Nearly Half the Pentagon Budget Goes To Contractors

In fiscal year 2016, the Pentagon issued $304 billion in contract awards to corporations—nearly half of the department’s $600 billion-plus budget for that year.

the biggest beneficiaries by a country mile were

  1. Lockheed Martin ($36.2 billion),
  2. Boeing ($24.3 billion),
  3. Raytheon ($12.8 billion),
  4. General Dynamics ($12.7 billion), and
  5. Northrop Grumman ($10.7 billion).

Together, these five firms gobbled up nearly $100 billion of your tax dollars, about one-third of all the Pentagon’s contract awards in 2016.

Health care companies like

  1. Humana ($3.6 billion),
  2. UnitedHealth Group ($2.9 billion), and
  3. Health Net ($2.6 billion) cash in as well,

and they’re joined by, among others, pharmaceutical companies like

  • McKesson ($2.7 billion) and

universities deeply involved in military-industrial complex research like

  • MIT ($1 billion) and
  • Johns Hopkins ($902 million).

.. The heads of the top five Pentagon contractors—Lockheed Martin, Boeing, Raytheon, General Dynamics, and Northrop Grumman—made a cumulative $96 million last year.

These are companies that are significantly or, in the cases of Lockheed Martin and Northrop Grumman, almost entirely dependent on government dollars.

.. Donald Trump initially spent a fair amount of tweeting energy bragging about how he was going to bring such contractors to heel on their pricing practices for weapons systems. In fact, he’s already turned out to be good news indeed for major contractors, most of whom have seen sharp upturns in revenues and profits

.. Trump has proven eager to lift restrictions on U.S. weapons sales abroad (and enlist State Department and Pentagon officials to spend more of their time shilling such weaponry).

.. The arms industry’s investment in lobbying is even more impressive. The defense sector has spent a total of more than $1 billion on that productive activity since 2009, employing anywhere from 700 to 1,000 lobbyists in any given year.

.. you’re talking about significantly more than one lobbyist per member of Congress, the majority of whom zipped through Washington’s famed “revolving door”; they moved, that is, from positions in Congress or the Pentagon to posts at weapons companies from which they could proselytize their former colleagues.

.. Two analysts from U.S. war colleges have estimated that about 300 deliverable nuclear warheads would be enough to dissuade any nation from attacking the United States with a nuclear weapon.

.. And note that the current trillion-dollar “modernization” program for the nuclear arsenal was initiated under President Barack Obama, a man who won the Nobel Prize for his urge to abolish all such weaponry.

.. In 2011, a study by economists from the University of Massachusetts made this blindingly clear.  What they showed was that military spending is the worst way to create jobs. Putting the same money into any other area—from infrastructure to transportation to alternative energy to healthcare or education—creates up to twice as many jobs as military spending does.

.. Contractors aid and abet the process of investing in the Pentagon by routinely exaggerating the number of jobs their programs create.

.. the best jobs generated by Pentagon spending are the ones for well-heeled lobbyists and overpaid corporate executives.

.. So the next time someone suggests that the Pentagon needs yet more money for the troops, just remember that what they’re actually talking about are troops of overpaid defense contractors, not members of the armed forces.

A ‘pressure cooker’: Trump’s frustration and fury rupture alliances, threaten agenda

Frustrated by his Cabinet and angry that he has not received enough credit for his handling of three successive hurricanes, President Trump is now lashing out, rupturing alliances and imperiling his legislative agenda, numerous White House officials and outside advisers said Monday.

.. In doing so, Trump is laboring to solidify his standing with his populist base and return to the comforts of his campaign — especially after the embarrassing defeat of Sen. Luther Strange (R) in last month’s Alabama special election, despite the president’s trip there to campaign with the senator.

.. Sen. Bob Corker’s brutal assessment of Trump’s fitness for office — warning that the president’s reckless behavior could launch the nation “on the path to World War III” — also hit like a thunderclap inside the White House, where aides feared possible ripple effects among other Republicans on Capitol Hill.

.. The most vocal Trump defender was the one under the president’s employ, Vice President Pence.

.. One Trump confidant likened the president to a whistling teapot, saying that when he does not blow off steam, he can turn into a pressure cooker and explode. “I think we are in pressure cooker territory,”

.. Pence’s office blasted out a blanket response under the vice president’s name addressing “criticisms of the president.” The statement bemoaned “empty rhetoric and baseless attacks” against Trump while touting his handling of global threats, from Islamic State terrorists to North Korea.

.. “We have been watching the slow-motion breakup of the Republican Party, and Trump is doing what he can to speed it up,” said Patrick Caddel

.. “Trump is firmly placing himself on the outside, trying to become an almost independent president,”

.. “He knows that many people will be with him, that he helps himself when he’s not seen as the Republican president. But what about his program?

.. Other Trump aides blame Corker for what they consider an act of betrayal, arguing that he started the feud in a bid for relevance by a lame-duck lawmaker

They also accuse Corker of hypocrisy, noting that he was chummy with Trump and did not voice any concerns about his leadership style when he thought he might be picked as vice president or secretary of state.

.. “Donald Trump never truly severs relationships. There is always a dialogue. And with Corker, this isn’t a total endpoint. Trump sees relationships as negotiations, and that’s what they’re in.”

.. Trump is also without his longtime aide-de-camp and former head of security, Keith Schiller

.. His absence has left Trump with few generational peers with whom he feels comfortable venting about his staff or his rivals

.. Barrack has been buzzed about as a possible replacement for Kelly, should tensions between the president and his top aide become unsustainable.

.. his efforts thus far are focused on energizing and solidifying the 40 percent of Americans who were with him, primarily by attacking the 60 percent who were not,”

Meet Me in St. Louis, Bezos

If Donald Trump were the deal making, industrial-policy president that he once promised to be, he would be on the phone with Jeff Bezos right now, making a case along these very lines — while hinting, broadly and of course nonthreateningly (har, har), at the political benefits of opening Amazon St. Louis or Amazon Detroit, of being seen as a company that renews cities and doesn’t just put brick and mortar out of business.

.. But when you enjoy a monopoly’s powers, one way to avoid being regulated like one is to act with a kind pre-emptive patriotism, and behave as though what’s good for America is good for Amazon as well.

‘Trump betrays everyone’: The president has a long record as an unpredictable ally

President Trump prepared for the pivotal meeting with congressional leaders by huddling with his senior team — his chief of staff, his legislative director and the heads of Treasury and the Office of Management and Budget — to game out various scenarios on how to fund the government, raise the debt ceiling and provide Hurricane Harvey relief.

But one option they never considered was the that one the president ultimately chose: cutting a deal with Democratic lawmakers, to the shock and ire of his own party.

.. The president was an unpredictable — and, some would say, untrustworthy — negotiating partner with not only congressional Republicans but also with his Cabinet members and top aides.

.. His dealings are frequently defined by freewheeling spontaneity, impulsive decisions and a desire to keep everyone guessing — especially those who assume they can control him.

.. He also repeatedly demonstrates that, while he demands absolute loyalty from others, he is ultimately loyal to no one but himself.

.. “It makes all of their normalizing and ‘Trumpsplaining’ look silly and hollow,”

..  “Trump betrays everyone:

  • wives,
  • business associates,
  • contractors,
  • bankers and now,
  • the leaders of the House and Senate in his own party.

They can’t explain this away as [a] 15-dimensional Trump chess game. It’s a dishonest person behaving according to his long-established pattern.”

.. he relished the opportunity for a bipartisan agreement and the praise he anticipated it would bring

.. On Thursday morning, he called Pelosi and Schumer to crow about coverage of the deal — “The press has been incredible,” he told Pelosi

.. The treasury secretary presented himself as a Wall Street insider, arguing that the stability of the markets required an 18-month extension.

At one point, Schumer intervened with a skeptical question: “So the markets dictate one month past the 2018 election?” he asked, rhetorically, according to someone with knowledge of his comment. “I doubt that.”

.. The Republican leaders and Mnuchin slowly began moderating their demands, moving from their initial pitch down to 12 months and then six months. At one point, when Mnuchin was in the middle of yet another explanation, the president cut him off, making it clear that he disagreed.

.. Lee Zeldin (R-N.Y.) ..

.. “I support the president, I want him to be successful, I want our country to be successful,” Zeldin said in an interview afterward. “But I personally believe the president had more leverage than he may have realized. He had more Democratic votes than he realized, and could have and would have certainly gotten a better deal.”

.. Trump is a fickle ally and partner, liable to turn on them much in the same way he has turned on his business associates and foreign allies.

.. “Looking to the long term, trust and reliability have been essential ingredients in productive relationships between the president and Congress,” said Phil Schiliro, who served as director of legislative affairs under Obama. “Without them, trying to move a legislative agenda is like juggling on quicksand. It usually doesn’t end well.”