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NSIAD-95-66R 1 (1995-01-12)

handle is hein.gao/gaobackso0001 and id is 1 raw text is: G-AO United States General Accounting Office Washington, D.C. 20548 National Security and International Affairs Division B-259497 January 12, 1995 The Honorable Togo West Secretary of the Army Dear Mr. Secretary: As you know, we are reviewing test results and operations of the Army's prototype chemical weapons incinerator on Johnston Island. Although, our review is not complete, we have found that the current life-cycle budget estimate is understated and is likely to increase because of operational unknowns. The Army is also continuing to purchase dunnage incinerator equipment' that may not be needed. We believe these issues should be considered by the Army's System Acquisition Review Council in its upcoming review of the U.S. Chemical Stockpile Disposal Program. RESULTS IN BRIEF The Army currently estimates that it will cost $11 billion to complete destruction of the U.S. chemical weapon stockpile. This amount represents an increase of over $2 billion from the Army's December 1993 cost estimate of $8.6 billion. However, the Army's revised operating schedules, used to support the $11-billion estimate, do not fully reflect the results of its operational verification tests or full-scale operations at its prototype facility on Johnston Island. Consequently, the revised estimate for M55 rocket destruction is understated by $113 million. When these costs are projected to destroying all weapons in the entire stockpile, including rockets, the estimate could be understated by as much as $348 million. We have previously reported our concern about the Army's optimism in developing schedule and cost estimates for its chemical weapon 'The dunnage incinerator is used for the destruction of incineration by-products such as munition pallets and charcoal filters from agent filtration systems. 1 GAO/NSIAD-95-66R Chemical Stockpile Disposal Program Review

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