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Three companies awarded $1.8B to support Navy shipbuilding programs

By Allen Cone
Three companies awarded $1.8B to support Navy shipbuilding programs
A forward section of John F. Kennedy’s main deck is lifted into place at Huntington Ingalls Industries' Newport News Shipbuilding division last year. Photo by John Whalen/HII

June 27 (UPI) -- Three companies -- BAE System Technology Solutions and Services Inc., Serco and Scientific Research Corp. -- have been awarded combined contracts by the U.S. Navy worth up to $1.8 billion to support the branch's shipbuilding programs, including communications and computers systems aboard vessels.

The initially obligated amount on orders will not exceed $747 million throughout the duration of the awarded contracts, the Defense Department said in an announcement Wednesday.

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The work will be performed aboard new construction aircraft carriers and large deck amphibious ships, including refueling and complex overhaul ships.

The programs require integrated work on integrated command, control, communications, computers and intelligence systems, or C4I. This includes logistics, integration, engineering, procurement, fabrication, assembly, test, inspection, zone integration and installation.

The integrated capability comprises distributed systems that provide network capabilities, communications, command and control, intelligence, and non-tactical data.

The breakdown is $601.5 million for BAE, $608.2 million for Serco and $599.5 million for Scientific, the Pentagon said.

Seventy-three percent of the work will be performed in Newport News, Va., 17 percent in Charleston, S.C. and 10 percent in Pascagoula, Miss. Work is expected to be completed by June 2029.

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No contract funds have been obligated at the time of award.

Each company will receive $50,000 on the first task order under each contract, which won't expire at the end of the current fiscal year. Naval fiscal 2017 shipbuilding and conversion, fiscal 2019 shipbuilding and conversion, and fiscal 2019 research and development funds will be obligated.

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