Will Focus On FAA's Ability To Monitor Contractors And Payment Procedures

The DOT Inspector General (IG) will conduct another audit of the FAA's progress on the implementation of ADS-B beginning later this month.

A memo dated October 7 from Matthew E. Hampton, Assistant Inspector General for Aviation Audits to "Director of Audit and Evaluation" states that this new audit follows a 2010 report which indicated that the FAA "faces significant risks in implementing the ADS-B program and realizing benefits due to weaknesses in its contract management and oversight."

The initial audit found that the ADS-B contract structure bundles and comingles tasks and costs, making it difficult for decision-makers to manage the contract and track costs. In addition, the IG recently reported changes to the program cost, including the addition of $162 million for performance incentives for the prime contractor through 2025.

The IG is initiating this audit to determine whether the ADS-B contract provides FAA the ability to monitor whether the contractor is providing required ADS-B products and services and evaluate FAA’s procedures for determining payments to the contractor.

The audit will be performed at FAA Headquarters, the ADS-B prime contractor facility, and "other relevant sites."

(FAA Graphic)

FMI: www.oig.dot.gov