Joint Subcommittee Hearing Examines Concerns Over Management of the NSF’s National Ecological Observatory Network
(Washington, DC) – Today the House Committee on Science, Space, and Technology’s Subcommittees on Research & Technology and Oversight held a hearing to discuss the management of the National Ecological Observatory Network (NEON), a major research facility under construction by the National Science Foundation (NSF). The hearing focused on a recently projected $80 million cost overrun to the $433 million project. The project will be kept within budget by a de-scoping plan initiated by NSF and NEON, Inc., the non-profit organization that manages the project for the agency. However, the projected cost overrun has raised concerns about the management of the project by NEON, Inc. and oversight of NEON, Inc. by NSF. A hearing in February of this year also examined management issues at NEON.
Ranking Member of the Research & Technology Subcommittee, Daniel Lipinski (D-IL), said in his opening statement, “While I hope that all of my colleagues join me in supporting the scientific goals of the NEON project and are interested in seeing it put on a better path going forward, I know we share the goal of being good stewards of taxpayer money.” Mr. Lipinski continued, “Given how much the scientific opportunities, the technological options, and the environment itself have changed since the NEON scope and design were approved 5 years ago, it might be worth taking advantage of the de-scoping planning to ensure that we truly are getting the best science out of this facility.”
The NEON project is a one of a kind research effort that includes a distributed continental network of land, water, and airborne sensors and biological instruments that collect environmental and other data, helping scientists to understand and forecast the environmental and biological impacts of climate change, emerging diseases, water use, invasive species, biodiversity, agricultural and urban land-use. NEON, Inc. has already completed construction of 48 site locations and expended $285 million of its planned $433 million total budget. Originally NEON, Inc. planned for construction of 106 site locations, but that number has been reduced to 82 sites as part of the recent de-scoping of the project. Several instruments and components have also been removed as part of the de-scoping of NEON, including the elimination of the experimental Stream Ecology Observatory Network (STREON).
Ranking Member of the Oversight Subcommittee, Don Beyer (D-VA), said in his opening statement, “We cannot step back to prevent past mistakes or missteps. But we can and should learn from these past events. I believe the benefits we will draw from NEON’s future are indispensable and worthy of our continued investment and support.” Mr. Beyer continued, “I believe it is both wise and important to understand the interaction among organisms in our environment and the impact the environment has on these organisms, specifically how land use changes and climate change are driving ecological change, and how these changing systems in turn affect human health and wellbeing, and the economy. Fundamentally, this is NEON’s purpose. Everyone benefits from this challenging scientific endeavor.”
NEON is funded through a cooperative agreement between NSF and NEON, Inc., the private, non-profit corporation that was founded to design, construct and operate NEON’s continental network of sensors. There have been management concerns about the project for years. The project was re-baselined in August 2014 because of cost concerns. The National Science Foundation suggested that NEON, Inc. did not keep them fully informed about ongoing management and cost risks to the project. In early 2015, NSF began to take more aggressive oversight actions for NEON when it became clear that budget and management issues still existed. In May 2015, NSF sent a “warning letter” to NEON Inc., and NSF held a cost sufficiency review the following month. Congress, however, was not informed of these issues by NSF until late July. Last week, as a result of these latest management challenges, NEON, Inc.’s Chief Executive Officer (CEO) departed the organization and a search for new leadership was initiated.
Democratic Members expressed serious concerns over the recent revelation about the potential cost overrun. Members also expressed support for the aggressive steps NSF has taken to keep the project within budget and to enhance oversight of NEON, Inc. They expressed cautious optimism that these new actions, combined with new leadership at NEON, Inc., would pave the way for a more positive path forward. Democratic Members and the panel also discussed how lessons learned from the challenges with NEON could be applied to future large projects at NSF.
Testifying before the subcommittees were Dr. James L. Olds, the Assistant Director of the Directorate for Biological Sciences at NSF and Dr. James P. Collins, the Chairman of the Board for the National Ecological Observatory Network, Inc.
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