Future contract held up to build Army vehicles at Oshkosh

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A future contract is being held up to build Army vehicles at the Oshkosh Corp.

It involves the Family of Medium Tactical Vehicles, which have been made for 15 years by BAE Systems in Texas.

In August, the Army decided to move the work to Oshkosh and that company plans to start the five-year project next year, after it completes its current major contract to build specialized all-terrain vehicles for the war in Afghanistan.

But BAE doubts that Oshkosh can deliver the goods for the price it quoted.

The amounts were not made public, but analysts said Oshkosh quoted a price that’s 30 percent cheaper.

BAE has filed a formal protest to the Oshkosh award, and the Government Accountability Office will make a ruling in about a month.

Oshkosh CEO Robert Bohn said his firm won the contract fair and square. He has no doubt his company can make the 23,000 Army vehicles at the price and quality level agreed upon.

Congressman Tom Petri of Fond du Lac says the losers are trying just to take back the contract.

Twenty-five Texas legislators want the Army to re-bid the deal. If they don’t, they say BAE might close its plant in Sealy, Texas, and more than 3,000 jobs would be lost.

Tags: army vehicles, wisconsin, oshkosh