Defense Acquisitions: Despite Restructuring, SBIRS High Program Remains at Risk of Cost and Schedule Overruns
GAO-04-48
Published: Oct 31, 2003. Publicly Released: Oct 31, 2003.
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Highlights
In 1996, the Department of Defense (DOD) initiated the Space-Based Infrared System (SBIRS) to provide greater long-range ballistic missile detection capabilities than its current system. The initial SBIRS architecture included "High" and "Low" orbiting space-based components and ground processing segments. SBIRS has been technically challenging, and in October 2001, SBIRS Low was transferred from the Air Force to the Missile Defense Agency. The Air Force expected to field SBIRS High by 2004, but numerous problems have led to schedule overruns. In the fall of 2001, DOD identified potential cost growth of $2 billion. To determine the causes of the significant cost growth, DOD convened an Independent Review Team. In August 2002, the Air Force restructured the program to address the findings of the team's assessment. Our report (1) describes the key elements of the restructured program and (2) identifies problems and potential risks still facing the program.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Defense | The Secretary of Defense should reconvene the IRT or similar independent task force with substantial program knowledge to provide an assessment of the restructured program and concrete guidance for addressing the program's underlying problems. Such a review should include determining whether the SBIRS High development schedule is executable within current cost and schedule estimates in light of the recent HEO 1 delays and other risks (such as software development). |
Closed – Implemented
GAO recommended that DOD reassess the SBIRS High program with the aim of making the best decisions for proceeding with the procurement of a system that meets this nation's need for strategic surveillance and early warning satellite data. DOD agreed; however, DOD stated that rather than following the specific recommendation to have the Secretary of the Air Force reconvene an independent task force, the Secretary of Defense would consider other approaches before a final decision was made on assigning responsibilities for conducting the review. On December 12, 2003, the Undersecretary of Defense, Acquisition, Technology, and Logistics, convened the Defense Acquisition Board to review the status of the SBIRS High program. The review focused on program schedule, space and ground segment status, contract cost performance, and contract management.
|
| Department of Defense | The Secretary of Defense should reconvene the IRT or similar independent task force with substantial program knowledge to provide an assessment of the restructured program and concrete guidance for addressing the program's underlying problems. Such a review should include determining whether the program design is stable and sufficient to meet performance requirements. |
Closed – Implemented
GAO recommended that DOD reassess the SBIRS High program with the aim of making the best decisions for proceeding with the procurement of a system that meets this nation's need for strategic surveillance and early warning satellite data. DOD agreed; however, DOD stated that rather than following the specific recommendation to have the Secretary of the Air Force reconvene an independent task force, the Secretary of Defense would consider other approaches before a final decision was made on assigning responsibilities for conducting the review. On December 12, 2003, the Undersecretary of Defense, Acquisition, Technology, and Logistics, convened the Defense Acquisition Board to review the status of the SBIRS High program. The review focused on program schedule, space and ground segment status, contract cost performance, and contract management.
|
| Department of Defense | The Secretary of Defense should reconvene the IRT or similar independent task force with substantial program knowledge to provide an assessment of the restructured program and concrete guidance for addressing the program's underlying problems. Such a review should include determining whether the contractor's software development procedures and practices have reached at least a CMMI level 3 in relation to the Software Engineering Institute's standards. |
Closed – Implemented
GAO recommended that DOD reassess the SBIRS High program with the aim of making the best decisions for proceeding with the procurement of a system that meets this nation's need for strategic surveillance and early warning satellite data. DOD agreed; however, DOD stated that rather than following the specific recommendation to have the Secretary of the Air Force reconvene an independent task force, the Secretary of Defense would consider other approaches before a final decision was made on assigning responsibilities for conducting the review. On December 12, 2003, the Undersecretary of Defense, Acquisition, Technology, and Logistics, convened the Defense Acquisition Board to review the status of the SBIRS High program. The review focused on program schedule, space and ground segment status, contract cost performance, and contract management.
|
| Department of Defense | The Secretary of Defense should reconvene the IRT or similar independent task force with substantial program knowledge to provide an assessment of the restructured program and concrete guidance for addressing the program's underlying problems. Such a review should include determining whether the appropriate management mechanisms are in place to achieve intended program objectives. |
Closed – Implemented
GAO recommended that DOD reassess the SBIRS High program with the aim of making the best decisions for proceeding with the procurement of a system that meets this nation's need for strategic surveillance and early warning satellite data. DOD agreed; however, DOD stated that rather than following the specific recommendation to have the Secretary of the Air Force reconvene an independent task force, the Secretary of Defense would consider other approaches before a final decision was made on assigning responsibilities for conducting the review. On December 12, 2003, the Undersecretary of Defense, Acquisition, Technology, and Logistics, convened the Defense Acquisition Board to review the status of the SBIRS High program. The review focused on program schedule, space and ground segment status, contract cost performance, and contract management.
|
| Department of Defense | The Secretary of Defense should reconvene the IRT or similar independent task force with substantial program knowledge to provide an assessment of the restructured program and concrete guidance for addressing the program's underlying problems. Such a review should include determining whether the pending requirements changes should be funded. |
Closed – Implemented
GAO recommended that DOD reassess the SBIRS High program with the aim of making the best decisions for proceeding with the procurement of a system that meets this nation's need for strategic surveillance and early warning satellite data. DOD agreed; however, DOD stated that rather than following the specific recommendation to have the Secretary of the Air Force reconvene an independent task force, the Secretary of Defense would consider other approaches before a final decision was made on assigning responsibilities for conducting the review. On December 12, 2003, the Undersecretary of Defense, Acquisition, Technology, and Logistics, convened the Defense Acquisition Board to review the status of the SBIRS High program. The review focused on program schedule, space and ground segment status, contract cost performance, and contract management.
|
| Department of Defense | The Secretary of Defense should put in place a mechanism for ensuring that the knowledge gained from the assessment is used to determine whether further programmatic changes are needed to strengthen oversight, adjust current cost and schedule estimates, modify contract mechanisms, and address requirements changes. |
Closed – Implemented
GAO recommended that DOD reassess the SBIRS High program with the aim of making the best decisions for proceeding with the procurement of a system that meets this nation's need for strategic surveillance and early warning satellite data. DOD agreed; however, DOD stated that rather than following the specific recommendation to have the Secretary of the Air Force reconvene an independent task force, the Secretary of Defense would consider other approaches before a final decision was made on assigning responsibilities for conducting the review. On December 12, 2003, the Undersecretary of Defense, Acquisition, Technology, and Logistics, convened the Defense Acquisition Board to review the status of the SBIRS High program. The review focused on program schedule, space and ground segment status, contract cost performance, and contract management.
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Topics
Air Force procurementContract costsCost overrunsElectronic surveillanceGeosynchronous satellitesMilitary satellitesSchedule slippagesWeapons research and developmentCost analysisContract modificationsContract oversight