DoD reopens tanker contract bidding, bypasses Air Force

It shouldn't come as a big surprise to anyone that the bidding has reopened for the lucrative aerial tanker contract. Especially after the GAO sustained Boeing's bid protest last month regarding the award given to the team of Northrop Grumman and EADS. What is a bit of a shocker, is that the new competition for the replacement of the KC-135 will not be overseen by the Air Force, as it was before. This time the DoD will run the contest straight from the Pentagon due to an overwhelming lack of confidence in the Air Force to manage the contract. Congressman Norm Dicks (of WA, it should be noted) was quoted as saying "I think it's better. No one has any faith in the Air Force." The GAO report pointed out some "significant errors" made by the Air Force in the original contest and suggested that Boeing might have won the contract if not for these mistakes. Boeing was pitting, and will again, its 767-based refueler against Northrop Grumman's Airbus A330 based tanker. The $35 billion contract will now have a limited rebid by the Pentagon, who claims they will pick a new winner by the end of the year. Meanwhile, a ragged old KC-135 somewhere around the world is begging to be put out of its misery.


(via MSNBC)

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GAO tells Air Force, "not so fast" on new tanker

Of course we always knew it was never really over. In a big victory for Boeing today, the Government Accountability Office (GAO) sustained a bid protest by the Chicago-based aircraft manufacturer over the Pentagon's decision to select the Northrop Grumman/EADS proposal for the KC-X tanker replacement program. The GAO press release states "the Air Force had made a number of significant errors that could have affected the outcome of what was a close competition between Boeing and Northrop Grumman". As if this project has been drawn out enough, the GAO is now proposing the Air Force "reopen discussions with the offerors,obtain revised proposals, re-evaluate the revised proposals, and make a new source selection decision." So instead of preparing to receive their 179 Northrop Grumman KC-45A's to partially replace the fleet of venerable KC-135's, it looks like the Air Force may be back to the drawing board on this one. Of course this decision has thrilled Boeing, who still hopes to supply the Air Force with its 767 based aerial refueler. Northrop Grumman, on the other hand, is still confident they will be producing the Air Force's next tanker, even with the re-evaluation. Round and round we go! I hope those mechanics can keep the 135's together at least another year longer than they were expecting.

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