Tuesday, December 6, 2016

Trump Says US Should 'Cancel Order' for New Air Force One

  1. begin quote from:
    The president-elect tweeted that the cost of the project — a $4 billion contract for two planes to serve as Air Force One — is “out of control.” The company’s 747-8 is the only plane made in the U.S. that could meet the requirements for the presidential aircraft.

     

     

    Trump Says US Should 'Cancel Order' for New Air Force One, Citing...

    www.wsj.com/articles/trump-says-u-s-should-cancel-order-for-...
    2 hours ago ... Air Force One, which is made by Boeing, flies over a neighborhood of Havana ... the U.S. president should be canceled because “costs are out of control, ... In January, Boeing secured a contract from the Pentagon to start ...
  2. President-elect Donald Trump says cancel new Air Force One: Costs...

    www.theherald-news.com/2016/12/06/president-elect-donald-tru...
    2 hours ago ... NEW YORK – Six weeks from taking office, Donald Trump says he wants the ... The government has contracted with Boeing to build two or more new ... The contract for the planes was to be about $3 billion, but costs ... 747 Air Force One for future presidents, but costs are out of control, more than $4 billion.
  3. White House Seeking New Air Force Ones | Military.com

    www.military.com/daily-news/2016/11/16/white-house-seeking-n...
    Nov 16, 2016 ... U.S. President-elect Donald Trump, left, and Taiwan's President Tsai Ing-wen ... So far, the Air Force has awarded $169 million in contracts, he said. ... Boeing says the next Air Force One will be larger, faster, and fly further than the ... In 2009, high costs spiraled to a reported estimate of $13 billion for a new ... 

    Citing high cost, Trump says Boeing’s contract to build Air Force One should be canceled

    Trump accuses Boeing of 'doing a little bit of a number' with new Air Force One

    Play Video1:06
    Shortly after tweeting that Boeing’s contract to build the next Air Force One should be canceled, Dec. 6, President-elect Trump told reporters in the lobby of Trump Tower he wants the company "to make a lot of money but not that much money." (The Washington Post)
    President-elect Donald Trump tweeted Tuesday morning that Boeing’s contract to build the next Air Force One should be canceled because of the high cost of the program.
    Boeing was selected as the manufacturer in January 2015, but it wasn’t much of a competition. Boeing’s 747-8 was the only plane made in the United States that could meet the requirements for the presidential aircraft while also being “consistent with the national public interest,” Air Force Secretary Deborah Lee James said in a statement at the time.
    She insisted that the Pentagon “will insist upon program affordability through cost-conscious procurement practices.”
    Talking to reporters Tuesday morning at Trump Tower in Manhattan, Trump explained his tweet: “The plane is totally out of control. It’s going to be over $4 billion for Air Force One program, and I think it’s ridiculous. I think Boeing is doing a little bit of a number. We want Boeing to make a lot of money, but not that much money.”
    And in a call with reporters, Trump spokesman Jason Miller said that Trump plans to closely examine the Pentagon’s budget and look for areas where he can find savings.
    “I think this really speaks to the president-elect’s focus on keeping costs down across the board with regard to government spending,” he said. “I think people are really frustrated with some of the big price tags that are coming out for programs, even in addition to this one. So we’re going to look for areas where we can keep costs down and look for ways where we can save money.”
    In a statement, Boeing said that so far it is only under contract for $170 million. And that’s not yet for manufacturing, but rather “to help determine the capabilities of this complex military aircraft that serves the unique requirements of the President of the United States. We look forward to working with the U.S. Air Force on subsequent phases of the program allowing us to deliver the best plane for the president at the best value for the American taxpayer.”
    An Air Force official, not authorized to speak publicly about the program, said that the current plane will be 30 years old next year, and the new ones aren’t slated to come online until the mid-2020s. By then the technology aboard the current plane will be dated and it will become increasingly hard to maintain it. Any delays to replace it could cause significant problems, the official said.
    Richard Aboulafia, an aerospace analyst with the Teal Group, said Trump’s tweet was “completely nonsensical and based on exactly nothing. But it’s very difficult to adjudicate on complicated program management and military requirements questions with Twitter as your medium.”
    Loren Thompson, a defense consultant, said that “Air Force One has unique communications, safety and self-protection features so that the president can function under the most trying circumstances — like nuclear war.” The price tag, he said, “is driven by the demands of the mission.”
    Boeing is under contract to build two planes to serve as Air Force One, said Todd Harrison, a defense analyst with the Center for Strategic and International Studies. “I think once [Trump] sees an actual Air Force One and the unique capabilities it is outfitted with he may start to understand why it is so expensive to replace,” Harrison said.
    Air Force One is a symbol of presidential power at home and abroad, servicing under the call sign “Air Force One” when the president is on board. But it is also a “flying command post,” as Harrison said. “In the event of a nuclear attack, this is where the military will keep the president safe,” he said.
    Trump’s tweet was reminiscent of when Sen. John McCain took aim at the fleet of presidential helicopters at the beginning of the Obama administration, saying in 2009, “I don’t think that there’s any more graphic demonstration of how good ideas have cost taxpayers an enormous amount of money.”
    President Obama, then just a few weeks in office, said the fleet was “an example of the procurement process gone amok” leading defense officials to kill the program outright and then restart the procurement process. By then, the helicopter program was well underway and did have significant problems.
    But Air Force One is different, Harrison said, because “it’s still very, very early. It hasn’t had a chance to have any cost overruns yet.” He said it was curious that Trump would single out Air Force One when there are so many other defense programs that have gone wildly over budget and behind schedule.
    But this isn’t the first time Trump has highlighted the costs of Air Force One. In July, he objected to the use of the plane for campaign events: “Taxpayers are paying a fortune for the use of Air Force One on the campaign trail by President Obama and Crooked Hillary,” he tweeted. “A total disgrace!”
    He brought it up again at a rally in North Carolina in July. “Now Air Force One is a very old Boeing 747,” Trump said. “It sucks up a lot of gas. A lot of fuel. Boy, the fuel bill. You turn on those engines, I can tell you, it’s a lot of money.”
    Trump reported owning between $50,001 and $100,000 in Boeing stock in his most recent financial disclosure, which was filed in May 2016 and disclosed his 2015 holdings. He sold the shares in June, according to his spokesman. Boeing’s stock was down 0.64 percent in morning trading.
    Jenna Johnson contributed to this report.
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