(Host) Many support services for the military are now being supplied by the private sector, and commentator Bill Seamans says that the practice is coming under scrutiny.
(Seamans) Privatization has been one of President Bush’s economic battle cries. It also is one of the Pentagon’s little-told stories – the degree to which Defense Secretary Donald Rumsfeld is privatizing or outsourcing significant segments of the Army’s operations in Iraq.
Up to now, the military privatizing story has been mainly the butt of Leno and Letterman jokes—like the one about how the Halliburton Corporation is the construction arm of the White House. Halliburton, as we know, was once headed byVice President Dick Cheny, and was the winner of non-bid multi-billion dollar contracts and virtual monopoly control over the reconstruction of Iraq.
The Bush response to critics is that Halliburton and its subsidiary, Brown and Root, got their sweet-deal contracts because it was imperative that we move fast to repair Iraq and Halliburton had year’s of experience in the area. It was said that starting the postwar repair job quickly was so urgent that there was no time for the lengthy process of competitive bidding and that everything was done legally.
The extent to which the Army’s logistical support operations have been privatized is really an eye-opener…Civilian employees run mess halls feeding 100,000 troops. They are building a camp, moving supplies, delivering mail, repairing vehicles and helicopters, and even training the new Iraq police force and army.
The Washington Post observed that Halliburton employees often dressed in Army fatiques with civilian shoulder patches and they have become an integral part of Army life in Iraq. It’s said they are releasing G.I.’s for combat duty at a time when our troops are being stretched thin by the guerilla war.
But all this may become a major campaign issue. Democratic Representative Henry Waxman of California has asked for the spreadsheets and is checking on whether the privatrizing is leading to inordinate war profiteering. He said the amount of money earned by Hallitburton is quite staggering.
Waxman is looking into problems of accountability, transparancy and questionable billing practices. Also, the contract civilians do not come under military law therefore are essentially out of control by the Army commanders in their area. Without this discipline military observers ask could the civilians bug out if in danger and abandon the critical logistical support for our troops?
Overall is the spectre of war profiteering by what critics call a politically-favored company – it’s called Blood Money. President Roosevelt said during World War Two I don’t want to see a single war millionaire created by this disaster and Congress approved a war profits tax.
Thus the question – because the amount of money we will spend on Iraq is approaching the size of the World War Two Marshal Plan – will President Bush also call for an excess profits tax?
This is Bill Seamans.
Award-winning journalist Bill Seamans is a former correspondent and Bureau Chief for ABC News in the Middle East. He spoke from our studio in Norwich.