Fort Monmouth Procurement Activities

Inappropriate Contract Actions May Increase Government Costs Gao ID: PLRD-81-14 May 12, 1981

GAO was asked to review a contract awarded by the Army Communications Research and Development Command (CORADCOM), Fort Monmouth, New Jersey, for the Joint Interface Test System and the entire scope of the Army Communications and Electronics Material Readiness Command (CERCOM) acquisition activity at Fort Monmouth. GAO restricted the review to: (1) assessing whether CERCOM took followup actions designed to correct deficiencies noted in an Army report and assessing the adequacy of these actions; and (2) reviewing the award by CERCOM, CORADCOM, and the Army Electronics Research and Development Command (ERADCOM).

GAO found that CERCOM issued new instructions and instituted organizational changes designed to correct the deficiencies noted in the procurement management review report issued by the Army Material Development and Readiness Command (DARCOM). However, CERCOM has performed insufficient evaluations to determine whether the new instructions and organizational changes have corrected all of the reported deficiencies. CORADCOM and ERADCOM procurement activities did not take appropriate action in three cases to protect the Government from incurring liability for costs that the contractor either offered to absorb or should have absorbed.

Recommendations

Our recommendations from this work are listed below with a Contact for more information. Status will change from "In process" to "Open," "Closed - implemented," or "Closed - not implemented" based on our follow up work.

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