Citizens Against Government Waste has mislead the American people on the C-130J. I explain how at Strategypage.
To see a discussion of the fact that Secretary of Defense Don Rumsfeld reversed course and requested the C-130J not be cancelled, look at this May, 2005 Armed Forces Press Service article. To see the request for the FY2007 defense budget, click here (a Google cache of a CRS report archived at FAS.org). To see a discussion of the FY 2007 defense supplemental, go to this article at Military.com.
CAGW's misleading assertions about the C-130J are bad enough. Denying the Air Force a badly needed transport plane is even worse.