Boeing won the Air Force aerial tanker contract after protesting an award to European Aeronautic in a hard fought procurement. Now Boeing Co. is revising its master schedule for developing the new tanker that has already run up an estimated $1 billion in excess costs for the contractor. Yes, that is correct, $1 billion dollars in excess costs.
The Air Force and the U.S. Government Accountability Office (GAO) have praised Boeing’s progress on the $51 billion program to build 179 of the planes. However, they are saying that Boeing will have to absorb the $1 billion in costs for exceeding a $4.9 billion ceiling to develop the first four planes. That’s why Boeing gets the worst week award!
Now turning to IT, The General Services Administration’s (GSA’s) Office of Governmentwide Policy is assuming a key role in carrying out the Obama Administration’s 2012 information technology shared services strategy. GSA will implement several recommendations agreed to by the federal Chief Information Officer Council’s Shared Services Task Force as part of its early work on IT shared services. The Office of Management and Budget’s “Shared First” initiative is a key component of an effort to reform how IT projects are procured and managed. The initiative required agencies to use the shared services approach for interagency commodity and support IT services and mission-focused IT services.
“U.S. Attorney Preet Bharara claims New York City and Computer Sciences Corp. (NYSE: CSC) conspired to rip off the Medicaid program by millions of dollars in a federal civil suit filed Monday. Both defendants disputes [sic] the claims. To get Medicaid reimbursement for services to young children flowing more quickly, Bharara alleges, the city hired CSC to write computer programs to alter bills and skirt procedures. CSC was incentivized to maximize Medicaid revenue instead of billing private insurance plans first as required by law.” Read more here.
And finally, a Halloween lawsuit. Two men dressed as clowns and armed with purple (cough, cough) adult toys allegedly accosted an Illinois woman and her teenage daughter as they attempted to buy tickets to a haunted house, according to the lawsuit.
The mother and kids left the haunted house and fled to their car. The men were arrested and charged with battery and disorderly conduct. The haunted house is also being named in the lawsuit and is being charged with negligence. The FAQ page for the haunted house warns potential patrons not to attend “if you are easily offended.” The only thing funny in this story is the mug shot picture.
Happy Halloween all!