The Navy took an important step forward in its drive for innovation with the charter signing to establish the Acquisition Modernization Office (AMO) within the Naval Facilities Engineering Command (NAVFAC).                                                 

Assistant Secretary of the Navy for Energy, Installations, and Environment Lucian Niemeyer and other major Navy and Marine Corps installation stakeholders signed the charter on February 20, 2020.

“By standing up the Acquisition Modernization Office within Naval Facilities Engineering Command, the Navy will consolidate our efforts to acquire services and construction through unique asset management authorities provided to us by Congress,” said Niemeyer.

AMO will explore and incorporate alternative acquisition capabilities for use at Commander, Navy Installations Command (CNIC) and Marine Corps Installation Command (MCICOM) in order to expand the DON’s use of contracting authorities such as intergovernmental support agreements and enhanced use leases for major installation improvements.

“This Acquisition Modernization Office will assist our base commanders in partnering with defense communities and private industry to identify and develop non-traditional solutions for traditional infrastructure, utility and base operating support requirements in order to increase Naval shore capabilities and resilience,” said Rear Adm. John Korka, commander of NAVFAC, who will be responsible for the oversight of the new AMO.

“The office will identify opportunities within our available authorities, refine legislation to enable additional opportunities, in full alignment with Higher Authority, supported combatant commands and stakeholders, on the art of the possible. All efforts and projects undertaken will be dictated by the priorities of CNIC and MCICOM,” added Korka.

“We cannot continue to see critical projects, that could greatly reduce our mission risk, deferred by flat military construction and other facility modernization account funding,” Niemeyer said. “We can save taxpayer funds by unlocking the power of the private sector to free up funds for other critical shipbuilding and force readiness needs.  There are a lot of good entrepreneurial ideas at our bases and the AMO will get them done effectively and efficiently.”

AMO’s transactional, acquisition, and market expertise will ensure the best use of government assets and resources as the Navy creates partnerships with both the private sector and public entities to enhance the use of real estate, upgrade energy systems, and a host of other resilience-related activities.

“AMO provides Navy a new capability to finance unprogrammed shore requirements with greater speed and agility by partnering with the private sector on strategic joint ventures,” said John Kliem, the incoming AMO director selected by Navy leadership to lead this effort.  Kliem currently serves as executive director of the DON’s Energy Security Programs Office, which oversees the planning, coordination, and integration of energy resiliency projects within the NAVFAC.

The AMO charter establishes the office for an initial term of three years to demonstrate value to the DON and to become a viable self-sustaining entity.

For more news from Naval Facilities Engineering Command, visit www.navy.mil/.