GAO to Investigate $40 Billion Tanker Contract

If the Air Force officials who awarded a $40 billion contract to Airbus and EADS (European Aeronautic Defence and Space Co.) were betting the outrage over the deal would die out quickly, they gambled wrong. A formal protest filed today by the Boeing Co. will be considered by the Government Accountability Office (GAO) to determine if the multi-billion contract was properly awarded.

From Seattle, WA and Wichita, KS to Washington, D.C., elected officials are going ballistic over the Air Force’s decision to outsource an entire fleet of U.S. military aircraft to a consortium that is heavily subsidized by European governments. “This is one of the worst decisions I’ve ever seen,” said Rep. Norm Dicks (D-WA), who echoed the sentiments of many lawmakers in the House and Senate who were stunned by the decision to bypass Boeing, a U.S. company that has been supplying the Air Force with refueling tankers for nearly 50 years.

The controversy gained fresh legs when Air Force officials admitted the impact on American jobs was not one of their criteria for awarding the contract, which could eventually be worth as much as $100 billion. Boeing officials also claim the Air Force changed its criteria after the bidding was underway, further favoring Airbus.

Leading the charge to give Airbus a leg up on the historic contract was none other than presidential aspirant John McCain (R-AZ), who prodded the Pentagon in 2006 to develop bidding procedures that did not exclude Airbus.

“Awarding this contract to Boeing would support at least 44,000 U.S. jobs in 40 states,” said IAM International President Tom Buffenbarger. “Instead, billions in U.S. taxpayer dollars will be used to create jobs in Toulouse, France, and give European countries the potential to influence U.S. foreign policy to an unprecedented degree.”