Army Procurement

Fort Benjamin Harrison's Commercial Activity Study Should Be Redone or Updated Gao ID: NSIAD-89-90 February 24, 1989

Pursuant to a congressional request, GAO evaluated the ongoing commercial activity study for base support operations at Fort Benjamin Harrison, Indiana, focusing on whether the: (1) study complies with applicable procedures and regulations; and (2) base has gathered sufficient data to permit converting the planned cost-plus-award-fee contract to a fixed-price contract if it determines that action to be advantageous.

GAO found that: (1) the base did not comply with all applicable procedures and regulations, since it did not use current, accurate work-load data to ensure equitable cost comparisons; (2) because the base has not updated the study's work-load data since fiscal year 1985, the data may not accurately reflect the base's requirements; and (3) although the Federal Acquisition Regulation encouraged the use of fixed-price contracts, the base proposed a cost-type contract because it had not collected the data needed to permit fixed-price contracting.

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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