European Stars and Stripes (Newspaper) - September 20, 1991, Darmstadt, Hesse                                Friday september 20, 1991 the stars and stripes a Page 5dod overcharged on b-2, auditor says by the los Angeles times the top Pentagon auditor at Hughes aircraft has asserted that the aerospace company overcharged the air Force on development of the b-2 bomber s radar system concurring with allegations raised in a major lawsuit brought by a Hughes executive according to an internal government memorandum. The memo which was prepared in March for the National director of the defense contract audit Agency also disclosed that the House armed services committee has initiated an investigation into the alleged overcharging on the b-2�?Ts radar. A congressional investigator said wednesday that the committee began an inquiry this year after learning of the controversy. The air Force is withholding $15 million from Hughes for allegedly overcharging on the radar by secretly spreading costs Between that program and other radar programs at the company s radar systems group in Al Segundo. Calif. Attorneys for Hughes aircraft denied wednesday that the company had overcharged the air Force. Thev said the audit Agency erred in its findings because it misunderstood specific facts in the radar Case. Hughes is seeking to recover the $15 million they added. In 1989, William Schumer. The Hughes contracting executive responsible for the radar filed a whistle Blower lawsuit. He alleged that Hughes had secretly and illegally decided to share costs Between four radar programs a in effect shifting some costs from fixed Price contracts for fighter radars to a Cost plus contract on the b-2 bomber. Under a fixed Price contract a defense contractor bears the liability of any Cost overrun while on a Cost plus agreement the government pays for overruns. Schumer alleged that Hughes had secretly created an internal a commonality  in which the program managers of the radar group had decided to spread the Cost of technology among the radars for the f-14. 1-15. F-1s and b-2. The agreement was ordered in july e>s3 by than president of the radar systems group. . Giacoletto according to the suit. James j. Gallagher an attorney at the Law firm Mckenna to Cusco which represents Hughes said that electronics technology developed for the b-2 was also used in the f-15. Lie said Hughes properly allocated costs about equally to the two programs. Hughes eventually lost Money on the fixed Price contract for the f-15. He said. The Justice department reviewed Schumers allegations and declined to join the suit. But Schumer is continuing to press the Case and recently retained a new attorney Herbert Hafif. Kerrey sets up presidential committee Washington a Nebraska democratic sen. Bob Kerrey on wednesday established a a Kerrey for president a committee and said he would formally announce his 1992 plans in his Hometown of Lincoln on sept. 30. Kerrey who also filed a statement of candidacy with Federal officials has been telling democrats privately he will seek the democratic nomination. Two sources close to the senator said wednesday he was sure to enter the race. When Kerrey announced this month that he was considering a White House bid he said his interest was a based upon the belief that the possibility of a better future 20 years from now will be determined by our actions  he said then the theme of a Kerrey Campaign would be to create a a stronger Economy and a civilized  in the stars and stripes10 years ago sept. 20,1981 a president Reagan intends to propose abolishing the consumer product safety commission and the Bureau of alcohol tobacco and firearms As Well As Sharp cutbacks in Federal Loans and loan guarantees As part of his next round of budget cuts government sources said.20 years ago sept. 20,1971 a an investigation into the Attica state prison uprising which claimed the lives of 30 inmates and 10 civilian hostages revealed that the rebel inmates were Quot very near an agreement Quot when authorities attacked and gained control of the prison.30 years ago sept. 20,1961 a delegates worked feverishly behind the scenes trying to set up a Stopgap authority to keep the United nations functioning until a Secretary general is chosen to succeed Dag Hammar skjold who died in an air crash.40 years ago sept. 20,1951 a Greece and Turkey were assured entry into the North Atlantic treaty organization by the unanimous support of the 12 nato countries. Atlantic Alliance military leaders began developing plans to establish a nato Middle East command. Documents sent to the Federal election commission list Jack Quinn a Washington lawyer As the Campaign committees chief counsel and Hugh Westbrook chairman of a Miami based hospice management firm As its treasurer. The Fec filing allows Kerrey to Start raising and spending Money for the Campaign. Three democrats already have declared their presidential candidacies a Iowa sen. Tom Harkin Virginia gov. L. Douglas Wilder and former Massachusetts sen. Paul Tsongas. Arkansas gov. Bill Clinton is expected to declare his candidacy soon. Former California gov. Jerry Brown has said he a running and has filed a declaration of candidacy with the Fec but has t made a formal announcement. Others mulling Over the race include Jesse Jackson and Oklahoma rep. Dave Mccurdy. Kerrey 48, is a divorced millionaire whose businesses include a health club and a string of restaurants. He dated actress Debra Winger while serving a term As governor of Nebraska. Kerrey lost part of a leg in Vietnam and received the medal of Honor for his service there. In the Senate he opposed attempts to ban Flag burning and voted against giving president Bush authority to go to War in the persian Gulf. His War record has largely protected him from the political consequences of such votes. Kerrey is an authority on agriculture and recently introduced a sweeping health care Reform Bill. He often cites his own disability and resulting medical needs in discussing his plan to provide better Access to Quality health care in the United states. Sen. Bob Kerrey f plan for Gas tax hike abandoned Washington a House democratic leaders wednesday abandoned their bid to pass a 5-cent a gallon increase in Federal gasoline taxes to finance transportation improvements. House speaker Thomas s. Foley d-wash., said he and other democrats will try instead to extend half of the 5-cent gasoline tax increase voted last year for an additional three years to 1998. Foley said the 5-cent increase will be stripped from a pending five year Bill to authorize Highway and mass transit spending. That measure originally was pegged at $153.5 billion Over five years. It was not immediately Clear whether it would have to be trimmed Back to accommodate the withdrawal of the tax increase. The 5-cent tax had been counted on to raise an additional $32 billion Over five years for Highway Bridge and transit improvements. A we have just arrived at this agreement on the tax nobody has any hard figures on the Bill a said Jimmy Miller a spokesman for the House Public works and transportation committee. An authorization Bill does not provide Money but sets spending ceilings for later appropriation Bills. In 1995, Miller said current budget restraints Are scheduled to expire and appropriations for highways should be easier to win. The 2.5-cent Gas tax increase that leaders have agreed to extend was enacted As part of last years deficit reduction agreement Between Congress and the White House. Under that pact gasoline taxes were raised by 5 cents through fiscal 1995, with half of the proceeds going toward deficit reduction and half to the Highway Trust fund. The new legislation would extend half of that increase for another three years through fiscal 1998, with All of the proceeds from the Extension going to the Highway fund. The Senate adopted its own $123 billion version of the Bill earlier in the year with no gasoline tax increase. Foley said he was prepared to go Forward with the transportation Bill minus the tax As soon As possible. Foley a statement giving up on the a Nickel for american Campaign followed a Senate declaration issued a Day earlier that it would not accept an increase in the tax now 14.2 cents a gallon on top of whatever levies states and cities impose. President Bush has said repeatedly that he would veto any transportation Bill containing such a tax. Medical leave Bill diluted to gain support by the Washington Post Washington a Senate bipartisan group said wednesday that they would water Down a Long stalled Bill to provide unpaid employee leaves Tor family medical needs. The group Hopes that the new version will pass the Senate with enough votes to withstand a threatened presidential veto. The revisions announced by Sens. Christopher Bond r-mo., Christopher Dodd a Conn. And Wendell Ford d-ky., appear to have Given the Bill some new momentum As it Heads for a floor vote. However they did not Dent the opposition mounted by the business Community or the White House. A the revisions miss the Point Quot said Mike Roush a lobbyist for the National federation of Independent businesses. A the Bill is still a mandate and our opposition is to the idea of mandates. We want to kill the Bill and we want to kill the  Bond the key figure in brokering the Compromise said he tried out the new version on White House chief of staff John Sununu in a Telephone conversation tuesday. A i did t get an endorsement Quot Bond said. Congress has been trying to pass a family medical leave Bill since 1985. Its High water Mark came last year when a Bill passed both Chambers Only to be vetoed by Bush. The House failed by 53 votes to overturn the veto. The measure would require employers to provide 12 weeks of unpaid leave and continued health benefits to employees for childbirth adoption or a family medical emergency. Even before wednesdays revisions the Bill Only covered employers with 50 or More employees meaning it exempted about half of the nations work Force and 95 percent of the nation s employers. The revisions allow covered employers to exempt Quot key employees Quot defined As the highest paid 10 percent of the work Force and would tighten the restriction on part time workers who Are eligible. Part timers would have to work a minimum of 1,250 hours a year or an average of 25 hours a week up from the 1.000-hour provision in the earlier Bill