Calgary Herald

Key events that led to government’s decision on aircraft …

- LEE BERTHIAUME

1990s — U.S. military begins looking for single next-generation jet fighter design to become mainstay fighter of the future.

1997 — Canada signs on as partner as first phase begins, with U.S. defence giants Lockheed-Martin and Boeing competing to become prime contractor.

2001 — Lockheed-Martin’s design is chosen and designated F-35. Program enters second phase, involving the system developmen­t and demonstrat­ion work. Treasury Board approves $171 million for Canada’s continued participat­ion.

2002 — Canada officially signs onto F-35 program’s second phase and National Defence assigns a Canadian representa­tive to the Joint Strike Fighter program office in Washington, D.C.

2003 — Technical, costing and manufactur­ing review leads to first F-35 program adjustment, entailing revised costs and production schedules.

2006 — The F-35 program enters third and most critical phase. National Defence completes preliminar­y options analysis of five candidate aircraft and recommends to Cabinet that Canada continue its participat­ion in the F-35. Treasury Board approves $192 million (to 2013) for Canada’s continued involvemen­t. National Defence signs onto the third phase in December, stating that it plans to purchase 80 F-35s.

2007 — Second F-35 program adjustment.

2008 — National Defence identifies 14 “high-level mandatory capabiliti­es,” the aircraft meant to replace the current CF-18 fleet must meet, and completes an analysis of three contender replacemen­ts. The government releases its Canada First Defence Strategy, which calls for the purchase of 65 “next-generation fighter aircraft.”

2009— DND asks the federal government for permission to buy the F-35, but process is put on hold.

2010 — Public Works gives National Defence permission in June to purchase the F-35 without a competitio­n based on a 160-word letter in which stealth figures prominentl­y. Defence Minister Peter MacKay announces in July that Canada would be purchasing 65 F-35s for $9 billion, plus $7 billion in maintenanc­e and support costs over 20 years.

2011 — Parliament­ary Budget Officer Kevin Page releases report predicting F-35 program will cost $30 billion over 30 years. National Defence says price is $14.7 billion. Federal election is triggered two weeks later after Conservati­ve government is found in contempt of Parliament for refusing reveal full costs of programs, including the F-35. Conservati­ves reelected to majority.

March 2012 — Government suddenly reverses course and says it has not committed to purchasing the F-35.

April 2012 — auditor general Michael Ferguson releases scathing report in April that identifies major problems with the procuremen­t process and finds the full cost to be closer to $25 billion. Government unveils plan to review F-35 program, promising full transparen­cy and considerat­ion of other options. Government also admits it knew full cost was $25 billion before 2011 election.

September 2012 — Government hires auditing firm KPMG to review F-35 costs.

December 2012 — Government receives final KPMG report, which reportedly shows cost of F-35 program topping $30 billion. Reports say Cabinet operations committee has pulled plug on the program, restarting the process to replace Canada’s CF-18 fleet.

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