Aviation Requirements: DOD Should Reassess the Marine Corps' Helicopter Modernization Decision
NSIAD-97-1
Published: Oct 30, 1996. Publicly Released: Oct 30, 1996.
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Highlights
GAO reviewed the Department of Defense's (DOD) efforts to reduce the number of helicopters in its inventories, focusing on: (1) whether the services were taking advantages of opportunities to increase commonality of helicopters within DOD; and (2) the Marine Corps' plans to modernize its fleet of UH-1 or Huey helicopters.
Recommendations
Recommendations for Executive Action
| Agency Affected | Recommendation | Status |
|---|---|---|
| Department of Defense | In view of the DOD goal of increasing common aircraft among the services and achieving associated savings, the Secretary of Defense should direct the DOD Office of Program Analysis and Evaluation to conduct an in-depth analysis of the economic benefits of increased utility helicopter commonality. |
Closed – Implemented
In October 1996, DOD acted on GAO's recommendations and delayed a final decision on the utility program until the results of a commonality study and assessment of alternatives by DOD were known. DOD directed its Office of Program Analysis & Evaluation (PA&E) to conduct an interim commonality study to be ready in the December 1996 timeframe which PA&E accomplished. In addition, PA&E completed an in-depth commonality study in 1997. However, as of August 12, 1997, the results had not been released. Based on DOD's action to delay the decision to proceed with the 4BN until a study had been done, GAO prepared an accomplishment report for "management improvements" that is still in process.
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| Department of Defense | In view of the DOD goal of increasing common aircraft among the services and achieving associated savings, the Secretary of Defense should consider the results of the commonality study and information in this report in future DOD deliberations on the Marine Corps' helicopter modernization options. |
Closed – Implemented
DOD considered the findings of PA&E's interim commonality study in its deliberations on the 4BN and did not find sufficient interservice commonality savings to offset the additional cost to DOD associated with the introduction of an H-60 utility variant to the Marine Corps. Therefore, DOD allowed the Marine Corps to proceed with the 4BN portion of the H-1 EMD contract. However, according to Bell Officials, GAO's report was the catalyst for Bell Helicopter to revise program costs downward. As a result, the Marine Corps reduced program costs for FYs 1997-2011 by $77.2 million and GAO claimed $3.4 million for FYs 1997 and 1998.
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| Department of Defense | If the study and other available data demonstrate that potential savings are sufficient to offset the Marine Corps' increased costs, the Secretary of Defense should consider using these savings for a Marine Corps Blackhawk derivative buy. |
Closed – Implemented
DOD considered the findings of PA&E's interim commonality study in its deliberations on the 4BN and did not find sufficient interservice commonality savings to offset the additional cost to DOD associated with the introduction of an H-60 utility variant to the Marine Corps. Therefore, DOD allowed the Marine Corps to proceed with the 4BN portion of the H-1 EMD contract. However, according to Bell Officials, GAO's report was the catalyst for Bell Helicopter to revise program costs downward. As a result, the Marine Corps reduced program costs for FYs 1997-2011 by $77.2 million and GAO claimed $3.4 million for FYs 1997 and 1998. In addition, PA&E completed an in-depth commonality study in 1997. However, as of August 12, 1997, the results had not been released.
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Topics
Cost effectiveness analysisHelicoptersInventory controlLife cycle costsMilitary cost controlMilitary inventoriesMilitary procurementResearch and development costsSystems conversionsU.S. Marine Corps