2004 Buyer's Guide
Back to Air Beat
Back Issues Index
Avoiding Accessory Installation Conflicts In
Acquisitions
By Scott Holst
Paravion Technology, Inc.
It’s a common story --- your agency just installed a searchlight and air
conditioning system six months ago, and now, you finally have the additional
funding for an infrared system with monitors and recorder. There is a
problem, however, because the entire aircraft must be reconfigured,
including buying a new mount for the searchlight, so it does not interfere
with the IR camera. As you look further, there is no location for the
monitor mounts because the outlets for the air conditioner interfere with
the proper installation location. How could this happen? The items
previously bought are useless or will not allow for the modification of new
equipment.
One particular issue is the mistake of consuming needed space for monitor
mounts, pedal extensions, and other popular law enforcement accessories by
installing an air conditioning system that steals this needed space. The
outlets and oversized evaporators of some air conditioning systems are just
not configured to work with other must-have items for officers in the air.
Other common conflicts in accessories are searchlights and IR systems.
This is nothing new considering most agencies must buy and install one unit
first, and install the other later as funds allow. It’s not hard to
recognize the problem of having a 1600-watt, 30-million candle power light
located near a sensitive camera system. Many agencies choose to install the
camera system in the forward position, while keeping the searchlight more to
the aft of the aircraft. This configuration will keep a safe distance
between these two highly-valued weapons on law enforcement aircraft.
Researching the available mounts for your aircraft and mapping out your
locations ahead of time will help to eliminate reconfiguration problems as
you add future equipment. Another common mistake is not reviewing the
limitations associated with many accessories. These limitations, such as
airspeed, can make a big difference in the usability of your aircraft. You
should also consider with certain accessories if the kit requires a mechanic
to perform basic functions, or will it allow the pilot to make minor
adjustments? Many kits are appealing in their ability to allow adjustability
or quick removal and install. But, if this requires a mechanic and a wrench,
then the purpose is defeated. Well thought out kits will allow for a pilot
to perform basic functions as needed. A good example of this is the camera
mounts that give the pilot the ability to quickly remove the gimbal for
transit flights or other reasons.
The ability to have mounting provisions that will allow for quick removal
or swapping of camera or searchlight components between multiple aircraft is
rarely thought of before an integration starts. These types of mounting
provisions do exist and will allow trading of components even between
rotorcraft and fixed wing aircraft. This idea was pioneered early in the
days of mounting modifications as many law enforcement agencies did not have
the funds for multiple camera or searchlight systems. Finding experienced
mount manufacturers that offer a wide variety of aircraft mounts will help
to get your aviation agency efficiently configured.
The solution for
avoiding many of these headaches, giving you peace of mind when spending
those allocated funds, is easy. The first thing to consider is recording all
of the projected accessories that may at any time be needed for the
aircraft, whether you currently have the funding or not.
The next step is to contact a reputable accessory and completion center that
will offer you the service of a one-on-one strategy and sharing of
intellectual knowledge, whether it is their products or not. Believe it or
not, there are a few of these companies that will not only help you spend
your money, but also offer their quality experience and expertise on
integration of accessories.
There are many companies in the aviation
industry that make accessories, but if they focus on making one type of
product, they rarely have the ability to consider if this product interferes
with the many other items that you will need for your aircraft. Most
accessory manufacturers that make a mixture of types of products such as air
conditioning systems, IR mounts, monitor mounts, pedal extensions, and other
items, will strive to develop these products to have no conflicts when
installing numerous kits on a the same aircraft.
This means your agency
can get it done right the first time. Nobody will have to juggle finding
extra funds for mistakes that were made that now require reconfiguration of
the aircraft.
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Federal Excess Property And Purchasing Programs
For Law Enforcement And Other First Responders
By William E. LeGro
As local, county and state governments struggle in this “era of
diminished budgets†to fund their aviation law enforcement and other first
responder agencies, threats to public safety have increased. Consequently,
the federal programs that offer the opportunity to obtain law enforcement
equipment at reduced costs have become more attractive.
The president of the National Law Enforcement Support Association, which
represents the state officials who manage these programs, recently made his
point to all governors. In a letter to each, he advised them to look into
how the programs are handled in their states and to see that the maximum
benefits were being derived. The fact is that fewer than half of the states
have adequate, full time staff involved in assisting law enforcement to
acquire excess equipment or to purchase new equipment and technologies from
federal sources.
Recent events have made it more difficult to navigate the excess property
field without a trained and dedicated staff at the state capitol.
Inconsistencies and discrepancies in record keeping have compelled the Law
Enforcement Support Office, which manages the program for the Defense
Logistics Agency, to institute more precise controls over the transfer
process and accountability. The continuing reduction in the number of
Defense Reutilization and Marketing Offices, the increasing reliance on
transferring property without moving it to a DRMO, and electronic screening
of property, make it imperative that a qualified, full time state
coordinator and staff assist law enforcement agencies. Only in this way can
law enforcement agencies derive the full benefits from this program.
The law enforcement excess property program, called “LESO†or “1033,†has
been of significant benefit to aviation law enforcement across the country.
It has saved taxpayers millions of dollars by keeping in public service
aircraft purchased for national defense, but no longer needed for that
purpose.
The availability of excess U.S. Army aircraft enabled many jurisdictions
to establish flight operations that they could not have otherwise afforded.
These law enforcement aviation units have proven their worth to their
communities, and as the old Army birds wear out, they are being replaced
with state-of-the-art, commercially purchased helicopters.
Among law enforcement agencies who fly, many have extracted the most
dollar-value from these programs. However, they still need the help of the
State 1033 Coordinator to acquire excess equipment and the 1122 State
Point-of-Contact (SPOC) in order to purchase. Since 1989, law enforcement
aviation units have obtained excess helicopters, fixed wing aircraft, parts,
ground support equipment, flight suits, and many other operational and
maintenance items at little or no cost.
Speaking of helicopters, 596 U.S. Army OH-58s have been transferred,
free, to law enforcement agencies since 1994. There are still 458 of these
helicopters in the Army inventory, and some of them will eventually be
available law to enforcement. While few parts are now available as excess,
parts may still be purchased at substantial savings through the SPOC from
the U.S. Army Aviation and Missile Command, and from the Defense Supply
Center in Richmond. The Army and Defense Logistics Agency will continue to
be sources of parts until the U.S. Army finally retires the OH-58 from
service, probably in 2007. The Army UH-1s will also be retired at about the
same time.
Purchases from commercial vendors who have contracts with the General
Services Administration, Federal Supply Service, far exceed the amount
purchased from defense sources. State and local agencies may buy only from
vendors listed on a limited number of GSA schedules, and the law enforcement
equipment purchased must be suitable for counter-drug activities. In
practice, virtually any product that is used by law enforcement is
considered suitable for counter-drug activity.
This mildly restrictive situation may change in the near future. The
Congress, in its passage of the National Defense Authorization Act for
Fiscal Year 2004, included a section titled “Federal Support for Enhancement
of State and Local Anti-Terrorism Response Capabilities.†This section
directs the president to appoint a “designated Federal procurement officialâ€
to “produce and maintain a catalog of anti-terrorism technologies and
anti-terrorism services suitable for procurement by States and units of
local government†and to establish procedures through which purchases can be
made. This provision closely resembles the 1122 program, but does not
involve the Department of Defense. As in the 1122 program, vendors with
federal contracts are not compelled to sell to state and local governments,
but participating vendors will offer the state and local agencies their
federal contract prices.
The advantages to law enforcement agencies are that time and costs are
reduced through the elimination of the bidding process, and that federal
prices are generally significantly below market prices. Furthermore, a
larger universe of supplies and equipment will be offered to law enforcement
and to other first responders than is currently available in the 1122
program. As of this writing, details on how the program will be carried out
are not available.
Another source of federal equipment that is sometimes overlooked by state
and local procurement officials is the state agency for surplus property.
Every state and territory has had one of these agencies for more than 50
years. They serve as agents for the General Services Administration in the
donation of a wide variety of surplus federal personal property to state and
local governments. Many police and fire departments receive from their state
agencies items such as automobiles, trucks, furniture, blankets, light sets,
pumps, portable generators, and other essential equipment and supplies,
paying only nominal service charges.
It is possible, but by no means certain, that the state agencies for
surplus property may be charged with the responsibility of administering an
excess property program for fire and emergency medical services agencies
authorized by Congress three years ago, but never implemented. This program,
similar to the 1033 program for law enforcement, would permit the Department
of Defense to transfer to fire departments excess defense equipment suitable
for the complete range of fire fighting and ambulance services. Currently,
the access of fire departments to excess defense property is limited to
equipment used for support of law enforcement counter-drug activities.
In summary, there are federal programs are out there and each of them can
save your agency money. None of them involve excessively complicated
processes, only someone to do the work.
For more information on these programs, see the following web sites:
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From Statistics To Grants:
How To Use A Federal Clearinghouse Of Information
by Mary Jo Giovacchini and
Jonathan Witte
National Criminal Justice Reference Service (NCJRS)
For more than thirty years, the National Criminal Justice Reference Service
(NCJRS) has provided criminal justice professionals, policymakers, and
practitioners with information on criminal justice, law enforcement and drug
policy. Today, NCJRS is one of the largest criminal justice information
networks in the world. A federally sponsored clearinghouse, NCJRS offers a
variety of services and resources, including access to funding and grant
activities.
Each year, a number of grants are made available by the federal agencies
that sponsor NCJRS. Because these grants vary in scope, project period, and
cash award, understanding how they work is a key step in successfully
applying for them. NCJRS can keep potential applicants informed about which
grants are currently available.
Grants and Funding Opportunities
Learn about funding opportunities currently available from the Office of
Justice Programs and other Federal agencies by visiting the Grants and
Funding section of the NCJRS Web site (www.ncjrs.org/fedgrant.html).
From there, you can link to other resources such as the Federal Register and
Catalog of Domestic Federal Assistance to learn about future funding
activities. The Grants and Funding section also explains the three types of
funding (formula, discretionary, and congressional) most often available to
state, local, and private agencies and organizations.
Database of Information
With holdings from the early 1970s to the present, the NCJRS abstracts
collection contains more than 180,000 summaries of publications, reports,
articles, and audio-visual products. With easy-to-use keyword and index term
searches, you can retrieve all the citations relevant to a particular query
or area of interest. The database is indexed using the National Criminal
Justice Thesaurus, which contains more than 5,000 subject, geographic, and
organizational index terms and 30,000 cross-references.
You can access the database in three ways: online at
www.ncjrs.org to search the database; on
DIALOG, an international electronic information retrieval service; and by
contacting NCJRS, whose staff can conduct searches tailored to specific
needs.
Whether you know exactly what you’re looking for or whether you want to
browse through helpful publication summaries and information, the online
store is open whenever you want to shop. Order the products you want, day or
night, at www.puborder.ncjrs.org.
Publications of all sorts including topical, seminal, hard to find are
available free of charge or at minimal cost.
Share Your Knowledge
To provide the best resources possible, NCJRS relies on the feedback of
the professionals who use its services. NCJRS values this two-way
partnership. Your suggestions and assistance are always welcome.
We encourage you to send copies of publications, training curriculums,
video tapes, and other information resources. Once your materials are added
to the NCJRS library and database, they will be available to justice and
drug control policymakers, practitioners, researchers, and the public
worldwide.
Contact NCJRS
Phone
- 800-851-3420 or 301-519-5500
- TTY service for the hearing impaired: 877-712-9279 (toll free)
Write
NCJRS
P.O. Box 6000
Rockville, MD 20849-6000
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How To Develop Bid Specifications for Purchases
By Donald Roby
The ALEA Buyer’s Guide is a great opportunity to discuss budgeting and
purchasing. In many aviation units, the job of “budget officer†is routinely
given to a line officer and not the unit manager. Although the unit manager
may have the ultimate responsibility for all fiscal matters, the duties
probably belong to a pilot or observer. This job will not only include
making sure that invoices are submitted and paid, but projecting maintenance
needs, overhaul needs, fuel and oil needs and developing bid specifications
for purchases. All of these issues are important, but for this article, we
will focus on developing bid specifications for purchases.
Once an aviation unit has decided to purchase new equipment, the task
then turns to developing bid specifications. To do this, you need to do your
homework. The first task to complete is a “needs assessment†for the
equipment that you are about to purchase.
This is a relatively easy task and involves making a list of performance
criteria, standard equipment, optional equipment and other pertinent needs.
Once the list is established, a simple checklist can be used to identify the
products that meet your needs. Then, a qualified list of vendors can be
developed. In addition, the needs assessment also is a great starting point
to develop your bid specifications.
Now that we have developed a needs assessment, let’s take a look at what
is needed in a comprehensive bid specification. The product that you are
going to purchase must be safe, tested and proven, as well as meet the
mission objectives of the unit and have an acceptable service life. To
accomplish this, your bid specifications must be written in a precise
manner. They must be concise and to the point. In addition, the bid
specifications must be defensible in the event a vendor wishes to protest
the specifications or the process. Therefore, they must be relevant to the
defined mission and objectives of the unit and what was defined in the needs
assessment.
The key to writing bid specifications is thoroughness. The bid
specification must contain a statement that defines exactly what the bid is
for. An example of this is “The ABC Police Department intends to purchase
three (3) turbine powered helicoptersâ€. This statement clearly states that
the police department wants to purchase three helicopters. The bid
specifications must also define what performance criteria the equipment must
meet. An example of this is “The aircraft must be able to maintain a forward
airspeed of 120 knots with a full load of fuel, three aircrew members and
full law enforcement mission equipment installedâ€. Other performance
criteria are maximum gross weight limits, cabin space, FADEC engine,
composite components, etc.
If a vendor submits a bid for an aircraft that cannot meet these minimum
performance criteria, then it is grounds for dismissal or rejection of the
bid.
Many times, you are purchasing equipment that will include various
options. In these instances, you must state exactly what options you want,
and where and how the options are to be installed. If you are purchasing an
aircraft, don’t state that you want an infrared camera installed on it.
State exactly what brand you want, what model number it is and where you
want it installed. Also, you need to state that the installation of the
equipment will include a Supplemental Type Certificate (STC) or an FAA Form
337 field approval for the installation of the equipment. In addition, it is
always a good idea to stipulate what type of mounting equipment the infrared
camera is going to be installed on. This general rule of thumb applies to
search lights, avionics, ancillary items, and others. Never assume that a
vendor knows what you want. You need to tell them exactly what you want in
your bid specifications. This way you can hold the vendor accountable for
complying with the bid specifications.
Another issue that you need to consider is product updates, support and
warranties. If you are going to purchase a multi-million dollar aircraft,
you need to assure that not only are the Airworthiness Directives complied
with, but the “mandatory technical bulletins†are also complied with. Some
of these maintenance requirements can be extremely expensive and time
consuming for a law enforcement agency.
Most warranties that come with equipment are very good. However, you may
be able to stipulate in your bid specifications additional time lines to
extend the warranty on the product that you are about to purchase. An
example of this is to mandate that the product have a three-year warranty,
instead of a two-year warranty. By extending the length of the warranty, you
are buying protection and piece of mind. When developing and specifying
warranties, please remember to be realistic. Don’t ask for a 10-year
warranty on an item when vendors only offer a one-year warranty on the item.
You may be able to get a two- to three-year warranty, but not a 10-year
warranty.
One of the worst things that can happen to any police agency is that they
set out to purchase a specific item and end up with something that they do
not want and something that does not meet the needs of the unit. This has
happened time and time again in our industry and, as the preparer of the
bids, you must make sure that it doesn’t happen to you. One way to do this
is to meet other members of your unit and have them review your bid specs
and make suggestions for improvement. This does two things: it allows
another set of trained eyes to review the bids for accuracy and relevancy
and it allows the other unit members to feel part of the purchase process.
Another way to assure success in the bid process is to meet with your
purchasing agent long before your bids are released to the vendors. At this
meeting, you need to state to the purchaser exactly what it is you want to
acquire, why you need this, and exactly what your agency is going to do with
the equipment. You should also conduct some sort of presentation with the
purchaser to articulate how you came about developing your needs assessment
and narrowing the list of qualified products. This will allow the purchaser
to know exactly what you are attempting to purchase and he/she can work with
you to purchase the right product.
Remember, in our field of work, you are the expert in aviation, not the
purchaser. Therefore, you need to work to educate them in what your unit’s
mission is and what you need to accomplish it.
When your bid specifications are complete, there are several things that
must be done to assure a successful purchasing process. The first thing is
to make sure that the purchaser is going to schedule and hold a “pre-bidâ€
conference early in the bid process. This is an excellent opportunity for
all of the potential bidders, the purchaser, and you to meet and discuss any
discrepancies or exceptions that may exist in the bids.
At this meeting, a vendor may identify an issue that can potentially
derail your purchase. An example of this may be the inclusion of performance
criteria that none of the vendors can meet, or only one vendor can meet.
Once the discrepancies are identified and articulated, it will be up to the
purchaser to decide if the bid specification needs to be amended or that the
exception is without merit and the bids will remain unchanged. It is always
a good idea to insert language in the bid specifications that the police
department or jurisdiction has final say in all matters. This way, the
agency controls the purchase process, not the vendors.
If you are purchasing aircraft, you need to remember to include in your
bid specifications the right to inspect the aircraft during the completion
process at the completion center or factory. This allows you the opportunity
to track the completion process as it progresses. It also allows you the
opportunity to catch mistakes such as installation of incorrect equipment,
placement of equipment in the wrong place, and to identify quality of
workmanship early in the process.
If a vendor will not allow this, get another vendor. However, I think you
will find that almost every completion center, including the manufacturers,
want you to be involved in the completion process. This way, you will be
part of the completion team and a satisfied customer.
One question that is constantly asked is, “Should I write my bids to meet
a particular item or brand of equipment� This is a difficult question to
answer. However, if you are setting out to buy a specific item and you have
conducted a thorough evaluation of products that meet your mission needs,
performance criteria, and costs, and you can defend your results, the answer
is yes. If there is only one product that meets your needs, and you can
defend this, you may want to consider a “sole-source†contract to the
vendor. This takes the place of a competitive bid, and awards the purchase
contract to the only vendor that has a product that meets the minimum
selection criteria.
If you cannot defend your needs assessment, or there are multiple
products that meet the minimum selection criteria, then you will need to
conduct a competitive bid process. As always, confer with your purchasing
agent to ascertain what route you will need to take.
Finally, the last thing that should be addressed regarding the bid
process is the issue of process integrity. Once bid specifications have been
released to potential bidders, no one should interfere in any way with the
process. Contact with potential bidders should be avoided. If a bidder
contacts you for information or clarification, you should immediately direct
them to the purchaser. In addition, you should document the contact on a
correspondence to your superior officer and articulate exactly what
transpired. It is also important that there are no conflicts of interest as
you go through the purchase process. If a vendor calls you and asks you to
lunch or dinner, explain to them that it is inappropriate for you to do this
and ask them not to do this again. Again, report this to your superior
officer immediately.
If the integrity of the purchase process is compromised in anyway, it
will more than likely lead to the entire process being thrown out. This will
lead to delays in the purchase, additional expenses, and possibly
departmental charges (or criminal charges) being filed against the violator.
As always, the opportunity to purchase equipment is an exciting time in
any unit. The purchase process can also be very stressful. By taking your
time and conducting thorough research, you can reduce the stress of
purchasing new equipment. Well written bid specifications make purchasing
equipment a very smooth and easy process.
About the author: Don Roby is a Captain with the Baltimore County
Police Department. He has written several articles for Air Beat concerning
public aircraft and aviation unit management. Don is an instructor for
ALEA’s Unit Manager’s Course and other courses at the National Conference
and Regional Safety Seminars.
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Lease vs. Purchase: Getting The Aircraft You Need
by Jacob Allen
GE Capital Public
Finance, Inc.
Current economic conditions combined with limited budgets make the
acquisition or upgrade of aircraft difficult for most law enforcement
agencies. This is unfortunate, especially when the need for these vital
tools is at an all time high.
Most jurisdictions need to provide increasing levels of service, while
operating with decreasing levels of funding. As bad as it may seem, there
are several options available to those who are looking to acquire aircraft
to support their missions. Financing and leasing are both excellent tools
that can help manage a tight budget and enable the agency to acquire the
aircraft they need.
Like any procurement, outlining and clearly communicating your goals to
your potential lenders is paramount. Approach potential vendors and lenders
in an effort to establish a partnership. Look for lenders who have extensive
experience with aircraft financing as well as the procurement processes of
governmental entities. There are several financing sources that understand
how to finance aircraft. However, the challenge will be navigating the
market and finding the best structure for your agency.
Consider these questions before you even start shopping:
- Do you want to ultimately own the aircraft? Or, do you want to use it
for a period of time and then return it for an upgrade after a few years?
- Are you trading or selling any existing aircraft? How much can you
afford to pay per year?
- Could your current maintenance costs be redirected toward an annual
lease payment for a new aircraft?
With these questions addressed, you will be better prepared to determine
which options are best for you. The following financing mechanisms are
readily available to help you acquire the aircraft you need. Keep in mind
that the following options are not exhaustive, and a good lender will work
with you to tailor a solution that best meets your specific needs and
requirements.
Lease-Purchase Financing
This is essentially a loan. The lender pays your vendor for the aircraft
and then you make payments directly to the lender. You pay for the aircraft
over time and own it for one dollar at the end of the term. Another
variation of this is to structure a balloon payment at the end of the term.
This balloon payment could be equal to what a vendor would offer you for a
trade at the end of the term. Often, vendors will offer you a guaranteed
buy-back.
There are many advantages to this arrangement. Interest payments are
tax-exempt, similar to bond rates. Upfront fees are typically very low,
usually less than $1,000 and often there are none.
Aircraft can be amortized over a 12-year period. Most lease-purchase
arrangements include an annual appropriation clause in the contact. This
means that the financing is not considered debt, voter approval is not
required, and existing debt capacity is not used.
True Lease
This allows you to use the equipment for a period of time and then return
it with no further obligation at the end of the lease.
Advantages to this structure are that your payments will be lower and the
lessor is the owner of the aircraft throughout the term. The downside is
that you are not building any equity in the aircraft.
Master Lease Agreement
Many states, cities, and counties already have a lease agreement in place
that may allow you to simply “add on†to this existing contract. Although
your requests will still need lender approval, this is generally a much
smoother process since you are already an existing customer.
The downside of using an existing master lease agreement is that it may
not include terms and conditions that are specific to the financing of
aircraft. Additionally, the lender may not have the expertise to effectively
complete the lease.
Vendor Financing
The aircraft manufacturer may be able to offer financing. Often, these
vendors have special offers such as lower interest rates, trade-in
promotions, or guaranteed buy-backs. Many agencies view this as advantageous
because the financing costs are essentially “bundled†with the price of the
aircraft in a single procurement.
Most of the aforementioned options are available with either a fixed or
variable interest rate. However, the master lease agreement is an exception
since the interest rate has been established prior to signing the lease. The
same principles that apply to your home mortgage apply here.
Fixing the rate means that your rate and, thus, your payments are the
same throughout the term of the contract. Variable or floating rates allow
you to take advantage of low interest rates and lower payments. Generally,
prepayment premiums or penalties are low and many lessors will offer the
option to “lock in†or fix your rate at a later date when, or if, the rates
begin to rise.
Every year law enforcement agencies are able to acquire the aircraft they
need even during trying financial times. One such instance is the Los
Angeles County Sheriff’s Department. The Sheriff’s Department’s Aero Bureau
provides vital support to all law enforcement missions as a true
force-multiplier.
When the department needed to upgrade their fleet with 12 new American
Eurocopter AS350B2 “ASTARs,†GE Public Finance was pleased to assist. The
county has a 40-year history of operating aircraft. They also currently
operate and maintain dozens of aircraft to support law enforcement, fire and
search & rescue missions. With such a well-established infrastructure to
support their fleet, the county understood that ultimate ownership of the
aircraft was in their best interest. To fit the upgrades into their
budgeting cycle, they chose to stagger their purchases over a two-year
period by splitting the purchases into two rounds of six helicopters per
round. By exercising the lease-purchase option, the county is able to take
advantage of the tax-exempt interest payments over the six-year terms of the
two contracts.
So, whether this is your first helicopter or your fifteenth, defining
your goals and communicating your requirement to an experienced lending
partner will put you well on your way to procuring the aircraft that you
need.
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