By WARREN E. LEARY The New York Times May 12, 2006
WASHINGTON, May 11 - A new weather satellite system planned for civilian and military use is behind schedule and billions of dollars over budget because of technical problems and poor management, according to testimony Thursday before the House Science Committee.
Johnnie E. Frazier, the inspector general for the Commerce Department, said managers from agencies involved in the program had failed to respond to problems as they arose and to challenge overly optimistic progress reports from the project director.
In addition, Mr. Frazier said, the program suffered from a flawed contract incentive program that awarded millions in bonus money to the prime contractor, Northrop Grumman Space Technology, even as the satellite system fell months behind schedule and costs grew by $3 billion or more.