Coast Guard seeks final bids on major acquisition project

The Coast Guard requested final proposals last week from contractors vying for the agency's multi-billion dollar acquisition project to upgrade aging equipment. The Coast Guard's Deepwater acquisition project seeks to upgrade the agency's equipment for missions 50 miles or more offshore. These activities include interdicting drugs and illegal immigrants and carrying out search-and-rescue missions.

The General Accounting Office has estimated that Deepwater is likely to have a price tag somewhere between $8 billion and $12 billion over the next two decades, and the Coast Guard estimates the project will take up to 30 years to complete. According to Lt. Commander Andrea Palermo, a Coast Guard spokeswoman, the three industry teams competing for the initial Deepwater contract must submit their final project proposals by Sep. 29. The agency plans to award the first five-year contract in April 2002. After that, five additional five-year contracts will be awarded based on the contractor's performance, she said. Competitors for the contract include Boeing Co., Integrated Coast Guard System (comprised of Lockheed Martin, Northrop Grumman and Ingalls Shipbuilding), and Science Applications International Corp. Palermo said the Coast Guard has estimated it will need $300 million for Deepwater for fiscal 2002, and $500 million for every additional year during the life of the contract. In a May report on the risks associated with Deepwater, GAO said that during the current era of budget constraints and competing budget priorities at the Transportation Department, the high cost of the project could take away funds for other Coast Guard projects. The Coast Guard refuted GAO's claim, saying the agency would be able to fund Deepwater without any adverse impact on other projects and expressing optimism that Congress will continue to appropriate enough money each year to sustain the project. The House fiscal 2002 Transportation appropriations bill (H.R. 2299), which passed last month, includes $300 million for the long-term acquisition project. The bill is now in the Senate.

The Coast Guard has said it hopes to control Deepwater's costs by using commercial equipment and by encouraging competition among suppliers in subsequent five-year contracts.

Stay up-to-date with federal news alerts and analysis — Sign up for GovExec's email newsletters.
FROM OUR SPONSORS
JOIN THE DISCUSSION
Close [ x ] More from GovExec
 
 

Thank you for subscribing to newsletters from GovExec.com.
We think these reports might interest you:

  • Going Agile:Revolutionizing Federal Digital Services Delivery

    Here’s one indication that times have changed: Harriet Tubman is going to be the next face of the twenty dollar bill. Another sign of change? The way in which the federal government arrived at that decision.

    Download
  • Cyber Risk Report: Cybercrime Trends from 2016

    In our first half 2016 cyber trends report, SurfWatch Labs threat intelligence analysts noted one key theme – the interconnected nature of cybercrime – and the second half of the year saw organizations continuing to struggle with that reality. The number of potential cyber threats, the pool of already compromised information, and the ease of finding increasingly sophisticated cybercriminal tools continued to snowball throughout the year.

    Download
  • Featured Content from RSA Conference: Dissed by NIST

    Learn more about the latest draft of the U.S. National Institute of Standards and Technology guidance document on authentication and lifecycle management.

    Download
  • GBC Issue Brief: The Future of 9-1-1

    A Look Into the Next Generation of Emergency Services

    Download
  • GBC Survey Report: Securing the Perimeters

    A candid survey on cybersecurity in state and local governments

    Download
  • The New IP: Moving Government Agencies Toward the Network of The Future

    Federal IT managers are looking to modernize legacy network infrastructures that are taxed by growing demands from mobile devices, video, vast amounts of data, and more. This issue brief discusses the federal government network landscape, as well as market, financial force drivers for network modernization.

    Download
  • eBook: State & Local Cybersecurity

    CenturyLink is committed to helping state and local governments meet their cybersecurity challenges. Towards that end, CenturyLink commissioned a study from the Government Business Council that looked at the perceptions, attitudes and experiences of state and local leaders around the cybersecurity issue. The results were surprising in a number of ways. Learn more about their findings and the ways in which state and local governments can combat cybersecurity threats with this eBook.

    Download

When you download a report, your information may be shared with the underwriters of that document.