🚀 go-pugleaf

In article <C0Hun4.13t@zoo.toronto.edu> henry@zoo.toronto.edu (Henry Spencer) writes:
>In article <1993Jan7.033118.1652@cerberus.ulaval.ca> yergeau@phy.ulaval.ca (Francois Yergeau) writes:
>>But the airlines do not contract out their operations.  They procure
>>planes, and fly them, just like NASA buys shuttles and operates them.
>
>Actually, it is not at all uncommon for airlines to lease planes complete
>with crews, or to contract with specialists for support services like
>maintenance.  Leasing services are among the airliner companies' biggest
>customers.

Let's see, NASA should sell Shuttle and it's support facilities at cost,
lease them back from the buyer at a profit to the leasing agency, and
then they'll save big bucks. What's wrong with this picture? Airlines
use lease back arrangements because of the *tax* advantages the arrangement
offers. The leasing company profit is less than the taxes saved so everybody
but the average taxpayer wins. NASA doesn't pay taxes, they spend them.

Ok, let's try it another way. NASA sells Shuttle and it's support facilities
at cost to Rockwell. NASA then buys a *ticket* when it needs a launch on
Rockwell Spacelines, about 8 times a year. Rockwell Spacelines sells them
the tickets at about 1.5 times current Shuttle flight costs, got to recoup
the investment and turn a profit. The poor taxpayer takes it in the neck.

One more time. NASA sells Shuttle and support facilities at scrap prices
and writes off development costs as a bad investment. This is what Allen
wants. Rockwell Spacelines buys the scrap and begins operating it. Sells
NASA, NASDA, Hughes, and anyone else who wants one a ticket. Using commercial
operating practices, Rockwell Spacelines makes money, NASA et al get reduced
launch costs, and everyone but the poor abused taxpayer wins. (he always
loses anyway)

Gary

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