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New York Fights for VH-71 Program

By Matthew Potter | May 7, 2009

It seems like Lockheed’s threats of layoffs in New York, and obvious behind the scenes lobbying, is having an effect. This report in The Star Gazette describes a proposal by New York states two Democratic senators, Schumer and Gillibrand, to try and keep the VH-71 Presidential Transport Helicopter program going.

This joint endeavor by Lockheed and Finmeccanica of Italy seen below in a Lockheed Martin video was recommended for cancellation by Secretary of Defense Gates in his FY10 budget proposal. The development is very behind schedule and over cost for a variety of reasons. The program was divided into two pieces with the first increment of nine aircraft being used for testing and interim service with a minimal set of requirements while increment two of fourteen would meet all of the needs specified by the Navy.

Increment two has a severe list of performance requirements while carrying a substantial load of protection equipment and communications gear. This has led to some of the issues as the EH 101 airframe needed to improve its load and performance capabilities. The two Senators are proposing to utilize the increment one aircraft on which a substantial amount of funds have already been spent to buy some capability to replace the aging H-3, UH-60 and CH-53 aircraft now being used. They also have proposed a smaller program to be looked at where the number and capabilities are reduced.

In the past with U.S., and other countries, acquisition programs there have been times when an attempt has been made to cut losses and just accept the available performance. The system then could be upgraded over time if funding and need were there. This has not always been acceptable to Congress, the user or the taxpayer although it can be argued, as the two Senators do here, that at least you are getting something for the money already spent. Unfortunately by not meeting all of the requirements or capabilities the military ends up with a system that has restrictions placed on its use that may make it incapable of carrying out necessary missions. That means an older or a brand new system will still have to do these adding to the cost overall.

This is what has happened with the British buy of CH-47 Chinook aircraft to support their Special Forces. Due to a contracting issue they were not certifiable for the planned missions and now after several years and tens of million of dollars they will be used to carry out less strenuous cargo missions. This means that eventually more money will be spent keeping the older CH-47 aircraft flying or on a new aircraft.

It is obvious that there will be continued conflicts in Congress until the final budget is completed in the Fall. Rumor has it the final budget with all details will be released in the next couple of weeks which may lead to more fights as the plans for smaller programs are realized.

Matthew Potter works supporting US Army aviation programs. He holds degrees in history as well as studying at the Defense Acquisition University. He has written for Seeking Alpha and at his own website, Defense Procurement News.

BNET User Analysis

Web Buzz:
  • Finmeccanica Comfortable with VH-71 Program End

    BNET Government - 230 days 18 hours 11 minutes ago

    Finmeccanica put out a press release in response to Secretary of Defense Gate's proposal to cancel the new Presidential transport helicopter. The VH-71 is an Augusta Westland platform that is being modified by Lockheed Martin. In the press release here at Avionews the company states that since the first increment is fully funded and eight of the...

  • Prescriptions: Gillibrand Opts for Socials and Web Sites Over Town Halls

    New York Times - 99 days 11 hours 20 minutes ago

    Hoping to avoid ugly scenes at town halls, some Democratic senators -- among them New York's Kirsten Gillibrand -- are experimenting with outreach events in other settings

  • Gates Moves Quickly To End Boeing And Lockheed Programs

    BNET Government - 189 days 18 hours 17 minutes ago

    In the proposed 2010 Defense Budget from the Obama Administration several large programs were recommended for termination. Two of the biggest were the Navy’s new Presidential Transport Helicopter, the VH-71, and the vehicle portion of the Army’s Future Combat System (FCS). The VH-71 had seen schedule and cost increase significantly over...

  • Lockheed Follows Through On VH-71 Job Cuts In New York

    BNET Government - 132 days 18 hours 5 minutes ago

    Lockheed Martin had stated in the past that the cancellation of the VH-71 Presidential Transport Helicopter would lead to job cuts at its Owego, NY facility. On Tuesday they announced that due to the Navy’s termination of the contract to modify the European made aircraft that another six hundred workers would lose their jobs. The company had...

  • Pentagon Denies VH-71 Cost Assertions

    Defense News - 46 days 5 hours 44 minutes ago

    Pentagon spokesman Geoff Morrell on Oct. 9 vigorously denied assertions by New York Rep. Maurice Hinchey that the Pentagon's replacement for the VH-71 presidential helicopter would cost three times more than the canceled aircraft. "With all due respect to Rep. Hinchey, his so-called facts and figures just don't comport to reality," Morrell said....

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