Assessment of the Air Forces Plan to Acquire 100 Boeing Tanker Aircraft
Abstract
As you requested in your letter of July 14, 2003, the Congressional Budget Office (CBO) has reviewed the Air Force's report on its plan to lease 100 Boeing KC-767A aerial refueling aircraft. In that report, submitted to the Congress on July 11, 2003, the Air Force concluded that its plan to acquire the aircraft using a leasing arrangement would cost about $150 million more (expressed in net-present-value terms) than an outright purchase. According to the report, the proposed leasing arrangement meets all requirements of the Department of Defense Appropriations Act, 2002, including criteria for an operating lease specified in the Office of Management and Budget's (OMBs) Circular A-11, Preparation, Submission, and Execution of the Budget and leasing is the preferred approach because of the "advantage it affords for quickly delivering needed tankers to our warfighters without requiring significant up-front funding."
Document Details
- Document Type
- Technical Report
- Publication Date
- Aug 26, 2003
- Accession Number
- AD1134771
Entities
People
- Douglas Holtz-eakin
Organizations
- Congressional Budget Office