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B-164031(1) 1 (1974-11-07)

handle is hein.gao/gaobaaejg0001 and id is 1 raw text is: .. .o q 3I Q),(o3f(, COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON. D.C. 20548 B-164031(1) NOV 7- 1914 The Honorable Charles Mc C. Mathias,* Jr. iiill111111111111IllII1111 United States Senate LM092049 Dear Senator Mathias: In accordance with your joint request with Representative Gilbert Gude'dated November 5, 1973, and agreements with your office, we reviewed the Department of Health, Education, and Welfare's (HEW's) practices in awarding two contracts to Thompson, Lewin and Associates, Inc., for consultant services to the Office of Child Development. Our re- view also concentrated on the use of temporary employees by the Office at its headquarters during late fiscal year 1973 and early fiscal year 1974. We identified what we consider to be an unnecessary award of a sole source contract resulting from inadequate planning by the Office and that a strong basis exists for the conclusion that HEW allowed the existence of what was tantamount to a proscribed employer-employee relationship between the Government and the contractor during performance of the two contracts. There were no indications that the Office used excessive numbers of temporary employees at its headquarters during the period you cited. UNNECESSARY AWARD OF SOLE SOURCE CONTRACT On June 28, 1972, the Director, Office of Child Development, sub- mitted a request to HEW's Procurement and Contracting Branch for a sole source procurement of management consulting services from Thompson, Lewin and Associates, Inc., in the amount of $250, 000. (This Branch has authority for awarding and administering Office of Child Development con- tracts. ) In his request the Director stated that the Office was undertaking a major effort to provide broad-scale improvement jand upgrading of the Head Start program and, as part of this effort, a system was needed to enable Head Start grantees to make changes in their programs during the fourth quarter of fiscal year 1973. The Director stated that Thompson, Lewin and Associates, Inc., would be expected to provide services necessary to help the Office plan and man- age the overall effort, to act in an advisory capacity, and to help coordinate the tasks to be performed as part of the improvement process. He also stated it was crucial that the tasks outlined for the contractor be undertaken quickly, because they were complex and would serve as the foundation for the fiscal year 1973 program. ~~~q 0 P

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