Corps of Engineers Procedures for Acquiring and Altering Leased Space Need Revision
Gao ID: PLRD-82-86 July 1, 1982GAO reviewed selected Corps of Engineers' practices and procedures for acquiring and altering leased space to determine whether the Corps is following sound leasing procedures and practices.
GAO found that the Corps: (1) usually did not advertise for space and seldom sought or obtained competition for lease awards; (2) usually did not prepare independent cost estimates when it contracted on a sole-source basis with lessors for alterations; (3) did not comply fully with delegated authority to enter into multiyear recruiting office leases; (4) agreed to annual escalation of net rent on one lease; (5) paid rent and maintenance charges of about $646,000 for vacant space in one building during layout preparation and alteration; and (6) did not make the required determination that the negotiated rent on three major leases was within the Economy Act limitation prior to signing the leases.
RecommendationsOur 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.
Director: James G. Mitchell Team: General Accounting Office: Procurement, Logistics, and Readiness Division Phone: (202) 275-4128