Political Quotes

“Madam President, the Medium Air Defense System is a NATO program we jointly develop with the Germans and Italians. They have made clear if the United States does not fulfill its funding commitment for 2013, Germany and Italy would interpret this as a unilateral withdrawal, and they have stated this in writing to Congress. The Memorandum of Understanding among the U.S., Germany and Italy clearly states that a ``withdrawing Participant will pay all Contract modification or termination costs that would not otherwise have been incurred but for the decision to withdraw.'' This is a standard clause for cooperative international agreements. In fact, it is usually included at the insistence of the U.S. to ensure long-term commitment of our Allies so they do not withdraw on joint programs, leaving the U.S. to pay the bills. It is included in agreements on the Excalibur program; technologies and systems for AEGIS-equipped ships; and the Global Positioning System. It will also be included when the U.S. and Israel enter an agreement on the Iron Dome missile defense program. There is precedent. Following its withdrawal from the NATO Alliance Ground Surveillance Memorandum of Understanding, Canada was assessed a fiscal penalty, even though a development contract had not yet been awarded. The MEADS program has contracts with industry that, if canceled, will require the payment of termination liability. To think that we would get out for free is unrealistic.…”