Air Force tanker decision comes under fire

House members blast choice because it involves a foreign aircraft.

WASHINGTON — Members of a House subcommittee grilled Air Force officials today over the surprise decision to award a $40-billion aircraft contract to Northrop Grumman Corp. and European partner Airbus, with lawmakers arguing the decision would send coveted jobs overseas.

Sue C. Payton, assistant Air Force secretary for acquisition, told the panel that the Northrop-Airbus bid provided a better "overall value" than that of rival Boeing Co.

But several lawmakers angrily argued that U.S. weapons systems should be made by American companies. Airbus is based in Toulouse, France.

"All the major parts of this plane will be built in Europe," Rep. Norman Dicks (D-Wash.) said while pointing at Payton. "There's going to be very little added to that in the United States. I just think this is totally unfair, and I hope we can do the right thing, which is to build this with an American company with American workers."

Northrop, which is based in Century City, said shortly after the hearing that in fact 60% of the parts for the plane will be made by U.S. companies and that it would be assembled in Mobile, Ala.

The congressional backlash to Friday's contract announcement was expected.

Payton said that while she understood the committee's concerns, the Buy American Act doesn't allow the Air Force to consider job creation among criteria used to evaluate bids.

"I wish I could reward someone I like," Payton told the committee. "But according to law, these things can't enter into the decisions made in acquisitions."

Defense Secretary Robert M. Gates said in a Pentagon news conference Wednesday that the contract was awarded based on rules created by Congress.

"And if there's a desire to change the rules of the game in terms of how these competitions are carried out, then clearly the Congress can do that through statute," Gates said.

Payton said she could not discuss specifics of the Air Force's decision until executives of Chicago-based Boeing were briefed on why the contract was awarded to the Northrop-Airbus team. The briefing is expected to take place Friday, with a follow-up meeting with Northrop expected for next week.

After that second briefing, Rep. John Murtha (D-Pa.), chairman of the House defense appropriations subcommittee, said Air Force representatives would be called back for a closed door meeting with the panel in which details could be discussed.


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