Three Firms to Vie for LOGCAP Services

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Three Firms to Vie for LOGCAP Services
April 18, 2008
Army News Service|by Gary Sheftick

WASHINGTON - Logistics-support services in Iraq, Kuwait and Afghanistan will now be split among three companies: DynCorp, KBR and Fluor Intercontinental Inc.

The firms were awarded the Logistics Civil Augmentation Program, or LOGCAP IV contract, the Army announced Thursday evening. Until now, most services in theater -- from billeting to transportation and dining facilities to laundry - have been provided by Kellogg, Brown and Root under the LOGCAP III contract.

KBR provided a total of about $4.9 billion in services last fiscal year within the U.S. Central Command theater of operations, Army contracting officials said. They said about 50,000 employees are now working for KBR and its subcontractors in Southwest Asia.

The new contract calls for all of the services or "task orders" to be competed among the three companies, and LOGCAP Executive Director Lee Thompson said this should begin to happen over the next 60 days.

"What they have won is the potential" to provide services totaling $5 billion a year for the next 10 years, said James Loehrl, executive director for acquisition at the U.S. Army Sustainment Command. He said the three companies will competitively bid for each service or task order.


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