Tim, we are in complete agreement here. Quick story: worked for a composite fabrication company ages ago. We did a lot of DoD work, I handled all of the cost accounting and billing. First, I can tell you that the government is filled with morons. I've worked with them. I over-billed them, sometimes by accident, some times on purpose. When they caught it (not all the time) they just added to the contract. I can only imagine what Halliburton really gets.
But this isn't my story (which are never quick!

) That company was sold and I moved on to a DoEd based company. We did contracts for NSF, DoEnergy and of course DoEd. We did curriculum testing and development. We spent a bout $50 million a year of government money. What happened to all the reports, data, etc.? Nothing. It was a massive waste. Contract heads had the most terrible organizational skills, I can go on and on, but I can tell you that the Dof Ed was complete waste of money in the late 80s and early 90s.
We need accountability and discipline built into our education system, and I like that Bush has put some of that into place, just didn't really fund it, but that's a separate issue. A bigger issue is how we value education in this country. Clearly we don't because if we did, teachers would earn high 5 figures, be expected to undergo regular testing and training, and only the best could become teachers.
Throwing money at problems never works. Testing, evaluating and incorporating achievement-based feedback loops with commensurate compensation always works.