TELECOM Digest OnLine - Sorted: Satellite System Is Over Budget and in Trouble

Satellite System Is Over Budget and in Trouble

Monty Solomon (
Sun, 14 May 2006 11:29:11 -0400

The New York Times
May 12, 2006

WASHINGTON, May 11 - A new weather satellite system planned for
civilian and military use is behind schedule and billions of dollars
over budget because of technical problems and poor management,
according to testimony Thursday before the House Science Committee.

Johnnie E. Frazier, the inspector general for the Commerce Department,
said managers from agencies involved in the program had failed to
respond to problems as they arose and to challenge overly optimistic
progress reports from the project director.

In addition, Mr. Frazier said, the program suffered from a flawed
contract incentive program that awarded millions in bonus money to the
prime contractor, Northrop Grumman Space Technology, even as the
satellite system fell months behind schedule and costs grew by $3
billion or more.

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