Amphibious tank's costs rise
By Renae Merle
Washington Post
WASHINGTON — The cost of a Marine Corps amphibious vehicle program has increased 45 percent, to $12.6 billion, since 2000 and remains at risk of even more overruns, according to a new congressional report.
The tank-like Expeditionary Fighting Vehicle is designed to be launched from ships about 29 miles from shore, maneuver to land, and then convert to a ground vehicle. But the program, run by General Dynamics Corp. of suburban Falls Church, Va., has run into technical and budget problems that have increased costs and caused delays, the Government Accountability Office said.
The cost of one vehicle increased to $12.3 million from $8.5 million, the report said, even as the length of time the tank is required to operate continuously before maintenance was dropped to 43.5 hours from 70 hours.
The first vehicle is now expected to enter combat in 2010, four years later than planned.
The program, which is to consume 25 percent of the Marine Corps procurement budget until 2011, is the latest example of the type of cost increases in Pentagon weapons programs that have angered Congress in recent years.
The GAO report predicted that risks remain, including that production will begin before enough testing is completed.
General Dynamics declined to comment, referring questions to the Marine Corps.
The program manager, Col. Michael Brogan, acknowledged the increasing costs but said the project is on track. The first two cost increases were because the Corps needed more time to test the prototypes, he said.
Last year, $1.5 billion was taken out of the program's budget because of Pentagon fiscal constraints, which delayed the project two more years, Brogan said.
He said that "when you stretch a program, you increase costs," but that technical issues have been addressed and production will begin as scheduled.
"We strive to make such technically advanced weapons systems (but) we frequently encounter delays in development," he said. "I think we have the best combat capability in the world. Our products, once they are delivered, speak for themselves."
