(Washington, D.C.) – Citizens Against Government Waste (CAGW) today criticized the Pentagon for giving into political pressure and approving a $21 billion deal with Boeing to lease 100 767 tankers.  While a report from the General Accounting Office (GAO) claims that it would be cheaper to refurbish the existing fleet, Senator Patty Murray (D-Wash.), House Speaker Dennis Hastert (R-Ill.), and Rep. Todd Tiahrt (R-Kan.) supported the Boeing deal as the company employs many of their constituents.

“It is disappointing that Secretary Rumsfeld lost this battle against Members of Congress who are more interested in protecting their own parochial interests than in defending the nation,” CAGW President Tom Schatz said.  “Facing a $350 billion deficit and escalating costs in the war on terrorism, the country cannot afford corporate bailouts to satisfy the needs of a few lawmakers.  Just as American families are having to do in the current economic climate, the government must also pinch pennies.”

A May 2002 report by GAO estimated the cost of the six-year lease of the 100 tankers to be $26 to $30 billion.  As an alternative to the lease, GAO estimated that the cost to upgrade, modernize, and repair corrosion to the current fleet of KC-135E tankers to be approximately $3.2 billion, a potential savings of more than $17 billion over the final cost.  In addition to the $21 billion price tag, the cost of just building the infrastructure for the 100 leased tankers would be $1.7 billion the same as the cost to modernize 59 existing KC-135 tankers.

“Once again the government has let politics get in the way of efficiency at the expense of taxpayers,” Schatz continued.  “It is unacceptable that a corporate bailout takes precedent over fiscal responsibility and common economic sense.  It is even more disheartening that the Pentagon, which prides itself on transforming the military into a 21^st century force, would be swayed by such pressure.”

The Air Force estimates that its entire fleet of KC-135s has an average of 12,000 to 14,000 flying hours per plane.  This is only 33 percent of what they are built to withstand.  It is also estimated that the current fleet has an incredible Mission Capable Rate of 80 percent.  This compares to a B-2 Mission Capable Rate of 39 percent.  The Air Force sees no requirement to begin replacing the current fleet until 2013.

“The Boeing lease deal has turned into a classic case of wasteful spending,” Schatz concluded.  “When it comes to the military there is no room for error.  The men and women fighting terrorism around the world deserve to be represented better.”

Citizens Against Government Waste is the nation's largest nonpartisan, nonprofit organization dedicated to eliminating waste, fraud, abuse, and mismanagement in government.  For more information, please visit www.cagw.org.