NASA planning to cut back Constellation work
Posted: Thu, Jun 10, 2010, 1:50 PM ET (1750 GMT)
Citing a shortfall of nearly $1 billion needed to cover potential contract termination liabilities, NASA is planning to slow down work on most elements of the Constellation program, the agency's chief said this week. In a letter to key members of Congress, NASA administrator Charles Bolden said his agency determined that contracts are $991 millon short of the funding they are required to withhold under a law called the Antideficiency Act to cover liabilities in the event a contract is terminated. To account for that shortfall, Bolden told Congress is planned to stop work on the Ares 1 first stage and cut back work on other programs. NASA has proposed ending most elements of Constellation in its FY2011 budget proposal, which has met with strong opposition from some members of Congress. In recent months those Congressmen have been critical of efforts by NASA to involve contract liability concerns as a means of slowing down work on the program.
Citing a shortfall of nearly $1 billion needed to cover potential contract termination liabilities, NASA is planning to slow down work on most elements of the Constellation program, the agency's chief said this week. In a letter to key members of Congress, NASA administrator Charles Bolden said his agency determined that contracts are $991 millon short of the funding they are required to withhold under a law called the Antideficiency Act to cover liabilities in the event a contract is terminated. To account for that shortfall, Bolden told Congress is planned to stop work on the Ares 1 first stage and cut back work on other programs. NASA has proposed ending most elements of Constellation in its FY2011 budget proposal, which has met with strong opposition from some members of Congress. In recent months those Congressmen have been critical of efforts by NASA to involve contract liability concerns as a means of slowing down work on the program.
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