A review by auditing firm KPMG of F-35 costing figures will cost roughly $60,000 more than originally expected, according to an order paper answer the government gave Liberal MP Lawrence MacAulay.
The KPMG assessment, which the government commissioned in order to have an independent review of the costing figures for the F-35 fighter jet, will cost $705,854.50 — not the $643,535 earlier reported , a sum government announced in early September.
The difference is $62,319.50 and includes three contract amendments, according to Public Works.
The government has come under fire from the opposition over the true validity of the KPMG audit.
Earlier in November, New Democrat MP Matthew Kellway told iPolitics that, based on an answer he’d received from the government on an order paper question, the numbers KPMG is reviewing are those that the Department of National Defence already has. Those numbers, in turn, came from the U.S. Department of Defense and the F-35 Joint Strike Fighter program office.
“They’ve got KPMG reviewing U.S. Department of Defense costing procedures. With all due respect to KPMG, what are they going to have to say about how the Department of Defense and the Joint Strike Fighter program office is costing the F-35?” Kellway asked. “That’s where the expertise lies, not with KPMG. It’s like you’re paying $640,000 to the amateurs to verify what the experts are doing. It’s bizarre.”
The KPMG contract expires on January 31, 2013.
Original Article
Source: ipolitics
Author: Colin Horgan
The KPMG assessment, which the government commissioned in order to have an independent review of the costing figures for the F-35 fighter jet, will cost $705,854.50 — not the $643,535 earlier reported , a sum government announced in early September.
The difference is $62,319.50 and includes three contract amendments, according to Public Works.
The government has come under fire from the opposition over the true validity of the KPMG audit.
Earlier in November, New Democrat MP Matthew Kellway told iPolitics that, based on an answer he’d received from the government on an order paper question, the numbers KPMG is reviewing are those that the Department of National Defence already has. Those numbers, in turn, came from the U.S. Department of Defense and the F-35 Joint Strike Fighter program office.
“They’ve got KPMG reviewing U.S. Department of Defense costing procedures. With all due respect to KPMG, what are they going to have to say about how the Department of Defense and the Joint Strike Fighter program office is costing the F-35?” Kellway asked. “That’s where the expertise lies, not with KPMG. It’s like you’re paying $640,000 to the amateurs to verify what the experts are doing. It’s bizarre.”
The KPMG contract expires on January 31, 2013.
Original Article
Source: ipolitics
Author: Colin Horgan
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