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Fri, Feb 14, 2014

National Space Society Opposes HR 3625

Bill Would Require NASA To Get Legislative Permission To Cancel Expensive Programs

The Washington DC-based National Space Society (NSS) says it strongly opposes the passage of House of Representatives bill HR 3625. This bill would (a) require NASA to obtain legislative permission to cancel four of its most expensive human spaceflight and science programs, and (b) allow contractors for these programs to have immediate access to hundreds of millions of dollars in funds which currently are held in reserve to pay the government's obligations in the event of such termination. The four covered programs are the Space Launch System, the Orion crew capsule, the James Webb Space Telescope (JWST), and the International Space Station.

Ordinarily, government agencies like NASA have the right to terminate a project if it no longer appears necessary or cost effective, provided it pays "termination liability costs" which are sometimes provided for in such contracts. It is unusual to require an act of Congress in order to stop a program. As a practical matter, getting Congress to pass such an act would be extremely difficult.
 
Consequently, if HR 3625 is enacted, even after the responsible agency determined that a project was no longer useful, contractors would continue to get millions of dollars for unnecessary and unwanted programs until such a time as Congress passed a bill specifically calling for the cancellation of the project and allocating the funds required for program termination.
 
"The ability to cancel a program for convenience is essential to allow the government to deal with changing circumstances," said NSS Executive Vice President Paul Werbos. "Requiring explicit Congressional approval to terminate a program for convenience represents a significant shift in power between the Executive and Legislative branches of government that should not be taken lightly."

FMI: www.nss.org, NSS Position Statement on HR 3625

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