News for the Week of July 19, 2017

Legal News: Regulatory News: Major Contract Awards:
Legal News:

Technical Evaluators and SSA Weren't Aware of Realism Issues
The Comptroller General sustained a protest of a price realism analysis because the price evaluators' concerns with the awardee's low price were never communicated to the technical evaluators or considered in connection with the source selection decision. The price evaluators had concerns about the realism of a number of the awardee's proposed contract line items, and after three rounds of discussions, the awardee's prices were the same or lower. (Next Tier Concepts, Inc., et al., 32 CGEN ¶115,575)

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Assessment of Weaknesses Based on Unstated Criteria
The exclusion of the protester's proposal from the competitive range was unreasonable because the government improperly assessed weaknesses in the proposal and the competitive range determination relied on unreasoned distinctions and speculation. Discussing three examples under the management approach subfactor, the Comptroller General found the government disregarded aspects of the protester's proposal and applied unstated evaluation criteria. (Pinnacle Solutions, Inc., 32 CGEN ¶115,589)

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Regulatory News:

EAR Rule Adds Russia-Related Entities to Entity List
The Bureau of Industry and Security has issued a final rule amending the Export Administration Regulations to add ten entities to the Entity List in Supplement No. 4 to EAR Part 744. These entities will be listed on the Entity List under the destinations of the Crimea region of Ukraine and Russia.

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Major Contract Awards:

F-35 Aircraft — $5.6 Billion
Lockheed Martin Corp., Lockheed Martin Aeronautics Co., Fort Worth, Texas, is being awarded a $5,577,714,486 modification to a previously awarded F-35 Lightning II low-rate initial production Lot 11 advance acquisition contract. This modification provides for the procurement of 74 fiscal 2017 aircraft, comprised of 48 F-35A aircraft for the Air Force, 18 F-35B aircraft for the Marine Corps, and 8 F-35C aircraft for the Navy and Marine Corps. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

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Black Hawk Helicopters — $3.8 Billion
Sikorsky Aircraft Corp., Stratford, Connecticut, was awarded a $3,767,831,006 firm-fixed-price foreign military sales (Saudi Arabia) contract for a Black Hawk multi-year production effort to include associated services for program system management, engineering, technical data and publications. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity.

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Unmanned Aircraft Surveillance — $475 Million
Arcturus UAV, Rohnert Park, California, is being awarded one of three indefinite-delivery/indefinite-quantity contracts for a maximum of $475,000,000 for Mid-Endurance Unmanned Aircraft Systems intelligence, surveillance, and reconnaissance services at multiple locations worldwide. U.S. Special Operations Command, Tampa, Florida, is the contracting activity.

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NGT-PAC Program — $409 Million
Lockheed Martin Aeronautics Co., Fort Worth, Texas, has been awarded a not-to-exceed $409,000,000 indefinite-delivery/indefinite-quantity contract for Next Generation Thermal, Power, and Controls. Air Force Research Laboratory, Wright-Patterson Air Force Base, Ohio, is the contracting activity.

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Radio Systems — $461 Million
Harris Corp., Lynchburg, Virginia, and Motorola Solutions Inc., Linthicum Heights, Maryland, were each awarded a $461,246,563 firm-fixed-price contract to support the capability to upgrade and modernize existing land mobile radio system infrastructure. U.S. Army Contracting Command, Redstone Arsenal, Alabama, is the contracting activity.

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Propulsion System Spares — $340 Million
United Technologies Corp., Pratt & Whitney Military Engines, East Hartford, Connecticut, is being awarded a not-to-exceed $339,645,342 undefinitized modification for the procurement of propulsion system initial spares for Global Spares Pool in support of the F-35 Joint Strike Fighter aircraft. The Naval Air Systems Command, Patuxent River, Maryland, is the contracting activity.

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About this Newsletter

From Wolters Kluwer Legal & Regulatory's Government Contracts editors, here are summaries of the important recent developments in this practice area. Complete coverage of these issues, and more, appears in Government Contracts Reports, the Government Contracts Reporter, and related CCH products.



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Federal Acquisition Regulation (FAR) & Department of Defense FAR Supplement (DFARS), July 2017 Combo