AM General Sues SOCOM Over Vehicle Contract

GD

On January 6, Humvee maker AM General headed to Federal Claims Court to file a lawsuit against the the US Special Operations Command over its decision to award a $562 contract to General Dynamics for its Ground Mobility Vehicle 1.1 (GMV) program.

After losing out to General Dynamics in August 2013 on the coveted contract for the competition, both AM General and fellow losing bidder Navistar submitted a formal protests with the Government Accountability Office.

The protests were denied on Dec. 19.

While the complaint is sealed, General Dynamics has also stepped in to file a Motion to Intervene and now also has legal representation involved in the case, a GD spokesman confirmed to Defense News.

The special ops command has said that it wants to buy 1,297 GMVs to replace the current 1,072 Humvee-based GMVs it has in its inventory. We reported back in May of last year that SOCOM had already planned to spend about $24 million on the program in fiscal 2014 for the first 101 vehicles, at a price tag of at $245,000 per vehicle.

“We believe our GMV 1.1 offering provides the Special Operations Command with the strongest candidate vehicle in terms of innovation, mobility, survivability and affordability,” said AM General spokesman Jeff Adams. He declined to comment further, as did representatives from General Dynamics.

When the contract was awarded in August, Defense News reported

Barring any protests, the loss will come as a bitter pill for current GMV-maker AM General and Navistar International, companies who are looking for more business at a time when the buys of Humvees and MRAPs have ended. Oshkosh Defense was eliminated from the competition in January, after which it filed a protest which was then withdrawn in April.

Requirements documents released last year said that the GMV would have to weigh less than 7,000 pounds, have the ability to carry up to seven passengers and be transportable in an M/CH-47 Chinook helicopter.

In today’s notice about the award, the government said that it plans on spending about $14 million in already allocated fiscal 2012 and 2013 budgets for research, test and evaluation on the GMV.

Final deliveries of all GMVs are expected to be complete by September 2020.

 

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Paul McLeary

McLeary covers national security policies at the White House, Pentagon, the Hill, and State Department.
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