DoD recognizes effect of inflation on contracts, MilCon news and military exercises

The U.S. Department of Defense issued Sept 9 an “updated guidance for contracting officers regarding approaches for addressing inflation under existing firm-fixed-price contracts,” according to a Sept. 13 release, CHamoru Standard Time.

The updated guidance is based on feedback from the Department’s acquisition executives on how inflation is affecting the defense industrial base and contractors’ ability to perform under existing firm-fixed-price contracts. The memorandum advises contracting officers about the range of approaches available to them to make potential accommodations including schedule relief and amending contractual requirements, and in extraordinary circumstances, the use of Extraordinary Contractual Relief.

See the memorandum here:

BME & Sons Inc. of Mangilao was awarded a $14.73 million firm-fixed-price task order under a multiple award construction or MAC contract for “repair and replacement of the existing water distribution lines at Andersen Air Force Base.” The work provides for repair and replacement of existing water distribution lines with new 12-inch waterline pipe along the east side of the airfield from the South and North Ramps. Work is expected to be completed by January 2025. Six proposals were received for the task order, and the award was made by Naval Facilities Engineering Systems Command, Marianas, according to a Sept. 12 DoD release from Washington, D.C.

In other U.S. military news, various exercises continue with the participation of partner countries. Vessels of the U.S. Japan and Canada participated in Noble Raven 22 from Aug. 30 to Sept. 7. The trilateral Navy exercise took place in the waters “from Guam to the South China Sea,” according to a Sept. 8 Japan Maritime Self-Defense Force news release.


Airline increase number of flights in Mariana Islands; Japan may open further

United Airlines is increasing flights between Guam and Saipan from Oct. 31, taking the number of flights from eight to 10 per week, according to a Sept. 12 advisory from the U.S. Center for Aviation.

In other travel-related news, media in Japan are reporting that the country will further ease restrictions in the coming days by waiving the tourist visa requirement from some countries, allowing individual travelers to visit without travel agency bookings – as well as remove the daily cap on arrivals by October.


FSM Congress elects vice president


The Congress of the Federated States of Micronesia elected Aren B. Palik to become the ninth vice president of the FSM. Palik was previously a senator representing Kosrae and formerly was the longtime president and CEO of the Pacific Islands Development Bank (headquartered in Guam) from 2002 to 2019. Prior to that, Palik was vice president of the FSM Development Bank.

Palik succeeds the late Yosiwo P. George, who passed away in August after contracting COVID-19.


DPHSS continues workforce housing inspections

The Guam Department of Health and Social Services Division of Environmental Health inspected 19 Guam temporary workforce housing locations out of 24 inspections from Aug. 29 to Sept. 4.

Of these, two received a “No violations observed comment,” while the rest drew comments on facilities maintenance and/or construction items needing correction.

Four childcare centers and one restaurant were also inspected.


Foundation opens grant process and other grants news

The Pay-Less Markets Community Foundation will open the mini-grant process from beginning Sept. 28. Grants provide “opportunities for community organizations to better serve residents of Guam in the areas of education, environment, health, and social services,” according to a Sept. 12 release A mini-grant writing workshop for the funding process will be held on Sept.28 from 9 a.m. to 10 a.m. at the Pay-Less Markets Corporate Office, Building B in Hagåtña. The workshop is not required for applicants. All NPOs are welcome to apply. The application can be found online at To sign up for the workshop or for more information, contact Louise Borja at [email protected] or see [email protected].

In other grant news, the U.S. Small Business Administration awarded the Northern Mariana Islands Small Business Development Center at the Northern Marianas College a $952,394 grant to support its small business incubator program, according to a Sept. 11 release from the office of Gregorio “Kilili” Camacho Sablan, the NMI delegate to Congress. “The funds are intended to provide existing and aspiring business owners rental space and other resources they need to start new ventures and create jobs in the Marianas,” the release said. The SBA awarded the NMI SBDC a  $659,990 renewable grant in March following the enactment of Sablan’s Small Business Development Act, the release said.  

To try to track economic recovery efforts of small businesses, the Guam Economic Development Authority is reaching out to recipients of multiple grant programs to request BPT filing data from months ending July 2021 to July 2022. Grants include the Small Business Pandemic Assistance Grants and the Local Employers Assistance Program, according to a Sept 12 release from GEDA. In the next few weeks, businesses that received funding “will be contacted by GEDA representatives either through phone or email with instructions for participation.” Recipients will be directed to designated existing GEDA email addresses including the addresses to which they sent original grant application documents, the release said.   


GovGuam project updates

Sept. 13 – The Dededo Sports Complex $146,000 tennis court parking lot ribbon cutting ceremony.

Sept. 13 – The Guam Department of Public Works Swamp Road Resurfacing Project “kick off.” Milling and paving will begin at the Ysengsong intersection in Dededo and continue westward. Intermittent lane closures are expected.


Monkeypox arrives in Guam

The U.S. Centers for Disease Control and Prevention confirmed the first case of Monkeypox in Guam on Sept. 11. An incoming traveler on Sept. 10 with the illness remains in isolation, said they do not need medical attention and is being monitored, according to a Sept. 12 release from the Office of the Governor.


And also:

Guam Unique Merchandise and Art will hold final sessions of the “I Bisinun Mami” home-based two-session business training program in Barrigada in on Sept. 17 and Sept. 24 in rooms B201 and B202 of the GCA Trades Academy and for Tamuning-Tumon-Harmon on Oct. 15 and Oct. 22 at the Tamuning Community Center. Contact the offices of the Mayor or GUMA at (671) 646-3448 to register.


For your diary:

Sept. 17 – The Department of Agriculture’s Division of Aquatic & Wildlife Resources announced Sept. 12 it will hold the Annual Kids’ Fishing Derby at Ipan Beach Park, Talofofo. The free derby is open to children aged 7-12 and 13-17 (new category). Participants can register at the DAWR office in Mangilao from 8 a.m. to 4:30 p.m., Monday through Friday this week. For questions, contact Michael Duenas at  [email protected] or (671) 735-0286. 

Sept. 30 – The Small Business Focus & Development Committee of the Guam Chamber of Commerce will host a seminar on Tax Planning for Small Businesses at the Guam Chamber conference room from 8.30 a.m. to 10.30 a.m. with Joe M. Arnett, advisor to Deloitte and Touche LLP. Member rate $30; future member rate $50. Future members can contact the chamber at [email protected].mbj