Nuke Lab Contractors Illegal Lobbying

Adam Johnson writes: “As tensions between the United States and North Korea continue to rise, one think tank, the Center for Strategic and International Studies (CSIS), has become a ubiquitous voice on the topic of missile defense, providing Official-Sounding Quotes to dozens of reporters in Western media outlets. All of these quotes speak to the urgent threat of North Korea and how important the United States’s deployment of the Terminal High Altitude Area Defense (THAAD) missile system is to South Korea…

“In the past year, FAIR has noted 30 media mentions of CSIS pushing the THAAD missile system or its underlying value proposition in US media, most of them in the past two months. Business Insider was the most eager venue for the think tank’s analysts, routinely copying and pasting CSIS talking points in stories warning of the North Korean menace.
Last August (8/8/16), the New York Times revealed internal documents of CSIS (and the Brookings Institution) showing how the think tanks acted as undisclosed lobbyists for weapons manufacturers…

**Note that the top 10 corporate donors to CSIS include 5 top defense contractors: Lockheed, Northrup-Grumman, Boeing, General Dynamics and Leonardo-Finmeccanica. see CSIS

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Allegations of illegally spending federal funds to lobby for new funds now encompass contractors working at six of the eight U.S. nuclear weapons sites. 

By Patrick Malone, Center for Public Integrity

This time it’s Bechtel and URS Corp

The latest settlement involves work by Bechtel National Inc. and its parent Bechtel Corp., and URS Corp. and its subsidiary URS Energy and Construction Inc., which together have been trying to clean up the Hanford Nuclear Reservation, in Washington state, the most toxic site in the country. The settlement is part of an emerging pattern.

Lockheed Martin Corp., which operates one of three U.S. nuclear weapons laboratories – Sandia, agreed in August 2015 to pay $4.7 million to settle a complaint by the Justice Department that it used federal funds to lobby for a no-bid contract extension. In December of 2016, Department of Energy selected a different contractor team, led by Honeywell International, to run Sandia for up to a decade, beginning next year.)
Meanwhile, Fluor Corp. paid $1.1 million in April 2013 to settle accusations that it used federal funds to lobby government agencies for more business at its Hanford training facility.

(Read more at PublicIntegrity.org)

Lockheed Martin manages the Nevada National Security Site, Sandia National Laboratories, together with Bechtel The Y-12 National Security Site, and the Pantex Plant in Texas.

Last fall, Washington Business Journal reported that

“if anyone is benefitting from the unease between Russia and the rest of the world, it would have to be Bethesda-based Lockheed Martin Corp. (NYSE: LMT). The company is positioned to make large profits off what could very well be an international military spending spree by Russia’s neighbors.”

“Yesterday, the department’s inspector general released a revised special inquiry report with fewer redactions in response to an appeal under the Freedom of Information Act. The new document is still heavy with white out but does show more of who was helping Sandia as well as who they were trying to influence on Capitol Hill and the Obama administration…”

Note that five of the ten “Worst Things” directly involve New Mexico’s ex-Congresswoman Heather Wilson. (read more)

Nukewatch’s Jay Coghlan adds these remarks in regard to Heather Wilson:

Ex-Congresswoman Heather Wilson was appointed by John Boehner to be on the Congressional Advisory Panel on the Governance of the Nuclear Security Enterprise. In December 2014 the Panel came out with its long awaited report, “A New Foundation for the Nuclear Enterprise”, which benefited the contractors. For example, it argued for diminished federal oversight over contractors, which flies in the face of reality (e.g., constant cost overruns, WIPP, Y-12 security incident, etc., etc.)

Perhaps most alarmingly, the Panel recommended that congressional oversight be strengthened by having the DOE Secretary report to the Senate Energy and Natural Resources and Armed Services Committees, and to the House Energy and Commerce and Armed Services Committees. This would likely have the opposite effect, as it seems to preclude the traditional jurisdiction of the House and Senate Energy and Water Development Appropriations Subcommittees, which have provided key oversight in the past, and have often cut certain nuclear weapons programs.

I publicly called on Heather Wilson to resign from that Panel because of her conflict-of-interests. She did not. To add insult to injury, the co-chair of the Panel is Norm Augustine, ex-CEO of Lockheed Martin. LM’s tentacles are very widespread.

• Lockheed Martin had $32 billion in federal contracts in 2014 (classified projects unknown). (ref) and (API)
• This included $28 million for IRS data management. (ref)
• In the nuclear weapons complex, in addition to Sandia Labs it runs the combined Y12-Pantex nuclear weapons production contract ($2 billion requested in FY 2016) with Bechtel, as Consolidated Nuclear Security, LLC.
• Between 2008 and 2015 Lockheed Martin had 169,345 contracts with the US government, worth $293 billion. (ref)

See more at Charles Tiefer’s outstanding article at Forbes

The complete DOE IG November 2014 investigation report has now been released to The Center for Public Integrity following their FOIA request.

CPI has come out with a hard-hitting article about illegal lobbying by the world’s biggest defense contractor, Lockheed Martin, to extend its management contract of the Sandia Labs.
This report peels back part of the veil surrounding a defense corporation’s “capture strategy” for the Obama administration.

Last November Inspector General Gregory Friedman issued his report on the Special Inquiry into “Alleged Attempts by Sandia National Laboratories to Influence Congress and Federal Officials on a Contract Extension”. The full report was designated “For Official Use Only” and given exclusively to the contractor; but a summary was released which outlined the case against Lockheed and Sandia Corp, including the payments made from public funds to then just-retired Congresswoman Heather Wilson for ‘consulting services’.

Now, The Center for Public Integrity has obtained the full report through a FOIA request. In it, Inspector General Friedman writes:

“We recognize that Lockheed Martin Corporation, as a for-profit entity, has a corporate interest in the future of the Sandia Corporation contract. However, the use of Federal funds to advance that interest through actions designed to result in a noncompetitive contract extension was, in our view, prohibited by Sandia Corporation’s contract and Federal law and regulations.”
“Given the specific prohibitions against such activity, we could not comprehend the logic of using Federal funds for the development of a plan to influence members of Congress and federal officials to, in essence, prevent competition.”

And in a phrase that did not appear in the November public summary:

“Perhaps [Sandia National Laboratories] felt empowered because it had improperly directed Federal funds to similar activities in the past.”

See Center for Public Integrity