Department of Defense Annual Report



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Extent to which the cooperative agreement or other transaction has contributed to a broadening of the technology and industrial base available for meeting Department of Defense needs:

The prototype unattended paint removal and application system was initiated under the Commercial Operations and Support Savings Initiative (COSSI) program. A primary goal of the COSSI program is to broaden both the technology and industrial base available to the Department of Defense (DoD). The COSSI mission is to implement a process that reduces DOD’s Operation and Support (O&S) costs by inserting commercial components into fielded military systems. The COSSI program envisioned participation by companies that were not traditional DOD contractors because other transaction agreements would be used in lieu of contracts subject to the Federal Acquisition Regulation, whose regulatory restrictions often discourage commercial companies from participating in the DOD contracting process. The use of an other transaction agreement in this case enables the Department of Navy and Spatial Integrated Systems (SIS) to work cooperatively in the development of a system that will automate the current process of paint removal and application to large tanks and ship surfaces, including decks and hulls. In addition this system addresses environmental concerns inherent with paint removal and application, as well as, safety issues associated with removal of workers from scaffolding and dangerous environments.


Extent to which the cooperative agreement or other transaction has fostered within the technology and industrial base new relationships and practices that support the national security of the USA:

The use of an other transaction agreement for this procurement has enticed a contractor that is not a traditional defense contractor to enter into a procurement arrangement in which state-of-the-art technology has been introduced that may not have otherwise been made available to the Defense sector. The flexibility allowed in establishing the terms and conditions of this other transaction agreement, such as tailored data rights clauses, makes it possible for commercial companies like SIS to make such commercial technology available to the government. In addition, SIS’ willingness to share in the cost of developing a prototype unit whose ultimate objective is to reduce operation and support costs, and minimize environmental and safety hazards, serves to foster a cooperative relationship between the parties. This shared cost arrangement also demonstrates the company’s significant financial and personal interest in the development of the prototype system. If implemented, it is estimated that the Environmentally Controlled Unattended Paint Removal and Application System will result in a 4:1 savings to investment ratio over a 10 year period. This estimate relates only to the use of this system on aircraft carriers. The actual cost savings could be much higher if other U.S. Navy ships were included in the calculations.


Agreement Number: N00024-00-3-4032 (this is an other transaction for prototype although it was inadvertently issued with a “3” in the ninth position of the agreement number rather than a “9”)
Type of Agreement: Other Transaction for Prototype
Title: Integrated Fight Through Power System (IPS), Module Development
Awarding Office: Department of the Navy, Naval Sea Systems Command
Awardee: Eaton Corporation
Effective Date: 06 Dec 1999
Estimated Completion or Expiration Date: 17 July 2000
U. S. Government Dollars: $ 600,000
Non Government Dollars: $ 0
Dollars Returned to Government Account: $ 0
Technical objectives of this effort including the technology areas in which the project was conducted:

The IPS program explores alternatives to the present ship system architectures that provide separate propulsion and ship service power. IPS ships are electric drive, with the production of electric power for ship propulsion and ship service requirements from common prime movers.


The goal of the power system is to reliably convert and distribute electric power to loads at the appropriate quality level as efficiently as possible. This function is achieved by using direct current electrical distribution within a zonal architecture where ship service loads are divided into separate electrical zones. Each electrical zone contains appropriate power conversion and distribution to support system level requirements (including zonal fight through) and to meet the power interface requirements of the consumers. Nominal configuration is with two separate converters, one connected to the port bus and the other to the starboard bus. This arrangement leaves one converter for redundancy. Port and starboard busses are not usually connected together to prevent a fault on one bus from propagating to the other bus. The system supports sharing of zonal load between busses for maximizing system efficiency. The system is modular and each power conversion module contains a module controller that supports autonomous system operation.
To bring this configuration to a point where hardware can be demonstrated, a three phased approach is being employed. The Phase 1 effort required by the subject agreement entails the preliminary design of system modules and the refinement of the module interface specifications to ensure interoperability and commercial application. The remaining phases deal with detailed design and fabrication. The intent is to develop conceptual designs for how the company would approach the interfaces and power conversion modules, become familiar with and modify if necessary the IPS power distribution philosophy, and develop ideas for their approach to the subsequent efforts.

Extent to which the cooperative agreement or other transaction has contributed to a broadening of the technology and industrial base available for meeting Department of Defense needs:

The IPS development approach was designed to leverage and adapt commercial items and commercial technologies wherever possible, identify unique Navy requirements and conduct research and development in these areas, investigate the feasibility and cost effectiveness of multiple platform applications, establish baseline architectures as appropriate, and establish and maintain appropriate test facilities. Early and sustained interaction between Government and industry in the development of the IPS power conversion modules was envisioned to maximize cost savings and reduce the time required to develop the designs and fabricate the prototype hardware and is, therefore, a critical part of the proposed acquisition strategy, making use of “other transactions” authority suitable. Use of standard contract procedures was rejected because it would result in the administrative burden and cost of conventional contract oversight, limitation caused by conventional progress payment mechanisms, the possibility that new industry involvement would be discouraged, and delays in development of the design inherent in the use of traditional acquisition methods.


Six agreements were established for the development of interface requirements and module preliminary designs. Of the contractors participating, many are well acknowledged defense department contractors who are accustomed to the Federal Acquisition Regulation environment. However, one contractor was from the commercial sector and brought a commercial perspective to the development efforts. Other contractors teamed with commercial counterparts in an attempt to leverage existing technologies for the IPS application.
The use of the other transaction agreement significantly reduced the complexity of the contracting instrument. This shortened the process for developing contract clauses and reduced the burden those clauses would place on the contractor in order to lure new players and new products to the development.
The reduced contractual requirements allowed vendors to identify non-military technologies that would improve the overall performance of the IPS modules and make them more contemporary with the state of the art in power equipment.
Extent to which the cooperative agreement or other transaction has fostered within the technology and industrial base new relationships and practices that support the national security of the USA:

The relationship between the commercial firm and the Navy, and between defense firms and commercial members of the team, is a relationship which would not have existed without the flexibility afforded by other transactions. The less burdensome accounting and reporting requirements persuaded commercial firms to participate.


Agreement Number: N00024-00-3-4033 (this is an other transaction for prototype although it was inadvertently issued with a “3” in the ninth position of the agreement number rather than a “9”)
Type of Agreement: Other Transaction for Prototype
Title: Integrated Fight Through Power System (IPS), Module Development
Awarding Office: Department of the Navy, Naval Sea Systems Command
Awardee: Alstom Drives and Controls, Ltd.
Effective Date: 06 Dec 1999
Estimated Completion or Expiration Date: 17 July 2000
U. S. Government Dollars: $ 450,000
Non Government Dollars: $ 0
Dollars Returned to Government Account: $ 0
Technical objectives of this effort including the technology areas in which the project was conducted:

The IPS program explores alternatives to the present ship system architectures that provide separate propulsion and ship service power. IPS ships are electric drive, with the production of electric power for ship propulsion and ship service requirements from common prime movers.


The goal of the power system is to reliably convert and distribute electric power to loads at the appropriate quality level as efficiently as possible. This function is achieved by using direct current electrical distribution within a zonal architecture where ship service loads are divided into separate electrical zones. Each electrical zone contains appropriate power conversion and distribution to support system level requirements (including zonal fight through) and to meet the power interface requirements of the consumers. Nominal configuration is with two separate converters, one connected to the port bus and the other to the starboard bus. This arrangement leaves one converter for redundancy. Port and starboard busses are not usually connected together to prevent a fault on one bus from propagating to the other bus. The system supports sharing of zonal load between busses for maximizing system efficiency. The system is modular and each power conversion module contains a module controller that supports autonomous system operation.
To bring this configuration to a point where hardware can be demonstrated, a three phased approach is being employed. The Phase 1 effort required by the subject agreement entails the preliminary design of system modules and the refinement of the module interface specifications to ensure interoperability and commercial application. The remaining phases deal with detailed design and fabrication. The intent is to develop conceptual designs for how the company would approach the interfaces and power conversion modules, become familiar with and modify if necessary the IPS power distribution philosophy, and develop ideas for their approach to the subsequent efforts.

Extent to which the cooperative agreement or other transaction has contributed to a broadening of the technology and industrial base available for meeting Department of Defense needs:

The IPS development approach was designed to leverage and adapt commercial items and commercial technologies wherever possible, identify unique Navy requirements and conduct research and development in these areas, investigate the feasibility and cost effectiveness of multiple platform applications, establish baseline architectures as appropriate, and establish and maintain appropriate test facilities. Early and sustained interaction between Government and industry in the development of the IPS power conversion modules was envisioned to maximize cost savings and reduce the time required to develop the designs and fabricate the prototype hardware and is, therefore, a critical part of the proposed acquisition strategy, making use of “other transactions” authority suitable. Use of standard contract procedures was rejected because it would result in the administrative burden and cost of conventional contract oversight, limitation caused by conventional progress payment mechanisms, the possibility that new industry involvement would be discouraged, and delays in development of the design inherent in the use of traditional acquisition methods.


Six agreements were established for the development of interface requirements and module preliminary designs. Of the contractors participating, many are well acknowledged defense department contractors who are accustomed to the Federal Acquisition Regulation environment. However, one contractor was from the commercial sector and brought a commercial perspective to the development efforts. Other contractors teamed with commercial counterparts in an attempt to leverage existing technologies for the IPS application.
The use of the other transaction agreement significantly reduced the complexity of the contracting instrument. This shortened the process for developing contract clauses and reduced the burden those clauses would place on the contractor in order to lure new players and new products to the development.
The reduced contractual requirements allowed vendors to identify non-military technologies that would improve the overall performance of the IPS modules and make them more contemporary with the state of the art in power equipment.
Extent to which the cooperative agreement or other transaction has fostered within the technology and industrial base new relationships and practices that support the national security of the USA:

The relationship between the commercial firm and the Navy, and between defense firms and commercial members of the team, is a relationship which would not have existed without the flexibility afforded by other transactions. The less burdensome accounting and reporting requirements persuaded commercial firms to participate.



Agreement Number: N00024-00-3-4034 (this is an other transaction for prototype although it was inadvertently issued with a “3” in the ninth position of the agreement number rather than a “9”)
Type of Agreement: Other Transaction for Prototype
Title: Integrated Fight Through Power System (IPS), Module Development
Awarding Office: Department of the Navy, Naval Sea Systems Command
Awardee: L3 Communications, Inc.
Effective Date: 06 Dec 1999
Estimated Completion or Expiration Date: 17 July 2000
U. S. Government Dollars: $ 600,000
Non Government Dollars: $ 0
Dollars Returned to Government Account: $ 0
Technical objectives of this effort including the technology areas in which the project was conducted:

The IPS program explores alternatives to the present ship system architectures that provide separate propulsion and ship service power. IPS ships are electric drive, with the production of electric power for ship propulsion and ship service requirements from common prime movers.


The goal of the power system is to reliably convert and distribute electric power to loads at the appropriate quality level as efficiently as possible. This function is achieved by using direct current electrical distribution within a zonal architecture where ship service loads are divided into separate electrical zones. Each electrical zone contains appropriate power conversion and distribution to support system level requirements (including zonal fight through) and to meet the power interface requirements of the consumers. Nominal configuration is with two separate converters, one connected to the port bus and the other to the starboard bus. This arrangement leaves one converter for redundancy. Port and starboard busses are not usually connected together to prevent a fault on one bus from propagating to the other bus. The system supports sharing of zonal load between busses for maximizing system efficiency. The system is modular and each power conversion module contains a module controller that supports autonomous system operation.
To bring this configuration to a point where hardware can be demonstrated, a three phased approach is being employed. The Phase 1 effort required by the subject agreement entails the preliminary design of system modules and the refinement of the module interface specifications to ensure interoperability and commercial application. The remaining phases deal with detailed design and fabrication. The intent is to develop conceptual designs for how the company would approach the interfaces and power conversion modules, become familiar with and modify if necessary the IPS power distribution philosophy, and develop ideas for their approach to the subsequent efforts.

Extent to which the cooperative agreement or other transaction has contributed to a broadening of the technology and industrial base available for meeting Department of Defense needs:

The IPS development approach was designed to leverage and adapt commercial items and commercial technologies wherever possible, identify unique Navy requirements and conduct research and development in these areas, investigate the feasibility and cost effectiveness of multiple platform applications, establish baseline architectures as appropriate, and establish and maintain appropriate test facilities. Early and sustained interaction between Government and industry in the development of the IPS power conversion modules was envisioned to maximize cost savings and reduce the time required to develop the designs and fabricate the prototype hardware and is, therefore, a critical part of the proposed acquisition strategy, making use of “other transactions” authority suitable. Use of standard contract procedures was rejected because it would result in the administrative burden and cost of conventional contract oversight, limitation caused by conventional progress payment mechanisms, the possibility that new industry involvement would be discouraged, and delays in development of the design inherent in the use of traditional acquisition methods.


Six agreements were established for the development of interface requirements and module preliminary designs. Of the contractors participating, many are well acknowledged defense department contractors who are accustomed to the Federal Acquisition Regulation environment. However, one contractor was from the commercial sector and brought a commercial perspective to the development efforts. Other contractors teamed with commercial counterparts in an attempt to leverage existing technologies for the IPS application.
The use of the other transaction agreement significantly reduced the complexity of the contracting instrument. This shortened the process for developing contract clauses and reduced the burden those clauses would place on the contractor in order to lure new players and new products to the development.
The reduced contractual requirements allowed vendors to identify non-military technologies that would improve the overall performance of the IPS modules and make them more contemporary with the state of the art in power equipment.
Extent to which the cooperative agreement or other transaction has fostered within the technology and industrial base new relationships and practices that support the national security of the USA:

The relationship between the commercial firm and the Navy, and between defense firms and commercial members of the team, is a relationship which would not have existed without the flexibility afforded by other transactions. The less burdensome accounting and reporting requirements persuaded commercial firms to participate.



Agreement Number: N00024-00-3-4035 (this is an other transaction for prototype although it was inadvertently issued with a “3” in the ninth position of the agreement number rather than a “9”)
Type of Agreement: Other Transaction for Prototype
Title: Integrated Fight Through Power System (IPS), Module Development
Awarding Office: Department of the Navy, Naval Sea Systems Command
Awardee: Northrop Grumman, Inc.
Effective Date: 06 Dec 1999
Estimated Completion or Expiration Date: 17 July 2000
U. S. Government Dollars: $ 598,445
Non Government Dollars: $ 0
Dollars Returned to Government Account: $ 0
Technical objectives of this effort including the technology areas in which the project was conducted:

The IPS program explores alternatives to the present ship system architectures that provide separate propulsion and ship service power. IPS ships are electric drive, with the production of electric power for ship propulsion and ship service requirements from common prime movers.


The goal of the power system is to reliably convert and distribute electric power to loads at the appropriate quality level as efficiently as possible. This function is achieved by using direct current electrical distribution within a zonal architecture where ship service loads are divided into separate electrical zones. Each electrical zone contains appropriate power conversion and distribution to support system level requirements (including zonal fight through) and to meet the power interface requirements of the consumers. Nominal configuration is with two separate converters, one connected to the port bus and the other to the starboard bus. This arrangement leaves one converter for redundancy. Port and starboard busses are not usually connected together to prevent a fault on one bus from propagating to the other bus. The system supports sharing of zonal load between busses for maximizing system efficiency. The system is modular and each power conversion module contains a module controller that supports autonomous system operation.
To bring this configuration to a point where hardware can be demonstrated, a three phased approach is being employed. The Phase 1 effort required by the subject agreement entails the preliminary design of system modules and the refinement of the module interface specifications to ensure interoperability and commercial application. The remaining phases deal with detailed design and fabrication. The intent is to develop conceptual designs for how the company would approach the interfaces and power conversion modules, become familiar with and modify if necessary the IPS power distribution philosophy, and develop ideas for their approach to the subsequent efforts.
Extent to which the cooperative agreement or other transaction has contributed to a broadening of the technology and industrial base available for meeting Department of Defense needs:

The IPS development approach was designed to leverage and adapt commercial items and commercial technologies wherever possible, identify unique Navy requirements and conduct research and development in these areas, investigate the feasibility and cost effectiveness of multiple platform applications, establish baseline architectures as appropriate, and establish and maintain appropriate test facilities. Early and sustained interaction between Government and industry in the development of the IPS power conversion modules was envisioned to maximize cost savings and reduce the time required to develop the designs and fabricate the prototype hardware and is, therefore, a critical part of the proposed acquisition strategy, making use of “other transactions” authority suitable. Use of standard contract procedures was rejected because it would result in the administrative burden and cost of conventional contract oversight, limitation caused by conventional progress payment mechanisms, the possibility that new industry involvement would be discouraged, and delays in development of the design inherent in the use of traditional acquisition methods.


Six agreements were established for the development of interface requirements and module preliminary designs. Of the contractors participating, many are well acknowledged defense department contractors who are accustomed to the Federal Acquisition Regulation environment. However, one contractor was from the commercial sector and brought commercial perspective to the development efforts. Other contractors teamed with commercial counterparts in an attempt to leverage existing technologies for the IPS application.
The use of the other transaction agreement significantly reduced the complexity of the contracting instrument. This shortened the process for developing contract clauses and reduced the burden those clauses would place on the contractor in order to lure new players and new products to the development.
The reduced contractual requirements allowed vendors to identify non-military technologies that would improve the overall performance of the IPS modules and make them more contemporary with the state of the art in power equipment.

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