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Boeing Contract Scrutiny as SLS Costs Soar

OIG Report Highlights Issues with EUS Development

August 9th, 2024 – 01:31 UTC

Boeing and NASA have faced intense criticism from federal investigators over the mounting costs and delays associated with the Space Launch System (SLS) Block 1B rocket. A recent report released by the NASA Office of Inspector General (OIG) has revealed significant issues with Boeing's work on the European Service Module (EUS), a critical component of the SLS.

The report indicates that the EUS contract, initially valued at $962 million, has now ballooned to over $2 billion and is expected to further increase by 2025. This significant cost overrun is a major contributing factor to the overall increase in expenses for the SLS Block 1B, which is now estimated to cost $57 billion.

The OIG report further highlights concerns about the quality of Boeing's work on the EUS. Investigators found that the module design was not fully mature, leading to costly redesigns and delays. Additionally, they cited communication issues between Boeing and NASA, resulting in confusion and inefficiencies.