Acting USAF Chief Says Selection Process Wasn't "Fatally
Flawed"
As expected, both Boeing and Northrop Grumman -- competitors for
the hotly-contested KC-X contract,
which was thrown open for rebid once again
Wednesday -- each gave measured praise for the
Department of Defense's decision to take over selection authority
for the contract from the US Air Force.
"We welcome the decision by Defense Secretary Robert Gates not
to proceed with the contract award to Northrop Grumman/EADS and to
reopen the KC-X tanker competition," Boeing said in a prepared
statement. "However, we remain concerned that a renewed Request for
Proposals (RFP) may include changes that significantly alter the
selection criteria as set forth in the original solicitation. As
the Government Accountability Office reported in upholding our
protest, we submitted the only proposal that fully met the
mandatory criteria of the original RFP.
"We look forward to working with the new acquisition team as it
reopens the competition, but we will also take time to understand
the updated solicitation to determine the right path forward for
the company," Boeing added. "It's encouraging that the Defense
Department intends to take steps to ensure a fair and open
competition that, among other things, fully accounts for life-cycle
costs, such as fuel, to provide the most capable tanker at the best
value for the American taxpayer."
In its statement reacting to the KC-X decision, Northrop Grumman
said its "applauds" Gates and Under Secretary John J. Young "for
recognizing that the acquisition of replacement refueling tankers
for the Air Force should be put on a path toward quick closure. We
are reviewing the decision to ensure the re-competition will
provide both companies a fair opportunity to present the strengths
of their proposals."
Northrop spokesman Randy Belote pointedly added the USAF already
selected the KC-45A as the best choice, "and we are confident that
it will do so again. Our men and women in uniform deserve nothing
less. The Northrop Grumman KC-45 tanker is needed now and is ready
now."
As ANN reported, the Government Accountability
Office ruled last month the US Air Force had bungled its own
selection process for KC-X, giving several advantages to the bid
presented by Northrop and EADS.
During a Pentagon briefing Wednesday Michael B. Donley, acting
secretary of the Air Force, said he concluded the USAF's
acquisition system that led to the KC-X bid going to Northrop
Grumman and EADS was not "fatally flawed... However, the GAO did
sustain the protest in eight areas, and this has been sufficient to
cast doubt on the Air Force's management of the overall
process."
Donley was named acting USAF secretary June 9,
following the forced resignations of his predecessor, Michael
W. Wynne, and former Chief of Staff General T. Michael Moseley. The
GAO issued its ruling on Boeing's KC-X protest nine days later.