A couple of weeks ago I discussed the rising cost of the Pentagon’s F-35 Joint Strike Fighter program. Pentagon officials told the Senate Armed Services Committee that costs for the F-35 had jumped more than 50 percent since the program began in 2001. Now the Pentagon has informed Congress that the price tag is going to be even higher when new estimates are completed in the summer.
The Pentagon has informed Congress about another of its procurement projects that is plagued by cost overruns. In other news, the sun will rise and set today, and the pope is Catholic.
The president’s new budget proposes to end NASA’s Constellation program, a Bush initiative intended to put humans back on the moon by 2020. But Obama’s $3.8 trillion budget still goes to the moon figuratively—if you stacked 3.8 trillion one dollar bills, the pile would reach the moon with 20,000 miles to spare!
The Taxpayers’ Alliance has published a new study examining a sample of 240 government capital projects in Britain, including weapons systems, highway projects, computer upgrades, health care spending, and other items. The results mirror the serious cost overrun problems we have in the U.S. federal government.
Benjamin Franklin said: “In this world nothing can be said to be certain, except death and taxes.” I would add a third certainty: cost overruns at the Pentagon. The Government Accountability Office recently reported that the Pentagon’s space program is facing multi-billion dollar cost overruns and multi-year delays.
The Department of Defense’s Defense Contract Audit Agency is responsible for performing all contract audits at the department. Unfortunately, the agency seems to have developed an excessively cozy relationship with the contractors that it is supposed to be overseeing. That is bad news for taxpayers because of the massive size of DoD’s contracting activities.