Consolidation of the Cincinnati and Dayton Defense Contract Services Management Areas

In a review of the proposed Defense Logistics Agency (DLA) plan to consolidate the Cincinnati and Dayton, Ohio, Defense Contract Administration Services Management Areas (DCASMA's) at Dayton, GAO focused on (1) the impact of the realignment on operations at Cincinnati and Dayton and (2) the most cost effective approach to consolidation from the Government's point of view. Implementation of the planned consolidation is scheduled to begin in April 1980 and to be completed in October 1980.

The current plan to consolidate the Cincinnati and Dayton DCASMA's will reduce the DLA operating costs, primarily through staffing and rent reductions. The analysis indicated that the Dayton workload was larger than that of Cincinnati, and Dayton was more centrally located in relation to contractor dispersion. Most abolished personnel positions will be military, civilian supervisors, or clerks, which duplicate positions in Dayton. About 6,100 of the 10,560 square feet of space occupied in the Cincinnati Federal Office Building will be released to the General Services Administration. Dayton currently has 29,000 square feet of space which will accommodate the additional 15 personnel spaces to be transferred. According to DCASMA officials, additional costs or savings for travel, communication, and training will be minimal. Some Cincinnati metropolitan area contractors believe their service from the Defense Contract Administration Services will be reduced since they often visit the Cincinnati office, on short notice, to obtain shipping instructions from the transportation staff being transferred. Outlying contractors will not be affected. Some contractors also expressed concern over a possible future transfer of the remaining contract administration and production surveillance personnel to Dayton. These contractors believe such a transfer would reduce the current level of personal contact with DCASMA officials, which is necessary for timely problem resolution.