CAPE CANAVERAL, Fla. — In a surprise move, NASA has told the major contractors working on its troubled Constellation moon rocket program that they are in violation of federal spending rules — and must immediately cut back work by almost $1 billion to get into compliance.
As many as 5,000 jobs are expected to be lost.
The effect of the directive, which went out to contractors this week and which Congress was told about Wednesday, may accomplish something President Barack Obama has sought since February: killing Constellation’s system of rockets, capsules and lunar landers that has already cost at least $9 billion to date.
The biggest loser is Utah-based Alliant Techsystems Inc.
Other large companies affected include Lockheed Martin, Pratt Whitney Rocketdyne and Boeing. “Many of these reductions will be implemented via reductions in workforce … primarily affecting Texas, Alabama, Colorado, Utah and Florida,” NASA told Congress.
