IG report finds lax oversight of SBInet

Cost overruns in the persistently plagued SBInet program are partially due to inadequate oversight by Customs and Border Protection, according to a report recently issued by the Hoemland Security Department inspector general.

SBInet is a multi-billion dollar program to blanket U.S. borders with a chain of radars, cameras and heat and motion detectors, allowing border patrol agents working from a common operational picture to make targeted responses to incursions. The effort has cost $1.9 billion so far, or 564 percent more than the initial projected cost. The prime contractor is Boeing (NYSE: BA). DHS Secretary Janet Napolitano halted new work on the project in March, pending the outcome of a project review she ordered in January. So far, SBInet has been readied for deployment along a 53 mile stretch of Arizona border.

The audit evaluates four task orders from fiscal year 2008, which totaled approximately $267 million dollars. Fundamental oversight over contractors was so lacking that "documentation does not exist to demonstrate that contractors produced deliverables, such as radar and camera units, that met project objectives and schedules," the report states.

Other problems include program events being initiated without meeting entrance criteria, while also moving on without satisfying exit criteria. "When program events are not successfully accomplished before progressing to the next event there is increased risk that significant resources may be wasted because identified deficiencies or other problems have not been properly resolved," the report states.

Additionally, CBP personnel did not ensure that current baseline information was entered into the earned value management system, the primary oversight system designed to provide management with advance information of potential cost overruns and schedule slippages.

Part of the problem was understaffing at the program office, which was formerly comprised of only three individuals to oversee the program; since the investigation was initiated in 2009, CBP added another government employee.

The report concludes that four changes are necessary, including proper documentation of all work effort, development of a process for program evaluation, ensure that all program events have been completed, and a reevaluation of SBInet staffing.

CBP said they accept the recommendations. They did raise one objection however, stating "not every single criterion needs to be fully resolved prior to advancing in the program and the Program Manager is to make a risk-based determination on whether, and how to advance," wrote, James Tomsheck, CBP appointed assistant commissioner, office of internal affairs , in the agency's official response to the audit.

For more:
- read the DHS inspector general report on SBInet Controls, OIG 10-96 (.pdf)
- go to the US Customs and Border Protection webpage on the Secure Border Initiative

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