Jeremiah Gertler
Specialist in Military Aviation
On February 24, 2011, the Department of Defense (DOD) announced the Boeing Company as the winner of a competition to build 179 new KC-46A aerial refueling tankers for the Air Force, a contract valued at roughly $35 billion. Prior to the announcement, the program had been known as KC-X.
The KC-46A acquisition program is a subject of intense interest because of the dollar value of the contract, the number of jobs it would create, the importance of tanker aircraft to U.S. military operations, and because DOD’s previous attempts to acquire a new tanker since 2001 had ultimately failed.
DOD’s KC-46A competition strategy, and the contract award, pose several potential oversight issues for Congress, including the following: Did the contract award follow the announced competition strategy and metrics? Has DOD adequately defined the required capabilities for the KC-X and established a fair and adequate framework for scoring and evaluating bids against those required capabilities? Should World Trade Organization (WTO) rulings on commercial aircraft subsidies be taken into account in evaluating the KC-X bids? How should the Air Force take into account the premature disclosure of partial results to the two teams?
FY2011 defense authorization bill: The House Armed Services Committee, in its report on H.R. 5136 (H.Rept. 111-491 of May 26, 2010) recommends approving the Administration’s request for $863.9 million in research and development funding for the KC-X program. During its subsequent consideration of the bill, the full House voted to accept an amendment offered by Representative Inslee that would require the Defense Department to consider any “unfair competitive advantage that an offeror may possess” in evaluating bids on major weapons systems. The Senate Armed Services Committee report accompanying S. 3454 (S.Rept. 111-201 of June 4, 2010) makes no change to the Administration’s requested funding level for KC-X.
FY2011 DOD appropriations bill: The Senate Appropriations Committee, in its report (S.Rept. 111-295 of September 16, 2010) on S. 3800, recommends $538.9 million for the Next Generation Aerial Refueling Aircraft, a reduction of $325 million from the Administration request. The House Appropriations Committee did not report a separate defense bill for FY2011.
Date of Report: February 25, 2011
Number of Pages: 38
Order Number: RL34398
Price: $29.95
Follow us on TWITTER at http://www.twitter.com/alertsPHP or #CRSreports
Document available via e-mail as a pdf file or in paper form.
To order, e-mail Penny Hill Press or call us at 301-253-0881. Provide a Visa, MasterCard, American Express, or Discover card number, expiration date, and name on the card. Indicate whether you want e-mail or postal delivery. Phone orders are preferred and receive priority processing.
Specialist in Military Aviation
On February 24, 2011, the Department of Defense (DOD) announced the Boeing Company as the winner of a competition to build 179 new KC-46A aerial refueling tankers for the Air Force, a contract valued at roughly $35 billion. Prior to the announcement, the program had been known as KC-X.
The KC-46A acquisition program is a subject of intense interest because of the dollar value of the contract, the number of jobs it would create, the importance of tanker aircraft to U.S. military operations, and because DOD’s previous attempts to acquire a new tanker since 2001 had ultimately failed.
DOD’s KC-46A competition strategy, and the contract award, pose several potential oversight issues for Congress, including the following: Did the contract award follow the announced competition strategy and metrics? Has DOD adequately defined the required capabilities for the KC-X and established a fair and adequate framework for scoring and evaluating bids against those required capabilities? Should World Trade Organization (WTO) rulings on commercial aircraft subsidies be taken into account in evaluating the KC-X bids? How should the Air Force take into account the premature disclosure of partial results to the two teams?
FY2011 defense authorization bill: The House Armed Services Committee, in its report on H.R. 5136 (H.Rept. 111-491 of May 26, 2010) recommends approving the Administration’s request for $863.9 million in research and development funding for the KC-X program. During its subsequent consideration of the bill, the full House voted to accept an amendment offered by Representative Inslee that would require the Defense Department to consider any “unfair competitive advantage that an offeror may possess” in evaluating bids on major weapons systems. The Senate Armed Services Committee report accompanying S. 3454 (S.Rept. 111-201 of June 4, 2010) makes no change to the Administration’s requested funding level for KC-X.
FY2011 DOD appropriations bill: The Senate Appropriations Committee, in its report (S.Rept. 111-295 of September 16, 2010) on S. 3800, recommends $538.9 million for the Next Generation Aerial Refueling Aircraft, a reduction of $325 million from the Administration request. The House Appropriations Committee did not report a separate defense bill for FY2011.
Date of Report: February 25, 2011
Number of Pages: 38
Order Number: RL34398
Price: $29.95
Follow us on TWITTER at http://www.twitter.com/alertsPHP or #CRSreports
Document available via e-mail as a pdf file or in paper form.
To order, e-mail Penny Hill Press or call us at 301-253-0881. Provide a Visa, MasterCard, American Express, or Discover card number, expiration date, and name on the card. Indicate whether you want e-mail or postal delivery. Phone orders are preferred and receive priority processing.
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