The Air Force KC-767 Tanker Lease Proposal: Key Issues for Congress

Abstract

The Air Force wishes to replace its KC-135E aircraft by leasing 100 new Boeing KC-767 tankers. The Air Force indicates that leasing is preferred because it will result in faster deliveries than outright purchasing. Air Force leaders argue that a lease will allow them to husband scarce procurement dollars by making a small down payment. Although Congress authorized the proposed lease in the FY2002 DOD Appropriations Act, it stipulated that the defense oversight committees must approve the lease only the Senate Armed Services Committee has yet to approve. The lease proposal has been controversial and issues raised thus far include: Whether there is an urgent need to replace the KC-135-135 fleet. The Air Force states that replacing the KC-135 is urgent, citing high costs, aircraft vulnerability to catastrophic problems, and the imminent closing of the 767 production line. Opponents of the lease state that operating costs are controllable and will be far lower than the overall costs of leasing the 767; that the vulnerability is no more than depicted in a 2-year old study which the Air Force found acceptable; and that the 767 production line is viable until 2006-2008. Whether the KC-767 is the right airplane. If acquired, the KC-767 may be in DoD's inventory for 50 years. The Air Force says that the KC-767 is much more capable than the KC-135. Opponents say that other aircraft are even better than the KC-767 in meeting the Air Force's requirements. The Air Force opposes re-engining KC-135Es, but opponents say it merits attention, as does outsourcing aerial refueling.

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Document Details

Document Type
Technical Report
Publication Date
Sep 02, 2003
Accession Number
ADA435734

Entities

People

  • Christopher Bolkcom

Organizations

  • Defense Acquisition University

Tags

Communities of Interest

  • Air Platforms
  • Ground and Sea Platforms

DTIC Thesaurus Topics

  • Air Force
  • Aircraft Equipment
  • Aircraft Industry
  • Aircrafts
  • Airframes
  • Commercial Aircraft
  • Commercial Aviation
  • Congress
  • Employment
  • Fighter Aircraft
  • Military Acquisition
  • Military Aircraft
  • National Security
  • Personnel Management
  • Tanker Aircraft
  • Transport Aircraft

Readers

  • Aerospace logistics and air mobility.
  • Economics
  • Public Financial Management and Budgeting