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NAVSUP Weapon Systems Support Awards $180.9 million Performance Based Logistics Contract

Navy News Service

NAVSUP Weapon Systems Support Awards $180.9 million Performance Based Logistics Contract
Story Number: NNS120908-05
9/8/2012

By Lt. Cmdr. Chris Kovack, Naval Supply Systems Command

PHILADELPHIA (NNS) -- NAVSUP Weapon Systems Support recently awarded a Multiplatform Auxiliary Power Unit (APU) Performance Based Logistics (PBL) contract to Honeywell International based out of Tempe, Ariz., Aug. 24.

The five-year, firm fixed price Federal Acquisition Regulation (FAR) Part 12 (Commercial Item) contract is valued at just over $180.9 million. The PBL contract provides supply support for APUs for the F/A-18 A-G (including F/A-18 Australian F/G models), P-3, S-3, C-2 and KC-130 F/R as well as F404 Main Fuel Controls (MFC) used on the F/A-18 aircraft and the P-3 Engine Driven Compressor (EDC).

Honeywell has supported APUs via PBL since 2000 when the original 10-year PBL contract was awarded. The multiplatform APU PBL with Honeywell has historically produced solid levels of material availability hovering near 97 percent and on-time delivery at 99 percent to support aircraft readiness.

"The Honeywell APU PBL has been a well-performing PBL that has provide unprecedented levels of material availability to support aircraft readiness," said NAVSUP Weapon Systems Support Operations Director Capt. Duke Heinz. "The renewal PBL is expected to continue this high-level of supply support to the Fleet."

"This contract award demonstrates NAVSUP WSS' commitment to renewing PBL contracts where the contractor's performance improves material availability and aircraft readiness while delivering cost savings to the Fleet," added NAVSUP Weapon Systems Support Director of Contracts Capt. Chris Mosher.

"The APU PBL contract with Honeywell is a proven winner. It has steadily improved Fleet readiness and provided the lowest life cycle cost support solution since its award in 2000. The renewal contract captures the benefits garnered during the original PBL contract and is a great example of a well-structured PBL contract that balances Supply Response Time (SRT) metrics and reliability metrics to incentivize performance," Mosher continued.

In addition, the NAVSUP WSS APU PBL contract renewal is significant to the Department of Defense (DoD) enterprise PBL initiative. The DoD enterprise PBL contract with Honeywell will require an integrated product life cycle approach for aircraft engines, jet turbine auxiliary power units, and various aircraft accessory drives, wheels, brakes, main fuel controls, and avionics components and is expected to drive efficiencies and provide cost savings to the Department of Defense. The NAVSUP Weapon Systems Support renewal PBL contract sets a strong foundation for the DoD enterprise PBL initiative by providing superior readiness posture for assets managed under this contract with Honeywell.

"This contract enables the Navy and Honeywell to continue to support the Fleet in a cost effective manner while the DoD enterprise PBL contract is solicited, negotiated and awarded," said NAVSUP Weapon Systems Support Director of Supply Chain Solutions Larry Garvey. "A solid starting asset position and well-established relationships with organic repair depots provided under the Navy PBL for APUs will be critical to the success of the enterprise PBL."

A field activity of the Naval Supply Systems Command, NAVSUP Weapon Systems Support is the U.S. Navy's supply chain manager providing worldwide support to the aviation, surface ship, and submarine communities. Formerly known as the Naval Inventory Control Point (NAVICP), NAVSUP Weapon Systems Support provides Navy, Marine Corps, joint and allied forces with products and services that deliver combat capability through logistics. With over 2,000 civilian and military personnel employed at its two Pennsylvania sites, NAVSUP Weapon Systems Support's Philadelphia site supports aircraft while its Mechanicsburg site supports ships and submarines.