NASA's Space Launch System (SLS) rocket with the Orion spacecraft for the Artemis I mission

Boeing's space initiatives just cannot escape scrutiny these days. NASA's Office of Inspector General the space agency's main watchdog released a damning report on Aug. 8 about Boeing's other major partnership with NASA: building the massive Space Launch System rocket meant to take future astronauts to the moon. The audit painted a grim picture of how Boeing is managing the program and reported that as expected there will probably be cost overruns.

Specifically, the audit reviewed Boeing's efforts to build an upgraded version of the SLS, which has been dubbed with the awful name of Block 1B (I know, they really have to get better at this naming thing). The Block 1B is meant to be a much more powerful version of the SLS with a new upper portion known as the Exploration Upper Stage  that will help it deliver more cargo to the moon.

NASA's Space Launch System (SLS) rocket with the Orion spacecraft for the Artemis I mission. Photographer: Joel Kowsky/NASA

Well, the OIG found that Boeing's management of this program at NASA's Michoud Assembly Facility in New Orleans has quality-control problems. Mainly, Boeing is lacking experience and properly trained workers at Michoud, where the company is manufacturing tanks for the main core of SLS and the Exploration Upper Stage.

Additionally, the cost of creating this more powerful SLS is adding up. The OIG anticipates the development to reach $5.7 billion by the time it launches in 2028, which is $700 million more than the baseline NASA committed in 2023.

Boeing reviewed the audit report and disagrees with many of the assertions about its performance, a company spokesperson said. Boeing will provide a detailed written response to OIG in the coming days, the spokesperson added.

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