NASA does not have the financial or managerial skills to handle the
International Space Station鈥檚 budget. That鈥檚 the devastating conclusion of an
independent review panel commissioned to investigate the station鈥檚 spiralling
costs, which are already running $4.5 billion over budget.
Dan Goldin, who is retiring as NASA chief this month, commissioned the review
in July after revealing the cost overrun. To keep the project on budget, the
Bush administration scaled down the station, dropping a planned habitation
module and crew return module that would be needed for a permanent crew of more
than three. Echoing complaints from scientists, commission chairman Thomas
Young, a retired aerospace executive, told a press conference that stopping
construction at that point would have 鈥渁 significant adverse effect on
蝉肠颈别苍肠别鈥�.
Even with these cutbacks, Young isn鈥檛 confident that NASA can control costs.
The panel warns that NASA doesn鈥檛 know how much it will cost to finish the core
station by 2006. The space agency鈥檚 latest estimate of $8.3 billion 鈥渋s
not credible鈥�, says Young. He expects an additional cost overrun of more than a
few hundred million dollars. To meet the Bush budget, the panel is urging
further cutbacks, including staff reductions, stretching crew missions to six
months, and sending only four shuttles a year to the station.
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The biggest management problem, Young says, is NASA鈥檚 emphasis on meeting the
annual budget cap of $2.1 billion imposed by Congress, rather than
limiting total programme costs. This approach simply pushes extra costs into
later years and increases total spending. 鈥淎 cap may make you feel good for a
little while, but it鈥檚 the worst way I can imagine to try to manage a
programme,鈥� he says.
The panel鈥檚 confidence in the agency is so low that it says NASA must prove
it can control costs before committing to enlarge the space station.