--------------------------------------------------------------------------- PENUMBER: 0604861C 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 0 277,508 261,480 578,467 603,213 584,561 413,884 372,674 Continuing Continuing A. Mission Description and Budget Item Justification The Theater High Altitude Area Defense (THAAD) System Engineering and Manufacturing Development (EMD) phase will refine and mature the Demonstration/Validation (Dem/Val) system design to ensure component and system performance, producibility, and supportability. The EMD contractor will design, develop, fabricate, integrate, assemble, test, check-out, evaluate, document, deliver, and support the THAAD system. FY 1996 ($ in Thousands): - $0 N/A - $0 Total FY 1997 ($0 in Thousands): - $268,537 Funds are being reprogrammed to Dem/Val to support revised flight test schedule - $5,769 Targets: Funds are being reprogrammed to Dem/Val to support revised flight test schedule - $1,697 OT&E: Funds are being reprogrammed to Dem/Val to support revised flight test schedule - $1,505 Small Business Innovative Research - $277,508 Total FY 1998 ($ in Thousands): - $258,873 Award EMD contract. Begin preparation and training for the THAAD Limited User Test (LUT) for the User Operational Evaluation System (UOES). Begin software maintenance. Begin THAAD objective system design. Initiate material purchases for hardware. Continue lethality studies and algorithm development. Continue pursuing integration of THAAD Battle Management/Command, Control, Communications, Computers, Intelligence (BM/C4I) with the Project Manager (PM), Air Defense Command and Control Systems (ADCCS) to take advantage of previous Army developments of force operations software. Includes support for ADCCS to establish test requirements and cases for Computer Software Component integration and test. - $2,607 Targets: Continue procurement of targets to support THAAD flight tests. Maintain infrastructure to support TMD targets. - $261,480 Total FY 1999 ($ in Thousands): - $555,200 Begin delivery of EMD hardware (Launcher and Testbeds). Participate in Theater Critical Measurements Program (TCMP)-3 to evaluate the Radar and BM/C4I. Participate in System Integration Test (SIT)-2 exercise to evaluate system interoperability. Conduct the additional UOES tests (AUT). Continue system design engineering, lethality analysis, and algorithm development. Begin ground testing and integration of the THAAD system including UOES Radar. Conduct requirements and design reviews. - $16,498 Targets: Continue procurement of targets to support THAAD flight tests. Maintain infrastructure to support TMD targets. - $5,375 Lethality - Continue lethality simulation code validation, begin design/development of test hardware. - $1,394 OT&E. Continue independent assessment of THAAD system. - $578,467 Total Acquisition Strategy The EMD phase contract (missile, launcher, BM/C4I, and Radar) will be a sole source award to the Dem/Val contractor team (As approved September 15, 1995 by USD(A&T)) utilizing the DoD Acquisition Streamlining approach. The contractor team for the EMD phase will become the contractor team for the Low Rate Initial Production (LRIP) and Full Rate Production (FRP) phases. A single prime contractor will have total system performance responsibility for the EMD, LRIP, and FRP. B. Program Change Summary ($ in Thousands) FY 1996 FY 1997 FY 1998 FY 1999 Total Cost Previous FY 97 President’s Budget 0 212,798 481,513 534,820 1,229,13 1 Appropriated Value 277,798 Adjustments to Appropriated Value: a. General Reductions (FFRDC, Inflation etc.) -290 FY 98/President’s Budget Request 0 277,508 261,480 578,467 1,117,45 5 Change Summary Explanation: Funding: A request has been submitted to reprogram FY 97 EMD funds to Dem/Val. This submission reflects the realignment of FY98 and FY99 funds between Dem/Val and EMD funds. 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 2260, THAAD Procurement, SSN C494000* 0 0 0 0 0 *33,7 85 *531, 725 *606, 315 *Cont *Cont 2260, THAAD MILCON, PE 0604861C 13,10 4 0 4,565 0 0 0 0 4,994 Cont Cont 2260, THAAD Dem/Val, PE 0603861C 565,8 18 341,3 07 294,6 47 16,77 8 0 0 0 0 0 1,215, 634 * 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 EMD Contract Award X Limited User Test X Additional UOES Test X A. Project Cost Breakdown ($ in Thousands) FY 1996 FY 1997 FY 1998 FY 1999 a. Prime Contract 0 268,537 224,173 425,200 b. Other Government Activities 0 0 8,100 55,600 c. Support Contracts 0 0 26,600 51,900 d. Program Management 0 0 0 22,500 e. Targets 0 5,769 2,607 16,498 f. Lethality 0 0 0 5,375 g. OT&E 0 1,697 0 1,394 h. Small Business and Innovative Research 0 1,505 0 0 Total 277,508 261,480 578,467 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/SS Feb 97 0 0 249,60 0 224,17 3 425,20 0 0 898,97 3 RAYTHEON CPIF/CPA F Feb 97 0 0 18,937 0 0 0 18,937 Support and Management Organizations SETA C/CPAF April 98 0 0 0 11,050 22,500 33,550 Other Spt Cont Various Multipl e 0 0 0 15,550 29,400 44,950 OGAs MIPR Multipl e 0 0 0 8,100 53,300 61,400 SBIR 0 0 1,505 0 0 1,505 Test and Evaluation Organizations WSMR/USAKA MIPR April 98 0 0 0 0 24,800 24,800 OT&E 0 0 1,697 0 1,394 3,091 Targets 0 0 5,769 2,607 16,498 24,874 Lethality 0 0 0 0 5,375 5,375 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 268,53 7 224,17 3 425,20 0 917,91 0 Subtotal Support and Management 1,505 34,700 105,20 0 141,40 5 Subtotal Test and Evaluation 7,466 2,607 48,067 58,140 Total Project 277,50 8 261,48 0 578,46 7 1,117, 455 February 1997 5 - Engineering and Manufacturing Development 0604861C Theater High-Altitude Area Defense System - TMD