Robert Olson

CLIENT ALERT: On June 7, 2024, the Defense Contract Audit Agency (DCAA) released its Report to Congress for Fiscal Year (FY) 2023. Consistent with previous years, the report provides a comprehensive analysis of the Agency's audit performance, recommendations for enhancing audit processes, highlighted industry outreach activities, and key accomplishments. As noted in the report, DCAA questioned $5.4 billion of the $254 billion of reviewed contract costs; resulting in net savings to DoD and Taxpayers of $3.5b. Savings represent a $5.10 to $1.00 return on investment (ROI). FY2023 results are comparable to FY2022 when adjusted for the recent Booz Allen false claims settlement of $377 million. Related to their audit findings, DCAA notes an ICS sustention rate of 31.9% in 2023. While still relatively low, the sustention rate is an increase from the FY2022 rate of 26.2%. As with previous years, ROI varies significantly between contract types. For example, ROI for forward pricing audits was $17.4:1, while ROI for systems, CAS, and TINA audits was $0.30:1. The high ROI associated with forward pricing is not surprising (nor are the significant audit findings) given the nature of the materials audited. Forward pricing audits are concerned with estimates and while often supported by historical experience, the related estimates are just that… estimates based on a combination of cost history and assumptions. Similarly, the ROI regarding Systems, CAS, and TINA isn’t surprising as the audits are more concerned with compliance rather than cost allowability, and require significantly more time to complete. Other items of note highlighted in the report include: - Process revisions for mandatory annual audit requirements (MAAR ), including MAAR 6 (Labor Floor Checks) and MAAR 13 (Material Consumption) audits. - No longer a “mandatory”, annual requirement - Audit performance will be based on risk assessments - Continued discussions and communications with industry regarding DCAA guidance related to Cost Impacts for Unilateral Cost Accounting Practice changes (MRD 23-PAC-009(R). Notably, the National Defense Industrial Association and Aerospace Industries Association both object to some of DCAA’s issued guidance - Continued Small Business outreach, including additional staff allocations to help small businesses understand the contract requirements and complexities of government contracting and related regulations - Overall staffing remains unchanged from FY2022 to 2023. However, the bulk of hiring has focused on new college graduates (550 heads). Left unsaid is the loss of experienced auditors and the overall impact to DCAA’s mission Access the entire Report to Congress on FY 2023 Activities by the Defense Contract Audit Agency: https://lnkd.in/ecP7vmWV Read the entire article by Capital Edge Consulting Director, Eric Hayman here: https://lnkd.in/eETFYpgq #GovCon #RegulatoryUpdates #DCAA

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Cara Wulf and Marcos Gonzalez breakdown the changes in the DOD Final Rule amending the DFARS Buy American requirements and explain what contractors should be aware of when supplying “domestic end products” to the government. Read more: https://lnkd.in/gV6Q9JDk #governmentcontracts #DOD #DFARS #buyamerican

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Your proposal must meet the Agency's requirements, and you cannot rely on clarifications to correct a deficient proposal. In Atlantic Diving Supply’s (ADS) recent GAO protest, the Navy sought to procure ballistic helmets with mesh and ratchet retention suspension systems. ADS proposed instead to supply padded helmets. During a request for clarifications, ADS told the Navy that it was proposing a padding system, and it could supply helmets with the required mesh, but that padding was safer and could be provided if the Navy desired. The Navy decided ADS did not meet technical requirements and was therefore ineligible for award. ADS protested that its response to the clarifications demonstrated that it could meet the requirement, and therefore the Navy’s evaluation was unreasonable. GAO disagreed. GAO first noted that ADS did not deny that it proposed padding systems, which was not the stated requirement. GAO found it reasonable for the Navy to conclude that ADS’ quotation failed to meet the requirements since it proposed something different. GAO also noted that the solicitation warned offerors that proposals containing assumptions, conditions and exceptions would be rejected. As such, the Navy was not required to consider the clarification response, particularly since clarifications are limited exchanges that allow vendors to explain certain aspects of their proposals or to resolve minor or clerical mistakes. Put another way, ADS’ clarification did not change the fact that it offered something different than what was sought by the solicitation, and to the extent that ADS had tried to change what was offered, this is not permitted during clarifications. If you think that you can offer something better than what an Agency seeks, you should clarify whether alternatives will be permitted during the Question and Answer process, or through a pre-award protest (though it is extremely difficult to force the Agency to change its requirement). The Agency gets to decide what its requirements are, and GAO generally will not entertain protests that something different is better than what was sought. #governmentcontracting #govcon #bidprotests #smallbusiness #NVTC  

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SOFTENING THE CEASE-FIRE: Some U.S. and Middle East officials believe Hamas has been pushed to soften its cease-fire demands due to the level of destruction of Gaza throughout the war, The Associated Press reports. Over the weekend, the militant group appeared to drop its longstanding condition that Israel agree to a permanent cease-fire as part of any deal, raising hopes that a pause in fighting will come soon. On Sunday, Israeli Prime Minister BENJAMIN NETANYAHU — who is facing mounting criticism and protests domestically — credited Israel’s devastating military operation as having “led Hamas to enter negotiations.” Messages between several top Hamas figures in Gaza who urged leaders to accept President BIDEN’s cease-fire deal seem to back that up. As the AP writes, the messages “described the heavy losses Hamas has suffered on the battlefield and the dire conditions in the war-ravaged territory … the messages indicate divisions within the group and a readiness among top militants to reach a deal quickly, even if Hamas’ top official in Gaza, YAHYA SINWAR, may not be in a rush.” Even so, Israel’s operations in Gaza don’t appear to be slowing down. Israel’s military today stormed Gaza City, saying that Hamas still operates there following heavy fighting in the area months earlier, The Wall Street Journal reports. IDF troops have operated throughout the city during the latest attacks, including in the U.N. Relief and Works Agency headquarters, the main organization providing aid to Palestinians. (Politico)

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Understanding the House NDAA Counter-UAS Amendment. The U.S. House of Representatives has introduced a comprehensive amendment to the National Defense Authorization Act (NDAA) focusing on counter-Unmanned Aircraft Systems (C-UAS). Here’s an overview of the key aspects of this amendment: Key Points of the Amendment 1. Expansion of C-UAS Authorities: - The amendment broadens the scope of entities authorized to detect and mitigate UAS threats to include state and local law enforcement. This enhances public safety and the protection of critical infrastructure. 2. Reauthorization of Federal C-UAS Authorities: - The amendment renews existing C-UAS authorities for federal agencies, ensuring continued capability to counter UAS threats effectively. 3. **Establishment of Minimum Performance Requirements: - Minimum performance standards for C-UAS systems are established, ensuring reliable and effective detection and mitigation technologies. 4. Coordination and Information Sharing: - Emphasis is placed on improving coordination and information sharing among federal, state, and local agencies to enhance C-UAS operations. 5. Support for Major Events: - The amendment supports the deployment of C-UAS technologies to secure major events such as the 2026 FIFA World Cup and the 2028 Olympic Games. Implications of the Amendment - Enhanced Security: This amendment significantly boosts the ability of various agencies to protect critical infrastructure and public events from UAS threats. - Operational Readiness: By setting performance standards, the amendment ensures the reliability and effectiveness of C-UAS systems. - Collaboration: Improved coordination fosters a collaborative environment, enhancing overall security against UAS threats. This amendment marks a crucial step in bolstering U.S. defense against emerging drone threats, ensuring law enforcement and federal agencies are well-equipped to address these challenges. #CounterUAS #NDAA #DroneSecurity #PublicSafety #AirspaceProtection #Legislation #Technology #USDefense https://lnkd.in/et8i4ZM9)

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ITAR News: The Directorate of Defense Trade Controls is preparing to issue a final rule regarding amendments to ITAR section 120.54, as DDTC submitted the rule for interagency clearance on June 6. The final rule is expected to add two activities that are not exports, reexports, retransfers, or temporary imports: -“the taking of defense articles outside a previously approved country by the armed forces of a foreign government or United Nations personnel on a deployment or training exercise is not a controlled event, provided there is no change in end-use or end-user”; and -“the transfer of a foreign defense article originally imported into the United States that has since been exported out of the United States, is not a controlled event, unless certain enumerated circumstances have occurred.” DDTC originally proposed these amendments in December 2022 and acknowledged that the rule intends to “codify” the agency’s “long-standing policy” that these two activities “are not controlled events.” #DDTC #ITAR #AUKUS #Exports #DefenseTrade

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🚨ICYMI🚨 I joined Jon Scott on the “Fox Report” to discuss the merits in claims that crime, to include violent crime, is actually decreasing in the U.S. When evaluating such claims, it is important to consider the accuracy of the data. When only 65% out f the 19,000+ law enforcement agencies in America even bother to report data to the FBI UCR/NIBRS data collection (the same data source of the recent braggadocio). The data becomes less accurate when our nation’s largest population centers do not report any or accurate crime data…and haven’t for years. Would you trust absolute statements about crime stats when your data source doesn’t contain numbers from NYPD, LAPD, SFPD, Philly PD, or Phoenix PD? There are other reasons to refute claims crime is decreasing in America. There is even support that is has risen steadily in the last 3 years. My latest 👇🏼 https://lnkd.in/g6GUw_HF

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Day One of Global SOF Foundation Many don't realize the impact toxic exposures on all military personnel, but especially those in #SpecialOperations FYSA - our immediate needs support numeric (01/01/2024 - 04/24/2024): 197 Post-9/11 Military Veterans (conventional and SOF) - $296,822 spent thus far 144 are post-9/11 special operations (73%). (30) Green Berets were covered by SFCT ($50,000). (7) Navy SEALs were covered by SEAL Future Foundation ($12,250). (5) SOF Personnel were covered by Task Force Dagger ($7,600). Of those post-9/11 SOF supported via cancer treatments, cancer care, and cancer screening (n=144), HunterSeven covered 103 of those SOF individuals. Not bad for just being 114 days into the year.  Granted, we serve all post-9/11 veterans, not just SOF. Caring for those who serve is what we do, it is the sole purpose of our mission, and, we are looking forward to tripling these numbers by the end of the year. Humans ARE more important than hardware. #SOFWEEK

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Assange plans to plead guilty to one charge of conspiring to obtain and disclose national defense information in a U.S. federal court in Saipan. See what else you need to know https://lnkd.in/gEuiyga8 #JulianAssange #AssangePlea #USCourt #NationalDefense #ConspiracyCharge #LegalNews #Saipan #Wikileaks #CourtCase #LegalUpdate #Espionage #usnews #dailynews

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Spaceport needs increase- In the House Armed Services Committee's draft fiscal 2025 defense policy bill, concerns were raised about the increased launch demands on the two main spaceports - Cape Canaveral Space Force Station in Florida (Space Florida) and Vandenberg Space Force Base in California. United States Space Force is exploring options to increase the number of launches its existing ranges can support through an initiative called Spaceport of the Future. The bill lists potential alternative sites (and GSA members), including Virginia Spaceport Authority's Wallops Island in Virginia, Pacific Spaceport Complex in Alaska, and the only U.S. inland vertical launch facility - Spaceport America in New Mexico. 👉 Read the article at https://lnkd.in/eYRSJUiC Image- © Provided by Defense News

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TODAY IN COAST GUARD AVIATION HISTORY - 15 MAY 1964 (1 OF 2): Coast Guard Aviator LCDR John C. Redfield met with CDR Frank Fisher, the prospective Commanding Officer of USCGC RELIANCE - the lead 210-foot cutter, for the first time to discuss the up-coming tests and evaluation for helicopter-shipboard operations. Headquarters Office of Aviation (OAU), strongly in favor of the helicopter-ship concept, realized that should this vessel not be capable of operating safely with the Sikorsky HH-52A helicopter that the remaining WMEC cutters would be built without the flight deck. With this in mind the Commandant, at the behest of the Chief OAU, directed that a well-qualified aviator experienced in open sea shipboard helicopter operations be assigned to assist the Commanding Officer of the RELIANCE in developing a capability for helicopter operations - Redfield was chosen. (Excerpts from "1964 – The First of the 210 foot Coast Guard Cutters Were Launched" from the Coast Guard Aviation Association - History website) A long range plan, suggested by the Assistant Secretary of the Treasury, to address the obsolescence of the cutter fleet was undertaken in 1959. The first postwar cutters were being designed to replace the 125 and 165 footers. They were the first cutters, designed from the keel up to facilitate helicopter operations. The helicopter landing platform required a minimum 200-foot waterline. The initial concept of helicopter operations from cutters was pioneered by Frank Erickson during the Coast Guard development of the helicopter during World War II. Operation High Jump and subsequent Arctic and Antarctic operations demonstrated the value of the helicopter to the icebreaker. This concept, strongly supported by their Commanding Officers, did not carry over into the rest of the cutter fleet during this period. However, CAPT John P. Latimer, a LT at the time, while attending postgraduate school after WWII, with assistance from CDR Frank Erickson and LTJG Art Pfeiffer, did a design project of a ship with a helicopter landing platform. It was about the size of the future Hamilton Class cutters with a configuration similar to the future Hamilton and Reliance Class. Latimer had consulted with Erickson and flew onto ships in a helicopter. His design provided for a helicopter deck and a hangar. Latimer said that he was surprised when he later served a tour in the Headquarters Engineering Section (ENE), that the design had received quite a bit of study by a couple of civilian architects. LinkedIn character limit - learn more here: https://lnkd.in/ec9b6egH ROV Missing Awards: none. Follow us on Instagram: https://lnkd.in/gXq6HCaN #helicopter U.S. Coast Guard Lockheed Martin GE Aerospace

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Unmanned waterborne explosive devices force rethink for PMSCs In the week that Ukraine unveiled its latest unmanned 46mph "robot boat", the Houthis scored a major success by driving a water borne improvised explosive device (WBIED) at the Tutor, causing major damage and forcing the crew to abandon ship. The technology of these sea going drones is progressing at a great rate and allows an asymmetric force to potentially deny naval space to a bigger and more traditional grey funnel navy. Ukraine's advances must be giving naval planners food for thought. Such devices also present a formidable challenge to armed teams on board commercial shipping in the Red Sea. BMP 5 provides guidance on the approach by WBIED assuming that they are unmanned or have a solitary occupant. Perhaps that guidance fooled the armed team that seems to have been on board the Tutor with footage on social media showing them watching from the bridge wing. That brought to mind the contrasting images online off Somalia of a security team firing a month's worth or ammunition at an incoming skiff. There is probably a happy medium. As the photo below shows the Houthis used an ordinary fishing skiff with two dummies. It is said that it was operated by another boat some 2nm away. Vessels targeted by the Houthis now face a multiple threat from the air and by sea. A citadel may work for the former but is not recommended for the latter where damage can occur below the water line. At 15 knots a security team has only a few minutes to identify and respond to the threat. With the calibre of weapons they are allowed on board they are really looking at disabling the engine or setting off the explosive. Neither are easy with single shot weapons. All at the same time as mustering the crew in a safe place and asking them to adopt a brace position just in case. These are very fine margins and throw in a simultaneous drone threat and a four man team will be very quickly at the limits of their resources. SOPs for the security teams need to be re thought as a matter of urgency. The Houthis continue to look at the Red Sea through the prism of Gaza. The question bothering me is why would they stop harassing "enemy" ships once a cease fire is in place. Does Iran have enough control over the Houthis? It is perhaps significant that representatives of the Iranian Guard, Hezbollah and the Houthis met recently in Tehran. But having "taught" them how effectively they can dictate who uses the Red Sea why would they stop? Is there potential leverage they can now apply to achieve their more broader strategic aims?

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https://lnkd.in/epntVXai Forget Aircraft Carriers: The Blue Ridge-Class Is 1 of the Navy's Most Important Warships The Blue Ridge-class command and control ships, commissioned in 1970 and 1971, are among the longest-serving vessels in the U.S. Navy.Despite their age, both ships have had their service lives extended through the Navy's Extended Service Life Program (ESLP), which includes extensive upgrades to modernize their systems and equipment. Much attention is paid to prominent navy vessels, like the aircraft carrier but the Navy fleet is populated with a myriad of support vessels, many of which are lesser known. One such vessel is the Blue Ridge-class amphibious command and control ship. As the name implies, the Blue Ridge was designed to serve as a communications hub for amphibious forces. The Blue Ridge has been in service since 1970, making it one of the longest-tenured vessels in the Navy. Today, the two completed Blue Ridges are still serving, the only examples of the class ever built. Despite serving since the early 1970s, the US Navy opted to extend the service lives of both Blue-Ridge vessels in 2011. Accordingly, both vessels are being put through an NAVSEA and Military Sealift Command Extended Service Life Program (ESLP). The ESLP is geared towards bringing the Cold War vessels up to modern standards, so that the vessels may support any variety of mission that the fleet may need to participate in. “The program provides for the repair and overhaul of systems/equipment, replacement of obsolete equipment to be included in an extended service life program,” Military.com reported. “Major areas of improvement will be shipboard electrical generation and distribution, HVAC upgrades, operational space optimization, habitability and safety modifications, and corrosion control.” The upgrades will go a long way towards restoring the reputation of the Blue Ridge; when the two ships were first commissioned, they were regarded as having the world’s most advanced electronics suites – each being thirty percent larger than the electronics suite found on the USS John F. Kennedy. Indeed, the Blue Ridge electronics suite was built around a hub of computer and communications gear that was integral to the ship’s mission. The initial advancement and sophistication of the Blue Ridge’s electronics suite is likely what allowed the vessels to serve for so long; they were ahead of their time.

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WHO HAS the KEYS? As the Democratic Party implodes over who should replace President Biden, one might ask (and worry) who has control over our nuclear arsenal? Should a President, who was found by Special Counsel Robert Hur, too old and addled to stand trial in federal court, have any control over our nation's nuclear weapons? Or, over our military combat commanders as well? Would those same generals be inclined to follow any military order from Joe Biden, without great trepidation? "Chairman of the Joint Chiefs of Staff Mark Milley took steps to prevent then-President Donald Trump from misusing the country's nuclear arsenal during the last month of his presidency, according to a new book by The Washington Post's Bob Woodward and Robert Costa obtained by NBC News. Their book, "Peril," said that in the days before the 2020 election, Milley also acted to prevent a potential conflict with China. The book said Milley received intelligence that Chinese officials believed the U.S. was getting ready to attack them. To defuse tensions, Milley called the head of China's military, Gen. Li Zuocheng, and told him the "American government is stable" and "we are not going to attack." So, that begs the question, what has General Charles Q. Brown done? Has he pulled a "Milley" on Biden and his far left acolytes? Biden has shown to the world that he is not capable of running this country, let alone having the cognitive abilities to have anything to do with nuclear weapons. Will the military secure our arsenal, as they did against a cognitively unimpaired President Trump? Have our nuclear adversaries moved to a heightened state of readiness? Could VP Kamala Harris be trusted with the nuclear keys? Very few news agencies or pundits have even touched on this topic.

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Earlier today (14 May 24) the new Defense Industrial Base Consortium released a new open announcement for unsolicited White Papers to be considered for Defense Production Act (DPA) Title III and Industrial Base Analysis and Sustainment (IBAS) funding. DIBC membership is free and is open to U.S. organizations as well as international partners from the United Kingdom (UK), Australia, and Canada.   https://lnkd.in/ej2pUeyW   The Defense Production Act Title III and the Industrial Base Assessment and Sustainment (IBAS) are focused on specific sectors and this open announcement is essentially limiting award of agreements to projects relevant to the specified sectors

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ITAR News: Changes are coming to the U.S. Munition List. On June 21, the Directorate of Defense Trade Controls sent an interim final rule for interagency clearance concerning long-planned updates to add and remove items from the USML. This rule will also add entries to control certain critical and emerging technologies and update Category XXI. DDTC describes the rule as follows: International Traffic in Arms Regulations: USML Targeted Revisions 2022:  Revising and excluding entries in the U.S. Munitions List that do not warrant inclusion, and to add entries for critical and emerging technologies that warrant inclusion. These changes revise specific paragraphs within the USML, as well as corresponding parts of the ITAR. This update revises specific paragraphs that have been identified through alternate means as requiring addition, revision, or clarification (e.g., Advisory Opinions, Public Comments, and Commodity Jurisdiction determinations). This update also seeks to limit the items categorized in USML Category XXI by updating the appropriate USML paragraph. #itar #munitionslist #usml #ddtc #exportcontrols

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Austin: As NATO Recognizes 75 Years of Strength, Focus Remains on Ukraine - July 10, 2024 | By C. Todd Lopez, DOD News The North Atlantic Treaty Organization was formed 75 years ago when the treaty that created the alliance was signed on April 4, 1949, in Washington. Just a dozen nations were signatories. Since then, the NATO alliance has grown to include 32 nations. During a summit this week in Washington, NATO member states are commemorating the alliance's longevity and growth. "It's a huge honor for the United States and President Biden to host this historic summit in Washington, just down the road from the site where the original 12 NATO allies signed the North Atlantic Treaty 75 years ago," Secretary of Defense Lloyd J. Austin III said today at the summit. "Together, we're marking one of the [greatest] success stories that the world has ever known." "It was the foundation of NATO, and it still is," he said. "On that bedrock we have built the strongest and most successful defensive alliance in human history." That alliance, Austin said, has protected Europe and North America's security and interests through the Cold War, conflicts in Bosnia and Herzegovina, Kosovo and the Sept. 11, 2001, terrorist attacks on U.S. soil. "NATO has always stood by us, and we're going to stand by NATO," Austin said. "Without NATO, the past 75 years would have been far different and far more dangerous." While attendees at the summit acknowledge the growth and success of NATO over the past 75 years, a larger issue looms: the conflict in Ukraine. In 2014, Russia illegally annexed the part of Ukraine known as the Crimean Peninsula. And in February 2022, Russia invaded Ukraine with the hope of taking the capital city of Kyiv. Since then, the two nations have been at war. While Austin said the U.S. will not enter the war in Ukraine, it will support the country. "We will stand by Ukraine as it fights for its sovereignty and security," he said. "We will defend every inch of NATO, and we will continue to strengthen NATO's collective defense and deterrence." Since Russia's invasion of Ukraine, NATO has grown larger, stronger and more ready, Austin said. "In the wake of Putin's imperial invasion of Ukraine, we've bolstered NATO's forward defense posture with more troops at high readiness, larger exercises, sharper vigilance and multinational battle groups in eight countries," he said. "NATO is now larger than ever." In 1949, just a dozen nations signed on to NATO. Today, with the addition of Finland in 2023 and Sweden this year, NATO's membership has grown to 32 nations. "Putin's war is not the result of NATO enlargement," Austin said. "Putin's war is the cause of NATO enlargement." Read More on DoD: https://lnkd.in/gFzMGcKf

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Sierra Nevada wins $13B contract to build Air Force ‘doomsday plane’ Read more on the link below. #defense #sbir #military #jointwerx @jointwerx @blackhaysgroup #governmentcontracts #smallbusiness #entrepreneurship #venturecapital #consulting #strategy #leanstartups #startup #growthhacking

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