Mr Hutchison Winter AUSA 2014 Focus Forum

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UNCLASSIFIED Contracting Support to the Contracting Support to the Contracting Support to the Contracting Support to the Warfighter Warfighter Agile Agile – Proficient Proficient – Trusted Trusted UNCLASSIFIED UNCLASSIFIED 19 Feb 2014 19 Feb 2014 Agile – Proficient – Trusted

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Slides from Mr Hutchison's Winter AUSA 2014 Focus Forum

Transcript of Mr Hutchison Winter AUSA 2014 Focus Forum

Page 1: Mr Hutchison Winter AUSA 2014 Focus Forum

UNCLASSIFIED

Contracting Support to theContracting Support to theContracting Support to the Contracting Support to the WarfighterWarfighter

Agile Agile –– Proficient Proficient –– TrustedTrusted UNCLASSIFIEDUNCLASSIFIED 19 Feb 201419 Feb 2014Agile – Proficient – Trusted

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BackgroundBackground• Prior to 2002 contracting was another decentralized staff function like G1/G8

Significant reductions in workforce during the 90s– Significant reductions in workforce during the 90s

• Army Contracting Agency created in 2002– Consolidated installation and non-weapons systems contracting

Suffered from chronic resource shortages– Suffered from chronic resource shortages

• Issues that arose on 2004-2007 timeframe– Fraud /poor quality contracts in Kuwait

600% increase in workload with no growth in contracting workforce– 600% increase in workload with no growth in contracting workforce

• In 2007 Gansler Commission formed to review Army contracting

• Recommendations from Gansler Commission led to creation of ACC– Further consolidate contracting organizations– Provide adequate resources (personnel and funding)– Create additional contracting general officer positions

Adeq ate training and e perience for personnel s pporting contingenc operations

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– Adequate training and experience for personnel supporting contingency operations

Contracting is an Army Priority!

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Vision / Mission Vision / Mission Vision / Mission Vision / Mission

VisionVisionACC is DoD’s Preeminent Provider of Decisive Edge Contracting Solutions andACC is DoD s Preeminent Provider of Decisive Edge Contracting Solutions and

Practices

MissionMissionMissionMissionACC Provides Responsive, Innovative and Efficient Procurement Solutions to

Enable the Army’s Global Warfighting Dominance

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Army Contracting CommandHeadquarters

FY13 YTD Obs/ActionsFY13 YTD Obs/Actions

A fA f 3131

# of PersonnelAuth / On Board Headquarters

Huntsville, AL

People: 4%

Total Obligations:

FY13FY13 -- $60.9B$60.9B

TotalActions

FY13 FY13 --190.4190.4KK

As of As of 3131January January

20142014

Mil – 1,126 / 907Civ – 5,242 / 5,217

*As of 31 Jan 14

Expeditionary Contracting Command  (ECC)Huntsville, AL 

FY13 Obligations: $1 6B/2 6% People:

Mission & InstallationContracting Command  (MICC)

Fort Sam Houston, TX 

FY13 Obligations: $5 4B/8 8% People:

Army Contracting CommandRedstone

Huntsville, AL 

FY13 Obligations: $20 2B/33 1% People:

Army Contracting CommandWarren

Warren, MI

FY13 Obligations: $6 8B/11 2% People:FY13 Obligations: $1.6B/2.6%FY13 Actions:  39.5K/20.7%

People:20%

FY13 Obligations: $5.4B/8.8%FY13 Actions: 43.0K/22.6%

People:22%

FY13 Obligations: $20.2B/33.1%FY13 Actions: 22.0/11.6%

People:14%

Army Contracting CommandAberdeen Proving Ground

Aberdeen, MD 

FY13 Obligations: $6.8B/11.2%FY13 Actions: 32.5K/17.1%

People:11%

Army Contracting CommandNew Jersey

Picatinny Arsenal NJ,

FY13 Obligations: $12.7B/20.9%FY13 Actions: 32.7K/17.2%

People:13%

Army Contracting CommandR k I l d

Picatinny Arsenal, NJ

FY13 Obligations: $1.9B/3.1%FY13 Actions: 10.2K/5.3%

People:5%

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Rock IslandRock Island, IL

FY13 Obligations: $12.3/20.3%FY13 Actions: 10.5K/5.5%

People:8%

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Ft Lewis (JBLM)

I I

902902

I I

902MCCMCCMCC

ACC at a GlanceACC at a GlanceTobyhanna AD

Ft DrumWatervliet Arsenalli l k

Ft Wainwright106 Permanent Locations

Warren

CCCC

CC

NatickAdelphi

Ft Dix

Watervliet ArsenalUmatilla CD Carlisle BarracksLetterkenny AD

Ft McCoy West PointPicatinnyArsenal

CC

APG / Edgewood

Ft Richardson

Ft Devens

CC

CC

I I

I I

904

I I

MCC

MCCMCC

Rock Island

Ft Leavenworth

Ft KnoxFt Eustis

Ft RileyFt Carson Scott AFB

F C b ll

Sierra AD

Research Triangle Park

Tooele AD

Pueblo CD

Crane AAP

BluegrassAD / CFFt Leonard Wood

Dugway PG

Presidio of Monterey

Ft Meade

Ft BelvoirFt Lee

APG / Edgewood

Alexandria/Ft MyerRocky Mountain

ArsenalPeterson

AFB

Moffett Field

Ft H t

Ft A. P. Hill

RCOECC

ACC RSA

CC

I I

900

I I

901

I I

905

MCC

MCCFt Bragg

Ft Huachuca

Ft Irwin

Ft Campbell

Pine Bluff

McAlester AAP

Red River AD 

Ft Sill

WSMRYuma PG

Ft StewartFt Benning

Ft Jackson

Ft Gordon

Japan

X

408AnnistonAD / CF

Ft HunterLiggett

S h fi ld B k

Shaw AFB

Ft Hood

FSH

CC901MCCFt Bliss

Ft Polk

Ft Huachuca

Eglin AFB

Corpus Christi Miami

Ft Buchanan

Ft RuckerJapan

d k

...CCT

Cp Zama...CCT

MICC

MCCI I

916 X

412

X

410

RCOB l B l iOtheroverseasTDA

Ft Shafter

X

413

Schofield Barracks

X

409

Kadena AB, Okinawa

Vicenza

...SCCT

X

414

RCOBenelux BelgiumRCOPeru PeruRCOGTMO CubaRCOSotoCano HondurasRCOBogota Columbia

Key West NAS

Yongsan

I I

906

O AB

CpCoiner

...SCCT

X

411

DOC

...SCCT

...CC

...

I I

903

BambergWiesbaden

RCO Sub Ofc

TCC

LegendLegendUnit/organization

MTOE unit

Includes a C2unit / organization

5Italy

...CCTLivorno

RCO

Kuwait

Cp Arifjan

...CCTACC

Kuwait

Qatar

As Sayliyah

...CCTACC

Qatar

Korea

Taegu

...CCT

Osan AB

...CCT

Kunsan AB...CCT

...CCT

RCO

RCORCO

RCO

CpHumphreys

Germany

KaiserslauternGrafenwoehr

Stuttgart

AnsbachSchwetzingen

CCT

RCORCO

CCT

Sub Ofc

Sub Ofc

RCO

5

TDA organization

General Officer Command

SES Command

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Army Commands

Army Materiel Training and Doctrine C d

Supporting Supporting Forces Command

Army Command and Contracting Relationships

Command Command

U.S. Army NorthMilitary Surface Deployment& Distribution Command

U.S. Army Europe

Army Service Component CommandsArmy Contracting

C d

Contracting Organization

Intelligence and Security

Contracting Organization

Forces Command

U.S. Army South

& Distribution Command

U.S. Army Special OperationsCommand

U.S. Army Pacific Eighth Army

U S Arm Space & Missile Defense

U.S. Army CentralCommand

Centers

Expeditionary U.S. Army Corps

and Security Command

Contracting

U.S. Army Space & Missile Defense Command/Army Strategic Command U.S. Army Africa

Army Acquisition SupportCenter

U.S. Army Military Districtof Washington

U.S. Army Installation Management CommandMission and

I t ll ti

ContractingCommand

y pof Engineers Contracting

Medical

U.S. Army Reserve Command

g

U.S. Army Military AcademyU.S. Army Corps of Engineers

U.S. Army Criminal Investigation Command

U.S. Army Medical Command

gInstallation Contracting Command

CommandContracting U.S. Army Network

Enterprise

National

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U S y ta y cade y

U.S. Army Intelligence and Security Command

U.S. Army Medical Command

Direct Reporting Units

National Guard Bureau

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Ammo & Weapons

What ACC ProcuresWhat ACC ProcuresFY13 ActionsFY13 Actions Weapons

5.08%Equipment

8.41%

Facilities & Construction

11.77%Systems27.74%

FY13 ActionsFY13 Actions190,401/$60.9B190,401/$60.9B

As of 31 January 2014As of 31 January 2014

IT11.61%

Knowledge

RDT&E6.59%

27.74%

gBased

Services27.24%

Misc1.57%

Major CustomersMajor Customers

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Major CustomersMajor Customers•• PEOs/PMsPEOs/PMs•• ASCCsASCCs

•• ATECATEC•• RADOCRADOC

•• IMCOMIMCOM•• NETCOMNETCOM

•• AMCAMC•• USAR USAR

•• FORSCOMFORSCOM•• DA StaffDA Staff

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ACC Trends & ImpactsACC Trends & ImpactsACC Trends & ImpactsACC Trends & ImpactsPeople Actions > $100K Total Dollars in Billions

60 9B72 0BArmyArmy

87 3B87 3B

FY13FY13DoD Spend DoD Spend $308.0B$308.0B

90100110

60.9B

26.4B

93.5B

55.2B

72.0B NavyNavy

AFAF

Other DODOther DOD

ACC 87.3B87.3B

4050607080

0102030

Former AMC Command ContractingFormer AMC Command Contracting New ACCNew ACC

%

8

Gansler Report31 Oct 07

Gansler Report31 Oct 07

As of 31 Jan 2014

% %

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ACC CentersACC CentersCenters of Gravity” for Weapons Systems Contracting

•Research Development Engineering Center SupportPEO/PM support

ACC Center Location What They Buy

•PEO/PM support•Organic Industrial Base (Depots/Arsenals/Ammo Plants)•Life Cycle Management and Logistics Support•FMS Support

ACC Center  Location What They Buy

ACC‐APG Aberdeen Proving Ground, MD Chemical/biological defense equipment, electronic sensors, night vision equipment, satellite communications, radars, radios, medicalcommunications, radars, radios, medical countermeasures

ACC‐NJ Picatinny Arsenal, NJ Weapons, armaments, ammunition, information technology

ACC‐RI Rock Island Arsenal, IL Ammunition, logistics, information technology, chemical demilitarization 

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ACC‐RSA Redstone Arsenal, AL Aviation, missiles

ACC‐WRN Warren, MI Combat and tactical vehicles, small arms and targetry, fire control systems

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Mission and Installation Contracting Mission and Installation Contracting CommandCommand

I t ll tiMINOR CONSTRUCTION

Mi i InstallationMission

FY 13 $5.3BO 1 650 Milit d Ci ili• Over 1,650 Military and Civilians

• Over 10K Contractors Supporting • Over 43K Contract Actions• $1B in GPC Purchases• $1B in GPC Purchases • $2.1B in SB Purchases• 33 Contracting Offices

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Class I FoodClass II Individual Equipment/Tools

Class III FuelClass IV Construction Material

Class V Ammo

NTVs Vector Control

DFAC

Fire Fighting

Water Operating ForcesExpeditionary Contracting Command

Global Commitments

ArmyArmy –– Lead Service for ContractingLead Service for Contracting

ECC HQ411TH CSB (USFK)*

PACOM

409TH CSB (USAREUR)

EUCOM

Class IX Repair PartsWaste RemovalBilleting

*Foreign Local Nationals409TH CSB: 81410th CSB: 8

Ice PlantOperations

InterpreterServices

NORTHCOM

412TH CSB (USARNORTH)JBSA, TX

% / % C

408TH CSB (USARCENT)Shaw AFB, SC

9% MI / 40% CIV

Army Army Lead Service for Contracting Lead Service for Contracting Coordination (LSCC) Coordination (LSCC)

Army Army –– Lead Service for Contracting (LSC) Lead Service for Contracting (LSC)

CENTCOM

QRedstone Arsenal, AL93% MIL / 103% CIV

413TH CSB (USARPAC)FT Shafter, HI

84% MIL / 94% CIV

Yongsan, ROK *59% MIL / 107% CIV

AFRICOM

414TH CSB (USARAF)SOUTHCOM

Kaiserslautern, GE *84% MIL / 96% CIV

0 CS 8411TH CSB: 75414TH CSB: 16Total FLN: 180

91% MIL / 77% CIV

418TH CSB (III Corps)FT. Hood, TX

54% MIL

419TH CSB (XVIII Corps)

Rotational / Corps Aligned

Qatar

Kuwait

79% MIL / 40% CIV

Iraq

Vicenza, Italy *84% MIL / 92% CIV

410TH CSB (USARSOUTH)JBSA, TX *

93% MIL / 109% CIV

Contract Support Integration PlanningMinor

Construction

419 CSB (XVIII Corps)FT Bragg, NC

71% MILJordan

Pakistan

Maintenance Organizational/Direct

Central Issue FacilityJoint Distribution Center

Ice DistributionLine Haul (Bulk Fuel/HET/Flatbeds)

HVACO&M

Power GenerationL d S t O ti F Wh F d dS t O ti F Wh F d d

Construction

Contractor Maintenance

Fuel/WaterDistribution

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Mail DistributionMaterial Handling Equipment

Maintenance/RecoveryMovement ControlLocal Transportation

LaundryLatrinesShowers

Fuel

JOINT GCC COALITION ASCC CORPS DIV BCT NTC/JRTC/CMTC EXERCISES

$1.5 Billion Base / $13 Billion Post Award

Supports Operating Force When Forward and Supports Operating Force When Forward and Generating Force in GarrisonGenerating Force in Garrison

Container Yard SupportDFAC

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External Oversight & Stakeholder EnvironmentExternal Oversight & Stakeholder Environment

Office of theOffice of theOffice of theOffice of theOffice of the Office of the Secretary of Secretary of

Defense Defense (OSD)(OSD)

CongressCongress

Director of Director of Policy andPolicy and

ExecutiveExecutiveBranchBranch

Impacting Impacting

Policy and Policy and Procurement Procurement

(DPAP)(DPAP)

Army Army Today’s Today’s

Contracting Contracting EnvironmentEnvironment

Materiel Materiel Command Command

(AMC)(AMC)

Joint StaffJoint Staff

Deputy Assistant Deputy Assistant Secretary of the Secretary of the

Army for Army for Audit/ Oversight Audit/ Oversight

OrganizationsOrganizationsA f 4 D 12A f 4 D 12

Senior Senior ServicesServices

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yyProcurement Procurement

(DASA(P))(DASA(P))As of 4 Dec 12As of 4 Dec 12 Services Services

ManagerManager(SSM)(SSM)

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ChallengesChallenges• Budget Uncertainty/Sequestration

– Workload Uncertaintyo oad U ce ta ty– Potential for Additional Furloughs/RIFs Impacting Workforce

• Drawdown in AfghanistanTransition From War– Transition From War

– Uncertainty Over Responsibility for Post 2014 Contracting Support

• Army Force Structure Changes– Restationing of Brigade Combat Teams– Military end Strength Reductions – Impacts to Expeditionary Contracting

Capability

• Workforce Demographics– Over 50% of ACC Workforce has Less than 5 Years Experience– Need to Sustain Influx of New Interns Despite Reductions

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Need to Sustain Influx of New Interns Despite Reductions ~19% of ACC workforce fully eligible to retire as of 1 Feb 2014

• Increased Oversight

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Contracting ChallengesContracting Challenges• ProtestsProtests• Customer Ownership of Requirements From

Development Through Post-Award• Contracting ISO Theater

– Fluctuating Requirements– Customer Personnel Turnover– CORs

• Guidance/Policy That Reduces Flexibility and Increases WorkloadWorkload– Reduction in Max Contract Length– MAIDIQ Task Order Protests

C t d P i i D t “O Bid” C titi A d

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– Cost and Pricing Data on “One Bid” Competitive Awards

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Where We Need Your HelpWhere We Need Your HelpU d t d th R i t Q ti U t i ti d• Understand the Requirement, Question Uncertainties, and Propose Only to the SOW/PWS

• Submit Compliant Proposals -- Follow Instructions• Be Responsive, Know Who Your Points of Contact Are and

Respect Their Role in the Procurement Process• Notify Your Contracting Officer Immediately of Any Changes• Notify Your Contracting Officer Immediately of Any Changes,

Issues That May Affect Cost, Schedule and/or Performance• Perform Only What Your Contract Requires• CORs are NOT Authorized to Obligate the Government• Submit Invoices in a Timely Manner • Maintain Proper Government Furnished Property Stewardship

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Maintain Proper Government Furnished Property Stewardship

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How We’re Working to Improve How We’re Working to Improve • Increased communications

– Industry Executive Forum– Small Business Conferences– Consolidating Advanced Planning Briefings with Industry/Industry Days– Improved debriefs to unsuccessful offerors

• Teaming with other govt agencies like DCAA, DCMA and DFAS – Proposal evaluation– Pricing– Contract Closeout– Govt. Property Management

• Increased transparency with our customers and partners on schedules and status

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schedules and status

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The FutureThe Future

Transforming the Organization to Operate More Efficiently Within Mandated Resource Levels

– Looking at Geographic Footprint

– Long Term Effort Based on Workload Analysis and Manpower ModelsManpower Models

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DiscussionDiscussion

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BackupBackup

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AMC A hi t VS G lAMC Achievements VS Goals 1 Oct 2012 thru 30 Sep 2013

Total SB Eligible dollars: $42.2B

SMALL BUSINESS CATEGORY

FY 13  GOAL % ACTUAL % DOLLARS

Small Business 19.25% 19.65% $8.3B

Small Disadvantaged Business 5.10% 8.41% $3.5B

HUBZone 2.00% 1.22% $514.6M

Woman Owned SB 2.70% 3.51% $1.5B

Service Disabled VOSB 1 60% 2 86% $1 2B

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Service Disabled VOSB 1.60% 2.86% $1.2B