Then I read this article off of the Quartz site, about Elon
Musk of Space-X claiming that his company lost out on a multi-billion dollar
contract because they declined to offer the government official awarding that
contract a job, but the competition did. The facts of the case are a little
murky, but no one is disputing the fact that a contract for 36 satellite launches
were awarded to United Launch Alliance (ULA), a joint venture of Lockheed
Martin and Boeing, on a no-bid contract, or that the official who approved that
contract (Roger S. Correll) was subsequently given an extremely lucrative
executive position with ULA immediately after his retirement from government
service. And while it seems fantastical to believe that anyone would risk “fixing”
a government contract in such a blatantly improper fashion, I’m unable to come
up with any other explanation for what is going on here…
As a taxpayer, I find this sort of thing infuriating, but
not really surprising. During the previous Administration we saw no-bid
contracts for Halliburton (and others) supplying the invasion of Iraq, and if
you look you will find similar arrangements in every Federal budget since
President Eisenhower warned us about the consequences of a “Military-Industrial
Complex” taking control of our government. What I find especially heinous about
this particular story is that the United States government stands to gain more
from the commercial development of outer space than anyone in this Hemisphere,
and possibly in the world, which makes stifling all opportunities in that
industry not merely corrupt, but also self-destructive. If the claims made by
Space-X are true, and they really can launch satellites for a quarter of the
price we are currently paying, then our government is quite literally
squandering billions of your tax dollars while borrowing ever-larger amounts on
credit…
Now, it must be admitted that at least some of the money being
given to ULA will benefit our economy; they will have to at least produce
launch vehicles (even at a 400% markup) or risk having the contract rescinded. And
this will, in turn, allow the participating companies to hire and pay their
employees, and order parts and materials from other companies that will do
likewise, thus cycling more money into the economy and improving our present
conditions. I just can’t help thinking that on a no-bid contract there is no
reason for company executives to include huge bonuses for themselves – and while
I have no objection to paying for value received, regardless of the form it
takes, I do have a problem with people enriching themselves at the expense of
the public while returning nothing of value except electable politicians…
I will leave the comments about the ethics, morality or
legality of no-bid contracts to those better qualified, and just close by
saying that from a business standpoint they can indeed be categorized as “criminally
stupid” – and that there is no way we will ever advance into space if we keep
trying to haul this much pork along with us…