20
Friday, June 6, 1986
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"We have a real problem with from Democratic Senator Daniel
the Lavi," a U.S. Defense Inouye of Hawaii, Republican
Department official bluntly Senator Bob Kasten of Wiscon-
said, referring to Israel's new- sin, Democratic Representative
generation fighter bomber. Clarence Long of Maryland and
"Israel simply can't afford to Republican Representative Jack
build it while maintaining the Kemp of New York, the money
high level of other crucial was disbursed. No letter was
aspects of its overall military sent. There was no need.
performance."
Israel doesn't want to go that
That, in a nutshell, is the Pent- route once again, although some
agon's major argument against Israeli officials are now predict-
the Lavi. The U.S. clearly has a
keen interest in the future of the
jet fighter. American officials
fear that they ultimately will be What seems clear,
stuck with paying the bill if the by all accounts, is
Lavi proves more expensive than
their Israeli counterparts main- that the battle over
tain.
the Lavi between the
In recent months, senior U.S.
defense officials, led by Assis- Pentagon and the
tant Under Secrtary for Policy Israeli defense
and Resources Dov Zakheim,
have carefully evaluated the establishment will
costs of the aircraft. In a lengthy continue in the
study, they have concluded that
the Lavi will wind up costing weeks and months
Israel considerably more than ahead.
Israel Aircraft Industries and
the Ministry of Defense have
calculated.
ing that they will have no
In addition to cost overruns, alternative.
they also predict serious produc-
The seriousness of the Lavi
tion delays. "These kinds of dispute was pointedly driven
things happen," an American ex-
to Defense Minister YitZ-
pert said. "Life is never perfect. home
hak Rabin during his recent visit
You have to expect problems."
to Washington. Despite the fact
Israel sharply disputes the that the U.S. has already al-
overall U.S. assessments.
located more than $1 billion for
Zakheim was in Israel this the development of the Lavi,
week for another round of talks Rabin was again urged to scrap
with Israeli officials on this sen- the program. But like Prime
sitive subject as well as on Minister Shimon Peres a month
Israel's need to obtain diesel- earlier, Rabin rejected that
powered submarines and a new advice.
• generation of patrol boats.
Israel believes that it's too late
lb back up their coriern over in the day for any such action.
the costs of the Lavi, Pentagon lbo much money has already
officials have slowed down the been spent. lbo many high-
once-routine "paperwork" in technology jobs are at stake.
disbursing some $50-$60 million Israel can't turn back the clock,
for Lavi-related development. they have told Washington. But
That money has already been the Americans are clearly not
appropriated by Congress and giving up their determined cam-
signed into law by President paign to turn Israel around on
Ronald Reagan.
this matter.
But Pentagon officials said
Thus, during Rabin's talks in
they first want to see whether Washington, the Pentagon even
Israel is really going to place a came up with a possible Amer-
"cap" on Lavi-related spending, ican-Israeli co-production alter-
as reported.
native to the Lavi. Israel could
They also want to know the purchase American-made F-16
specifics of any such spending airframes from General Dynam-
ceiling. Will it be a fixed cap, or ics and fit them with its own
a constant dollar cap, or a cur- homegrown Lavi avionics, tailor-
rent dollar cap? "We don't.know made
to meet Israel's most sen-
the specifics," an American of- sitive needs.
Israel, according to
ficial said. "We're waiting to get American estimates, would wind
the answers." The Americans up saving "a bundle" of money,
denied that the delay repre- which then could be used to pur-
sented a "freeze." One official chase new submarines, patrol
said: "We're just being cautious?' boats,
missiles, tanks, attack
This is not the first time that helicopters or other badly-
the Defense Department has needed military hardware from
refused to release money for the the United States.
Lavi. Once before, the funds
Such savings are critical in
were delayed. Several U.S. sen- this prevailing Gramm-Rudman
ators and congressmen were budget cutting mood in Wash-
then asked by Israeli officials to ington. There are only a limited
write to Defense Secretary number of U.S. Foreign Military
Caspar Weinberger to get Lavi Sales (FMS) dollars available to
money through the bureaucratic
pipeline. When Weinberger Israel. In the most recent foreign
learned of the planned letter Continued on. Page 22
.