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GAO-04-71R 1 (2003-12-04)

handle is hein.gao/gaobaamjt0001 and id is 1 raw text is: 


   I


       Accountability * Integrity * Reliability
United States General Accounting Office
Washington, DC 20548



         December 4, 2003

         The Honorable Donald H. Rumsfeld
         The Secretary of Defense

         Subject: Space Acquisitions: Committing Prematurely to the Transformational
         Satellite Program Elevates Risks for Poor Cost, Schedule, and Performance
         Outcomes

         Dear Mr. Secretary,

         In a multibillion-dollar effort, the Department of Defense (DOD) plans to build a
         space-based communications system that leverages technologies never before used in
         space. Such a system would enable DOD to transform how information is collected
         on potential U.S. adversaries and how military forces are warned of hostile action.
         The backbone of this system will be the Transformational Satellite (TSAT),' which is
         expected to play a pivotal role in connecting communications networks on the
         ground, in the air, on ships, and in space. TSAT represents a potential leap forward in
         communications speed, security, and availability. The Air Force, which heads up
         DOD's space programs, intends for TSAT to be interoperable with similar systems
         being acquired for the National Aeronautics and Space Administration (NASA) and
         the intelligence agencies.

         The initial TSAT program is expected to cost about $12 billion from 2003 to 2015 for
         development and production. Several billions more are to be spent acquiring and
         supporting the associated ground infrastructure, including thousands of user
         terminals. The Air Force intends to start the acquisition program in December 2003
         and expects to launch the first TSAT in 2011.

         To help pay for TSAT, the Air Force has scaled back its acquisition of the Advanced
         Extremely High Frequency (AEHF) satellites currently under development. However,
         because of senior military commanders' concerns about TSAT's risks and the
         potential delay in delivering improved space communications, the Air Force plans to
         reassess the need for future AEHF funding in November 2004. If TSAT is considered
         too high a risk to meet the warfighter's expectations, the contingency plan is to take
         TSAT's funding-thereby delaying TSAT's development-and use it to buy another
         AEHF satellite. The Air Force has targeted November 2004 as the latest date such a


         'The TSAT program also includes development of another satellite, the Advanced Polar System (APS).
         Because development efforts for TSAT and APS are similar, we are referring to both programs as TSAT
         in this report. More information about APS is included in enclosure I.


GAO-04-71R Transformational Satellite Program

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