Use of Formal Advertising by Civilian Agencies

GAO examined the procurement practices and procedures used by selected bureaus of the Department of the Interior. The purpose of the review was to determine the bureaus' efficiency and effectiveness in awarding formally advertised contracts and negotiated contracts. The following bureaus were selected for review: the Bureau of Reclamation, the Fish and Wildlife Service, the Bureau of Land Management, and the National Park Service.

GAO stated that effective, efficient, and economical procurement depends on adequate competition. In this regard, the Federal Procurement Regulations (FPR) are used to ensure that adequate competition takes place. Without sufficient competition, the Government has no assurance that it is paying fair and reasonable prices for procured items. However, GAO found that in general the bureaus were not complying with FPR's designed to assure competition, nor were they taking advantage of other opportunities to increase competition and decrease costs. GAO concluded that compliance with FPR's is necessary to maximize competition and to assure the integrity of the acquisition process in the absence of competition. Noncompliance with FPR's can be detected through procurement management reviews. Such reviews, as required by FPR 1-2.106, can also identify contracting practices and procedures which may unnecessarily inhibit competition, increase costs, or jeopardize the overall efficiency and effectiveness of contracting operations.

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.

Director: Robert M. Gilroy Team: General Accounting Office: Denver Regional Office Phone: (202) 275-4268