strengthening the alliance, and for his continued hard work in bringing a critical NATO summit together this coming September in Wales," Hagel said.
The 2014 NATO summit will take place Sept. 4-5 in Wales. The last NATO summit was in Chicago in 2012.
WHITE HOUSE STATEMENT ON SELECTION OF JENS STOLTENBERG TO LEAD NATO
FROM: THE WHITE HOUSE
Statement by the Press Secretary on the Selection of former Norwegian Prime Minister Jens Stoltenberg as the Next NATO Secretary General
We welcome the selection of former Norwegian Prime Minister Jens Stoltenberg as NATO’s next Secretary General, beginning October 1, 2014. Mr. Stoltenberg is a proven leader with a demonstrated commitment to the transatlantic Alliance. As Prime Minister, he built Norway’s military capabilities and actively contributed to NATO operations and political dialogue. We are confident he is the best person to ensure the continued strength and unity of the NATO Alliance.
We also are grateful for the service of current NATO Secretary General Anders Fogh Rasmussen and will rely on his expertise to bring the Alliance through the NATO Summit in September. Secretary General Rasmussen has been an exceptional leader at an extraordinary time. His vision and dedication have strengthened the Alliance’s strategic direction and focus on ways to bolster defense capabilities while reinforcing the commitments and values underpinning it. From preparing for NATO’s transition in Afghanistan, to seeing us through the intervention in Libya, and – now – to providing strong leadership in the face of Russia’s military intervention in Ukraine, Secretary General Rasmussen has been a steadfast partner and a trusted friend of the United States throughout his tenure. We know that Mr. Stoltenberg will prove the same.
Former Norwegian Prime Minister Designated to Lead NATO
By Claudette Roulo
American Forces Press Service
WASHINGTON, March 28, 2014 – Former prime minister of Norway, Jens Stoltenberg, was designated today to serve as the next secretary general of NATO.
Defense Secretary Chuck Hagel said in a statement that he welcomed the selection.
“Former Prime Minister Stoltenberg will bring strong credentials and experience to the alliance at a critically important time,” Hagel said.
“NATO has been and continues to be a force for peace, prosperity and freedom, not only in Europe, but around the world,” the defense secretary said. The United States, he added, will continue to strongly support the alliance and all of its member nations.
America's commitment to NATO's collective defense is firm and resolute, Hagel said.
Stoltenberg will succeed current Secretary General Anders Fogh Rasmussen when his term expires Oct. 1, 2014. Rasmussen was prime minister of Denmark for eight years before becoming NATO secretary general in 2009.
"I want to express my deepest gratitude and appreciation to NATO Secretary General Rasmussen for his many years of strong leadership, for his commitment to strengthening the alliance, and for his continued hard work in bringing a critical NATO summit together this coming September in Wales," Hagel said.
The 2014 NATO summit will take place Sept. 4-5 in Wales. The last NATO summit was in Chicago in 2012.
WHITE HOUSE STATEMENT ON SELECTION OF JENS STOLTENBERG TO LEAD NATO
FROM: THE WHITE HOUSE
Statement by the Press Secretary on the Selection of former Norwegian Prime Minister Jens Stoltenberg as the Next NATO Secretary General
We welcome the selection of former Norwegian Prime Minister Jens Stoltenberg as NATO’s next Secretary General, beginning October 1, 2014. Mr. Stoltenberg is a proven leader with a demonstrated commitment to the transatlantic Alliance. As Prime Minister, he built Norway’s military capabilities and actively contributed to NATO operations and political dialogue. We are confident he is the best person to ensure the continued strength and unity of the NATO Alliance.
We also are grateful for the service of current NATO Secretary General Anders Fogh Rasmussen and will rely on his expertise to bring the Alliance through the NATO Summit in September. Secretary General Rasmussen has been an exceptional leader at an extraordinary time. His vision and dedication have strengthened the Alliance’s strategic direction and focus on ways to bolster defense capabilities while reinforcing the commitments and values underpinning it. From preparing for NATO’s transition in Afghanistan, to seeing us through the intervention in Libya, and – now – to providing strong leadership in the face of Russia’s military intervention in Ukraine, Secretary General Rasmussen has been a steadfast partner and a trusted friend of the United States throughout his tenure. We know that Mr. Stoltenberg will prove the same.
SEC CHARGES COAL COMPANY, FOUNDER WITH MAKING FALSE DISCLOSURES ABOUT WHO WAS IN CHARGE
FROM: SECURITIES AND EXCHANGE COMMISSION
The Securities and Exchange Commission today announced fraud charges against a Seattle-headquartered coal company and its founder for making false disclosures about who was running the company.
The SEC’s Enforcement Division alleges that L&L Energy Inc., which has all of its operations in China and Taiwan, created the false appearance that the company had a professional management team in place when in reality Dickson Lee was single-handedly controlling the company’s operations. An L&L Energy annual report falsely listed Lee’s brother as the CEO and a woman as the acting CFO in spite of the fact that she had rejected Lee’s offer to serve in the position the month before. L&L Energy and Lee continued to misrepresent that they had an acting CFO in the next three quarterly reports. Certifications required under the Sarbanes Oxley Act ostensibly bore the purported acting CFO’s electronic signature. Lee and L&L Energy also allegedly misled NASDAQ to become listed on the exchange by falsely maintaining they had accurately made all of their required Sarbanes-Oxley certifications.
In a parallel action, a criminal indictment against Lee was unsealed today in federal court in Seattle. The U.S. Attorney’s Office in the Western District of Washington is prosecuting the case.
“Lee and L&L Energy deceived the public by falsely representing that the company had a CFO, which is a critical gatekeeper in the management of public companies,” said Antonia Chion, associate director in the SEC’s Enforcement Division. “The integrity of Sarbanes-Oxley certifications is critical, and executives who manipulate the process will be held accountable for their misdeeds.”
This enforcement action stems from the work of the SEC’s Cross-Border Working Group, which focuses on companies with substantial foreign operations that are publicly traded in the U.S. The Cross-Border Working Group has contributed to the filing of fraud cases against more than 90 companies, executives, and auditors. The securities of more than 60 companies have been deregistered.
The SEC separately issued a settled cease-and-desist order against L&L Energy’s former audit committee chair Shirley Kiang finding that she played a role in the company’s reporting violations by signing an annual report that she knew or should have known contained a false Sarbanes-Oxley certification by Lee. Kiang, who neither admitted nor denied the charges, must permanently refrain from signing any public filing with the SEC that contains any certification required pursuant to Sarbanes-Oxley.
According to the SEC’s order against Lee and L&L Energy, the false representations began in the annual report for 2008 and continued with quarterly filings in 2009. The purported acting CFO did not actually sign any public filings during this period or provide authorization for her signature to be placed on any filings. After Lee was confronted by the purported acting CFO in mid-2009, he nonetheless continued to falsely represent to L&L Energy’s board of directors that the company had an acting CFO. When L&L Energy filed its annual report for 2009, it contained a false Sarbanes-Oxley certification by Lee that all fraud involving management had been disclosed to the company’s auditors and audit committee. Then, in connection with an application to gain listing on NASDAQ, Lee informed the exchange that L&L Energy had made all of its required Sarbanes-Oxley certifications – including during the period of the purported service of an acting CFO. As a result, L&L Energy became listed on NASDAQ.
The SEC’s order against Dickson Lee and L&L alleges that they violated Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5, and Section 17(a) of the Securities Act of 1933. The order also alleges other violations of rules under the Exchange Act concerning Sarbanes-Oxley certifications, disclosure controls and procedures, and obtaining and retaining electronic signatures on filings. The order seeks disgorgement and financial penalties against L&L Energy and Lee as well as an officer-and-director bar against Lee. The order also seeks to prohibit Lee, who is a certified public accountant, from practicing before the SEC pursuant to Rule 102(e) of the Commission’s rules of practice.
The SEC’s investigation, which is continuing, has been conducted by Joseph Griffin, Jennie Krasner, and Brad Mroski under the supervision of Ricky Sachar. The SEC’s litigation will be led by Cheryl L. Crumpton. The SEC appreciates the assistance of the U.S. Attorney’s Office for the Western District of Washington and the Federal Bureau of Investigation.
The Securities and Exchange Commission today announced fraud charges against a Seattle-headquartered coal company and its founder for making false disclosures about who was running the company.
The SEC’s Enforcement Division alleges that L&L Energy Inc., which has all of its operations in China and Taiwan, created the false appearance that the company had a professional management team in place when in reality Dickson Lee was single-handedly controlling the company’s operations. An L&L Energy annual report falsely listed Lee’s brother as the CEO and a woman as the acting CFO in spite of the fact that she had rejected Lee’s offer to serve in the position the month before. L&L Energy and Lee continued to misrepresent that they had an acting CFO in the next three quarterly reports. Certifications required under the Sarbanes Oxley Act ostensibly bore the purported acting CFO’s electronic signature. Lee and L&L Energy also allegedly misled NASDAQ to become listed on the exchange by falsely maintaining they had accurately made all of their required Sarbanes-Oxley certifications.
In a parallel action, a criminal indictment against Lee was unsealed today in federal court in Seattle. The U.S. Attorney’s Office in the Western District of Washington is prosecuting the case.
“Lee and L&L Energy deceived the public by falsely representing that the company had a CFO, which is a critical gatekeeper in the management of public companies,” said Antonia Chion, associate director in the SEC’s Enforcement Division. “The integrity of Sarbanes-Oxley certifications is critical, and executives who manipulate the process will be held accountable for their misdeeds.”
This enforcement action stems from the work of the SEC’s Cross-Border Working Group, which focuses on companies with substantial foreign operations that are publicly traded in the U.S. The Cross-Border Working Group has contributed to the filing of fraud cases against more than 90 companies, executives, and auditors. The securities of more than 60 companies have been deregistered.
The SEC separately issued a settled cease-and-desist order against L&L Energy’s former audit committee chair Shirley Kiang finding that she played a role in the company’s reporting violations by signing an annual report that she knew or should have known contained a false Sarbanes-Oxley certification by Lee. Kiang, who neither admitted nor denied the charges, must permanently refrain from signing any public filing with the SEC that contains any certification required pursuant to Sarbanes-Oxley.
According to the SEC’s order against Lee and L&L Energy, the false representations began in the annual report for 2008 and continued with quarterly filings in 2009. The purported acting CFO did not actually sign any public filings during this period or provide authorization for her signature to be placed on any filings. After Lee was confronted by the purported acting CFO in mid-2009, he nonetheless continued to falsely represent to L&L Energy’s board of directors that the company had an acting CFO. When L&L Energy filed its annual report for 2009, it contained a false Sarbanes-Oxley certification by Lee that all fraud involving management had been disclosed to the company’s auditors and audit committee. Then, in connection with an application to gain listing on NASDAQ, Lee informed the exchange that L&L Energy had made all of its required Sarbanes-Oxley certifications – including during the period of the purported service of an acting CFO. As a result, L&L Energy became listed on NASDAQ.
The SEC’s order against Dickson Lee and L&L alleges that they violated Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5, and Section 17(a) of the Securities Act of 1933. The order also alleges other violations of rules under the Exchange Act concerning Sarbanes-Oxley certifications, disclosure controls and procedures, and obtaining and retaining electronic signatures on filings. The order seeks disgorgement and financial penalties against L&L Energy and Lee as well as an officer-and-director bar against Lee. The order also seeks to prohibit Lee, who is a certified public accountant, from practicing before the SEC pursuant to Rule 102(e) of the Commission’s rules of practice.
The SEC’s investigation, which is continuing, has been conducted by Joseph Griffin, Jennie Krasner, and Brad Mroski under the supervision of Ricky Sachar. The SEC’s litigation will be led by Cheryl L. Crumpton. The SEC appreciates the assistance of the U.S. Attorney’s Office for the Western District of Washington and the Federal Bureau of Investigation.
FIVE CHARGED IN CONSPIRACY TO OBTAIN UNION JOB FOR ORGANIZED CRIME UNDERBOSS
FROM: THE JUSTICE DEPARTMENT
Thursday, March 27, 2014
Five Individuals Charged with Conspiring to Fraudulently Obtain Union Job for Organized Crime Underboss
Former New York Post Driver Also Charged with Having “No Show” Job
Five men have been charged in the Eastern District of New York with conspiring to defraud the Newspaper and Mail Deliverers’ Union (NMDU) and Hudson News newsstands to obtain a union card and employment at Hudson News newsstands for the son of the alleged underboss of the Colombo family of La Cosa Nostra.
A criminal complaint was unsealed today charging Benjamin Castellazzo Jr., Rocco Giangregorio, Glenn LaChance, Rocco Miraglia, aka “Irving,” and Anthony Turzio, aka “the Irish Guy,” with mail fraud conspiracy. The five men were arrested earlier today, and their initial appearances are scheduled for this afternoon before United States Magistrate Judge Robert M. Levy at the federal courthouse in Brooklyn.
In addition, a three-count indictment was unsealed today charging Thomas Leonessa, aka “Tommy Stacks,” with wire fraud, wire fraud conspiracy and theft and embezzlement from employee benefit plans in an unrelated scheme. The indictment was returned by a federal grand jury sitting in Brooklyn, N.Y., on March 6, 2014, and relates to Leonessa’s alleged “no show” job as a delivery driver for the New York Post.
The charges were announced by Acting Assistant Attorney General David A. O’Neil of the Justice Department’s Criminal Division, United States Attorney Loretta E. Lynch of the Eastern District of New York Acting Special Agent in Charge Cheryl Garcia of the New York region of the U.S. Department of Labor’s Office of Labor Racketeering and Fraud Investigations and Assistant Director in Charge George C. Venizelos of the FBI’s New York Field Office.
As alleged in the complaint, the NMDU is an independent union that represents approximately 1,500 employees involved in the newspaper industry in New York, New Jersey and Connecticut. NMDU members deliver newspapers for The New York Times, The Wall Street Journal, the New York Daily News, the New York Post and El Diario. Hudson News, which also employs members of the NMDU, is a retail chain of newsstands mainly located in major transportation hubs, including airports and train stations.
Between June 2009 and October 2009, Miraglia, who was a foreman at the New York Daily News – as well as an associate of the Colombo organized crime family and the son of a deceased soldier in the Colombo family – conspired with officials of the NMDU and with Turzio, an employee of El Diario, to get an NMDU union card for Castellazzo Jr. and place him in a job at Hudson News. Castellazzo Jr. is the son of Benjamin Castellazzo, the alleged underboss of the Colombo family. Giangregorio and LaChance, who are business agents for the NMDU, also participated on this scheme.
As alleged in the indictment, Leonessa was employed by the New York Post to deliver newspapers by truck from a New York Post warehouse in the Bronx, N.Y., to New Jersey. He was also a member of the NMDU, which maintained offices, including offices for its welfare and pension funds, in Queens, N.Y. From about December 2010 to about September 2011, Leonessa had a “no show job” – a job for which he was paid wages and benefits for services he did not perform – at the New York Post. When Leonessa did not complete his required deliveries, he was nevertheless, based on his fraudulent representations, paid wages by the New York Post and accorded benefits from employee pension and welfare funds managed by the NMDU.
Leonessa is scheduled to be arraigned this afternoon before United States Magistrate Judge Robert M. Levy at the federal courthouse in Brooklyn, N.Y.
The charges in the complaint and indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
The case was investigated by the U.S. Department of Labor’s Office of Labor Racketeering and Fraud Investigations and the FBI, with assistance from the New York City Police Department, the New York County District Attorney’s Office and Waterfront Commission of New York Harbor.
The government’s case is being prosecuted by Trial Attorney Joseph Wheatley of the Department of Justice’s Organized Crime and Gangs Section and Assistant U.S. Attorneys Elizabeth A. Geddes and Allon Lifshitz.
Thursday, March 27, 2014
Five Individuals Charged with Conspiring to Fraudulently Obtain Union Job for Organized Crime Underboss
Former New York Post Driver Also Charged with Having “No Show” Job
Five men have been charged in the Eastern District of New York with conspiring to defraud the Newspaper and Mail Deliverers’ Union (NMDU) and Hudson News newsstands to obtain a union card and employment at Hudson News newsstands for the son of the alleged underboss of the Colombo family of La Cosa Nostra.
A criminal complaint was unsealed today charging Benjamin Castellazzo Jr., Rocco Giangregorio, Glenn LaChance, Rocco Miraglia, aka “Irving,” and Anthony Turzio, aka “the Irish Guy,” with mail fraud conspiracy. The five men were arrested earlier today, and their initial appearances are scheduled for this afternoon before United States Magistrate Judge Robert M. Levy at the federal courthouse in Brooklyn.
In addition, a three-count indictment was unsealed today charging Thomas Leonessa, aka “Tommy Stacks,” with wire fraud, wire fraud conspiracy and theft and embezzlement from employee benefit plans in an unrelated scheme. The indictment was returned by a federal grand jury sitting in Brooklyn, N.Y., on March 6, 2014, and relates to Leonessa’s alleged “no show” job as a delivery driver for the New York Post.
The charges were announced by Acting Assistant Attorney General David A. O’Neil of the Justice Department’s Criminal Division, United States Attorney Loretta E. Lynch of the Eastern District of New York Acting Special Agent in Charge Cheryl Garcia of the New York region of the U.S. Department of Labor’s Office of Labor Racketeering and Fraud Investigations and Assistant Director in Charge George C. Venizelos of the FBI’s New York Field Office.
As alleged in the complaint, the NMDU is an independent union that represents approximately 1,500 employees involved in the newspaper industry in New York, New Jersey and Connecticut. NMDU members deliver newspapers for The New York Times, The Wall Street Journal, the New York Daily News, the New York Post and El Diario. Hudson News, which also employs members of the NMDU, is a retail chain of newsstands mainly located in major transportation hubs, including airports and train stations.
Between June 2009 and October 2009, Miraglia, who was a foreman at the New York Daily News – as well as an associate of the Colombo organized crime family and the son of a deceased soldier in the Colombo family – conspired with officials of the NMDU and with Turzio, an employee of El Diario, to get an NMDU union card for Castellazzo Jr. and place him in a job at Hudson News. Castellazzo Jr. is the son of Benjamin Castellazzo, the alleged underboss of the Colombo family. Giangregorio and LaChance, who are business agents for the NMDU, also participated on this scheme.
As alleged in the indictment, Leonessa was employed by the New York Post to deliver newspapers by truck from a New York Post warehouse in the Bronx, N.Y., to New Jersey. He was also a member of the NMDU, which maintained offices, including offices for its welfare and pension funds, in Queens, N.Y. From about December 2010 to about September 2011, Leonessa had a “no show job” – a job for which he was paid wages and benefits for services he did not perform – at the New York Post. When Leonessa did not complete his required deliveries, he was nevertheless, based on his fraudulent representations, paid wages by the New York Post and accorded benefits from employee pension and welfare funds managed by the NMDU.
Leonessa is scheduled to be arraigned this afternoon before United States Magistrate Judge Robert M. Levy at the federal courthouse in Brooklyn, N.Y.
The charges in the complaint and indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.
The case was investigated by the U.S. Department of Labor’s Office of Labor Racketeering and Fraud Investigations and the FBI, with assistance from the New York City Police Department, the New York County District Attorney’s Office and Waterfront Commission of New York Harbor.
The government’s case is being prosecuted by Trial Attorney Joseph Wheatley of the Department of Justice’s Organized Crime and Gangs Section and Assistant U.S. Attorneys Elizabeth A. Geddes and Allon Lifshitz.
STATE DEPARTMENT OFFICIALS REMARKS ON MARITIME SECURITY, STABILITY
FROM: THE STATE DEPARTMENT,
Building Maritime Collaboration for Security and Stability
Samuel Perez
Deputy Assistant Secretary, Bureau of Political-Military Affairs
Deputy Assistant Secretary, Bureau of Political-Military Affairs
Jakarta International Defence Dialogue (JIDD)
Jakarta, Indonesia
March 19, 2014
(As Prepared)
Modernization, Partnerships and Maritime Domain Awareness
Thank you for inviting me to participate in the Jakarta Defense Dialog. I assure you I am not sailing under false colors, I am indeed a Naval Officer but I am currently on assignment to the State Department and the uniform of the day at our State Department is a Business Suit. My assignment to the State Department underscores our military’s commitment to develop increased partnerships across two departments that have very different roles but share the same goal of better partnerships. I’ll touch more on that later but for now, I relish the opportunity to discuss Maritime topics so thank you once again for providing me with this opportunity to participate.
I am going to start my remarks by first addressing Modernization. If we take a look at the newest naval systems you might be impressed by cruise missiles with terminal speeds far in excess of the speed of sound. You will also see a proliferation of unmanned vehicles, stealthy aircraft and ships that are more connected in a command and control sense than we have ever seen. Gone are the days when a Sailor determined a ship’s might by the tonnage she displaced. Instead, we look at these ships and first ask, how far can the ship see, how well connected is the ship with all the other sensors available to the commander?
Now, I would be remiss if I didn’t mention that, with the new systems I am going to describe to you, the United States Navy has taken a quantitative and qualitative leap forward. And Asia will be a great beneficiary of this new equipment. As we rebalance toward Asia, we will increase the percentage of our surface ships in the Pacific theater from about 50 to over 60. But it’s not just a quantitative shift, it’s also a qualitative one. The United States is also rebalancing its most technologically advanced platforms to the Pacific. For example, all the ships of the Zumwalt Guided Missile Destroyer Class will come to the Pacific. The first P8s—an incredible improvement in Maritime Patrol Aircraft capabilities—will come to the Pacific first. Our Navy’s newest surface combatant, the Littoral Combat Ship has already completed one deployment to the South China Sea and we will see another rotational deployment this summer. When we do field the Joint Strike Fighter, it will go first to the Pacific theater—I won’t dwell too much on the F35—it’s bad form for a surface officer to give too much credit to any airplane, no matter how amazing, and I think I’ve exhausted my effusive aviation quota on the P8!
Yes, these systems will make a difference but I want to take this opportunity to look at another aspect of modernization: Partnerships in the maritime domain. True, there is nothing new in partnerships, what I’m talking about is Partnership 5.0—or whatever the latest I-Phone iteration is.
The challenges in the maritime domain remain complex and complicated. Our Chief of Naval Operations has spoken at length about partnerships and their ability to contribute to the global challenge of maintaining freedom of navigation and overflight. These partnerships will enable all navies to take advantage of each other’s strengths and build a maritime community that enables all of us to sail the seas without intimidation or interference. Working together in partnerships, whether bilaterally or multilaterally, allows us to also respond more quickly to humanitarian and disaster assistance when needed. The U.S. Navy was able to respond to Typhoon Haiyan in the Philippines quickly, which saved lives and brought needed assistance on a large scale, and opened the way for other countries to donate critical assistance to the affected area. Again, I would like to take an extra second so we can remind ourselves that navies, aside from being able to destroy or defend, can also heal.
Of equal importance, partnerships provide us with a tool that in the end will prove to be more valuable than any Mach ++ cruise missile or the stealthiest aircraft: this tool is Maritime Domain Awareness. Yes, we have all been talking about MDA but why is it worth the effort to establish Partnerships to attain?
None of us can surveil our territorial seas and Exclusive Economic Zones to the extent where we know precisely what everyone is doing at all times. Is someone overfishing our valuable resources? Are criminal elements using our waters to conduct illicit traffic or other activity (smuggling drugs or people, piracy or other illegal actions)? Maritime Domain Awareness provides us with the first element we need to establish control of our own territorial seas and ensure we maintain control of the valuable resources in our EEZs.
I’d like to take you back to the iPhone phone example I shared earlier. There was nothing particularly innovative about making a mobile phone smaller or putting a screen into the phone. But adding the ability to take pictures and mark them with GPS coordinates, for example, expands its usefulness into a tool that helps someone find something. You can use your phone as a radio; you can use it as a search engine, or to catch up on the news. Today the power of the mobile phone is that it is so much more than a means to talk to someone. There are apps that turn your mobile into a very powerful tool, useful for so much more than talking to just one person.
By the same token we need to take our partnerships to the next level and connect our resources so that we can truly take our maritime partnerships into the next level. Again, let us look at the telephone. In the earliest days of the telephone, we had to call through an operator. Then we could use rotary dials and digit dials. It was a huge breakthrough to get cordless phones, and the next step was mobile phones. And remember those first mobile phones? They were the size of your forearms, with bulky antennae. Now, we can fit them in the palm of our hand. And with these phones, we are better connected to each other. These partnerships, this maritime APP if you will, will enable us to cultivate new and understanding and ensure that our U.S. presence, particularly as we send out more ships, continues to be reassuring to the region. It will enable us to use our individual strengths to build capability, capacity and competence across the Maritime Domain. In the end it will enable us to legitimately use the maritime space for legitimate purposes, better enable us to prevent those who would use the Maritime Domain to intimidate weaker nations and prevent the theft of valuable resources or unlawful development within our EEZs.
The United States is committed to the rebalance toward Asia. We have demonstrated that our focus goes beyond just words: we are dedicating diplomatic, public diplomacy, military, and foreign assistance resources to the region in a way that demonstrates the truly comprehensive nature of our engagement. As part of the rebalance, the United States is committed to creating new partnerships and strengthening existing relationships to provide us all with better Maritime Domain Awareness. We are committed to increasing the capabilities we need to prevent the illicit use of commons and the theft of our resources. Modernization, both in a technological form and in the form of new partnerships will enable better Maritime Domain Awareness.
Maritime Domain Awareness is important. We build it through partnerships. With it, countries protect prosperity and grow relationships. Part of that is through modernizing navies, not just with technology, but new thinking. Our “Rebalance Toward Asia” is part of our effort to build our diplomatic, economic, democratic, multilateral and security relationships with our partners in East Asia and the Pacific. We have always been a Pacific nation and we will continue to be one.
Ultimately, what we all want is freedom of navigation, freedom for our ships to operate pursuant to the rules of reflected in international law. Lawful commerce should flow without impediment or coercion.
Modernization, Partnerships and Maritime Domain Awareness
Thank you for inviting me to participate in the Jakarta Defense Dialog. I assure you I am not sailing under false colors, I am indeed a Naval Officer but I am currently on assignment to the State Department and the uniform of the day at our State Department is a Business Suit. My assignment to the State Department underscores our military’s commitment to develop increased partnerships across two departments that have very different roles but share the same goal of better partnerships. I’ll touch more on that later but for now, I relish the opportunity to discuss Maritime topics so thank you once again for providing me with this opportunity to participate.
I am going to start my remarks by first addressing Modernization. If we take a look at the newest naval systems you might be impressed by cruise missiles with terminal speeds far in excess of the speed of sound. You will also see a proliferation of unmanned vehicles, stealthy aircraft and ships that are more connected in a command and control sense than we have ever seen. Gone are the days when a Sailor determined a ship’s might by the tonnage she displaced. Instead, we look at these ships and first ask, how far can the ship see, how well connected is the ship with all the other sensors available to the commander?
Now, I would be remiss if I didn’t mention that, with the new systems I am going to describe to you, the United States Navy has taken a quantitative and qualitative leap forward. And Asia will be a great beneficiary of this new equipment. As we rebalance toward Asia, we will increase the percentage of our surface ships in the Pacific theater from about 50 to over 60. But it’s not just a quantitative shift, it’s also a qualitative one. The United States is also rebalancing its most technologically advanced platforms to the Pacific. For example, all the ships of the Zumwalt Guided Missile Destroyer Class will come to the Pacific. The first P8s—an incredible improvement in Maritime Patrol Aircraft capabilities—will come to the Pacific first. Our Navy’s newest surface combatant, the Littoral Combat Ship has already completed one deployment to the South China Sea and we will see another rotational deployment this summer. When we do field the Joint Strike Fighter, it will go first to the Pacific theater—I won’t dwell too much on the F35—it’s bad form for a surface officer to give too much credit to any airplane, no matter how amazing, and I think I’ve exhausted my effusive aviation quota on the P8!
Yes, these systems will make a difference but I want to take this opportunity to look at another aspect of modernization: Partnerships in the maritime domain. True, there is nothing new in partnerships, what I’m talking about is Partnership 5.0—or whatever the latest I-Phone iteration is.
The challenges in the maritime domain remain complex and complicated. Our Chief of Naval Operations has spoken at length about partnerships and their ability to contribute to the global challenge of maintaining freedom of navigation and overflight. These partnerships will enable all navies to take advantage of each other’s strengths and build a maritime community that enables all of us to sail the seas without intimidation or interference. Working together in partnerships, whether bilaterally or multilaterally, allows us to also respond more quickly to humanitarian and disaster assistance when needed. The U.S. Navy was able to respond to Typhoon Haiyan in the Philippines quickly, which saved lives and brought needed assistance on a large scale, and opened the way for other countries to donate critical assistance to the affected area. Again, I would like to take an extra second so we can remind ourselves that navies, aside from being able to destroy or defend, can also heal.
Of equal importance, partnerships provide us with a tool that in the end will prove to be more valuable than any Mach ++ cruise missile or the stealthiest aircraft: this tool is Maritime Domain Awareness. Yes, we have all been talking about MDA but why is it worth the effort to establish Partnerships to attain?
None of us can surveil our territorial seas and Exclusive Economic Zones to the extent where we know precisely what everyone is doing at all times. Is someone overfishing our valuable resources? Are criminal elements using our waters to conduct illicit traffic or other activity (smuggling drugs or people, piracy or other illegal actions)? Maritime Domain Awareness provides us with the first element we need to establish control of our own territorial seas and ensure we maintain control of the valuable resources in our EEZs.
I’d like to take you back to the iPhone phone example I shared earlier. There was nothing particularly innovative about making a mobile phone smaller or putting a screen into the phone. But adding the ability to take pictures and mark them with GPS coordinates, for example, expands its usefulness into a tool that helps someone find something. You can use your phone as a radio; you can use it as a search engine, or to catch up on the news. Today the power of the mobile phone is that it is so much more than a means to talk to someone. There are apps that turn your mobile into a very powerful tool, useful for so much more than talking to just one person.
By the same token we need to take our partnerships to the next level and connect our resources so that we can truly take our maritime partnerships into the next level. Again, let us look at the telephone. In the earliest days of the telephone, we had to call through an operator. Then we could use rotary dials and digit dials. It was a huge breakthrough to get cordless phones, and the next step was mobile phones. And remember those first mobile phones? They were the size of your forearms, with bulky antennae. Now, we can fit them in the palm of our hand. And with these phones, we are better connected to each other. These partnerships, this maritime APP if you will, will enable us to cultivate new and understanding and ensure that our U.S. presence, particularly as we send out more ships, continues to be reassuring to the region. It will enable us to use our individual strengths to build capability, capacity and competence across the Maritime Domain. In the end it will enable us to legitimately use the maritime space for legitimate purposes, better enable us to prevent those who would use the Maritime Domain to intimidate weaker nations and prevent the theft of valuable resources or unlawful development within our EEZs.
The United States is committed to the rebalance toward Asia. We have demonstrated that our focus goes beyond just words: we are dedicating diplomatic, public diplomacy, military, and foreign assistance resources to the region in a way that demonstrates the truly comprehensive nature of our engagement. As part of the rebalance, the United States is committed to creating new partnerships and strengthening existing relationships to provide us all with better Maritime Domain Awareness. We are committed to increasing the capabilities we need to prevent the illicit use of commons and the theft of our resources. Modernization, both in a technological form and in the form of new partnerships will enable better Maritime Domain Awareness.
Maritime Domain Awareness is important. We build it through partnerships. With it, countries protect prosperity and grow relationships. Part of that is through modernizing navies, not just with technology, but new thinking. Our “Rebalance Toward Asia” is part of our effort to build our diplomatic, economic, democratic, multilateral and security relationships with our partners in East Asia and the Pacific. We have always been a Pacific nation and we will continue to be one.
Ultimately, what we all want is freedom of navigation, freedom for our ships to operate pursuant to the rules of reflected in international law. Lawful commerce should flow without impediment or coercion.
FTC GIVE TESTIMONY ON DATA SECURITY TO SENATE COMMITTEE
FROM: FEDERAL TRADE COMMISSION
FTC Testifies on Data Security Before Senate Commerce, Science and Transportation Committee
Commission Renews Call for Data Security Legislation
In testimony before Congress, the Federal Trade Commission renewed its call for data security legislation and provided an update on its efforts to protect consumers’ privacy in the face of growing reports of data breaches.
Testifying on behalf of the Commission before the Senate Committee on Commerce, Science and Transportation, Chairwoman Edith Ramirez told lawmakers that the Commission believed Congress should act, particularly in light of the significant data breaches reported over the course of recent months.
“The Commission is here today to reiterate its longstanding, bipartisan call for enactment of a strong federal data security and beach notification law,” said Ramirez. “Never has the need for legislation been greater.”
The testimony highlights the Commission’s wide-ranging efforts in the data security arena, including its civil law enforcement authority under specific legislation such as the Fair Credit Reporting Act, Children’s Online Privacy Protection Act, and the Commission’s Safeguards Rule under the Gramm-Leach-Bliley Act. The testimony also notes the 50 data security cases the Commission has settled as a result of companies’ unfair or deceptive practices under the FTC Act.
In addition, the testimony outlines the Commission’s policy initiatives related to data security issues, including workshops, seminars and reports on a wide variety of topics that affect the security of consumers’ personal information. The testimony also notes the Commission’s ongoing efforts to educate consumers and provide guidance to businesses about issues related to data security.
In calling for legislation, the Commission’s testimony recommends that Congress strengthen its existing authority governing data security standards, and that it require companies in appropriate circumstances to provide notification to consumers affected by a data breach. Specifically, the testimony calls for the legislation to give the Commission the authority to seek civil penalties to help deter unlawful conduct, rulemaking authority under the Administrative Procedures Act, and jurisdiction over non-profit entities, which are not currently subject to FTC oversight.
The Commission vote approving the testimony and its inclusion in the formal record was 4-0.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics. Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.
FTC Testifies on Data Security Before Senate Commerce, Science and Transportation Committee
Commission Renews Call for Data Security Legislation
In testimony before Congress, the Federal Trade Commission renewed its call for data security legislation and provided an update on its efforts to protect consumers’ privacy in the face of growing reports of data breaches.
Testifying on behalf of the Commission before the Senate Committee on Commerce, Science and Transportation, Chairwoman Edith Ramirez told lawmakers that the Commission believed Congress should act, particularly in light of the significant data breaches reported over the course of recent months.
“The Commission is here today to reiterate its longstanding, bipartisan call for enactment of a strong federal data security and beach notification law,” said Ramirez. “Never has the need for legislation been greater.”
The testimony highlights the Commission’s wide-ranging efforts in the data security arena, including its civil law enforcement authority under specific legislation such as the Fair Credit Reporting Act, Children’s Online Privacy Protection Act, and the Commission’s Safeguards Rule under the Gramm-Leach-Bliley Act. The testimony also notes the 50 data security cases the Commission has settled as a result of companies’ unfair or deceptive practices under the FTC Act.
In addition, the testimony outlines the Commission’s policy initiatives related to data security issues, including workshops, seminars and reports on a wide variety of topics that affect the security of consumers’ personal information. The testimony also notes the Commission’s ongoing efforts to educate consumers and provide guidance to businesses about issues related to data security.
In calling for legislation, the Commission’s testimony recommends that Congress strengthen its existing authority governing data security standards, and that it require companies in appropriate circumstances to provide notification to consumers affected by a data breach. Specifically, the testimony calls for the legislation to give the Commission the authority to seek civil penalties to help deter unlawful conduct, rulemaking authority under the Administrative Procedures Act, and jurisdiction over non-profit entities, which are not currently subject to FTC oversight.
The Commission vote approving the testimony and its inclusion in the formal record was 4-0.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics. Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.
Thursday, March 27, 2014
PRESIDENT OBAMA'S STATEMENT ON UKRAINE
FROM: THE WHITE HOUSE
Statement by the Press Secretary on Ukraine
The United States welcomes the preliminary agreement between the Government of Ukraine and International Monetary Fund (IMF) staff on a loan program of $14-18 billion. This represents a powerful sign of support from the international community for the Ukrainian government, as we help them stabilize and grow their economy, and move their democracy forward. The agreement is expected to unlock roughly $27 billion in total support from the international community for Ukraine's people over the next two years, as the country implements historic reforms to address long-standing problems that have undermined Ukraine’s economic strength and prosperity. It is important now for both the Government of Ukraine and the IMF to move expeditiously and complete the steps necessary to gain approval from the IMF Executive Board.
Together with our allies and partners, President Obama will continue to build international support for the Ukrainian people at this critical time. The IMF program will be a central component of a package of assistance to support Ukraine as it implements reforms and conducts free and fair elections that will allow all the Ukrainian people to determine the future of their country. We are working alongside international partners, including the World Bank and the European Bank for Reconstruction and Development (EBRD), to disburse rapid additional assistance to complement the IMF program and ease Ukraine’s economic transition, particularly for the most vulnerable. As part of this international effort, we are working with Congress to quickly provide a $1 billion loan guarantee and are offering technical and financial assistance to help Ukraine meet its most pressing needs. We also remain committed to providing the IMF with the resources it needs – in partnership with Congress – to provide strong support to countries like Ukraine as well as reinforcing the Fund’s governance to reflect the global economy.
BALLISTIC MISSILE LAUNCH OFFICER CHEATING SCHEDULE LEADS TO DISCIPLINE
FROM: U.S. DEFENSE DEPARTMENT
Air Force Relieves, Disciplines Officers in Cheating Scandal
By Jim Garamone
American Forces Press Service
WASHINGTON, March 27, 2014 – The Air Force has relieved nine officers, allowed a commander to retire and will discipline 91 others as a result of a cheating scandal among intercontinental ballistic missile launch officers at Malmstrom Air Force Base, Mont.
Air Force Secretary Deborah Lee James and Lt. Gen. Stephen Wilson, the commander of Air Force Global Strike Command, made the announcements today during a Pentagon news conference.
“Commanders are also responsible when our people fall short,” Wilson said.
Air Force Col. Robert Stanley, the commander of the 341st Missile Wing at Malmstrom accepted responsibility and submitted his resignation to Maj. Gen. Jack Weinstein, the commander of 20th Air Force, Wilson said.
Weinstein also relieved nine leaders from the group and squadron level, the general said. He removed Col. Mark Schuler, the 341st Operations Group commander, for loss of confidence in his leadership ability. He also removed the group deputy commander.
The commanders of the 10th, 12th, and 490th missile squadrons were also removed, as was the commander of the 341st operational support squadron. Weinstein further relieved the directors of operation from the 341st Operational Support Squadron and the 10th Missile Squadron. Finally, he relieved the 341st Operations Group’s standardization and evaluation officer.
“None of these people were directly involved in test compromise; however, they all failed adequate leadership, supervision and oversight of the crew force,” Wilson said.
“Disciplinary action is also being taken against the officers who have substantiated cheating from the investigation,” he added.
The investigation ultimately implicated 100 officers who were investigated as part of the compromise, he said. “Of the 100, nine actually were not substantiated and will be returned to duty as soon as practicable,” the general said. “Details of those actions were released after all the members have been served, and they’re being served today.”
Air Force leaders will determine whether the officers can return to alert duty after completion of these actions. “The officers who had unsubstantiated allegations will be retrained, recertified and returned to duty,” he said.
James and Wilson said they will work together to eliminate the systemic problems they found upon investigating the incident.
James said she will attack the unhealthy emphasis on perfection that permeated the base and will reallocate funds to improve the quality of facilities and quality of life for missileers.
“In fiscal year 2014, we have $19 million funded for some of the areas within the force improvement program, including launch control center refurbishment and infrastructure repairs,” she said. “Furthermore, the 20th Air Force has identified an additional $3 million for quality-of-life requirements.”
In its fiscal year 2015 budget request, the service asked for $455 million to sustain its Minuteman squadrons, ICBM helicopter support and some critical communications areas, James said.
“Finally, we’ve identified $154 million in other requirements associated with our force improvement program, including readiness, training and improvements to launch control facilities, to just name a few of the areas,” she said.
As the Air Force executes its funding in 2014, “we’re going to seek to rearrange as much as possible to fund these important programs,” James said. “In other words, we’re not going to wait. We’re going to move forward.”
UNEMPLOYMENT INSURANCE WEEKLY CLAIMS REPORT FOR WEEK ENDING MARCH 22, 2014
UNEMPLOYMENT INSURANCE WEEKLY CLAIMS REPORT
SEASONALLY ADJUSTED DATA
In the week ending March 22, the advance figure for seasonally adjusted initial claims was 311,000, a decrease of 10,000 from the previous week's revised figure of 321,000. The 4-week moving average was 317,750, a decrease of 9,500 from the previous week's revised average of 327,250.
In the week ending March 22, the advance figure for seasonally adjusted initial claims was 311,000, a decrease of 10,000 from the previous week's revised figure of 321,000. The 4-week moving average was 317,750, a decrease of 9,500 from the previous week's revised average of 327,250.
The advance seasonally adjusted insured unemployment rate was 2.2 percent for the week ending March 15, unchanged from the prior week's unrevised rate. The advance number for seasonally adjustedinsured unemployment during the week ending March 15 was 2,823,000, a decrease of 53,000 from the preceding week's revised level of 2,876,000. The 4-week moving average was 2,862,500, a decrease of 31,500 from the preceding week's revised average of 2,894,000.
UNADJUSTED DATA
The advance number of actual initial claims under state programs, unadjusted, totaled 273,411 in the week ending March 22, a decrease of 12,559 from the previous week. There were 315,620 initial claims in the comparable week in 2013.
The advance unadjusted insured unemployment rate was 2.4 percent during the week ending March 15, a decrease of 0.1 percentage point from the prior week. The advance unadjusted number for persons claiming UI benefits in state programs totaled 3,144,812, a decrease of 88,295 from the preceding week. A year earlier, the rate was 2.6 percent and the volume was 3,402,007.
The total number of people claiming benefits in all programs for the week ending March 8 was 3,306,871, a decrease of 43,157 from the previous week. There were 5,455,779 persons claiming benefits in all programs in the comparable week in 2013.
No state was triggered "on" the Extended Benefits program during the week ending March 8.
Initial claims for UI benefits filed by former Federal civilian employees totaled 1,010 in the week ending March 15, a decrease of 47 from the prior week. There were 1,827 initial claims filed by newly discharged veterans, a decrease of 147 from the preceding week.
There were 19,359 former Federal civilian employees claiming UI benefits for the week ending March 8, an increase of 244 from the previous week. Newly discharged veterans claiming benefits totaled 28,354, an increase of 476 from the prior week.
The highest insured unemployment rates in the week ending March 8 were in Alaska (5.5), New Jersey (4.1), Rhode Island (3.9), Connecticut (3.8), Pennsylvania (3.7), California (3.6), Illinois (3.6), Montana (3.4), Massachusetts (3.3), and Wisconsin (3.3).
The largest increases in initial claims for the week ending March 15 were in California (+3,189), Nebraska (+1,044), Virginia (+513), Missouri (+492), and Tennessee (+474), while the largest decreases were in Pennsylvania (-3,166), Illinois (-2,320), New York (-2,155), Texas (-1,373), and Wisconsin (-1,055).
SECRETARY KERRY'S REMARKS AT 2015 MILAN EXPO
FROM: U.S. STATE DEPARTMENT
Remarks at the 2015 Milan Expo Event
John Kerry
Secretary of State
Secretary of State
Deputy Chief of Mission Residence
Rome, Italy
March 27, 2014
SECRETARY KERRY: Thank you, Kathleen. Thank you very much and good evening. Buona sera. I’m happy to be here with everybody in this rather modest public housing that our -- (laughter) – I keep going around with the President, we keep going to Villa Taverna, Villa Pinciana, da-da-da-da, and I find – where’s my home like this? (Laughter.) I don’t know what the deal is. But actually, I’m not allowed to say that. That’s okay, I got a good home.
It is really a pleasure to be here with all of you. Thank you very much, Kathleen. Thank you to the Chamber of Commerce, which I know has worked to help bring everybody together, and Giuseppe Sala, thank you for your leadership now for a number of years to help pull this together. And a group of you, who – I guess the International Culinary Center and the James Beard Foundation, as well as 3M, McKinsey, Illy, and who’d I leave out? I left somebody out. DuPont. There we go. How could I dare do that? Are you with DuPont?
PARTICIPANT: No, I’m International Culinary.
SECRETARY KERRY: All right. So I took care of you. (Laughter.) You’re all right. All right.
So it’s a great, great pleasure for me to be here in the presence of my new regular companion on a business basis every day. Federica has distinguished herself by beginning immediately in her first week welcoming over 40 ministers here. And I was one of them, privileged to be a guest and now to be back, excuse me, in Rome – obviously, one of the greatest cities in the world. And it’s such a pleasure to be able to be here.
I had the privilege of representing in Massachusetts for almost 30 years in the Senate, the United States Senate, one of America’s largest, most ferocious, Italian-American communities. And I’m very proud, and my brother-in-law, David Thorne, was your most recent ambassador here for a period of time. He and I created great mischief here in Rome years ago when we were in college. And he fell in love with it, and he decided he wanted to come back and be an ambassador, and I think he did a great job.
We’re happy that Kathleen and John Phillips are now doing an extraordinary job of carrying on, particularly on something that is of enormous importance to President Obama and to me and to the Obama Administration. And that is the recognition that in today’s world, business is different, and foreign policy is different. People used to always draw a line. If you were an economic officer, you came into an embassy and you got shunted off and you weren’t necessarily in the mainstream of “foreign policy.” Well, that is so far from the reality today. Economic policy is foreign policy.
And when I came in as Secretary, I made it very, very clear this was going to be one of the highest priorities of the State Department and of the Obama Administration’s second term. And the President is deeply committed to helping businesses to locate, to expand, to be able to marry with other businesses in other parts of the world in order to create jobs and strengthen other countries at the same time – not all as fortunate as Italy to have the extraordinary innovation and technology and remarkable design and creative talent that you have in Italy. But other countries that are having great difficulties today with young populations desperate for opportunity, where you really need, if you’re going to provide stability and a future, you’ve got to provide jobs.
Believe it or not, Milan Expo 2015, in our judgment, fits into that strategy, and that’s why I’m very proud to say that today Ambassador Phillips has signed the contract, and we have signed on officially for the United States to partner with the Friends of the Pavilion Milan Expo 2015. We’re going to be there to help support this effort to showcase sustainability and food security. And you do not have to be a rocket scientist or an anthropologist or a genius or a professor to understand as you look at what’s happening in the world today, with about 6-plus billion or whatever it is today heading to 9 billion over the course of the next 35 years, there is going to be unbelievable demand on resources when you couple that with climate change and the already real impacts on farming and fishing and all the other things that are part of sustaining life on this planet, we have a challenge.
That’s what makes Milan Expo 2015 particularly timely, and we are therefore excited about it. Also, we have developed a new program called SelectUSA where we’re working to interest other companies to actually come and invest in the United States too. It works in both directions. But our purpose in taking part in this expo, ironic as it may seem for the United States to talk about bringing food to Italy of all places – I know that’s a little bit of a coal to Newcastle situation. This really can be fun and it can be interesting, and it is a great opportunity for businesses to trade ideas, to showcase to the world.
In Shanghai, the last expo, I believe had something like 70 million people came through. The expectations for Milan are something like 30-35 million people. That is enormous traffic. And when you think about it, this is not just Italy’s fair, world’s fair to so speak; it’s going to be Europe’s, and it’s going to have an enormous ability to be able to attract attention, excitement, generate business, as well as good for the economy for all of those visitors who are coming through, et cetera.
So we’re excited about it. I’m honored to be here tonight. I have one message to all of you: Those of you representing Italian companies who do business with American companies, we want you to get them excited about this. We’re going to help market it. We will help engage. But tell your peers they’ve got to be involved in this. This is going to be 100 percent supported by the private sector, and therefore we need to go to work to make sure that the pavilion is at the level that we want it to be, that it showcases the creativity and technology and capacities that we have with respect to both sustainability and long-term stability and growth and food security for a growing population on this planet.
Obviously, there’s an enormous amount of money to be made when you consider the marketplace we’re looking at. The market that provided the great wealth growth of the 1990s was a $1 trillion market for 1 billion users. We’re talking about 9 billion users growing in these next years, with multiples of trillions of dollars of commerce and trade. So I think we have opportunity staring us in the face. We are proud to join with this. I am very happy to be here tonight with my counterpart Federica and grateful that we’re able to take part in Milan 2015. Thank you. (Applause.)
It is really a pleasure to be here with all of you. Thank you very much, Kathleen. Thank you to the Chamber of Commerce, which I know has worked to help bring everybody together, and Giuseppe Sala, thank you for your leadership now for a number of years to help pull this together. And a group of you, who – I guess the International Culinary Center and the James Beard Foundation, as well as 3M, McKinsey, Illy, and who’d I leave out? I left somebody out. DuPont. There we go. How could I dare do that? Are you with DuPont?
PARTICIPANT: No, I’m International Culinary.
SECRETARY KERRY: All right. So I took care of you. (Laughter.) You’re all right. All right.
So it’s a great, great pleasure for me to be here in the presence of my new regular companion on a business basis every day. Federica has distinguished herself by beginning immediately in her first week welcoming over 40 ministers here. And I was one of them, privileged to be a guest and now to be back, excuse me, in Rome – obviously, one of the greatest cities in the world. And it’s such a pleasure to be able to be here.
I had the privilege of representing in Massachusetts for almost 30 years in the Senate, the United States Senate, one of America’s largest, most ferocious, Italian-American communities. And I’m very proud, and my brother-in-law, David Thorne, was your most recent ambassador here for a period of time. He and I created great mischief here in Rome years ago when we were in college. And he fell in love with it, and he decided he wanted to come back and be an ambassador, and I think he did a great job.
We’re happy that Kathleen and John Phillips are now doing an extraordinary job of carrying on, particularly on something that is of enormous importance to President Obama and to me and to the Obama Administration. And that is the recognition that in today’s world, business is different, and foreign policy is different. People used to always draw a line. If you were an economic officer, you came into an embassy and you got shunted off and you weren’t necessarily in the mainstream of “foreign policy.” Well, that is so far from the reality today. Economic policy is foreign policy.
And when I came in as Secretary, I made it very, very clear this was going to be one of the highest priorities of the State Department and of the Obama Administration’s second term. And the President is deeply committed to helping businesses to locate, to expand, to be able to marry with other businesses in other parts of the world in order to create jobs and strengthen other countries at the same time – not all as fortunate as Italy to have the extraordinary innovation and technology and remarkable design and creative talent that you have in Italy. But other countries that are having great difficulties today with young populations desperate for opportunity, where you really need, if you’re going to provide stability and a future, you’ve got to provide jobs.
Believe it or not, Milan Expo 2015, in our judgment, fits into that strategy, and that’s why I’m very proud to say that today Ambassador Phillips has signed the contract, and we have signed on officially for the United States to partner with the Friends of the Pavilion Milan Expo 2015. We’re going to be there to help support this effort to showcase sustainability and food security. And you do not have to be a rocket scientist or an anthropologist or a genius or a professor to understand as you look at what’s happening in the world today, with about 6-plus billion or whatever it is today heading to 9 billion over the course of the next 35 years, there is going to be unbelievable demand on resources when you couple that with climate change and the already real impacts on farming and fishing and all the other things that are part of sustaining life on this planet, we have a challenge.
That’s what makes Milan Expo 2015 particularly timely, and we are therefore excited about it. Also, we have developed a new program called SelectUSA where we’re working to interest other companies to actually come and invest in the United States too. It works in both directions. But our purpose in taking part in this expo, ironic as it may seem for the United States to talk about bringing food to Italy of all places – I know that’s a little bit of a coal to Newcastle situation. This really can be fun and it can be interesting, and it is a great opportunity for businesses to trade ideas, to showcase to the world.
In Shanghai, the last expo, I believe had something like 70 million people came through. The expectations for Milan are something like 30-35 million people. That is enormous traffic. And when you think about it, this is not just Italy’s fair, world’s fair to so speak; it’s going to be Europe’s, and it’s going to have an enormous ability to be able to attract attention, excitement, generate business, as well as good for the economy for all of those visitors who are coming through, et cetera.
So we’re excited about it. I’m honored to be here tonight. I have one message to all of you: Those of you representing Italian companies who do business with American companies, we want you to get them excited about this. We’re going to help market it. We will help engage. But tell your peers they’ve got to be involved in this. This is going to be 100 percent supported by the private sector, and therefore we need to go to work to make sure that the pavilion is at the level that we want it to be, that it showcases the creativity and technology and capacities that we have with respect to both sustainability and long-term stability and growth and food security for a growing population on this planet.
Obviously, there’s an enormous amount of money to be made when you consider the marketplace we’re looking at. The market that provided the great wealth growth of the 1990s was a $1 trillion market for 1 billion users. We’re talking about 9 billion users growing in these next years, with multiples of trillions of dollars of commerce and trade. So I think we have opportunity staring us in the face. We are proud to join with this. I am very happy to be here tonight with my counterpart Federica and grateful that we’re able to take part in Milan 2015. Thank you. (Applause.)
TWO CHARGED WITH USING OFFSHORE ACCOUNTS TO LAUNDER MONEY
FROM: U.S. JUSTICE DEPARTMENT
Monday, March 24, 2014
U.S. and Canadian Citizens Charged with Using Offshore Accounts and Foreign Nominee Entities to Launder $200,000
Three Caribbean-Based Defendants Charged with Laundering $200,000 of Purported Bank Fraud Proceeds in Undercover Sting
Joshua Vandyk, a U.S. citizen, and Eric St-Cyr and Patrick Poulin, Canadian citizens, were indicted for conspiracy to launder monetary instruments, the Department of Justice and Internal Revenue Service (IRS) announced. The indictment alleges that Vandyk, St-Cyr and Poulin conspired to conceal and disguise the nature, location, source, ownership and control of property believed to be the proceeds of bank fraud. The Caribbean-based defendants allegedly assisted undercover law enforcement agents, posing as U.S. clients, in laundering purported criminal proceeds through an offshore structure designed to conceal the true identity of the proceeds’ owners. Vandyk and St-Cyr invested the laundered funds on the clients’ behalf and represented the funds would not be reported to the U.S. government.
The indictment was returned in the Eastern District of Virginia on March 6, 2014, and unsealed on March 12, 2014, when all three defendants were arrested in Miami, Fla. In addition to the conspiracy charge, Vandyk, St-Cyr and Poulin were each charged with two counts of money laundering.
“These charges result from an extensive investigation and are the latest demonstration of the Department’s resolve to find and prosecute those who aid money laundering and tax fraud globally," said Deputy Attorney General James M. Cole.
According to the indictment, Vandyk and St-Cyr lived in the Cayman Islands and worked for an investment firm based in the Cayman Islands. St-Cyr was the founder and head of the investment firm, whose clientele included numerous U.S. citizens. Poulin, an attorney at a law firm based in Turks and Caicos, worked and resided in Canada and in the Turks and Caicos. His clientele also included numerous U.S. citizens.
According to the indictment, Vandyk, St-Cyr and Poulin solicited U.S. citizens to use their services to hide assets from the U.S. government. Vandyk and St-Cyr directed the undercover agents posing as U.S. clients to create offshore foundations with the assistance of Poulin and others because they and the investment firm did not want to appear to deal with U.S. clients. Vandyk and St-Cyr used the offshore entities to move money into the Cayman Islands and used foreign attorneys as intermediaries for such transactions.
According to the indictment, Poulin established an offshore foundation for the undercover agents posing as U.S. clients and served as a nominal board member in lieu of the clients. Poulin transferred wire payments from the offshore foundations to the Cayman Islands, where Vandyk and St-Cyr invested those funds outside the United States in the name of the offshore foundation. The investment firm represented that it would neither disclose the investments or any investment gains to the U.S. government, nor would it provide monthly statements or other investment statements to the clients. Clients were able to monitor their investments online through the use of anonymous, numeric passcodes. Upon request from the U.S. client, Vandyk and St-Cyr would liquidate investments and transfer money, through Poulin, back to the United States. According to Vandyk and St-Cyr, the investment firm would charge clients higher fees to launder criminal proceeds than to assist them in tax evasion.
“I commend IRS Criminal Investigation and the Division’s prosecutors for the extraordinary work that they have done over many months in this investigation,” said Assistant Attorney General Kathryn Keneally for the Tax Division. “In particular, it is important to note that the IRS’s voluntary disclosure policy excludes disclosures after the government has received information about taxpayers’ identities. If the investigation team now has the names of account holders who have not yet come forward, time has run out for them.”
“As alleged in the indictment, these defendants were in the business of creating layers of transactions so their US clients could launder criminal proceeds,” said Chief of IRS-Criminal Investigation Richard Weber. “IRS Criminal Investigation is committed to unraveling complex financial and money laundering schemes and holding those accountable for creating mechanisms to hide assets offshore and dodge the tax system.”
An indictment merely alleges that crimes have been committed, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, each defendant faces a maximum potential sentence of 20 years in prison for each count.
The case was investigated by special agents of the IRS-Criminal Investigation. Trial Attorneys Todd Ellinwood and Caryn Finley of the Department’s Tax Division and Assistant U.S. Attorney Kosta Stojilkovic of the U.S. Attorney’s Office for the Eastern District of Virginia are prosecuting the case.
Monday, March 24, 2014
U.S. and Canadian Citizens Charged with Using Offshore Accounts and Foreign Nominee Entities to Launder $200,000
Three Caribbean-Based Defendants Charged with Laundering $200,000 of Purported Bank Fraud Proceeds in Undercover Sting
Joshua Vandyk, a U.S. citizen, and Eric St-Cyr and Patrick Poulin, Canadian citizens, were indicted for conspiracy to launder monetary instruments, the Department of Justice and Internal Revenue Service (IRS) announced. The indictment alleges that Vandyk, St-Cyr and Poulin conspired to conceal and disguise the nature, location, source, ownership and control of property believed to be the proceeds of bank fraud. The Caribbean-based defendants allegedly assisted undercover law enforcement agents, posing as U.S. clients, in laundering purported criminal proceeds through an offshore structure designed to conceal the true identity of the proceeds’ owners. Vandyk and St-Cyr invested the laundered funds on the clients’ behalf and represented the funds would not be reported to the U.S. government.
The indictment was returned in the Eastern District of Virginia on March 6, 2014, and unsealed on March 12, 2014, when all three defendants were arrested in Miami, Fla. In addition to the conspiracy charge, Vandyk, St-Cyr and Poulin were each charged with two counts of money laundering.
“These charges result from an extensive investigation and are the latest demonstration of the Department’s resolve to find and prosecute those who aid money laundering and tax fraud globally," said Deputy Attorney General James M. Cole.
According to the indictment, Vandyk and St-Cyr lived in the Cayman Islands and worked for an investment firm based in the Cayman Islands. St-Cyr was the founder and head of the investment firm, whose clientele included numerous U.S. citizens. Poulin, an attorney at a law firm based in Turks and Caicos, worked and resided in Canada and in the Turks and Caicos. His clientele also included numerous U.S. citizens.
According to the indictment, Vandyk, St-Cyr and Poulin solicited U.S. citizens to use their services to hide assets from the U.S. government. Vandyk and St-Cyr directed the undercover agents posing as U.S. clients to create offshore foundations with the assistance of Poulin and others because they and the investment firm did not want to appear to deal with U.S. clients. Vandyk and St-Cyr used the offshore entities to move money into the Cayman Islands and used foreign attorneys as intermediaries for such transactions.
According to the indictment, Poulin established an offshore foundation for the undercover agents posing as U.S. clients and served as a nominal board member in lieu of the clients. Poulin transferred wire payments from the offshore foundations to the Cayman Islands, where Vandyk and St-Cyr invested those funds outside the United States in the name of the offshore foundation. The investment firm represented that it would neither disclose the investments or any investment gains to the U.S. government, nor would it provide monthly statements or other investment statements to the clients. Clients were able to monitor their investments online through the use of anonymous, numeric passcodes. Upon request from the U.S. client, Vandyk and St-Cyr would liquidate investments and transfer money, through Poulin, back to the United States. According to Vandyk and St-Cyr, the investment firm would charge clients higher fees to launder criminal proceeds than to assist them in tax evasion.
“I commend IRS Criminal Investigation and the Division’s prosecutors for the extraordinary work that they have done over many months in this investigation,” said Assistant Attorney General Kathryn Keneally for the Tax Division. “In particular, it is important to note that the IRS’s voluntary disclosure policy excludes disclosures after the government has received information about taxpayers’ identities. If the investigation team now has the names of account holders who have not yet come forward, time has run out for them.”
“As alleged in the indictment, these defendants were in the business of creating layers of transactions so their US clients could launder criminal proceeds,” said Chief of IRS-Criminal Investigation Richard Weber. “IRS Criminal Investigation is committed to unraveling complex financial and money laundering schemes and holding those accountable for creating mechanisms to hide assets offshore and dodge the tax system.”
An indictment merely alleges that crimes have been committed, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, each defendant faces a maximum potential sentence of 20 years in prison for each count.
The case was investigated by special agents of the IRS-Criminal Investigation. Trial Attorneys Todd Ellinwood and Caryn Finley of the Department’s Tax Division and Assistant U.S. Attorney Kosta Stojilkovic of the U.S. Attorney’s Office for the Eastern District of Virginia are prosecuting the case.
FTC PROPOSES FUEL RATING LABEL CHANGES AT FUEL PUMP
FROM: FEDERAL TRADE COMMISSION
FTC Proposes Changes to Fuel Rating Rule
The Federal Trade Commission is proposing changes to its Fuel Rating Rule, which determines the fuel rating that appears on fuel pump labels, how octane levels are calculated, and helps to inform consumers about proper fuel for their vehicles.
In 2009, the FTC began a review of the “Rule for Automobile Fuel Ratings, Certification, and Posting” as part of its systematic review of all current FTC rules and guides. The Commission sought comments on proposed revisions to the Rule regarding ethanol blends. In 2011, after reviewing the comments received, the agency issued final amendments governing other issues and deferred consideration of ethanol blend labeling to consider an Environmental Protection Agency decision regarding the use of certain ethanol blends in certain vehicles.
The FTC is now proposing to revise rating, certification and labeling requirements for blends of gasoline with more than 10 percent ethanol, and a new octane rating method that would lower compliance costs.
The Commission vote approving the Federal Register notice was 4-0.
FTC Proposes Changes to Fuel Rating Rule
The Federal Trade Commission is proposing changes to its Fuel Rating Rule, which determines the fuel rating that appears on fuel pump labels, how octane levels are calculated, and helps to inform consumers about proper fuel for their vehicles.
In 2009, the FTC began a review of the “Rule for Automobile Fuel Ratings, Certification, and Posting” as part of its systematic review of all current FTC rules and guides. The Commission sought comments on proposed revisions to the Rule regarding ethanol blends. In 2011, after reviewing the comments received, the agency issued final amendments governing other issues and deferred consideration of ethanol blend labeling to consider an Environmental Protection Agency decision regarding the use of certain ethanol blends in certain vehicles.
The FTC is now proposing to revise rating, certification and labeling requirements for blends of gasoline with more than 10 percent ethanol, and a new octane rating method that would lower compliance costs.
The Commission vote approving the Federal Register notice was 4-0.
U.S. DEFENSE DEPARTMENT CONTRACTS FOR MARCH 27, 2014
FROM: U.S. DEFENSE DEPARTMENT
U.S. DEFENSE DEPARTMENT
CONTRACTS
AIR FORCE
The Centech Group Inc.*, Falls Church, Va.,( FA8732-14-D-0010); Epsilon Systems Solutions Inc.*, San Diego, Calif., (FA8732-14-D-0011); Smartronix Inc.*, Hollywood, Md., (FA8732-14-D-0012); SMS Data Products Group Inc.*, McLean, Va., (FA8732-14-D-0013); Indus Corp.*, Vienna, Va., (FA8732-14-D-0014); Technica Corp.*, Sterling, Va., (FA8732-14-D-0015); Telos Corp.*, Ashburn, Va., (FA8732-14-D-0016); Sumaria Systems Inc.*, Danvers, Mass., (FA8732-14-D-0017); BTAS Inc.*, Beavercreek, Ohio, (FA8732-14-D-0018); American Systems Corp.*, Chantilly, Va., (FA8732-14-D-0019); STG, Inc.*, Reston, Va., (FA8732-14-D-0020) and MicroTechnologies LLC*, Vienna, Va., (FA8732-14-D-0021) have been awarded a maximum $5,790,000,000 multiple-award, indefinite-delivery/indefinite-quantity (ID/IQ) contract for Network-Centric Solutions-2 (NETCENTS-2) network operations and infrastructure solutions. This contract vehicle will provide solutions to support network operations, core enterprise services and infrastructure development and operations, includes network management/defense, services oriented architecture infrastructure, enterprise level security/management and implementation/operations, telephony infrastructure and services. This contract vehicle is the mandatory source for all Air Force units purchasing services that fall under the scope of the contract, and it is available for use by Army, Navy, other department of defense and federal agencies. Funding and the location of performance will be cited on individual task orders issued against this IDIQ. Each company will receive a minimum guarantee of $2,500 at award. The ordering period is a three year basic period with four 12-month options, if exercised, resulting in seven years of ordering. Task orders are limited to five years of performance, and performance may extend three years beyond the expiration of ordering. This award is the result of a small-business competition; offers were solicited electronically through the Hanscom Electronic Request for Proposal Bulletin Board and FedBizOpps, and twenty-nine offers were received. The contracting activity is Air Force Life Cycle Management Center/HICK, Maxwell Air Force Base-Gunter Annex, Ala.
Northrop Grumman Technical Services Inc., Hill Air Force Base, Utah, has been awarded a $13,719,542 modification to cost-plus-award fee F42610-98-C-0001 for sustaining engineering services for the ICBM weapon system. The location of performance is Utah with an expected completion date of Sept. 30, 2014. Fiscal 2014 operations and maintenance funds in the amount of $12,925,702 are being obligated at award. Air Force Nuclear Weapon Center/PZBE, Hill Air Force Base, Utah, is the contracting activity.
ARMY
Hensel Phelps Construction, Chantilly, Va., was awarded a $245,125,000 firm-fixed-price contract for construction of the Joint Operations Center, Fort George G. Meade, Md. Work will be performed at Fort George G. Meade, Md. Estimated completion date is March 26, 2017. Fiscal 2014 military construction funds in the amount of $57,000,000 were obligated at the time of the award. Bids were solicited via the Internet with five received. U.S. Army Corps of Engineers, Baltimore, Md., is the contracting activity (W912DR-14-C-0016).
Lockheed Martin Corp., Liverpool, N.Y., was awarded a $145,921,161 modification (P00022) to contract W15P7T-12-C-C015 for an additional thirteen AN/TPQ-53 radar systems, along with 13 corresponding sets of on-board spares. Work will be performed in Liverpool, N.Y. Estimated completion date is Nov. 30, 2016. Fiscal 2014 other procurement, Army funds in the amount of $145,921,161 were obligated at the time of the award. Army Contracting Command, Aberdeen, Md., is the contracting activity.
Northrop Grumman Technical Services, Sierra Vista, Ariz., was awarded a $20,236,014 modification (P00020) to contract W58RGZ-13-C-0010 for contractor logistic services for the Hunter unmanned aircraft system. Work will be performed in Sierra Vista, Ariz., and Afghanistan. Estimated completion date is March 30, 2015. Fiscal 2014 operations and maintenance, Army funds in the amount of $5,236,014 were obligated at the time of the award. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.
Manson Construction Co. Seattle, Wash. was awarded a $16,822,500 firm-fixed-price contract for dredging along the U.S. West Coast. Work will be performed in Astoria, Ore., and in San Francisco and Humboldt, Calif. Estimated completion date is Sept. 15, 2014. Fiscal 2014 operations and maintenance, Army funds in the amount of $16,822,500 were obligated at the time of the award. Bids were solicited via the Internet with two received. U.S. Army Corps of Engineers, Portland, Ore., is the contracting activity (W9127N-14-C-0018).
ICx Technologies Inc., doing business as Agentase Inc., Elkridge, Md., was awarded a $12,316,540 modification (P00090) to contract W911SR-08-C-0075 to procure 12 dismounted reconnaissance sets, kits, and outfits army configuration systems. Work will be performed in Elkridge, Md. Estimated completion date is March 25, 2015. Fiscal 2014 research, development, testing and evaluation funds in the amount of $12,316,540 were obligated at the time of the award. Army Contracting Command, Aberdeen, Md., is the contracting activity.
Chimes District of Columbia,Inc., Baltimore, Md., was awarded an $11,548,303 modification (P00002) to contract W91247-12-D-0029 for custodial services at Fort Bragg, N.C. Funding and work location will be determined with each order. Estimated completion date is March 31, 2015. Army Contracting Command, Fort Bragg, N.C., is the contracting activity.
NAVY
Rolls-Royce Corp., Indianapolis, Ind., is being awarded a $106,999,970 undefinitized contract action to provide intermediate, depot level maintenance and related logistics support for approximately 223 in-service T-45 F405-RR-401 Adour engines. Work will be performed at the Naval Air Station (NAS) Meridian, Miss (47 percent); NAS Kingsville, Texas (46 percent); NAS Pensacola, Fla. (6 percent); and NAS Patuxent River, Md. (1 percent), and is expected to be completed in March 2015. No funds will be obligated at time of award; funds will be obligated on individual delivery orders as they are issued. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-D-0016).
Bell Helicopter Textron Inc., Fort Worth, Texas, is being awarded a $59,703,818 modification to a previously awarded advanced acquisition contract (N00019-13-C-0023) for the procurement of long-lead items for the manufacture and delivery of 15 Lot 12 UH-1Y Build New Aircraft and 11 Lot 12 AH-1Z Build New Aircraft for the Marine Corps. Work will be performed in Fort Worth, Texas (60 percent) and Amarillo, Texas (40 percent), and is expected to be completed in September 2015. Fiscal 2014 aircraft procurement, Navy funds in the amount of $59,703,818 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is being awarded a $52,141,562 modification to a previously awarded cost-plus-incentive-fee contract (N00019-02-C-3002) to execute phase 3 of the Joint Strike Fighter Autonomics Logistics Information System (ALIS) Standard Operating Unit Version 2 (SOUv2) capability development effort. Phase 3 includes integration of the SOUv2 with the ALIS sustainment system and the F-35 air system. Work will be performed in Orlando, Fla. (70 percent) and Fort Worth, Texas (30 percent), and is expected to be completed in August 2015. Fiscal 2013 research, development, test and evaluation, Air Force ($9,067,217) and fiscal 2014 research, development, test and evaluation Navy ($14,396,512) and Marine Corps ($14,309,644) funds in the amount of $37,773,373 will be obligated at time of award, $9,067,217 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Guam MACC Builders A Joint Venture, Honolulu, Hawaii, is being awarded $45,450,600 for firm-fixed-price task order 0003 under a previously awarded multiple award construction contract (N62742-10-D-1309) for the design and construction of a high bay maintenance hangar to support forward operations and maintenance functions for the Unmanned Aircraft System MQ-4C Broad Area Maritime Surveillance platform at Andersen Air Force Base, Guam. The MQ-4C requires interior and enclosed maintenance space to accomplish scheduled inspections, airframe repairs, pre- and post-flight operations, as well as technical order compliance and aircraft modifications. The task order also contains two unexercised options, which if exercised would increase cumulative task order value to $46,719,102. Work will be performed in Yigo, Guam, and is expected to be completed by April 2016. Fiscal 2010 and fiscal 2014 military construction, Navy and fiscal 2014 other procurement, Navy contract funds in the amount of $45,450,600 are obligated on this award and will not expire at the end of the current fiscal year. Six proposals were received for this task order. The Naval Facilities Engineering Command, Pacific, Joint Base Pearl Harbor-Hickam, Hawaii, is the contracting activity.
BAE Systems Information and Electronics, Nashua, N.H., is being awarded a $37,443,252 firm-fixed-price contract to procure 1,372 Advanced Precision Kill Weapon Systems (APKWS) II WGU-59/B Guidance Section, the Navy shipping and storage container; and supporting programmatic documentation for the APKWS II WGU-59/B Guidance Sections. Work will be performed in Nashua, N.H. (70 percent); and Austin, Texas (30 percent), and is expected to be completed in September 2015. Fiscal 2014 procurement ammunition, Navy and Marine Corps, and overseas contingency operations funds in the amount of $37,443,252 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-C-0044).
Exelis Inc., Information Systems Division, Herndon, Va., is being awarded a $17,789,717 modification to previously awarded contract (N00174-11-D-0002) for the continued procurement of post-production maintenance support of Navy crew fixed site systems and procurement and support of the transmitting set, counter measure AN/PLT-4 systems. This action fills a requirement for equipment, maintenance and support for the Joint Service Explosive Ordnance Disposal Counter Radio Controlled Improvised Explosive Device Electronic Warfare (JSEOD CREW) program and for continued maintenance and support, including original equipment manufacturer field service representatives, for Legacy Navy CREW systems. The JSEOD CREW program provides all military explosive ordnance disposal (EOD) services with a new electronic warfare capability to counter the threat from improvised explosive devices. JSEOD protects EOD forces of all services, including those currently located in Operating Enduring Freedom, Afghanistan. Work will be performed in Boalsburg, Pa., and is expected to be completed by March 2015. No funds are being obligated at the time of award and contract funds will not expire at the end of the current fiscal year. The Naval Surface Warfare Center Indian Head Explosive Ordnance Disposal Technology Division, Indian Head, Md., is the contracting activity.
PAE Applied Technologies LLC, Fort Worth, Texas, is being awarded a $15,403,392 cost-plus-fixed-fee contract to meet the operations maintenance and logistics support of all range systems, equipment, government furnished databases and management systems and also determine, supply, and provide system support responsibilities, which include logistics support of isolated range equipment on, around, above and under the waters of San Clemente Island. The contract contains options, which if exercised, will bring the contract value to $167,597,135. Work will be performed in San Diego, Calif., and is expected to be completed by Sept. 30, 2014. If all options are exercised, work will continue through March 31, 2019. Fiscal 2014 operations and maintenance, Navy funds in the amount of $2,000,000 will be obligated at the time of award, and will expire at the end of the current fiscal year. This was competitively solicited through the Federal Business Opportunities website, with one offer received. The NAVSUP Fleet Logistics Center, San Diego, Calif., is the contracting activity (N00244-14-C-0007).
Sikorsky Aircraft Corp., Stratford, Conn., is being awarded a $14,947,975 cost-plus-fixed-fee delivery order against a previously awarded Basic Ordering Agreement (N00019-14-G-0004) under the Cabin Interior Phase IIA Program, to include a cabin redesign to reduce the total gross weight allowing for greater lift capability of the VH-3D In-Service Presidential Helicopter. Work will be performed in Stratford, Conn. (98 percent) and Quantico, Va. (2 percent), and is expected to be completed in July 2016. Fiscal 2014 aircraft procurement, Navy contract funds in the amount of $14,947,975 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md. is the contracting activity.
Bell Helicopter Textron Inc., Hurst, Texas, is being awarded an $11,413,510 modification to a previously awarded firm-fixed-price contract (N00019-12-C-0009) to exercise an option to provide systems engineering and program management support for the production and delivery of AH-1Z and UH-1Y aircraft for the Marine Corps. Work will be performed in Hurst, Texas, and is expected to be completed in December 2014. Fiscal 2014 aircraft procurement, Navy funds in the amount of $11,413,510 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
DEFENSE LOGISTICS AGENCY
Cardinal Health Inc., Waukegan, Ill, has been awarded a maximum $16,760,817 modification (P00007) exercising the second option period on a one-year base contract (SPM2DE-12-D-7346) with four one-year option periods for various laboratory supplies. This is a fixed-price with economic-price adjustment, indefinite-delivery/indefinite-quantity contract. Location of performance is Illinois with an April 12, 2015 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Veyance Technologies Inc., Fairlawn, Ohio, has been awarded a maximum $10,638,028 firm-fixed-price contract for track shoe assemblies for the M88 vehicle. This is a competitive acquisition, and two offers were received. Location of performance is Ohio with a Jan. 21, 2015 performance completion date. Using military service is Army. Type of appropriation is fiscal 2014 through fiscal 2015 Army working capital funds. The contracting activity is the Defense Logistics Agency Land and Maritime, Warren, Mich., (SPRDL1-14-C-0071).
*Small Business
U.S. DEFENSE DEPARTMENT
CONTRACTS
AIR FORCE
The Centech Group Inc.*, Falls Church, Va.,( FA8732-14-D-0010); Epsilon Systems Solutions Inc.*, San Diego, Calif., (FA8732-14-D-0011); Smartronix Inc.*, Hollywood, Md., (FA8732-14-D-0012); SMS Data Products Group Inc.*, McLean, Va., (FA8732-14-D-0013); Indus Corp.*, Vienna, Va., (FA8732-14-D-0014); Technica Corp.*, Sterling, Va., (FA8732-14-D-0015); Telos Corp.*, Ashburn, Va., (FA8732-14-D-0016); Sumaria Systems Inc.*, Danvers, Mass., (FA8732-14-D-0017); BTAS Inc.*, Beavercreek, Ohio, (FA8732-14-D-0018); American Systems Corp.*, Chantilly, Va., (FA8732-14-D-0019); STG, Inc.*, Reston, Va., (FA8732-14-D-0020) and MicroTechnologies LLC*, Vienna, Va., (FA8732-14-D-0021) have been awarded a maximum $5,790,000,000 multiple-award, indefinite-delivery/indefinite-quantity (ID/IQ) contract for Network-Centric Solutions-2 (NETCENTS-2) network operations and infrastructure solutions. This contract vehicle will provide solutions to support network operations, core enterprise services and infrastructure development and operations, includes network management/defense, services oriented architecture infrastructure, enterprise level security/management and implementation/operations, telephony infrastructure and services. This contract vehicle is the mandatory source for all Air Force units purchasing services that fall under the scope of the contract, and it is available for use by Army, Navy, other department of defense and federal agencies. Funding and the location of performance will be cited on individual task orders issued against this IDIQ. Each company will receive a minimum guarantee of $2,500 at award. The ordering period is a three year basic period with four 12-month options, if exercised, resulting in seven years of ordering. Task orders are limited to five years of performance, and performance may extend three years beyond the expiration of ordering. This award is the result of a small-business competition; offers were solicited electronically through the Hanscom Electronic Request for Proposal Bulletin Board and FedBizOpps, and twenty-nine offers were received. The contracting activity is Air Force Life Cycle Management Center/HICK, Maxwell Air Force Base-Gunter Annex, Ala.
Northrop Grumman Technical Services Inc., Hill Air Force Base, Utah, has been awarded a $13,719,542 modification to cost-plus-award fee F42610-98-C-0001 for sustaining engineering services for the ICBM weapon system. The location of performance is Utah with an expected completion date of Sept. 30, 2014. Fiscal 2014 operations and maintenance funds in the amount of $12,925,702 are being obligated at award. Air Force Nuclear Weapon Center/PZBE, Hill Air Force Base, Utah, is the contracting activity.
ARMY
Hensel Phelps Construction, Chantilly, Va., was awarded a $245,125,000 firm-fixed-price contract for construction of the Joint Operations Center, Fort George G. Meade, Md. Work will be performed at Fort George G. Meade, Md. Estimated completion date is March 26, 2017. Fiscal 2014 military construction funds in the amount of $57,000,000 were obligated at the time of the award. Bids were solicited via the Internet with five received. U.S. Army Corps of Engineers, Baltimore, Md., is the contracting activity (W912DR-14-C-0016).
Lockheed Martin Corp., Liverpool, N.Y., was awarded a $145,921,161 modification (P00022) to contract W15P7T-12-C-C015 for an additional thirteen AN/TPQ-53 radar systems, along with 13 corresponding sets of on-board spares. Work will be performed in Liverpool, N.Y. Estimated completion date is Nov. 30, 2016. Fiscal 2014 other procurement, Army funds in the amount of $145,921,161 were obligated at the time of the award. Army Contracting Command, Aberdeen, Md., is the contracting activity.
Northrop Grumman Technical Services, Sierra Vista, Ariz., was awarded a $20,236,014 modification (P00020) to contract W58RGZ-13-C-0010 for contractor logistic services for the Hunter unmanned aircraft system. Work will be performed in Sierra Vista, Ariz., and Afghanistan. Estimated completion date is March 30, 2015. Fiscal 2014 operations and maintenance, Army funds in the amount of $5,236,014 were obligated at the time of the award. Army Contracting Command, Redstone Arsenal, Ala., is the contracting activity.
Manson Construction Co. Seattle, Wash. was awarded a $16,822,500 firm-fixed-price contract for dredging along the U.S. West Coast. Work will be performed in Astoria, Ore., and in San Francisco and Humboldt, Calif. Estimated completion date is Sept. 15, 2014. Fiscal 2014 operations and maintenance, Army funds in the amount of $16,822,500 were obligated at the time of the award. Bids were solicited via the Internet with two received. U.S. Army Corps of Engineers, Portland, Ore., is the contracting activity (W9127N-14-C-0018).
ICx Technologies Inc., doing business as Agentase Inc., Elkridge, Md., was awarded a $12,316,540 modification (P00090) to contract W911SR-08-C-0075 to procure 12 dismounted reconnaissance sets, kits, and outfits army configuration systems. Work will be performed in Elkridge, Md. Estimated completion date is March 25, 2015. Fiscal 2014 research, development, testing and evaluation funds in the amount of $12,316,540 were obligated at the time of the award. Army Contracting Command, Aberdeen, Md., is the contracting activity.
Chimes District of Columbia,Inc., Baltimore, Md., was awarded an $11,548,303 modification (P00002) to contract W91247-12-D-0029 for custodial services at Fort Bragg, N.C. Funding and work location will be determined with each order. Estimated completion date is March 31, 2015. Army Contracting Command, Fort Bragg, N.C., is the contracting activity.
NAVY
Rolls-Royce Corp., Indianapolis, Ind., is being awarded a $106,999,970 undefinitized contract action to provide intermediate, depot level maintenance and related logistics support for approximately 223 in-service T-45 F405-RR-401 Adour engines. Work will be performed at the Naval Air Station (NAS) Meridian, Miss (47 percent); NAS Kingsville, Texas (46 percent); NAS Pensacola, Fla. (6 percent); and NAS Patuxent River, Md. (1 percent), and is expected to be completed in March 2015. No funds will be obligated at time of award; funds will be obligated on individual delivery orders as they are issued. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-D-0016).
Bell Helicopter Textron Inc., Fort Worth, Texas, is being awarded a $59,703,818 modification to a previously awarded advanced acquisition contract (N00019-13-C-0023) for the procurement of long-lead items for the manufacture and delivery of 15 Lot 12 UH-1Y Build New Aircraft and 11 Lot 12 AH-1Z Build New Aircraft for the Marine Corps. Work will be performed in Fort Worth, Texas (60 percent) and Amarillo, Texas (40 percent), and is expected to be completed in September 2015. Fiscal 2014 aircraft procurement, Navy funds in the amount of $59,703,818 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is being awarded a $52,141,562 modification to a previously awarded cost-plus-incentive-fee contract (N00019-02-C-3002) to execute phase 3 of the Joint Strike Fighter Autonomics Logistics Information System (ALIS) Standard Operating Unit Version 2 (SOUv2) capability development effort. Phase 3 includes integration of the SOUv2 with the ALIS sustainment system and the F-35 air system. Work will be performed in Orlando, Fla. (70 percent) and Fort Worth, Texas (30 percent), and is expected to be completed in August 2015. Fiscal 2013 research, development, test and evaluation, Air Force ($9,067,217) and fiscal 2014 research, development, test and evaluation Navy ($14,396,512) and Marine Corps ($14,309,644) funds in the amount of $37,773,373 will be obligated at time of award, $9,067,217 of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
Guam MACC Builders A Joint Venture, Honolulu, Hawaii, is being awarded $45,450,600 for firm-fixed-price task order 0003 under a previously awarded multiple award construction contract (N62742-10-D-1309) for the design and construction of a high bay maintenance hangar to support forward operations and maintenance functions for the Unmanned Aircraft System MQ-4C Broad Area Maritime Surveillance platform at Andersen Air Force Base, Guam. The MQ-4C requires interior and enclosed maintenance space to accomplish scheduled inspections, airframe repairs, pre- and post-flight operations, as well as technical order compliance and aircraft modifications. The task order also contains two unexercised options, which if exercised would increase cumulative task order value to $46,719,102. Work will be performed in Yigo, Guam, and is expected to be completed by April 2016. Fiscal 2010 and fiscal 2014 military construction, Navy and fiscal 2014 other procurement, Navy contract funds in the amount of $45,450,600 are obligated on this award and will not expire at the end of the current fiscal year. Six proposals were received for this task order. The Naval Facilities Engineering Command, Pacific, Joint Base Pearl Harbor-Hickam, Hawaii, is the contracting activity.
BAE Systems Information and Electronics, Nashua, N.H., is being awarded a $37,443,252 firm-fixed-price contract to procure 1,372 Advanced Precision Kill Weapon Systems (APKWS) II WGU-59/B Guidance Section, the Navy shipping and storage container; and supporting programmatic documentation for the APKWS II WGU-59/B Guidance Sections. Work will be performed in Nashua, N.H. (70 percent); and Austin, Texas (30 percent), and is expected to be completed in September 2015. Fiscal 2014 procurement ammunition, Navy and Marine Corps, and overseas contingency operations funds in the amount of $37,443,252 will be obligated at time of award, none of which will expire at the end of the current fiscal year. This contract was not competitively procured pursuant to FAR 6.302-1. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity (N00019-14-C-0044).
Exelis Inc., Information Systems Division, Herndon, Va., is being awarded a $17,789,717 modification to previously awarded contract (N00174-11-D-0002) for the continued procurement of post-production maintenance support of Navy crew fixed site systems and procurement and support of the transmitting set, counter measure AN/PLT-4 systems. This action fills a requirement for equipment, maintenance and support for the Joint Service Explosive Ordnance Disposal Counter Radio Controlled Improvised Explosive Device Electronic Warfare (JSEOD CREW) program and for continued maintenance and support, including original equipment manufacturer field service representatives, for Legacy Navy CREW systems. The JSEOD CREW program provides all military explosive ordnance disposal (EOD) services with a new electronic warfare capability to counter the threat from improvised explosive devices. JSEOD protects EOD forces of all services, including those currently located in Operating Enduring Freedom, Afghanistan. Work will be performed in Boalsburg, Pa., and is expected to be completed by March 2015. No funds are being obligated at the time of award and contract funds will not expire at the end of the current fiscal year. The Naval Surface Warfare Center Indian Head Explosive Ordnance Disposal Technology Division, Indian Head, Md., is the contracting activity.
PAE Applied Technologies LLC, Fort Worth, Texas, is being awarded a $15,403,392 cost-plus-fixed-fee contract to meet the operations maintenance and logistics support of all range systems, equipment, government furnished databases and management systems and also determine, supply, and provide system support responsibilities, which include logistics support of isolated range equipment on, around, above and under the waters of San Clemente Island. The contract contains options, which if exercised, will bring the contract value to $167,597,135. Work will be performed in San Diego, Calif., and is expected to be completed by Sept. 30, 2014. If all options are exercised, work will continue through March 31, 2019. Fiscal 2014 operations and maintenance, Navy funds in the amount of $2,000,000 will be obligated at the time of award, and will expire at the end of the current fiscal year. This was competitively solicited through the Federal Business Opportunities website, with one offer received. The NAVSUP Fleet Logistics Center, San Diego, Calif., is the contracting activity (N00244-14-C-0007).
Sikorsky Aircraft Corp., Stratford, Conn., is being awarded a $14,947,975 cost-plus-fixed-fee delivery order against a previously awarded Basic Ordering Agreement (N00019-14-G-0004) under the Cabin Interior Phase IIA Program, to include a cabin redesign to reduce the total gross weight allowing for greater lift capability of the VH-3D In-Service Presidential Helicopter. Work will be performed in Stratford, Conn. (98 percent) and Quantico, Va. (2 percent), and is expected to be completed in July 2016. Fiscal 2014 aircraft procurement, Navy contract funds in the amount of $14,947,975 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md. is the contracting activity.
Bell Helicopter Textron Inc., Hurst, Texas, is being awarded an $11,413,510 modification to a previously awarded firm-fixed-price contract (N00019-12-C-0009) to exercise an option to provide systems engineering and program management support for the production and delivery of AH-1Z and UH-1Y aircraft for the Marine Corps. Work will be performed in Hurst, Texas, and is expected to be completed in December 2014. Fiscal 2014 aircraft procurement, Navy funds in the amount of $11,413,510 will be obligated at time of award, none of which will expire at the end of the current fiscal year. The Naval Air Systems Command, Patuxent River, Md., is the contracting activity.
DEFENSE LOGISTICS AGENCY
Cardinal Health Inc., Waukegan, Ill, has been awarded a maximum $16,760,817 modification (P00007) exercising the second option period on a one-year base contract (SPM2DE-12-D-7346) with four one-year option periods for various laboratory supplies. This is a fixed-price with economic-price adjustment, indefinite-delivery/indefinite-quantity contract. Location of performance is Illinois with an April 12, 2015 performance completion date. Using military services are Army, Navy, Air Force, Marine Corps, and federal civilian agencies. Type of appropriation is fiscal 2014 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pa.
Veyance Technologies Inc., Fairlawn, Ohio, has been awarded a maximum $10,638,028 firm-fixed-price contract for track shoe assemblies for the M88 vehicle. This is a competitive acquisition, and two offers were received. Location of performance is Ohio with a Jan. 21, 2015 performance completion date. Using military service is Army. Type of appropriation is fiscal 2014 through fiscal 2015 Army working capital funds. The contracting activity is the Defense Logistics Agency Land and Maritime, Warren, Mich., (SPRDL1-14-C-0071).
*Small Business
PRESIDENT OBAMA'S CALL REGARDING 6 MILLION AMERICANS SIGNED UP FOR HEALTH INSURANCE
FROM: THE WHITE HOUSE
Readout of the President’s Call with Health Care Navigators Announcing that 6 Million Americans Have Signed Up for Health Insurance
This afternoon, while traveling in Italy, President Obama convened a conference call with health care navigators and volunteers helping with enrollment efforts and announced that more than 6 million Americans have signed up for private health insurance plans through the federal and state Marketplaces since October 1. The President was joined on the call by several thousand grassroots volunteers, navigators and in-person assistors who are leading the effort to enroll millions of Americans in quality, affordable health insurance plans.
During the call, the President thanked the group for all their hard work to date and discussed the importance of building on this progress over the last four days of open enrollment. With consumers’ interest in signing up for health insurance surging – yesterday there were over 1.5 million visits to HealthCare.gov and over 430,000 calls to the call centers – the President encouraged the navigators and volunteers to redouble their efforts over the next four days and leave no stone unturned in trying to bring affordable health coverage to as many Americans as possible by the March 31 deadline. Nationwide, there more than 27,000 trained assistors in all fifty states who are helping consumers sign up in their communities. Consumers can find out how to get local in person help at this link on HealthCare.gov or through their state marketplaces.
Readout of the President’s Call with Health Care Navigators Announcing that 6 Million Americans Have Signed Up for Health Insurance
This afternoon, while traveling in Italy, President Obama convened a conference call with health care navigators and volunteers helping with enrollment efforts and announced that more than 6 million Americans have signed up for private health insurance plans through the federal and state Marketplaces since October 1. The President was joined on the call by several thousand grassroots volunteers, navigators and in-person assistors who are leading the effort to enroll millions of Americans in quality, affordable health insurance plans.
During the call, the President thanked the group for all their hard work to date and discussed the importance of building on this progress over the last four days of open enrollment. With consumers’ interest in signing up for health insurance surging – yesterday there were over 1.5 million visits to HealthCare.gov and over 430,000 calls to the call centers – the President encouraged the navigators and volunteers to redouble their efforts over the next four days and leave no stone unturned in trying to bring affordable health coverage to as many Americans as possible by the March 31 deadline. Nationwide, there more than 27,000 trained assistors in all fifty states who are helping consumers sign up in their communities. Consumers can find out how to get local in person help at this link on HealthCare.gov or through their state marketplaces.
PRESIDENT OBAMA MAKES STATEMENT ON ENDING SECTION 215 BULK METADATA PROGRAM
FROM: THE WHITE HOUSE
MARCH 27, 2014
Statement by the President on the Section 215 Bulk Metadata Program
Earlier this year in a speech at the Department of Justice, I announced a transition that would end the Section 215 bulk telephony metadata program as it previously existed and that we would establish a mechanism to preserve the capabilities we need without the government holding this bulk metadata. I did so to give the public greater confidence that their privacy is appropriately protected, while maintaining the tools our intelligence and law enforcement agencies need to keep us safe.
In that January 17 speech, I ordered that a transition away from the prior program would proceed in two steps. In addition to directing immediate changes to the program, I also directed the Intelligence Community and the Attorney General to use this transition period to develop options for a new approach to match the capabilities and fill gaps that the Section 215 program was designed to address without the government holding this metadata. I instructed them to report back to me with options for alternative approaches before the program comes up for reauthorization on March 28th. As part of this process, we consulted with the Congress, the private sector, and privacy and civil liberties groups, and developed a number of alternative approaches.
Having carefully considered the available options, I have decided that the best path forward is that the government should not collect or hold this data in bulk. Instead, the data should remain at the telephone companies for the length of time it currently does today. The government would obtain the data pursuant to individual orders from the Foreign Intelligence Surveillance Court (FISC) approving the use of specific numbers for such queries, if a judge agrees based on national security concerns. Legislation will be needed to permit the government to obtain this information with the speed and in the manner that will be required to make this approach workable.
I believe this approach will best ensure that we have the information we need to meet our intelligence needs while enhancing public confidence in the manner in which the information is collected and held. My team has been in touch with key Congressional leadership -- including from the Judiciary and Intelligence Committees -- and we are committed to working with them to see legislation passed as soon as possible. Given that this legislation will not be in place by March 28 and given the importance of maintaining this capability, I have directed the Department of Justice to seek a 90-day reauthorization of the existing program including the modifications I directed in January. I am confident that this approach can provide our intelligence and law enforcement professionals the information they need to keep us safe while addressing the legitimate privacy concerns that have been raised.
MARCH 27, 2014
Statement by the President on the Section 215 Bulk Metadata Program
Earlier this year in a speech at the Department of Justice, I announced a transition that would end the Section 215 bulk telephony metadata program as it previously existed and that we would establish a mechanism to preserve the capabilities we need without the government holding this bulk metadata. I did so to give the public greater confidence that their privacy is appropriately protected, while maintaining the tools our intelligence and law enforcement agencies need to keep us safe.
In that January 17 speech, I ordered that a transition away from the prior program would proceed in two steps. In addition to directing immediate changes to the program, I also directed the Intelligence Community and the Attorney General to use this transition period to develop options for a new approach to match the capabilities and fill gaps that the Section 215 program was designed to address without the government holding this metadata. I instructed them to report back to me with options for alternative approaches before the program comes up for reauthorization on March 28th. As part of this process, we consulted with the Congress, the private sector, and privacy and civil liberties groups, and developed a number of alternative approaches.
Having carefully considered the available options, I have decided that the best path forward is that the government should not collect or hold this data in bulk. Instead, the data should remain at the telephone companies for the length of time it currently does today. The government would obtain the data pursuant to individual orders from the Foreign Intelligence Surveillance Court (FISC) approving the use of specific numbers for such queries, if a judge agrees based on national security concerns. Legislation will be needed to permit the government to obtain this information with the speed and in the manner that will be required to make this approach workable.
I believe this approach will best ensure that we have the information we need to meet our intelligence needs while enhancing public confidence in the manner in which the information is collected and held. My team has been in touch with key Congressional leadership -- including from the Judiciary and Intelligence Committees -- and we are committed to working with them to see legislation passed as soon as possible. Given that this legislation will not be in place by March 28 and given the importance of maintaining this capability, I have directed the Department of Justice to seek a 90-day reauthorization of the existing program including the modifications I directed in January. I am confident that this approach can provide our intelligence and law enforcement professionals the information they need to keep us safe while addressing the legitimate privacy concerns that have been raised.
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