SAC: $852B for Defense, $200B for the Rest
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The Senate Appropriations Committee, by a bipartisan 26-3 vote, advanced plans for roughly $852 billion in defense funding next fiscal year, a significant boost over White House goals and House lawmakers’ outlines for military spending in 2026. Republican and Democratic leaders praised the plan as meeting the emerging needs of the armed forces, reports Military Times.
In addition to the $852 billion in discretionary funding for defense programs, the committee’s legislation includes another $200 billion in discretionary funding for the departments of Labor, Health and Human Services, and Education. The total amounts to more than $1 trillion for fiscal 2026, ahead of a late September shutdown deadline, reports The Hill.
Thousands of Army Reserve soldiers are scrambling for new assignments after the service abruptly ordered the dismantling of its helicopter units by the end of summer, reports Military.com. Army Reserve aviation includes about 4,600 soldiers, helicopters are the lion’s share of the force. The cuts are part of Army Chief of Staff GEN Randy George’s push to shed legacy formations to redirect resources toward emerging technologies such as drones and AI.
The Army is consolidating 75 contracts into a single enterprise agreement with Palantir that will last for 10 years and have a ceiling of up to $10 billion, reports Washington Technology. The enterprise agreement covers 15 prime contracts and 60 related contracts, which the Army says will accelerate the delivery of commercial software to warfighters and remove contract and reseller pass-through fees.
A Navy F-35C Lightning II crashed last week near Naval Air Station Lemoore, CA, reports Stars and Stripes. The pilot ejected safely, was transported by helicopter to a hospital for evaluation, and is expected to be OK.
The Navy is scrapping a P-8A Poseidon that ended up in Hawaii’s Kaneohe Bay back in 2023, marking the first total loss of one of these aircraft, reports TWZ . The service was initially hopeful that the plane could be returned to service, but ultimately decided it would be too costly to do so.
Investigators probing the January midair collision of a passenger plane and an Army helicopter over Washington, DC, that killed 67 people found the chopper was flying higher than it should have been and the altitude readings were inaccurate, reports Military Times.
The US Navy intends to find a second shipbuilder to join Austal USA in producing Landing Craft Utility vessels, a year after the termination of the program’s original prime contractor Swiftships, reports Breaking Defense. Landing Craft Utility vessels, or LCUs, provide the service with a heavy lift capability to transport Marines, weapons, equipment and cargo from ship to shore.
The government of South Korea has secured a favorable 15 percent US tariff rate by pledging a $350 billion investment package in American industry, including a $150 billion “Make American Shipbuilding Great Again” investment in US shipyard capacity, reports Maritime Executive.
The White House has acknowledged that President Donald Trump now meets with candidates for promotion to the rank of four-star general, in a break with past practice and raising concerns about politicization of the military’s top ranks. Trump has not always respected the long-standing tradition of walling off the military from partisan politics, says Military Times.
Construction of a tent complex at Fort Bliss designed to house up to 5,000 migrants detained by immigration officials has begun at the El Paso installation with a goal of detaining people there in August, reports Stars and Stripes. Rep. Veronica Escobar (D-TX), said construction was underway and Immigration and Customs Enforcement officials would like to begin housing up to 1,000 detained adults by next month.
The War Horse reports, more than 10,000 deferred resignations coming up in September are in Veteran’s Affairs. With more than 467,000 employees providing health care and benefits to 9.1 million veterans, VA has the largest federal payroll outside of the military. Even without deferred resignations, front-line medical staff are leaving. Since the end of September 2024, VA has 2,000 fewer registered nurses and 750 fewer doctors. During the same period the previous year VA had added a net total of 3,000 RNs and 200 doctors.
Sen. Dan Sullivan (R-AK) backed off a surprise blockade of the Navy’s top officer late Thursday, allowing the Senate to confirm ADM Daryl Caudle and giving the service a permanent military leader for the first time in five months, reports Politico.
Senate lawmakers have confirmed former Nevada Senate candidate Sam Brown to serve as the head of cemetery and memorial affairs for the Department of Veterans Affairs, ending a months-long standoff over his nomination, reports Military Times. The 54-44 vote fell mainly along party lines, with only Nevada’s two Democratic senators — Jackie Rosen and Catherine Cortez Masto — breaking ranks to side with Republicans on the confirmation.
The Senate also confirmed Trump’s pick to lead the National Counterterrorism Center, Joe Kent, as Republicans looked past his connections to right-wing extremists and support for conspiracy theories about the Jan. 6, 2021, riot at the US Capitol, reports AP News.
Days before the Pentagon’s second deadline to cut off NOAA meteorologists’ access to satellite observations, DoD officials told government forecasters they would continue sharing the data, after all, says The Washington Post. Officials at the National Oceanic and Atmospheric Administration said Tuesday that they now expect “no interruption.” However, reports Defense News, a Navy spokesman said Thursday that the Defense Meteorological Satellite Program used by the Navy’s meteorology and oceanography center will now provide data to NOAA until fall 2026.
The Space Foundation’s annual report shows that the global space economy hit “an unprecedented” $613 billion in 2024, growing 7.8 percent from $570 billion in 2023 — with military space spending rising slightly to $60.9 billion from $57 billion in 2023, reports Breaking Defense.
Boeing CEO Kelly Ortberg said last week he’s not worried about the impact of an impending strike involving 3,200 union workers producing fighter aircraft and munitions in Missouri and Illinois, reports Defense One. Employees rejected Boeing’s most recent contract proposal and the International Machinists and Aerospace Workers Union said strike could begin Aug. 4, today, if the parties haven’t reached a deal.
Only 250 California National Guard troops of the roughly 4,000 deployed to Los Angeles last month remained on duty late last week, after DefSec Pete Hegseth approved sending home another 1,350 troops, reports Stars and Stripes.
The Russian government has turbocharged the production of drones, with large amounts of federal and state funding, thousands of startups, and even the systematic training of schoolchildren. The invasion of Ukraine has shown drones as a key technology and Russia wants to become a world leader in their production, reports Defense News.
Ukrainian counterintelligence services are investigating the infiltration of Latin American drug cartel members into the country’s International Legion, with operatives seeking advanced drone training to later deploy against rivals and security forces in their home countries, reports Defense News.
Contracts:
Maritime Institute of Technology and Graduate Studies, Linthicum Heights, Maryland, is awarded a $43,000,000 indefinite-delivery/indefinite-quantity, firm-fixed-price contract (N3220525D4204) to provide a comprehensive Unlicensed Mariner to Licensed Mariner Training Program. The contract will be performed in Linthicum Heights, Maryland, with an ordering period beginning on Aug. 1, 2025, and concluding on July 31, 2035, if all options are exercised. The contract will have a five-year ordering period and an option to extend the ordering period for an additional five years. The solicitation utilized full and open competition with proposals solicited via the Government Point of Entry website and one proposal was received in response to the solicitation. Military Sealift Command, Norfolk, Virginia, is the contracting activity.
Benaka Inc., New Brunswick, New Jersey, was awarded a $23,881,532 firm-fixed-price contract for repairing and renovating Langley Dorm Facility 130. This contract provides for repairs of exterior closure and roof, windows and doors, damage to concrete masonry unit block walls and drywall, degradation of structural members, extensive repair of walkway overhangs and railings, sidewalks, exterior lighting, repair and replacement of plumbing, electrical, communications, fire alarm and suppression, and heating, ventilation, and air-conditioning systems, and replacement of all interior finishes and construction of a new 520 square feet utility building. Work will be performed on Langley Air Force Base, Virginia, and is expected to be completed June 10, 2027. This contract was a competitive acquisition and four offers were received. Fiscal 2025 operations and maintenance funds in the amount of $23,881,532 are being obligated at the time of award. The 633rd Contracting Squadron, Joint Base Langley-Eustis, Virginia, is the contracting activity (FA4800-25-C-0010).
RTX Corp., Arlington, Virginia, has been awarded a maximum $50,000,000,000 terms and conditions umbrella contract for RTX systems and end-item production, spare parts, services and other types of support. This umbrella is comprised of basic terms and conditions allowing for indefinite-delivery/indefinite-quantity and “C” type subsumable contracts for negotiated pricing. This contract was a sole-source acquisition using justification 10 U.S. Code 3204 (a)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a 20-year contract with no option periods. Locations of performance are inside and outside the continental U.S., with a July 31, 2045, performance completion date. Using customers are Army, Defense Logistics Agency and Defense Department. Using customers are solely responsible for funding the subsumable contracts and vary in appropriations type and fiscal year. The contracting activity is the Defense Logistics Agency Land and Maritime, Aberdeen Proving Ground, Maryland (SPRBL1-25-D-0006).
Enterprise Resource Planning International Inc., Laurel, Maryland, was awarded a non-competitive contract modification (P00016) to a single-award, indefinite-delivery/indefinite-quantity vehicle for a ceiling increase. The face value of this action is $20,000,000 and will be funded via orders made to the vehicle. The total cumulative face value of the contract is $85,000,000. Places of performance for this contract vary and are specified within each task order. Performance under this contract is expected to be completed Sept. 23, 2026. Proposals were not solicited, and a Notice of Intent to Sole Source was posted to SAM.gov on June 27, 2025. The Defense Information Technology Contracting Organization, Fort Meade, Maryland, is the contracting activity (HC104720D2045).
ASRC Federal Facilities Logistics LLC,** as successor-in-interest to Science Applications International Corp., Beltsville, Maryland, has been awarded a maximum $90,000,000 firm-fixed-price, indefinite-delivery/indefinite-quantity contract for facilities maintenance, repair and operations supplies. This was a sole-source acquisition using justification 10 U.S. Code 3204 (a)(1), as stated in Federal Acquisition Regulation 6.302-1. This is a 336-day bridge contract with no option periods. Locations of performance are Colorado, New Mexico, Oklahoma, Kansas, and Arkansas, with a July 2, 2026, ordering period end date. Using customers are Army, Navy, Air Force, Marine Corps and Coast Guard. Type of appropriation is fiscal 2025 through 2026 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE8E3-25-D-0022).
Direct Viz Solutions, Chantilly, Virginia, was awarded a $13,643,328 modification (P00054) to contract W91RUS-19-C-0014 for enterprise-level Command, Control, Communications, Computers, and Information Management common-user services. The modification brings the total cumulative face value of the contract to $242,465,411. Work will be performed on Fort Huachuca, Arizona, with an estimated completion date of Oct. 31, 2025. Fiscal 2025 operation and maintenance, Army funds in the amount of $13,643,328 were obligated at the time of the award. Army Contracting Command, Aberdeen Proving Ground, Maryland, is the contracting activity.
Northrop Grumman Systems Corp., McLean Virginia, is awarded a $7,558,892 cost-plus-incentive-fee modification to a previously awarded contract (N00024-23-C-6110) to exercise year two options for operation of the progressive depot level repair facility and torpedo maintenance and support at the Navy Submarine Torpedo Facility in support of the MK48 Heavyweight Torpedo efforts. Work will be performed in Yorktown, Virginia, and is expected to be completed by July 2026. Fiscal 2025 operation and maintenance (Navy) funds in the amount of $3,745,750 will be obligated at the time of award and will expire at the end of the current fiscal year. Naval Sea Systems Command, Washington, D.C., is the contracting activity.
L3Harris Corp., Millersville, Maryland, is awarded a $15,363,176 firm-fixed-price modification to a previously awarded contract (N00024-16-C-6239). This modification is to procure spares parts and components. Work will be performed in Ashaway, Rhode Island (85%); and Syracuse, New York (15%), and is expected to be completed by January 2029. Fiscal 2025 other procurement (Navy) spares funds in the amount of $7,725,875 will be obligated at time of award and will not expire at the end of the current fiscal year. Naval Sea Systems Command, Washington, D.C., is the contracting activity.
EA Engineering, Science, and Technology Inc. PBC, Hunt Valley, Maryland, is awarded a $45,000,000 indefinite-delivery/indefinite-quantity contract for environmental services. Work will be performed at various locations within the Naval Facilities Engineering Systems Command (NAVFAC) Northwest area of operations and is expected to be completed by January 2031. Fiscal 2025 Environmental Restoration, Navy (ERN) funds in the amount of $10,000 will be obligated at time of award and will expire at the end of the current fiscal year. Future task orders will be primarily funded by operation and maintenance, Navy, and ERN funds. This contract was competitively procured via SAM.gov with two proposals received. NAVFAC Northwest, Silverdale, Washington, is the contracting activity (N44255-25-D-0004).
A&H-Ambica JV LLC,* Livonia, Michigan (W912CH-25-D-A018); Angels General Construction,* Detroit, Michigan (W912CH-25-D-A019); B&B Industries,* Frasier, Michigan (W912CH-25-D-A023) CAVU Construction,* Virginia Beach, Virginia (W912CH-25-D-A024); DCR Services & Construction,* Detroit, Michigan (W912CH-25-D-A025); DMC Consultants,* Detroit, Michigan (W912CH-25-D-A026); Enfield Enterprises LLC,* Springfield, Massachusetts (W912CH-25-D-A027); Erie Affiliates,* Cleveland, Ohio (W912CH-25-D-A028); Nisou Enterprises,* Farmington Hills, Michigan (W912CH-25-D-A029); Pontiac Drywall Systems Inc.,* Pontiac, Michigan (W912CH-25-D-A031); RB Construction Co.,* Mt. Clemens, Michigan (W912CH-25-D-A032); and Sanalil Construction,* Fort Lauderdale, Florida (W912CH-25-D-A033), will compete for each order of the $96,200,000 firm-fixed-price contract for construction. The total combined face value of the contract is $96,200,000. Bids were solicited via the internet with 13 received. Work locations and funding will be determined with each order, with an estimated completion date of Aug 2, 2030. Army Contracting Command, Detroit Arsenal, Michigan, is the contracting activity.
General Dynamics, Bath Iron Works, Bath, Maine, is awarded a fixed-price incentive (firm-target) modification to a previously awarded contract (N00024-23-C-2305) to exercise the fiscal 2025 option for construction of an Arleigh Burke-class ship (DDG 148). This modification also includes options for engineering change proposals, design budgeting requirements, and post-delivery availabilities. Work will be performed in Bath, Maine (69%); Cincinnati, Ohio (4%); Walpole, Massachusetts (4%); York, Pennsylvania (2%); South Portland, Maine (1%); Falls Church, Virginia (1%); and other locations (< 1% (totaling 19%), and is expected to be completed by August 2032. Fiscal 2025 shipbuilding and conversion (Navy) funds will be obligated at the time of award and will not expire at the end of the current fiscal year. The Naval Sea Systems Command, Washington, D.C., is the contracting activity.
The MITRE Corp., Bedford, Massachusetts, has been awarded a ceiling $583,945,675 cost reimbursement continuation contract for support to the Air Force from MITRE as the administrator of the National Security Engineering Center Federally Funded Research and Development Center. This contract provides for the exercise of an option under the basic contract (FA8702-19-C-0001). This contract was a sole-source acquisition. Work will be performed at Bedford, Massachusetts; McLean, Virginia; other various locations throughout the continental U.S.; and outside the continental U.S., and is expected to be completed by Sept. 30, 2026. This contract involves Foreign Military Sales to various countries. Fiscal 2025 research and development funds in the amount of $103,511 are being obligated at the time of award. The Air Force Life Cycle Management Center, Hanscom Air Force Base, Massachusetts, is the contracting activity (FA8702-25-C-B001).
SJ Technologies Inc., Sugar Hill, Georgia, was awarded a maximum $50,000,000 firm-fixed-price task order for software development services. This contract provides for consultation and planning, business solutions, life-cycle support services, and software engineering development services to support senior decision makers at Headquarters Air Force, including the Secretary of the Air Force, the Air Staff, and other Air Force organizations within the National Capital Region. Work will be performed at Joint Base Andrews, Maryland, and is expected to be complete by March 31, 2031 (includes a six-month extension). This contract was a competitive acquisition and 16 offers were received. Fiscal 2025 operations and maintenance appropriations in the amount of $8,797,214 are being obligated at the time of award. The Air Force District of Washington, Contracting, Joint Base Andrews, Maryland, is the contracting activity (FA7014-25-F-0232).
Outside the Box,* Richmond, Virginia, was awarded a firm-fixed-price contract for construction. The amount of this action is $18,885,132 with a total cumulative face value of $18,885,132. Bids were solicited via the internet with eight received. Work will be performed in Camp Mackall, North Carolina, with an estimated completion date of Sept. 20, 2027. Fiscal 2025 military construction, defense-wide funds in the amount of $18,885,132 were obligated at the time of the award. U.S. Army Corps of Engineers, Wilmington, North Carolina, is the contracting activity (W912PM-25-C-0033).
CORRECTION: The $99,697,753 firm-fixed-price contract (W519TC-25-C-0037) announced on July 30, 2025, to Computable Insights LLC, Herndon, Virginia, for Salesforce software licenses, was actually awarded on July 31, 2025.
