--------------------------------------------------------------------------- PENUMBER: 0603861C PETITLE: Theater High-Altitude Area Defense System - TMD COST ($ In Thousands) FY 1996 Actual FY 1997 Estimate FY 1998 Estimate FY 1999 Estimate FY 2000 Estimate FY 2001 Estimate FY 2002 Estimate FY 2003 Estimate Cost to Complete Total Cost 2260 Theater High Altitude Area Defense 565,818 341,307 294,647 16,778 0 0 0 0 TBD TBD A. Mission Description and Budget Item Justification The Theater High Altitude Area Defense (THAAD) System is being designed to negate theater ballistic missiles (TBM) at long ranges and high altitudes. Its long-range intercept capability will make possible the protection of broad areas, dispersed assets, and population centers against TBM attacks. The THAAD System includes missiles, Palletized Loading System (PLS) launchers, Battle Management/Command, Control, Communications, Computers, Intelligence (BM/C4I) units, THAAD Radars, and support equipment. The THAAD Radar (formerly known as Ground Based Radar) provides threat early warning, threat type classification, interceptor fire control, external sensor cueing, and launch and impact point estimates for the THAAD System. The THAAD Radar is based on state-of-the-art, solid-state, X-band radar technology. THAAD will be interoperable with both existing and future air defense systems. This netted and distributed BM/C4I architecture will provide robust protection against the TBM threat spectrum. THAAD is pursuing integration of THAAD BM/C4I with the Project Manager (PM), Air Defense Command and Control Systems (ADCCS) to take advantage of previous Army developments that can be incorporated into the THAAD program. The Demonstration/Validation (Dem/Val) program will develop a design for the objective THAAD system and demonstrate the capabilities of the system in a series of 11 flight tests. The residual hardware resulting from the THAAD Dem/Val program, including the User Operational Evaluation System (UOES) missile option, will be used for a prototype system called the UOES. The UOES, used primarily for early operational assessment and for soldiers to influence the final design, will also be available for limited use as a contingency capability during a national emergency. The UOES will consist of 40 missiles with 4 launchers, 2 BM/C4I units, 2 THAAD Radars and support equipment. The THAAD system design will be developed and tested in the Engineering, Manufacturing, and Development (EMD) phase leading to low rate initial production and subsequent fielding in FY 04. During FY95 - FY98 the Dem/Val flight test program will be conducted at White Sands Missile Range (WSMR), New Mexico. The flight test schedule consists of flight and system tests which began on April 21, 1995 with a successful first flight of the THAAD missile. To date, six flight tests have been conducted with the seventh flight planned for February 1997. The targets for the flight test program are being developed under the Tactical Missile Defense Targets contract (Project 3354). This project is assigned to the Budget Activity and Program Element codes as identified in this descriptive summary in accordance with existing Department of Defense policy. The THAAD Program continued Dem/Val hardware and software design, development and delivery in support of integration and acceptance testing for flight testing at WSMR. The first Dem/Val THAAD radar was delivered to WSMR on July 17, 1995, and has participated in flights 3, 4, 5, and 6. The THAAD Dem/Val Radar has performed in the shadow mode to the test range radar and will be the primary sensor on flight 7. The first UOES Radar was delivered to WSMR May 3, 1996, and completed range integration and test in September 1996. It will be used for flight testing beginning with flight 8 and for the remainder of the Dem/Val flight tests. The first flight was successfully conducted at WSMR on April 21, 1995, proving the THAAD missile propulsion system booster/kill vehicle separation, seeker shroud cover deployment, seeker data, uplink/downlink communications from the Radar Interface Unit (RIU) to the missile, and pre- planned command destruct. The second flight was conducted on July 31, 1995, as a planned non- intercept, guidance and control test. The missile successfully performed the THAAD Energy Management Steering (TEMS) maneuver which resulted in nominal velocities and accelerations. The kill vehicle successfully maneuvered in response to planned In-Flight Target Updates (IFTUs). The third flight was a non-intercept fly-by test against a Storm target on October 13, 1995. The missile collected critical seeker data and the BM/C4I generated the fire control solution and sent the launch command to the interim launcher. During flight 4, on December 13, 1995, much success was demonstrated even though a planned intercept was not accomplished. The PLS launcher was used successfully for the first time, and the seeker and integrated electronics package demonstrated end game homing. During flights 4, 5, and 6, the THAAD Radar successfully tracked both the THAAD interceptor and the target. During flights 4 and 6, it properly maintained track on the interceptor and seeker shrouds during shroud separation. All radar mission events, times, and durations, went as predicted in pre-mission analysis. Flight 6 was conducted July 15, 1996. Data analysis is being performed to assess the segment performance which all appeared to function as planned, with the exception of a component failure in the missile seeker. An intercept was not achieved, however, critical data was obtained on how the seeker viewed the target. FY 1996 ($ in Thousands): - $383,000 Major Contracts: Began THAAD system flight tests with BMC4I, THAAD Radar and PLS launcher. Completed flight tests 3-6 at WSMR. Continued system flight testing analysis. Continued THAAD system ground testing to mitigate flight test risk. Completed fabrication and WSMR integration of the UOES #1 Radar. Completed fabrication of UOES #2 Radar and delivered to WSMR. Continued THAAD Radar characterization tests at WSMR. Conducted System Design Review. - $62,900 Support Contracts: Continued software independent verification and validation. Continued nuclear environment survivability analysis. Continued hit assessment, discrimination, and guidance, navigation and control algorithm development. Continued hit to kill lethality analysis. Continued integration and support of THAAD flight testing. - $52,333 Integration by Prime Contractor: Continued integration and testing of Joint Tactical Information Distribution System (JTIDS) radios, launch support, BM/C4I, weapon system deck model, and simulation efforts. Continued system threat vulnerability assessment. Maintained integrated logistics and product assurance efforts. Provided system engineering support to THAAD flight tests to validate test results with predicted performance simulations. Continued pursuing integration of THAAD BM/C4I with the PM, ADCCS, to take advantage of previous Army developments of force operations software. - $19,700 In-house support: Maintained government salaries and benefits, travel, training. - $41,375 Targets: Continued development and delivery of targets to support THAAD flight tests and THAAD Radar system tests. Maintained infrastructure to support TMD targets. - $3,907 Lethality Analysis - Continued lethality simulation code validation. - $2,603 Operational Test and Evaluation (OT&E) - Conducted independent assessment of the THAAD System. - $565,818 Total FY 1997 ($ in Thousands): - $212,808 Major Contracts: Continue system flight test program and support. Conduct Radar System Test #1 (RST-1). Complete fabrication and integration of UOES radars. Conduct THAAD Radar characterization tests at United States Army Kwajalein Atoll (USAKA) in conjunction with the Theater Critical Measurements Program (TCMP)-2. Conduct Software Specification Review and SDR update. Exercise the UOES missile option. Begin procurement and fabrication of UOES missile components. - $42,463 Support Contracts: Continue software independent verification and validation. Continue nuclear environment survivability analysis. Continue hit assessment, discrimination, and guidance, navigation and control algorithm development. Continue hit to kill lethality analysis. Continue integration and support THAAD flight testing. - $56,629 Government Furnished Equipment (GFE)/Other: Continue integration and testing of Joint Tactical Information Distribution System (JTIDS) radios, launch support, BM/C4I, weapon system deck model, and simulation efforts. Continue system threat vulnerability assessment. Maintain integrated logistics and product assurance efforts. Provide system engineering support to THAAD flight tests to validate test results with predicted performance simulations. Continue pursuing integration of THAAD BM/C4I with PM, ADCCS to take advantage of previous Army developments of force operations software. - $20,590 In-house support: Maintain government salaries and benefits, travel, training. - $5,450 Targets: Continue development and delivery of targets to support THAAD flight tests and THAAD Radar system tests. Maintain infrastructure to support TMD targets. - $1,594 Operational Test and Evaluation (OT&E): Conduct independent assessment of the THAAD System. - $1,773 Small Business and Innovative Research - $341,307 Total FY 1998 ($ in Thousands): - $194,368 Major Contracts: Continue fabrication and integration of UOES missiles. Complete system flight test program and support. - $30,500 Support Contracts: Continue software independent verification and validation. Continue nuclear environment survivability analysis. Continue hit assessment, discrimination, and guidance, navigation and control algorithm development. Continue hit to kill lethality analysis. Continue integration and support THAAD flight testing. - $30,100 Integration by Prime Contractor: Continue integration and testing of Joint Tactical Information Distribution System (JTIDS) radios, launch support, BM/C4I, weapon system deck model, and simulation efforts. Continue system threat vulnerability assessment. Maintain integrated logistics and product assurance efforts. Provide system engineering support to THAAD flight tests to validate test results with predicted performance simulations. Continue pursuing integration of THAAD BM/C4I with PM, ADCCS to take advantage of previous Army developments of force operations software. - $21,500 In-house support: Maintain government salaries and benefits, travel, training. - $14,234 Targets: Continue development and delivery of targets to support THAAD flight tests and THAAD Radar system tests. Maintain infrastructure to support TMD targets - $2,367 Lethality Analysis: Continue lethality simulation code validation. - $1,578 Operational Test and Evaluation (OT&E): Conduct independent assessment of the THAAD System. - $294,647 Total FY 1999 ($ in Thousands): - $16,778 Completes funding of the UOES missiles. - $16,778 Total Acquisition Strategy The THAAD Acquisition Strategy approved for the Dem/Val phase specified full and open competition for THAAD system integration, missiles, launchers, and BM/C4I. The TMD Ground Based Radar (GBR) Acquisition Strategy also specified full and open competition for Dem/Val. The Concept Definition phase, completed in 1992, involved three contractor teams and defined concepts and preliminary designs for the THAAD System. The THAAD Dem/Val contract was competitively awarded to Lockheed Missiles and Space Company in September 1992. The Dem/Val program will develop a design for the THAAD System, and the contract contains an option for production of the 40 UOES missiles based on the design demonstrated in the Dem/Val flight test program.. The THAAD Radar (formerly known as TMD-GBR) Dem/Val contract was competitively awarded to Raytheon Company in September 1992. The Dem/Val phase includes the development and test of the Dem/Val TMD-GBR and two UOES TMD-GBRs. B. Program Change Summary ($ in Thousands) FY 1996 FY 1997 FY 1998 FY 1999 Total Cost Previous President’s Budget 554,755 269,000 0 0 823,755 Appropriated Value 344,000 Adjustments to Appropriated Value: a. General Reductions (FFRDC, Inflation etc.) -2,693 FY 1998 President’s Budget Request 565,818 *341,307 294,647 16,778 1,218,55 0 Change Summary Explanation: *Funding: A request has been submitted to reprogram FY 97 EMD funds to Dem/Val. FY 98 and FY 99 funds were realigned due to the slip in the THAAD flight test schedule. Schedule: The Milestone II DAB Review milestone has slipped due to longer than expected Flight 6 failure investigation and Flight 7 preparation. The Flight 6 failure investigation caused Flight 7 to move from September to December 1996. An inertial measurement unit software error, found during software verification testing of FTV-07, further delayed the flight test to late February 1997. Technical: None C. Other Program Funding Summary ($ in Thousands) FY 1996 FY 1997 FY 1998 FY 1999 FY 2000 FY 2001 FY 2002 FY 2003 To Compl Total Cost THAAD Procurement, SSN C494000* 0 0 0 0 0 33,78 5 531,7 15 606,3 15 Cont Cont THAAD MILCON, 0604861C 13,10 4 0 4,565 4,994 Cont Cont THAAD EMD, 0604861C 0 277,5 08 261,4 80 578,4 67 603,2 13 584,5 61 413,8 84 372,6 74 Cont Cont * IN ARMY TOA D. Schedule Profile FY 1996 FY 1997 FY 1998 FY 1999 1 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 Dem/Val Radar Integration and Test (I&T) Complete * System Design Review * UOES Radar 1 I&T Complete * Radar System Test #1 * UOES Option Award X UOES Radar 2 I&T Complete * Software Specification Review X Integrated System Tests Complete X Radar System Test #2 X Milestone II X 1st UOES Missile Delivery X A. Project Cost Breakdown ($ in Thousands) FY 1996 FY 1997 FY 1998 FY 1999 a. Prime Contract 383,000 212,808 194,368 16,778 b. Other Government Activities 52,333 56,629 30,100 0 c. Support Contracts 62,900 42,463 30,500 0 d. Program Management 19,700 20,590 21,500 0 e. Targets 41,375 5,450 14,234 0 f. Lethality 3,907 0 2,367 0 g. OT&E 2,603 1,594 1,578 0 h. Small Business Innovative Research 0 1,773 0 0 Total 565,818 341,307 294,647 16,778 B. Budget Acquisition History and Planning Information ($ in Thousands) Performing Organizations: Contractor or Government Performing Activity Contract Method/T ype or Funding Vehicle Award or Obligat ion Date Perfor ming Activi ty EAC Projec t Office EAC Total Prior to FY 1996 Budget FY 1996 Budget FY 1997 Budget FY 1998 Budget FY 1999 Budget to Comple te Total Progra m Product Development Organizations LMMS CPFF Oct 97 988,34 4 293,49 4 181,74 5 194,36 8 16,778 1,674, 729 RAYTHEON CPIF/CPA F 430,03 4 89,506 31,063 550,60 3 Support and Management Organizations SETA C/CPAF Oct 97 23,200 16,700 11,050 0 50,950 Other Spt Cont Various Multipl e 212,33 8 39,700 25,763 19,450 0 297,25 1 OGAs MIPR Multipl e 131,05 4 53,033 58,219 29,600 0 271,90 6 SBIR 1,773 1,773 Test and Evaluation Organizations WSMR MIPR OCT 97 27,531 19,000 19,000 22,000 0 87,531 OT&E 1,500 2,603 1,594 1,578 0 7,275 TARGETS 61,245 41,375 5,450 14,234 0 122,30 4 LETHALITY 7,200 3,907 0 2,367 0 13,474 B. Budget Acquisition History and Planning Information Continued ($ in Thousands) Government Furnished Property: Item Description Contract Method/T ype or Funding Vehicle Award or Obligat ion Date Delivery Date Total Prior to FY 1996 Budget FY 1996 Budget FY 1997 Budget FY 1998 Budget FY 1999 Budget to Comple te Total Progra m Product Development Property N/A 0 0 0 0 0 0 Support and Management Property N/A 0 0 0 0 0 0 Test and Evaluation Property N/A 0 0 0 0 0 0 Subtotal Product Development 1,418, 378 383,00 0 212,80 8 194,36 8 16,778 2,225, 332 Subtotal Support and Management 343,39 2 115,93 3 102,45 5 60,100 621,88 0 Subtotal Test and Evaluation 97,476 66,885 26,044 40,179 230,58 4 Total Project 1,859, 246 565,81 8 341,30 7 294,64 7 16,778 3,077, 796 February 1997 4 - Demonstration and Validation 0603861C Theater High-Altitude Area Defense System - TMD