DOLLARS & SENSE


CUTTING AMMO COSTS


LCAAP Building Manager Chris White, left center, discusses the 7.62 mm modernized back-end case cell process and capabilities with MG John F. Wharton, commanding general, U.S. Army Sustainment Command, in December 2013. To White’s left is LTC Lawrence Cannon, LCAAP commander. PM Maneu- ver Ammunition Systems successfully competed the operation of LCAAP, achieving more than $900 mil- lion in savings and avoidance, including an average unit price reduction of 40 percent across the 5.56 mm, 7.62 mm and .50 caliber families of ammunition produced there. (Photo by Crystal Rankin, LCAAP)


but also will apply more broadly to multiple systems across the Army that were fielded in limited quantities under urgent material release for overseas contingency operations.


• PM Towed Artillery Systems (TAS) and PM Close Combat Systems (CCS) saved more than $4 million in service contract costs by combining contract requirements for new equipment train- ing and field service on related pieces of equipment. PM CCS combined field service representative requirements for multiple


counter-explosive-haz-


ard devices, and PM TAS combined requirements for new equipment train- ing for various towed artillery systems and ancillary equipment. Tese suc- cesses have inspired the Excalibur and Precision Guidance Kit program


158


managers to investigate combining new equipment training service con- tract requirements as well.


• Te deputy executive director for con- ventional ammunition hosts an annual ammunition cross-leveling event at which the services offer to exchange ammunition stocks that have accumu- lated in excess of their requirement. Tis seemingly simple arrangement is a win- win for the services and the taxpayer, avoiding not only the cost of buying new ammunition, but also the storage cost and potentially the demilitarization cost associated with excess ammunition. Te FY13 cross-leveling event avoided an estimated $121 million of ammunition procurement costs across all services.


• Te Husky Mounted Detection System provides ground-penetrating radar,


deep-buried metallic detection and semiautonomous control of Husky vehi- cles used in route clearance missions for detecting and marking explosive threats. Systems with only the ground-penetrat- ing radar capability were fielded under a joint urgent operational needs statement (JUONS) to support Operation Endur- ing Freedom. By capturing numerous lessons learned from operations in Afghanistan using the JUONS systems, PM CCS and the Maneuver Support Center of Excellence restructured the program to reduce the procurement objective, leverage the JUONS systems and use a training surrogate system. Te restructured program will meet the warfighter’s needs, and will achieve an estimated $84 million savings over the program objective memorandum and


Army AL&T Magazine


April–June 2014


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