SAN DIEGO – The U.S. Navy awarded BAE Systems’ San Diego shipyard two contracts totaling $98 million to perform scheduled modernization work aboard the guided missile destroyer USS Stockdale and the littoral combat ship USS Kansas City.
The larger contract, worth $61.3 million, covers maintenance, modernization and repair of the USS Stockdale. Options on the contract could bring the value of the deal to $64 million.
Work is expected to begin in May and be completed by March 2027. In addition to underwater hull preservation work, BAE Systems will recondition the ship’s superstructure, recondition interior fuel and ballast tanks, and refurbish crew living spaces. The contract was solicited using full and open competition via the System for Award Management (sam.gov) website, with three offers received. The Naval Sea Systems Command, Washington, D.C., awarded the contract, announced on Dec. 18.
Under the $37 million docking selected restricted availability contract awarded for USS Kansas City, BAE Systems will put the 2,550-ton trimaran vessel in dry dock. The shipyard team will also perform underwater hull preservation work, upgrade onboard ship systems, and refurbish the living spaces for the ship’s 41 crew members. The work is expected to begin in May.
“Our team looks forward to executing the scheduled maintenance work aboard the Kansas City and Stockdale,” said Eric Icke, vice president and general manager of BAE Systems Maritime Solutions San Diego. “Working alongside Navy personnel and our subcontractor teammates, our shipyard team will apply our Navy ship repair expertise to ensure both ships return to the fleet capable to fulfill our nation’s requirements.”
BAE to Work on Army Watercraft, Too
BAE Systems’ San Diego shipyard is also among 14 businesses set to compete for each order of a $226.2 million contract for the Army Watercraft Sustainment Maintenance Program, including maintenance and service life extension program efforts for the Army watercraft fleet in the continental United States. The Army’s fleet is responsible for moving supplies, equipment and personnel in deep ocean water, shallow coastal waters, inland waterways and rivers.
Bids were solicited via the internet with 14 received. Work locations and funding will be determined with each order, with an estimated completion date of July 30, 2031. The Army Contracting Command, Detroit Arsenal in Warren, Michigan awarded the deal, announced on Jan. 29.
Raytheon Work on Dual Band Radar Continues
Dual band radar is the unique radar system aboard the aircraft carrier USS Gerald R. Ford and the three Zumwalt-class destroyers. Raytheon Co., part of RTX Corp. (NYSE: RTX), will continue its design and engineering work on the system in San Diego under a recent contract modification from the U.S. Navy. Some 15% of the work, valued at approximately $4.4 million, will be performed locally. The balance will be performed in Tewksbury, Massachusetts (40%); Marlborough, Massachusetts (20%); Norfolk, Virginia (10%); Andover, Massachusetts (5%); Portsmouth, Rhode Island (5%); and Chesapeake, Virginia (5%), and is expected to be completed by January 2027.
The total value of the contract is $29.4 million. The Naval Sea Systems Command of Washington, D.C., awarded the contract, announced on Jan. 30.
PKL to Provide Labor to Air Force
PKL Services, a small business based in Poway, was among 23 businesses selected by the U.S. Air Force to take part in up to $7.01 billion worth of work for contract field team labor augmentation support requirements. This effort is for a total of 10 years from February 2026 to January 2036 (a five-year base period and one five-year option period). Work will be performed at locations determined in individual task orders.
This award is the result of a competitive acquisition with 26 offers received; 23 awards are being made. The Air Force Sustainment Center of Tinker Air Force Base in Oklahoma awarded the contract, announced on Jan. 26.
Cherokee Nation Gets Health Deal
The Defense Health Agency, Healthcare Contracting Division West in San Diego awarded Cherokee Nation Integrated Health LLC of San Diego a modification to a previously awarded contract for Option Year One in the amount of $9.1 million. The total contract value (including all option years) is $51.2 million.
The contract is for information management information technology to support Air Force and Navy medical treatment facilities within the U.S. Indo Pacific, Pacific Rim and Central Networks for 43 positions. The Defense Health Agency, Healthcare Contracting Division West in San Diego awarded the deal, announced on Jan. 21.
Ship Combat Systems to Occupy Lockheed Martin
The U.S. Navy awarded the Rotary and Mission Systems unit of Lockheed Martin Corp. (NYSE: LMT) a $9.6 million modification to a previously awarded contract to exercise options for combat system ship integration and testing. Work will be on littoral combat ships and unmanned surface vessels.
Some 7% of the work, worth an estimated $672,000, will be performed in San Diego. Most of the work will be performed in Seattle (45%) and Moorestown, New Jersey (32%). The balance will be performed in Camden, New Jersey (6%); Pascagoula, Mississippi (4%); Jacksonville, Florida (3%); Washington, D.C. (1%); Virginia Beach, Virginia (1%); and Marinette, Wisconsin (1%).
Work is expected to be completed by February 2027. Naval Sea Systems Command in Washington, D.C. awarded the contract, announced on Jan. 22.
