With Air Force Moving Quickly To Wrap Up The CSAR-X Contract, Schumer Renews Call To Reopen The Books
Today, U.S. Senator Charles E. Schumer renewed his call for the Air Force to open up the books on the flawed bidding process that led to Boeing being awarded the Combat Search and Rescue - Personnel Recovery Vehicle (CSAR-X) over Sikorsky and Lockheed Martin. The partnership planned to build the vehicle in Owego. In February, the Government Accountability Office (GAO) sustained a protest filed by Lockheed Martin and Sikorsky Aircraft, saying that the U.S. Air Force failed to properly evaluate the true costs of the bids. Schumer said that the Air Force is moving very quickly to limit the inputs from industry, reapprove the Boeing deal, and may close out Lockheed for good.
"If the Air Force doesn't change course right now, Lockheed Martin may be shut out for good by an unfair bidding process," Schumer said. "The workers at the Owego plant never got a fair shot at securing this contract, and if the Air Force gets its way, they never will. The GAO clearly found that the first bidding process was flawed. In order to be fair to Lockheed, the people of Owego and the taxpayers, the Air Force must reopen this massive $15 billion contract." The Air Force responded to the scathing GAO report saying it will "comply with the intent of the recommendations more narrowly." Schumer said that while this is a good first step, in order to give Lockheed a fair shot, the Air Force must reopen the bidding process completely and allow a new competitive process with all companies competing on a level playing field. The GAO report clearly stated that the Air Force had erred in its contract award to Boeing saying the military based its review of the proposals on criteria that were inconsistent with the approach quoted in the official specifications.
According to Lockheed Martin, 200 jobs would be added to the Owego facility if Lockheed were awarded the $15 billion contract. In his letter Schumer said, "I strongly believe that the Air Force should use this opportunity to determine if industry can offer improved proposals within the same time frame that will provide additional value to the taxpayer. Therefore, I again I urge the Air Force to issue an amended RFP, re-open discussions with the bidders, request revised proposals, and hold a fair and open re-evaluation." In 2005, Schumer aggressively and repeatedly advocated to Pentagon officials to support Lockheed's bid for the contract. Schumer supported the US 101 bid because it could create 700 jobs in Owego, and because the Lockheed helicopter is uniquely equipped to handle transporting the President. The contract on the Presidential fleet would allow the selected company to lead production of presidential helicopters that fly the President from the White House lawn to local destinations or to Air Force One for longer trips. The aircraft would be delivered by 2009.