Tipping the Balance

Deputy Defense Secretary William Lynn, who is also the Pentagon's chief management officer, testified this morning before the House Armed Services Committee about Pentagon acquisition matters. Some lawmakers went out of their way to avoid asking the question which pending acquisition reform bill, the House's or the Senate's, Defense Department leaders prefer. Lynn, in turn, only said both pieces of legislation go "in the right direction" by addressing programs' technology shortcomings in early development stages.

Beside the two congressional efforts, Pentagon officials also are looking at acquisition-related issues during the Quadrennial Defense Review.

In the area of program cost projections, Lynn offered some thoughts on who he believes should be the ultimately authority in estimating how much programs may end up costing taxpayers -- program managers or the Office of the Secretary of Defense's Cost Analysis Improvement Group (CAIG).

When assessing programs, the Pentagon acquisition chief should have both estimates available, but -- "all things being equal" -- go with the CAIG estimate, Lynn said.

Later in the hearing, Lynn did express a preference for the House acquisition reform bill's provisions regarding the CAIG. The panel, which he described as the "best in the building" for cost analysis, should remain under OSD's director for program analysis and evaluation, Lynn said. The Senate bill would make the office a stand-alone organization at DOD.