November 12, 2018 | International, Aerospace, Naval, Land
By Aaron Boyd,
Rust costs the Pentagon more money annually than many of its most expensive weapons systems—up to $21 billion per year, according to a Defense Department-commissioned audit released in March.
The report indicates the corrosion of metals that make up modern weapons systems like fighter jets, ships, ballistic missiles and nuclear weapons can sometimes approach one-third of the total operations and maintenance costs of those systems.
The problem is so large, in 2002, the department established the Office of Corrosion Policy and Oversight to ensure big-dollar weapons systems weren't taken offline by oxidation and to help branches determine how much money ought to be spent on rust prevention.
But the data being reported by the military branches has been inconsistent and the office has yet to issue guidance on how funding levels should be categorized, according to a related audit released Thursday by the Government Accountability Office.
For example, “In fiscal year 2017, the Army and Navy used direct costs, such as salary and training costs, to identify their funding levels, but the Army also included other associated costs. The Air Force used the prior year's funding level and adjusted it for inflation,” the report states.
These different methods led to funding requests based on different criteria, making it difficult for Congress to determine what an appropriate funding level should look like.
It has also led to vastly different funding requests. In 2017, the Army requested $2.4 million and the Air Force $3 million, while the Navy only requested $220,000.
Similarly, all three branches either failed to accurately report the supporting data or, in the Air Force's case, did not provide any data at all some years.
“The Army data GAO received did not reconcile with data presented in the Corrosion Office annual reports to Congress for five of eight fiscal years,” auditors wrote. “The Navy data did not reconcile for two of eight fiscal years, and there was no supporting documentation identifying how these figures were calculated. Air Force officials did not provide any figures or supporting documentation for four fiscal years, stating that these figures were not available.”
Army officials told GAO they're not able to accurately report how much is spent preventing or combating corrosion because many of those duties are performed by personnel who do many other things, as well. This includes the Army's lead corrosion executive, who also serves as the aviation logistics and safety officer for the Army G-4 logistics organization.
“The corrosion-related costs of conducting the corrosion executive role are not separated from this other function,” they told GAO.
The Navy had a similar issue but took a different tack. The Navy merely requested $220,000 for the corrosion executive's salary, despite the fact that “this method does not capture other costs, such as personnel assigned to other offices that provide support to the corrosion executive.”
The misreported numbers don't appear to be malfeasance, according to the GAO report, but a natural consequence of a lack of direction from the Corrosion Office on how to identify funding needs and properly report that data.
GAO made three recommendations to the Defense Department:
Defense officials agreed with all three recommendations.
https://www.nextgov.com/cio-briefing/2018/11/rust-costs-pentagon-21-billion-year/152709/
April 3, 2023 | International, Aerospace
The airplane would be built from a stretched version of the C-130J and allow the president to communicate with nuclear-armed submarines in case of war.
October 27, 2020 | International, Naval
David Pugliese, Two reports by the parliamentary budget officer looking into the costs of major Canadian naval equipment projects have been delayed. The Commons Standing Committee on Government Operations and Estimates had unanimously passed a motion in June to request the Office of the Parliamentary Budget Officer undertake a costing analysis of the Royal Canadian Navy's new joint support ships as well as the leasing of the Asterix supply ship from a private firm. The PBO study was to also look at the cost of building the joint support ships in Canada at Seaspan shipyard in Vancouver. The committee asked that the PBO report be provided by Oct. 15. Another motion from the committee, passed later in June, asked the PBO to examine the $60 billion price tag of Canada's proposed new fleet of warships – the Canadian Surface Combatant or CSC. Parliamentary Budget Officer Yves Giroux was tasked to investigate the cost of the CSC as well as examine the cost of two other types of warships: the FREMM and the Type 31. That study was supposed to be presented to the committee by Oct. 22. But those original motions from the committee expired when Parliament was prorogued. So new motions have to be provided to the PBO. The Commons committee passed a new motion on Oct. 19 on the Asterix and Joint Support Ship analysis. That analysis is to be delivered by Nov. 30, PBO spokeswoman Sloane Mask told this newspaper. A date for the analysis to be made public has not yet been determined. “Currently, we are also in the process of confirming the revised timelines for the CSC report,” she added.There is particular interest in the defence community about what the PBO determines is the current price-tag of the Canadian Surface Combatant project. Last year the Liberal government signed an initial deal on CSC that is expected to lead to the eventual construction of 15 warships in the largest single government purchase in Canadian history. Lockheed Martin offered Canada the Type 26 warship designed by BAE in the United Kingdom. Irving is the prime contractor and the vessels will be built at its east coast shipyard. Construction of the first ship isn't expected to begin until the early 2020s. But the Canadian Surface Combatant program has already faced rising costs. In 2008, the then-Conservative government estimated the project would cost roughly $26 billion. But in 2015, Vice-Admiral Mark Norman, then commander of the navy, voiced concern that taxpayers may not have been given all the information about the program, publicly predicting the cost for the warships alone would approach $30 billion. The overall project is currently estimated to cost around $60 billion. “Approximately one-half of the CSC build cost is comprised of labour in the (Irving) Halifax yard and materials,” according to federal government documents obtained by this newspaper through the Access to Information law. But some members of parliament and industry representatives have privately questioned whether the CSC price-tag is too high. There have been suggestions that Canada could dump the Type 26 design and go for a cheaper alternative since the CSC project is still in early stages and costs to withdraw could be covered by savings from a less expensive ship. Canada had already been pitched on alternatives. In December 2017, the French and Italian governments proposed a plan in which Canada could build the FREMM frigate at Irving. Those governments offered to guarantee the cost of the 15 ships at a fixed $30 billion, but that was rejected by the Canadian government. The other type of warship the PBO will look at is the Type 31, which is to be built for the Royal Navy in the United Kingdom. Those ships are to cost less than $500 million each. In 2017, then Parliamentary Budget Officer Jean-Denis Fréchette estimated the CSC program would cost $61.82 billion. The entry of the BAE Type 26 warship in the Canadian competition was controversial from the start and sparked complaints that the procurement process was skewed to favour that vessel. Previously the Liberal government had said only mature existing designs or designs of ships already in service with other navies would be accepted on the grounds they could be built faster and would be less risky. Unproven designs can face challenges if problems are found once the vessel is in the water and operating. But the criteria was changed and the government and Irving accepted the BAE design, though at the time it existed only on the drawing board. Construction began on the first Type 26 frigate in the summer of 2017 for Britain's Royal Navy. https://www.thetelegram.com/news/canada/defence-watch-new-dates-set-for-budget-watchdogs-reports-on-major-naval-projects-512897
May 12, 2021 | International, Aerospace, Naval, Land, C4ISR, Security
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