Refurbished S-70B-2s?
"Now that the Romeo is coming another option would be to strip out the existing S-70B's a la Sea Kings and use them as "hacks"..."
The major schedule driver for replacement of the S-70B-2 under Project Air 9000 Phase 8 was the obsolescence of the CORE avionics systems - much of the heart of the S-70B-2 is unsustainable today, let alone in a couple of years time. A major upgrade would be required, and this is not cost effective.
Project Air 9000 was intended to rationalise the helicopter types operated by the ADF. The ADF fleet was to be based, where possible, on a single type (or family). CH47 and the basic trainer were "outriders", as arguably is the attack helicopter, but all utility and ASW aircraft were to be the same type. In practical terms today this really means a Hawk-based solution or a NH90-based solution. This was the competition.
For good or not, a decision was made to go MRH90 over Blackhawk for Air 9000 Phase 2 (Additional Trooplift Helicopters), and this was extended to Phase 4 and 6 (Blackhawk and Sea King replacement), in line with the Air 9000 concept. Where it has now gone pear-shaped is in selecting a Hawk-based aircraft for Phase 8 - an aircraft which is undoubtedly a great ASW aircraft but has ZERO utility capability - the capability which the RAN requires EVERY DAY. This decision was made based purely on a ZERO appetite for risk and a belief that the Romeo will come n on schedule (not an unreasonable belief).
The NH90 (NATO Frigate Helicopter version) offered a very good ASW platform whilst retaining a superior utility capability. It was more expensive per unit, somewhat more risky wrt schedule, but would have given the RAN the capability it needs (ASW and Utility) and maintained the commonality of type with NH90 (Tactical Trooplift Helicopter version) aka MRH90.
With the Romeo the RAN has compromised capability in order to avoid any more "embarrassing" schedule blowouts on a helicopter project - if I was the Navy dude in DMO making these calls, and I had been burnt by Seasprite, I would understand this position.