House panel sets July 15 tanker hearing

WASHINGTON (Reuters) - The House Oversight and Government Reform Committee will hold a July 15 hearing in connection with a federal auditor's recommendation the Air Force hold a new bidding competition for a $35 billion tanker refueling contract.

The contract was awarded in February to Northrop Grumman Corp and its European subcontractor, EADS. However, the Government Accountability Office last week said it agreed with some of the concerns of losing bidder Boeing Co and urged the Air Force to rerun the competition.

Rep. Henry Waxman, chairman of the House panel, said the July 15 hearing would "examine the actions of the Air Force" in awarding the contract to Northrop. Testifying at the hearing will be Gene Dodaro, the acting head of the GAO, Waxman said in a statement.

(Reporting by Julie Vorman, editing by Mark Porter)