"The Canadian Forces: Stuck in neutral"/CF future strength; major capital projects
No one seemed to notice, certainly not the media, but on March 27 the government announced its funding plans for the Canadian Forces for the next three years. The news is not entirely positive [love that understatement].Some excerpts on the major capital projects:
The Department of National Defence's Report on Plans and Priorities noted that in 2008-09, the fiscal year just ended, the department spent $19.143-billion, of which $3.4-billion was for capital expenditures. For the next fiscal year, the budget is $20.993-billion with $4.9-billion in capital spending. For 2010-11, the projected spending is $20.591-billion with $4.7-billion in capital spending, and for 2011-12, the estimate is that spending will be $19.697-billion with $4.6-billion in capital expenditures [scroll down to Overview of Financial Resources]. The shutting down of the Afghanistan combat mission in 2011 is reflected in the declining budgets from 2010-11 to 2011-2012, the incremental spending for the war being cut from the defence budget in that last year.
That will disappoint those who had hoped and expected that the government's buildup of the Canadian Forces might receive a push from the extra funding when the Canadian contribution to the Kandahar mission wound down. Still, it was only a decade ago that the budget of the Canadian Forces was under $10-billion a year, and to double defence spending in that time -- in this military-averse nation--is a remarkable achievement [but the long term spending projected in the government's "Canada First Defence Strategy" really doesn't amount to much at all--lots more here].
The Report on Plans and Priorities also projects Canadian Forces troop strength. The number of regulars for 2009-10 is to be 66,992, with an additional 35,500 in the primary reserves and 4,600 in the Canadian Rangers, the lightly armed Arctic eyes of the military. In 2010-11, the regular force will increase by less than 800 to 67,742 and the reserves will stay the same. In 2011-12, the projection is for a regular force of 68,000, no figure is provided for the primary reserve and the Rangers are expected to reach 5,000 [scroll down to Growth and Renewal]. In other words, the growth in the military's strength repeatedly promised by both the Liberals and the Conservatives is all but frozen [and projected regular strength--in 2027/28--is, wait for it, 70,000! Reserves 30,000! Wow].
[From June 2007:...He didn't say it would take twenty years - MC.]
"As part of our Canada First approach, this Government has made it a priority to increase the size of the Canadian Forces to 75,000 Regular Force and 35,000 Reserve Force members over the long term," Minister O’Connor said...
The problem is that retirements and resignations from the military are increasing and, although recruiting is good, the numbers as a whole seem stuck in neutral. Perhaps rising unemployment will encourage the government to take in more recruits.
The Conservative government's Project Spending (Capital Equipment Program) also appeared on March 27. Immediately apparent was that there is no spending planned on replacements [now called "Canadian Surface Combatant"] for the navy's destroyers and frigates, though funding is allocated for frigate modernization. There is no money allocated for a replacement for the CF-18 fighter [more here], though money is budgeted for a host of modernization programs for the aircraft that are already more than two decades old. Nor is there any funding for a new Long Range Patrol aircraft, although once more funding is to be provided to do upgrades on the long-in-the-tooth Auroras the air force uses in this role.
But there is funding to get the Arctic Offshore Patrol Vessels and the Joint Support Ships underway. The army will get its Light Armoured Vehicles [LAV IIIS] refurbished and new Heavy Armoured Support Vehicles [actually the Medium Support Vehicle System Project, I think: one contract awarded, one to come]. The Leopard II tanks will be upgraded -- some in Germany [more here] and some in Canada -- to meet Canadian Forces standards, and the army's antique armoured personnel carriers will be modernized yet again. The air force will acquire new fixed wing and helicopter search and rescue aircraft [I think Mr Granatstein means the Cyclone Maritime Helicopter] and the Chinook medium-and heavy-lift helicopters [more on the CF's problems buying helicopters here] that have proven their worth in Afghanistan operations. All this is to the good, but we should be clear: Accounting for the navy's and the air force's future needs for ships and aircraft is not even on the horizon.
And there may be worse to come. First, the Department of National Defence is to be the target of one of the government's "strategic reviews," a probing exercise that looks for "unimportant" projects that can be cut. Departments that have already suffered through this exercise have not found it pleasant. At the same time, the present recession that continues to gather force will certainly lead the Treasury Board to search for areas in which to reduce government spending. With its $20-billion budget, National Defence will likely seem to be ripe for the plucking, and there is little sympathy for the Canadian Forces in the Privy Council Office.
The future for the Canadian Forces, while not yet bleak, thus does not look wholly promising. Money is going to be tight, the numbers of personnel will continue to be insufficient to do the required tasks and much of the military's equipment, while better in several areas than a few years ago, will continue its long, slow slide into obsolescence. The Harper government, like the Martin government before it, has promised much to the Canadian Forces, but more remains to be done. - Historian J. L. Granatstein writes for the Canadian Defence and Foreign Affairs Institute.
AIRLIFT CAPABILITY PROJECT – TACTICAL [C-130J--two will actually be arriving early, in June 2010]
...
Project Phase: Implementation. The ACP-T project entered the Implementation Phase with the December 2007 contract award to Lockheed Martin Corporation for 17 C-130J-30 aircraft. Aircraft deliveries will commence no later than December 2010, with the final aircraft delivered no later than December 2012...
ARCTIC/OFFSHORE PATROL SHIP (APOS)
...When the project completes, the six to eight [emphasis added] fully supported AOPS delivered to the Canadian Forces will be capable of:
1. Conducting armed, sea-borne surveillance of Canada's waters, including the Arctic;
2. Providing to Government situational awareness of activities and events in these regions; and
3. Cooperating with other elements of the Canadian Forces and other Federal Government departments to assert and enforce Canadian sovereignty, when and where necessary [i.e. replacing the Kingston class Maritime Coastal Defence Vessels--of which the Navy has twelve]...
No prime contractor has been selected. Final selection of the prime contractor will occur at Effective Project Approval, planned for July 2010 [emphasis added--now check following, best-case dates]......
Delivery of First Ship Fall 2014 Initial Operating Capability (IOC) of First Ship March 2015 Project Complete March 2021
FIXED-WING SEARCH AND RESCUE (FWSAR)
Description: Fixed-wing SAR aircraft are needed to provide immediate assistance to distress cases within the 18 million square kilometre Canadian SAR area of responsibility. Search and rescue activities are extremely demanding on the CF and their equipment. The Canadian Forces currently uses a mixed fleet of Buffalo and Hercules aircraft to provide FWSAR service to Canadians. The purpose of this project is to replace the CC115 Buffalo and CC130 Hercules currently providing the fixed-wing SAR capability from four Main Operating Bases with a fleet of new aircraft [no mention of numbers]......
Contract Award Spring/ Summer 2010 First aircraft delivery Spring/ Summer 2013 Last aircraft delivery Spring/Summer 2015 Project Closure Spring/Summer 2017
Industrial Benefits: Maximum Industrial Regional Benefits (IRB) will be sought for this project and details will soon be determined by the Government stakeholders.
JOINT SUPPORT SHIP (JSS)
Description: The JSS will maintain the Canadian Navy’s current naval task group logistic support, while ensuring that the Canadian Forces has an adequate, assured strategic sealift capability to allow it to deploy and sustain operations in support of government policy. It will also enhance Canada's capability for joint command and control of forces ashore. The ships will replace the two ageing Protecteur class support ships currently in service on the east and west coast [one will be out of service for most of 2010 for refurbishing] ...Progress Report and Explanations of Variances: On 22 August 2008, the Minister of Public Works and Government Services Canada (PWGSC) announced the termination of the procurement process to acquire three Joint Support Ships.
After receiving and evaluating the mandatory requirements for the Joint Support Ship Project from the bidders, the Crown has determined that both proposals were not compliant with the basic terms of the Request for Proposals (RFP). Among other non-compliances, both bids were significantly over the established budget provisions of $1,575B for the Project Implementation (PI) Contract for the delivery of the JSS capability (3 ships).
The project will not be able to meet the original delivery dates for Initial Operational Capability (IOC) and Full Operational Capability (FOC) as planned (2013 and 2016 respectively) [emphasis added].
PMO JSS staff is currently performing preliminary Options Analysis in support of the decision best suited to the procurement of Joint Support Ships. The analysis, of fundamental importance to progressing the project, entails a review of capability requirements, cost, and the resulting impact on technical specifications and schedule.
Industrial and Regional Benefits: Industrial and Regional Benefits (IRBs) for this project are equivalent to 100% of the contracted value for both the capital acquisition and in-service support.
MARITIME HELICOPTER PROJECT (MHP)
...
Contract Award November 2004 First Delivery November 2010 Final Delivery 2013 Project Close-out 2014 Progress Report and Explanations of Variances: In December 2008, following discussions to minimize delays in the planned delivery of the integrated Maritime Helicopter, the Government and Sikorsky agreed to a new schedule for the delivery of helicopters starting in November 2010, with delivery of enhanced helicopters commencing in July 2012.
...The project is currently running within its authorized budget [Huh? That seems rather, er, creative.]
Industrial Benefits: The Industrial Regional Benefits are equivalent to 100% of the contract value for the capital acquisition and more than 80% of the contract value for the In-Service Support...
MEDIUM TO HEAVY LIFT HELICOPTER (MHLH)
The Medium to Heavy Lift Helicopter project will deliver the medium to heavy lift helicopter capability to support land-based domestic and international operations and to support Army Training on the road to high readiness. The project will acquire a minimum of 16 helicopters [emphasis added], integrated logistic support and other related support elements...[Note June 2009 contract date--but then it says March further below; nice if they could get their act straight. And note the March 2015 Full Operational Capability date.]...
Effective Project Approval and Contract Award June 2009 First ACAN Compliant Aircraft March 2012 First MHLH March 2013 Initial Operational Capability (IOC) March 2014 Full Operational Capability (FOC) March 2015 Progress Report and Explanation of Variances: On March 11, 2008, a Request for Proposal was released to the Boeing Company. A proposal was received in July 2008. Reconciliation of work scope and cost, and challenges in arriving at mutually agreeable terms and conditions, have extended contract negotiations thereby pushing contract award to March 2009 [it's now April and no contract has been awarded!].
Industrial Benefits: This procurement will provide Industrial Regional Benefits equivalent to 100% of the contracted value for both the capital acquisition and integrated in-service support. The selected contractor will be required to identify, as specific work packages, 60% of the total acquisition commitment. For the integrated in-service support portion, 75% of the contract value will be direct work performed by a Canadian company. These industrial and regional benefits requirements will be negotiated and accepted by Industry Canada prior to contract signing.
posted by Mark, Ottawa at 1:49 p.m.
2 Comments:
from Merx . . says 12 ships !!
"April 1/09: The Canadian government announces the Request for Proposal (RFP) to obtain up to 12 new mid-shore patrol vessels on behalf of the Canadian Coast Guard:
”...to provide support for the Fisheries Conservation and Protection Program, as well as maritime security…. Public Works and Government Services Canada (PWGSC) issued a draft RFP on Merx™ on February 26, 2009, in order to give industry the opportunity to provide feedback. As a result of this draft, PWGSC received comments from nine companies. This input was taken into account in drafting the RFP now posted.”
The posted RFP is solicitation #F7045-060001/E, a modification of the previous F7045-060001/D. The link in the Feb 26/09 entry now leads to the new RFP. Missing from the RFP are (1) any sense of funding levels; and (2) the offshore fisheries science vessels, which may have been eliminated or may become their own RFP.
Feb 26/09: Canadian government MERX solicitation #F7045-060001/E:
“The Canadian Coast Guard has a requirement for up to twelve (12) Mid-Shore Patrol Vessels (MSPV). These vessels shall have a length overall between 37 and 43 metres, and be subject to specific criteria to be described in the RFP. These vessels, which are to be used for Marine Security and Conservation and Protect- ion, are to be capable of sustained operations out to 120 nautical miles offshore. The vessels are to be produced in Canada in accordance with The Canadian Ship- building Policy. The proposed vessel shall be a steel mono-hull based on an existing proven parent design. The proven parent design shall have been used in the construction of vessels that have been in service for a minimum of two (2) years and a minimum of 1,000 hours in-service operation.
....Bidders will be required to demonstrate in their proposals that they will have the intellectual property rights from the owner of the proven parent design to produce these vessels and that they have the intellectual property rights to modify the proven parent designs for the Canadian Coast Guard’s specific requirements. Bidders will be required to obtain the intellectual property rights for Canada to have access to relevant background information for its use and any third party’s use for the maintenance, repair and operation of the MSPVs for the life of the vessels.”"
They are still planning to build the JSS? I thought someone would have knocked sense into MARCOM and got them to just purchase dedicated supply vessels, rather than vessels that can do a lot but nothing particularly good.
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