Thursday, March 5, 2009

Obama wants to costly defense contracts

President Barack Obama said Wednesday the U.S. government paid too much for something that is not necessary and ordered to disperse the costs "to suffer from huge cost overruns and fraud." Democrats, Republicans under fire for 3.5 billion dollars for its budget in 2010, also aimed at predecessor George Bush, and noted the costs of government contracts, to ensure that more than half a trillion dollars in the last eight years. Obama, who inherited a budget of 1,3 billion deficit when he took office on January 20, said wasteful spending is a problem in the power, but to zero in the defense industry, and expensive projects financed by the gun, immediately after the delay. " "Day of Defense, the contractor a blank check," Obama told reporters at a press conference about his reforms. Said ball is the cost of the project to Lockheed Martin Corp. to build a new fleet of presidential helicopters as an example for the purchase of "Ido fury." Defense companies, however, bristles at the suggestion that Obama was Running Wild on the taxpayers' money, and insisted he has always been oversight and accountability. Obama said that he was ordering the reform, the state-owned companies, a step to save taxpayers $ 40 billion per year and help reduce the budget deficit, which he estimated at $ 1 billion for the 75 fiscal year 2009. "We stop the outsourcing of services in public and open recruitment process for small business. We end with no extra money and spending, as well as contracts," he said. Critics say that in terms of cost, as well as contracts to invite abuse, because they allow companies to the detriment of the Government, as well as fixed costs to benefits, regardless of how bad their performance. Obama tried to demonstrate its determination to exercise fiscal discipline, even if public spending ratchets-up said that is crucial for the worst economic crisis in decades. Republicans, including his opponents in the election, Senator John McCain, the reform of public procurement, but said his budget proposal is part of the tax and spending policy of the attack. IN IRAQ Obama in the White House Budget Director Peter Orszag, to begin work with the Cabinet and officials of institutions to develop new guidelines for hiring at the end of September. "Too often, suffers from huge cost overruns, fraud and lack of oversight and accountability," said Obama, the campaign promises of radical change and greater accountability in Washington. "We give money for things you do not need, and we will pay more than you have to pay, and this is totally unacceptable. I reject the false choice between the country and some of the loss of billions of taxpayer dollars," he said. Obama said that the Government Accountability Office has examined the 95 largest defense projects in 2008 and found cost overruns in the US $ 295 million. "This is happening because of lack of control. It comes from the influence of trade and the justification without bidding contracts taxpayers billions of dollars," he said. Obama said the war in Iraq, where he said that too much money has been paid for services not performed, and the building was never completed, while the company skimmed the top. " Secretary of Defense Robert Gates said the Pentagon and Congress to make difficult decisions concerning expensive weapons programs, partly as a result of global economic weakness and the continuing war in Iraq and Afghanistan. Pentagon review of procurement procedures, and it is expected that a decision on the fate of big-ticket programs like Lockheed Martin F-22 jet first. Lockheed Martin, the Pentagon's largest provider of sales, said, on Wednesday to work with the Government and Congress to promote the effectiveness of the systems have been developed and deployed. Boeing Co. ", № 2 contractor, it was committed to" best value for taxpayers. " Aerospace Industries Association, U.S. defense contractor's first statement Obama disputed that there is a blank check to the contractor. "It has always been oversight, monitoring and enforcement of government procurement," said Sterling Cable, vice-president of the group.

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