Army's Contracting Out of Laundry and Educational Testing Services at Fort Carson, Colorado

GAO was requested to evaluate the Army's decision to contract out for laundry and educational testing services at Fort Carson, Colorado. Specifically, GAO was asked to determine: (1) whether the Army followed the policies and procedures outlined in Office of Management and Budget (OMB) Circular A-76; (2) the sources of contract funding; and (3) whether the contractors have performed satisfactorily.

GAO found that Fort Carson complied with the provisions of OMB Circular A-76. However, Fort Carson officials were not aware of recently issued Department of Defense guidelines and, therefore, did not perform certain actions called for by the guidelines in contracting for educational testing services. Funding for the contracts was generally obtained by transferring unspent funds from in-house programs to commercial contracts. Also, the contractors' performance generally has been satisfactory; however, the laundry contractors have occasionally had laundry returned for rework at no additional cost.