Plans for Continuing STARS Program

In March 1993, the Secretary of Defense initiated a comprehensive “Bottom-Up Review” of the nation’s defense strategy. Additionally, he decided to limit the NMD effort to a technology program, which drastically reduced the number of STARS launches to support NMD. The SSDC STARS project office developed a draft long-range plan that included management options for (1) continuing the STARS program; (2) placing it in a dormant status, retaining the capability to reactivate it; and (3) terminating it. BMDO is currently evaluating STARS as a potential long-range system for launching targets for development tests of future TMD systems. The final decision, which may not be made for 6 to 9 months, will be based on factors such as the cost to maintain STARS and ABM Treaty issues associated with testing TMD systems. All of these launches were to support NMD objectives. BMDO now has only one firm launch scheduled. Additionally, BMDO has 11 potential launches identified through fiscal year 2000. Ten would support TMD and 1 would support NMD. Of this amount, $15.1 million is the cost to maintain the capability to conduct launches, and the remaining cost of about $7.6 million primarily represents costs to be incurred for the scheduled launch in fiscal year 1995. For future years, it is estimated that the annual STARS operating budget would also be about $15 million (excluding inflation) to maintain the capability to launch. Sandia is to perform work (1) related to the third stage of the STARS launch vehicle that houses the Orbus motor and (2) support of launch-field operations. Charges to Users for a Launch

In September 1993, we reported that STARS users would pay an estimated $5.9 million for each STARS I launch and an estimated $10.9 million for each STARS II launch. Specifically, for the next three STARS launches, the cost to STARS I customers is estimated to be about $2.8 million, and the cost to STARS II customers is estimated to range from $6.7 million to $9.1 million. Acquisition Hardware and Refurbishment Status

The STARS program acquired surplus Navy Polaris first- and second-stage boosters starting in the mid-1980s through 1991. Table 3 shows the status of STARS hardware acquisition and refurbishment as of December 1994. When the STARS program was begun, four launches a year were anticipated. According to a STARS official, there were two reasons the STARS office acquired such a large number of surplus Polaris first- and second-stage boosters. BMDO and STARS officials and the SSDC treaty advisor provided information about how U.S. treaties may affect the future of the STARS program.
Why GAO Did This Study

Pursuant to a congressional request, GAO provided information on the Ballistic Missile Defense Organization's (BMDO) Strategic Target System (STARS), focusing on the status of STARS, planned launches, costs, and the status of major hardware acquisition and refurbishment.

What GAO Found

GAO found that: (1) the Secretary of Defense's 1993 comprehensive review of the nation's defense strategy drastically reduced the number of STARS launches required to support National Missile Defense (NMD) and BMDO funding; (2) due to the launch and budget reductions, the STARS office developed a draft long-range plan for the STARS program; (3) the study examined three options: (a) place the program in a dormant status, but retain the capability to reactivate it; (b) terminate the program; and (c) continue the program; (4) BMDO is currently evaluating STARS as a potential long-range system for launching targets for development tests of future Theater Missile Defense (TMD) systems; (5) the final decision, which may not be made for 6 to 9 months, will be based on factors such as the cost to maintain STARS and Anti-Ballistic Missile (ABM) Treaty issues associated with testing TMD systems; (6) since July 1993, the planned level of test launches has decreased; (7) one firm STARS launch is scheduled to support NMD in fiscal year (FY) 1995; (8) BMDO has identified another 11 potential launches through FY 2000; (9) ten of these 11 launches would support TMD and are dependent on the successful resolution of ABM Treaty issues; the remaining launch would support NMD; (10) the estimated annual cost of operating STARS varies depending on how many launches are conducted; (11) in FY 1995, BMDO plans to spend approximately $22.7 million on STARS and will conduct one launch; (12) of this amount, $15.1 million is the cost to maintain the capability to launch STARS; this cost would be incurred whether or not any launches occur in a fiscal year; (13) for future years, it is estimated that the annual cost to maintain the capability to launch STARS would remain at about $15 million; (14) beginning in FY 1996, project offices that use STARS to launch experiments or targets will be charged from $2.8 million to $4.1 million for each STARS I launch and from $6.7 million to $9.1 million for each STARS II launch; (15) the STARS program has a substantial inventory of STARS hardware; (16) when the STARS program was started in 1985, four launches were anticipated each year; (17) because of the large number of anticipated launches and an unknown defect rate for surplus Polaris motors, the STARS office acquired 117 first-stage and 102 second-stage surplus motors; (18) as of December 1994, seven first-stage and five second-stage refurbished motors were available for future launches; and (19) thirteen third-stage new motors were on-hand and 1 post-boost vehicle built for the STARS launch scheduled in FY 1995.