Situation management is a rapidly evolving science where managed sources are processed as realtime streams of events and fused in a way that maximizes comprehension, thus enabling better decisions for action. Sensor networks provide a new technology that promises ubiquitous input and action throughout an environment, which can substantially improve information available to the process. Here we describe a NASA program that requires improvements in sensor networks and situation management. We present an approach for massively deployed sensor networks that does not rely on centralized control but is founded in lessons learned from the way biological ecosystems are organized. In this approach, fully distributed data aggregation and integration can be performed in a scalable fashion where individual motes operate based on local information, making local decisions that achieve globally-meaningful results. This exemplifies the robust, fault-tolerant infrastructure required for successful situation management systems.