Officials from the U.S. Air Force and Honeywell International Inc. signed a new eight-year, $365 million extension to the Secondary Power Logistics Solution contract to provide logistics and depot support for F-15 Eagle fighter aircraft.
This extension builds on Increment I of the SPLS contract, which provides support for the B-2 Spirit bomber and the C-130 Hercules transport aircraft.
SPLS is one of the Air Force's first examples of a Department of Defense initiative known as Performance Based Logistics contracting. Instead of contracting for individual parts and services, the government pays a fixed amount for a desired outcome based on mission needs, such as an availability rate.
"Increment II of the SPLS contract is an opportunity to exploit the great advantages of PBL demonstrated in Increment I, while also incorporating lessons learned to build an even more successful program," said. Col. Tim Henke, 448th Supply Chain Management Wing commander.
The SPLS Increment II contract is a joint effort between the Air Force Sustainment Center and Honeywell. Under the new contract, the vast majority of system maintenance will be performed by government employees at government facilities. This unique public-private partnership will preserve the government's repair capability while enhancing efficiency by implementing industry best practices.
Source: US Air Force
Date: Nov 2, 2012