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B-174787 1 (1972-12-04)

handle is hein.gao/gaobaagau0001 and id is 1 raw text is: COMPTROLLER GENERAL OF THE UNITED STATES WASHINGTON. D.C. 20548 B-174787 61 jIII 1IJ JJ1JJII!I llljj)!IJJIIIIJlJJIJ11111l DEC 4 1972 ~LM096228 Dear Mr. Mailliard: This report is in response to your request of July 19, 1972, that the General Accounting Office consider a complaint by one of your constituents that ting__a.i4e products for purchase from works~aps._fo rthe blind and other handiKp deniesindustry the opportunity Qtobid on Gove nment pur- cia-,' -d-results in higher c-aststo the Government than would be incurred if the products were-purhased competitively. Your constituent also included for consideration a posi- tion paper by the Office Products Manufacturers Association which indicated that workshops selling products to the Govern- ment under the Wagner-O'Day Act have unfair advantage over other suppliers because (1) the Government finances, sets up, and assists the workshops, (2) the Government pays the delivery costs for purchases from the workshops, and (3) the workshops can pay less than Federal minimum wages. BACKGROUND The Wagner-O'Day Act (41 U.S.C. 46), enacted June 25, 1938, created employment opportunities for the blind by re- quiring that Federal agencies satisfy their requirements for certain products by purchasing from nonprofit workshops for the blind. The presidentially appointed Committee on Pur- chases of Blind-Made Products, comprised of one private citizen and six representatives of Federal agencies concerned with using blind-made products, was made responsible for se- lecting products purchased from workshops and for determining the fair market prices for the products. The act was amended, effective August 1, 1971 (1) to in- clude services under the program, (2) to extend the program to workshops for handicapped persons other than the blind, (3) to change the name of the Committee on Purchases of Blind- Made Products to the Committee on Purchases of Products and o7 Services of the Blind and Other Severely Handicapped and to revise its membership to include three private citizens and zuk1a(cw I

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