April 17, 2006 /

Wasting More Money

Don’t everyone wish their business ran this way – “no matter how bad you do, you still get paid top dollar”. Well if you work for the government then that is exactly how it goes: In late February 2004, the Army announced that it was canceling plans to build a radar-evading helicopter called the Comanche, […]

Don’t everyone wish their business ran this way – “no matter how bad you do, you still get paid top dollar”. Well if you work for the government then that is exactly how it goes:

In late February 2004, the Army announced that it was canceling plans to build a radar-evading helicopter called the Comanche, a project that was nearly three years behind schedule and more than $3.5 billion over budget. Those problems, however, didn’t stop an Army panel a few weeks later from granting the Boeing Co.-Sikorsky Aircraft Corp. partnership running the program a $33.9 million “award fee” for their work on the helicopter, part of more than $200 million in such fees paid to the partnership over four years.

Award fees are meant in theory to motivate defense contractors with extra money for performance. But a recent Government Accountability Office study found that the fees are often paid regardless of whether a project is on schedule and within its budget.

Instead of encouraging efficiency, the GAO found, award-fee payments have become routine in some major weapons contracts, built into company expectations and paid almost as a matter of course.

So this is how the “fiscally responsible” conservatives choose to run our country? Hell with that kind of spending and mismanagement let’s go ahead and take the American flag down and put up the Chinese flag.

More IntoxiNation

Comments