They are doing yet another engine mod or change as we speak as well.
The size/capability of the aircraft itself is relevant only in comparison to the mission tasks being specified by the buyer. Or...it would seem to me.
If the USCG could be happy with the 365....and the machine was capable of performing the mission it was chosen for....then what is the problem?
The better argument is whether the mission spec set forth in the contract is the correct set of specs.....thus the burden is for the CoastGuard to justify the mission specs being used to evaluate the various aircraft.
The decision on aircraft is done by the specs...not by the Peanut Gang passing judgement upon what they would like to see flying the mission.
A proper case in point is the Osprey procurement in the USA....the guys flying the missions prefer big Sikorsky helicopters or Chinooks to Osprey's.....but the powers that be are shoving the Osprey down the throats of the guys in the field doing the flying.