Survey of Base Level Procurement Activities at the Naval Air Station--Memphis

Local procurement at Naval Air Station-Memphis totaled about $1.7 million in fiscal year 1978. Approximately one-half of the procurement activity was made under blanket purchase agreements established by base supply. The station was included in a limited evaluation survey of internal control procedures for base level procurement activities.

A $183,000 contract for interior and exterior painting of base family housing units was not being performed in accordance with contract requirements. Inspections and management oversight of inspection procedures were inadequate. To insure immediate procurement, high priorities had been assigned to purchase requests by user organizations for items with a questionable urgent need. The urgency of the purchases and the resultant prioritizing would not have been necessary with more effective planning. Deficiencies in the station's procurement process should be corrected by improving Navy surveillance of contractor workmanship, establishing specific requirements for the immediate correction of existing deficiencies, and assuring proper training and monitoring of inspectors and the submission of written inspection reports. Increased training of users in the assignment of priorities, requirements planning, and projected need dates should be combined with necessary management scrutiny of high priority requests until abuses of the priority system are corrected.