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Pentagon Misused Taxpayer Money

Shortly after Congress passed the Cares Act, the Pentagon began directing pandemic-related money to defense contractors.

A $1 billion fund Congress gave the Pentagon in March to build up the country's supplies of medical equipment has instead been mostly funneled to defense contractors and used to make things such as jet engine parts, body armor and dress uniforms.

 The change illustrates how one taxpayer-backed effort to battle the novel coronavirus, which has killed more than 200,000 Americans, was instead diverted toward patching up long-standing perceived gaps in military supplies.

The payments were made even though U.S. health officials think major funding gaps in pandemic response still remain. Robert Redfield, director of the Centers for Disease Control and Prevention, said in Senate testimony last week that states desperately need $6 billion to distribute vaccines to Americans early next year. Many U.S. hospitals still face a severe shortage of N95 masks. These are the types of problems that the money was originally intended to address.

Pentagon used taxpayer money meant for masks and swabs to make jet engine parts and body armor

Shortly after Congress passed the Cares Act, the Pentagon began directing pandemic-related money to defense contractors.
Defense Secretary Mark T. Esper speaks as President Trump listens during a news briefing with the coronavirus task force March 18 at the White House.


Defense Secretary Mark T. Esper speaks as President Trump listens during a news briefing with the coronavirus task force on March 18 at the White House. (Evan Vucci/AP)

A $1 billion fund Congress gave the Pentagon in March to build up the country's supplies of medical equipment has instead been mostly funneled to defense contractors and used to make things such as jet engine parts, body armor, and dress uniforms.

The change illustrates how one taxpayer-backed effort to battle the novel coronavirus, which has killed more than 200,000 Americans, was instead diverted toward patching up long-standing perceived gaps in military supplies.

The Cares Act, which Congress passed earlier this year, gave the Pentagon money to "prevent, prepare for, and respond to coronavirus." But a few weeks later, the Defense Department began reshaping how it would award the money in a way that represented a major departure from Congress's intent.

The payments were made even though U.S. health officials think major funding gaps in pandemic response still remain. Robert Redfield, director of the Centers for Disease Control and Prevention, said in Senate testimony last week that states desperately need $6 billion to distribute vaccines to Americans early next year. Many U.S. hospitals still face a severe shortage of N95 masks. These are the types of problems that the money was originally intended to address.

"This is part and parcel of whether we have budget priorities that actually serve our public safety or whether we have a government that is captured by special interests," said Mandy Smithberger, a defense analyst at the Project on Government Oversight, a watchdog group.

DOD officials contend that they have sought to strike a balance between boosting American medical production and supporting the defense industry, whose health they consider critical to national security. The Pentagon, which as of 2016 employed more than 156,000 people working in acquisitions alone, also has lent its expertise to the Department of Health and Human Services as it seeks to purchase billions of dollars in needed medical equipment.