04 April 2008

Tanker Update

In congressional testimony before the House Armed Services, Sue Payton, Air Force under secretary for acquisition, was asked if asked if additional credit was given in the process for exceeding the contract minimums. Her response was that the minimums were just that, minimums.

If you did not meet the minimums, your bid would not be accepted, but that, "It was also very clear that extra credit would be given to the offeror who exceeded that threshold".

Much of the crux of Boeing's complaint is that this is irregular. It is not. I have read hundreds of requirements for military programs, and the overwhelmingly majority of them have a "threshold" (minimum), and an "objective" (good to have).

This has been a part of the procurement process for years, and to the degree that Boeing is using it for a challenge, this is completely bogus.

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