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WORD COUNT 612                                                                                                                                                                            MAY 28, 2008

SUCH WASTE YOU WOULDN’T BELIEVE – by Jack Shanahan 

What would we do with a big corporation that lost $1 trillion? What if that company operated with $700 billion budgets and couldn’t pass an independent audit? 

Nowhere in the world would such extravagant mismanagement be tolerated, and yet this outlandish scenario is the reality in the Pentagon.  

America’s defense budget exceeds $500 billion a year—not counting the “emergency” spending on the wars in Iraq and Afghanistan—more than the military spending in all other nations in the world combined. Add in the $12 billion we are burning in Iraq each month, and we are seeing the highest Pentagon budgets since the end of World War II. 

The $1 trillion figure is the amount of money, in 2007 alone, that the United States Army cannot back up with documents and receipts, according to a report in a Conde-Nast magazine. However, the Army is one of only four branches of the armed services, each of which has its own dysfunctional accounting systems and bureaucratic imperatives to inflate budgets. 

I use the word “inflate” deliberately. A recent report from the non-partisan Government Accountability Office revealed that 95 major Pentagon weapon systems (meaning fighter jets, cargo planes, and ships) have all run behind schedule and exceeded projected budgets by $295 billion. 

Each service branch has invested loads of political and financial capital in building military hardware since the end of the Cold War, but any real effort to exercise scrutiny over these projects went out the window in the spending bonanza after September 11. 

Weapons systems like the Air Force’s F-22 Raptor fighter jet, the Marines’ V-22 Osprey hybrid aircraft, and the Navy’s Virginia-class submarine have been in the works since America squared off against the Soviets, but they persist in Pentagon budgets without any comparable threat from a modern superpower. Meanwhile, they survive obsolescence at taxpayer expense, to the tune of tens of billions of dollars each year. 

What this profligate spending means to a nation fighting two wars in Iraq and Afghanistan is that we are spending hundreds of billions of dollars on high-tech weaponry without a penny of it going to the most immediate threat to our security. 

We might ask ourselves, what can be done to right the ship at the Pentagon?  

Winslow Wheeler at the non-profit Center for Defense Information in Washington, D.C., has outlined several possible solutions, including a pause in new weapons contracts, an independent panel to phase out unneeded weapons programs, and eliminating pork-barrel spending in Congress. But in truth, any common-sense approaches to fixing the Pentagon will require fundamental reforms in the political process in Washington and the democratic institutions that are charged with oversight. However, we do not see the kind of media scrutiny or political frenzy that would normally accompany this sort of scandal in the private sector or just about any other government agency outside of defense. 

Major reforms in American government tend to occur in reaction to a crisis or a giant popular outcry, and major reforms will be needed in the Pentagon. Again, according to the Conde-Nast report, the Pentagon inspector general tried and failed to conduct an audit of our military spending every year between 1990 and 2002. Now, the earliest estimate for an audit to be completed is 2016. 

More important still, any vague talk of cracking down on waste, even in the form of “straight talk” from presidential candidate John McCain, will only amount to more of the same budgetary mess unless we confront the biggest drain on our military resources: The war in Iraq.  

Until we own up to our mistakes in Iraq, the mess at the Pentagon will remain, waiting for us to clean it up. 

-- 

Vice Admiral Jack Shanahan (ret.) is the former commander of the U.S. Second Fleet. – A photo of Jack Shanahan is available CLICK HERE

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