Government Industry Archive

December 2008

DoD Moves Ahead with Next Generation MRAP Contract

By Matthew Potter | Dec 10, 2008

The Associated Press reports that the U.S. Department of Defense has accelerated a contract to provide lighter, more mobile MRAP vehicles for use in Afghanistan. The initial bids are required in January of next year, and like the recent JLTV award, there will be two teams delivering prototypes for testing prior to a decision to award the full up production contract. MRAP vehicles have been...

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GAO Finds that Farm Subsidies Go to Rich People

By Matthew Potter | Dec 9, 2008

In a recent report the GAO found that many farm subsidy payments go to people over the supposed income cut off. People making over $2.5 million a year are not meant to receive the subsidies. The Miami Herald reports that between 2003 and 2006 almost three thousand people received such payments. While the $49 million so spent is only a small percentage, tiny really, of the total subsidiaries...

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Government Buys Spire Photovoltaic Module Production Facility

By Matthew Potter | Dec 9, 2008

The U.S. Federal Prison company, Unicor, purchased from Spire a complete photovoltaic module factory for about $54 million. BusinessWire carries the press release stating that the facility will be installed at the Federal Prison in Otisville, NY. Inmates will produce the modules for sale to other Federal government entities. The goal is two fold: first, train inmates in the production...

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Ohio County Worries that Losing Federal Inmates Will Cause Economic Hardship

By Matthew Potter | Dec 8, 2008

Governments are not always like corporations in the things they buy, despite some peoples best efforts to treat them that way. Mahoning County in Ohio operates a jail. It takes in local and federal prisoners and are paid by the prisoner per day. Now there is concern that the federal government will move its prisoners to another, private jail and the county will lose revenue. The Vindy.com...

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Raytheon and Northrop Grumman Products Succeed in Missile Defense Test

By Matthew Potter | Dec 8, 2008

The Huntsville Times reports that the U.S. Missile Defense Agency (MDA) successfully conducted a test of the Ground Based Interceptor missile defense system. A target manufactured by Orbital was launched from a U.S. Air Force facility on Kodiak Island, AK and intercepted by a missile launched from Vandenberg AFB in California. This was the first test that utilized the fire control base in...

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Army Trys Again with Ammo for Afghanistan by Alliant Techsystems

By Matthew Potter | Dec 7, 2008

Last year one of the biggest procurement scandals was that of AEY providing Chinese ammo for the Afghan army under a U.S. contract. Not only was the ammo inferior, AEY an unproven supplier, but the use of Chinese products violated the law. That contract was canceled and AEY is being investigated. Now the US Army has awarded a one year, $87 million dollar contract to Alliant Techsystems...

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Boeing's Union Struggles May Affect Programs and Revenue

By Matthew Potter | Dec 5, 2008

Boeing recently negotiated a contract with their engineers in Washington state. This after coming off a nasty strike with the machinist union this Fall. Now they are trying to negotiate with the local in Wichita where they work on a lot of their military programs. The first offer by the company was rejected out-of-hand. Quality Magazine reports that further issues with working out a deal...

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Government Snipes About Lockheeds Payment if F-22 Line Shut Down

By Matthew Potter | Dec 5, 2008

The US Government is considering shutting down F-22 production. The Department of Defense went ahead in early November as the AP reported and ordered long lead material for four aircraft without committing to further production. Congress is debating whether to fully fund the USAF request for more aircraft in 2009. As Bloomberg first reported if the contract is terminated and only 4, or less,...

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New Hampshire Struggles with End of AT&T Contract

By Matthew Potter | Dec 4, 2008

One of the issues with government contracting is that an area may be hit badly when a contract ends or is given to another vendor. AT&T lost a contract with the State Department to provide a call center related to passport processing. The contract was given to another company after it was finished. Now The Manchester Union Leader reports that the state of New Hampshire is rushing around...

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Maryland Attempts to Make Utilities Meet Minority Owned Business Quotas

By Matthew Potter | Dec 4, 2008

Recently we wrote about how a US Federal Court had thrown out the DoD requirement on sub-contracting with minority owned businesses as being basically Unconstitutional. Now it is reported at The Birmingham Examiner that the Maryland Public Service Commission (PSC) wants to set goals for the private utilities that do business in the state to contract with minority owned firms. Most of the...

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About Government Industry

BNET Government provides daily industry trends and global news coverage with insights for managers and executives within the world wide business of government contracting. We analyze new and interesting contract awards, government policy changes, and the trends in procurements and spending. There will also be discussions of the sector with a focus on small and innovative companies and business lines. The world's governments spend billions each year on a variety of hardware and services and the site will discuss how the money is being allocated.