Boeing Parts Costs Push Senators to Target Defense Price Gouging

Pentagon contractors must notify the government if the price of spare parts for sustainment contracts jumps by more than 25%, under bipartisan legislation from Sens. Elizabeth Warren (D-Mass.), Chuck Grassley (R-Iowa), and Joni Ernst (R-Iowa).

The bill reported first by Bloomberg Government is intended to prevent price gouging on sole-source contracts obtained without competitive bidding to sustain weapons, aircraft, ships and vehicles long-term. The Pentagon's Inspector General last year concluded the US Air Force paid more than 80 times the commercial cost for lavatory soap dispensers on the Boeing Co. C-17 military transportation aircraft.

…

Read the full story here.

• Print
• Email
• Tweet