The Air Force has decided to reduce award fees to Boeing because the company’s work on next-generation Global Positioning System satellites—GPS IIF—reportedly is more than $260 million over budget and three years behind schedule. USAF announced earlier this week that its review of the program turned up problems prompting it to delay launch of the first GPS IIF by a year, while it considered other actions. The Air Force has not yet said just how much Boeing will have to forfeit.
A three-month continuing resolution that ended in December inflicted less pain on the Department of the Air Force than it had expected, as procurement and construction continue in the new year. The federal government operated under a stopgap spending measure that stretched from the beginning of the fiscal year on…