Wayne, I don't see how you could use the expression "thumbing their nose at the EPA" and not mean it in a political way.
Just to inject a couple of facts into the discussion:
1. You, I, or anyone else can take a piece of twenty-year old equipment and rebuild it just the way it was new and the EPA isn't going to say boo. In this case the military isn't using any special privileges, although to be sure they have quite a few. And they rebuild old stuff for a number of reasons that have nothing to do with whether or not better technology is available. The Air Force has 50-year-old Boeing 707s in its inventory, long after they were retired from commercial service. It's often more practical to keep fixing the old stuff rather than get Congress to appropriate money for a new system, for which they would then have to provide logistics to support.
2. The military DOES get into hot water with the EPA when it runs afoul of federal pollution laws. One example would be the groundwater pollution at Camp Lejeune, NC. Follow the link if you're not familiar with this particular case.
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