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MASAD-83-2 1 (1983-01-26)

handle is hein.gao/gaobabdvk0001 and id is 1 raw text is: 





BY THE COMPTROLLER GENERAL



Report To The Congress


OF THE UNITED STATES





Army Helicopter Improvement

Program's Future May Depend On

Success In Controlling Cost



In less than 3 years, costs of the program to
improve the Army s scout helicopter have gone
from an initial estimate of $1 3 billion to $2 7
billion The latest estimate would permit procur-
ing only 578 helicopters instead of the original
720 Additional cost increases can be anticipated

Since the helicopter s configuration had not been
fully defined when the initial cost estimate was
prepared, Defense officials maintain that the
initial estimate should not be given too much
credence GAO considers the initial cost esti-
mate, which prompted congressional approval,
particularly significant given the repeated con-
gressional objections to the high cost of earlier
scout helicopter starts

Unlike some other Army weapon system pro-
grams which have been rushed into production
this one is proceeding at a moderate pace There
fore, the program has a better chance of succeed-
ing than did its predecessors
The Army s ability to contain f urther cost growth
will likely determine the program s future
                                                               120448



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    4CCOU    1                                            JANUARY 26, 1983

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