NASA has not broken federal law by diverting or withholding funds from the Constellation program, the Government Accountability Office reported Monday.

The Constellation program tested the Orion capsule's launch abort system in May. Credit: NASA

Responding to queries from members of Congress, the GAO looked into whether NASA is at odds with a 1974 funding impoundment statute and language in this year's budget appropriations for the space agency.

The laws prohibit NASA from holding back funding or directing money toward elimination of any part of the Constellation program, which President Obama proposed terminating in February.

The Constellation program is a major part of the agency's exploration directorate.

But the GAO found NASA has not violated either law and is actually spending more money on exploration this year than in 2008 or 2009.

NASA has already spent about 83 percent of the exploration division's $3.7 billion budget in 2010, a higher pace of spending than during the last two years, according to the GAO, the government's internal watchdog agency.

In a letter to some members of Congress in June, NASA Administrator Charlie Bolden said the constrained Constellation budget has forced the agency to adjust the pace of work on the program.

This year's Constellation budget is further stressed by $994 million needed to pay for program shutdown costs. NASA wants Constellation contractors to set aside money to help meet a nearly $1 billion shortfall stemming from the unplanned termination of the program.

The contractors say NASA usually reimburses companies for unexpected termination costs, leading to a disagreement over which parties are liable for the shutdown expenses.