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NSIAD-83-59 1 (1983-09-12)

handle is hein.gao/gaobabndb0001 and id is 1 raw text is: 


          UNITED STATES GENERAL ACCOUNTING OFFICE
                              WASHINGTON, D C 20548



  NATIONAL SECURITY AND
INTERNATIONAL AFFAIRS DIVISION  JRIJ  old~~~ *'~

   B-205940                                      September 12, 1983

   The Honorable Ted Stevens

   Chairman, Subcommittee on Defense
   Committee on Appropriations
   United States Senate

         Sub3ect- Analysis of HARM Procurement
                   Strategies (GAO/NSIAD-83-59)

    Dear Mr. Chairman:

         As requested in your letter of June 24, 1983, we have
   made an analysis of the procurement strategies proposed for the
   High Speed Anti-Radiation Missile (HARM) program. The enclosed
   Appendix outlines a number of reservations we have about
   the strategy outlined in the letter the Deputy Secretary of
   Defense sent you on June 16, 1983.

         In our opinion, the Deputy Secretary's proposal, which
    defers competition until a low-cost seeker is developed, will
    have little impact on reducing the overall cost ot the HARM
    program because the low-cost seeker will probably not be
    available until after most HARMs are scheduled to be procured.
    Furthermore, it is not clear to us that this strategy will
    expand the mobilization base as effectively as the Navy's
    two-source strategy. We found that the two-source strategy is
    still a viable option; however,-we believe that there can be
    little assurance about the extent price competition will provide
    a return on the investment which must be made to bring the
    second source on line.

         In conducting this analysis, we intErviewed officials in
    the HARM program office as well as othere in the Navy, Air
    Force, and Office of the Secretary of Defense (OSD). We met
    with representatives from Texas Instruments, Bendix, Ford
    Aerospace, and Raytheon, and visited the Naval Weapons Center
    at China Lake, California. We reviewed reports, plans, briefing
    materials, design documents, and cost estimates related to the
    HARM program.

         Due to a limited amount of time for doing the audit work,
    our focus was on the alternative acquisition strategies, their
    potential benefits, and the reasonableness of the strategy
    selected by OSD. In addition, we review!d the feasibility of
    developing a reduced cost seeker for HARM. We did not address
    affordability, technical performance, testing, overall program
    management, requirements deternd threat analysis.

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