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How To Spend a Trillion Dollars

Posted March 25, 2008 2:34 PM by M&M_aero
Pathfinder Tags: aerospace f-35 money planes

Because of the ongoing wars in Iraq and Afghanistan, many of us have seen TV images of military aircraft flying sorties, dropping bombs, and returning to their bases. For the United States, these planes play a critical role in military operations. But have you ever stopped to consider what these aircraft cost? And how much money is spent on aircraft maintenance?

According to a recent Congressional audit, it will cost the U.S. military $1 trillion to acquire, operate, and maintain a new fleet of jet fighters. All too often, military procurement is hampered by unexpected delays, manufacturing inefficiencies, and price increases. In a recent report about such program deficiencies, auditors from the Government Accountability Office (GAO) weren't trying to sugarcoat anything. Instead, they bluntly stated that they expect development and procurement costs "to increase substantially". The GAO also expects "schedule pressures to worsen based on performance to date."

Specifically, the GAO's report analyzed efforts to deliver a new and improved aircraft called the F-35 Lightning II, which will be used by the U.S. Air Force (USAF), the U.S. Marine Corps (USMC), and the U.S. Navy (USN). The Lightning II is designed to replace both the USAF's F-16 Falcon and A-10 Warthog, as well as the USMC's F/A-18C/D and AV-8B Harrier. The GAO report claims that in order to acquire the 2458 aircraft needed by all three service agencies, the pricetag will approach $300 billion.

After these planes are purchased, of course, they must be operated and maintained. According to the GAO, it will cost an additional $650 billion to keep the planes running far into the twenty-first century. The GAO also reports that maintenance and logistics costs have increased by a whopping $23 billion in one year. It blames the increases on changes in repair plans, revised costs for depot maintenance, higher fuel costs, and increased fuel consumption. According to the GAO, however, many of these problems are self-inflicted and include factors such as extended manufacturing schedules and slipping delivery dates. Production of the F-35 Lightning II has already begun, with Lockheed Martin Aeronautics Co. of Fort Worth, Texas as the main defense contractor. The U.S. Department of Defense (DoD) is contracted to purchase this aircraft through 2034. Some U.S. allies have also signed contracts, and have contributed $4.8 billion towards the development of the F-35.

Many U.S. tax dollars will be spent to build this new aircraft - with too little regard to the number of delays and extra money required. As the U.S. economy flirts with recession, precious resources are spent to build an untested aircraft that will replace aircraft which are in-service and working reliably. Is the F-35 Lighting II a valuable use of defense resources? Will the Lightning II be America's next "best in class" military aircraft? What's your opinion on this $1 trillion aircraft?

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Guru
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#1

Re: How To Spend a Trillion Dollars

03/25/2008 3:04 PM

Having some connection with the program I can say that the aircraft will be a large step up from current active aircraft (F-22 excluded).

This story is a lot more complex than it made out to be. For example, the true cost also needs to consider what the current cost of maintaining aircraft that are very old versus the cost of maintaing new aircraft that are designed to lower operating costs.

The project is a 1 trillion dollar pie and that money goes into the private sector. I forget the actual numbers, but the government contract stipulates what percentage must go to small businesses. That pays a lot of salaries here in the US.

A little more than 10% of the development costs come from abroad into the US, too.

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Guru

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#2

Re: How To Spend a Trillion Dollars

03/25/2008 3:04 PM

Maybe they should find some of the $2T they lost.

http://www.cbsnews.com/stories/2002/01/29/eveningnews/main325985.shtml

This would have been a major story if it hadn't come out on 9/10/01.

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The Engineer
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#3

Re: How To Spend a Trillion Dollars

03/25/2008 4:34 PM

Air superiority is essential. Government waste inevitable (though I wouldn't mind them at least trying a little bit). There are worse ways to spend 1 trillion dollars.

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Associate

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#4

Re: How To Spend a Trillion Dollars

03/25/2008 11:36 PM

Invest in a peace dividend: http://www.thepeacealliance.org/

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Anonymous Poster
#5

Re: How To Spend a Trillion Dollars

03/26/2008 12:42 AM

Just what we need , more technology for killing those who we dont like,great stuff,protect the American dream.No amount is too much.

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Anonymous Poster
#6

Re: How To Spend a Trillion Dollars

03/26/2008 1:07 AM

"But have you ever stopped to consider what these aircraft cost? And how much money is spent on aircraft maintenance?"

You are maybe right that it cost a huge dollars, but have you also considered how much cost the lives of those people killed and how many will be?

peace

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Anonymous Poster
#7
In reply to #6

Re: How To Spend a Trillion Dollars

03/26/2008 8:26 AM

Shouldn't we asked ourself where the trillion dollars is coming from. Social Security cash cow?

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#8
In reply to #7

Re: How To Spend a Trillion Dollars

03/26/2008 1:58 PM

Like all government transfers, the money comes from us, and goes to us. Someone, somewhere is taking their cut as well. The problem is, a very large portion of the "tax paying American Public" gets no DIRECT payment of Treasury funds that are collected as income taxes - such as self and spouse. We're in that hunk of middle class that has no kids to claim a deduction or credit for, neither of us work in a business that gets Federal monies for our product(s), we're too young for SS and too old for AFDC. But these days, a trillion dollars is not a big thing. It only takes the SSA about two years to send out a trillon dollars to its beneficiaries.

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The Engineer
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#9
In reply to #7

Re: How To Spend a Trillion Dollars

03/26/2008 2:13 PM

If you are really interested, here is the National Defense Budget Summary. Page 13 of the .pdf is what your looking for, a summary of defense spending. As you can see, the US has spent half a trillion on defense the last 4 years.


http://www.defenselink.mil/comptroller/defbudget/fy2008/fy2008_greenbook.pdf

Compare that with page 12 of this .pdf, the same budget but for 1998

http://www.defenselink.mil/comptroller/defbudget/fy1998/fy1998_greenbook.pdf

Notice the 250 billion dollar increase per year in spending in the last 10 years.

The new aircraft will be purchased over many years and will come from the National Defense Budget. We've been spending money like this for years. If anything, having one aircraft replace three current models will probably SAVE money in the long run for obvious reasons (parts, training, etc.).

Now I'm as liberal as they come but lets not kid ourselves, the second we no longer can defend ourselves someone is going to punch us in the face and take our lunch money. We need the planes.

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Anonymous Poster
#10

Re: How To Spend a Trillion Dollars

03/27/2008 10:24 AM

No Brainer...!

Actually I will be spending that between, here we go, --- "Dept. Of Social Services in General from recruiting to 'Clients ( PEOPLE ) NEEDS' and the whole spectrum overall". "The Homeless by putting them back in a HOME". "Schools and after Schools Programs". "Infracstructures at all levels". "HomeLand and Securities Dept. at All Levels from recruiting to communities needs". "Economical Boost at the Whole - Las Americas Region - (The New Continent)". "Business Promotions specially the Small Business". "Medical Technologies Advancements". "Energy Dept." " Treasury Dept. Controllers in order to sustain the distrbution balanced." "Justice Dept. Review and Reform the whole operations which will include ( Obsolute vs. New Laws )". "International Politics (Review and Reform) if possible. And etc. we have a plenty of issues in this whole continent that require inmediate attention due it detrimentals conditions at this moment that is very hard to overlook and let it go like that. If we concentrate all these resources investing in - Las Americas Region - (The New Continent) - I guess the whole panorama would look much better than what it is. I do believe that by re-mind the mind set the whole scenario will became in good shape. --And in the mean time just hope for the best to happen --

"In the Lord we Trust"

MC

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