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B-146977 1 (1973-03-05)

handle is hein.gao/gaobaaghf0001 and id is 1 raw text is: 4+4-


UNITED STATES GENERAL ACCOUNTING OFFICE
        WASHINGTON, D.C. 20548


PROCUREMENT AND SYSTEMS
  ACQUISITION DIVISION


MAR  51973


B-146977


The Honorable Elliot L. Richardson
The Secretary of Defense

Dear Mr. Secretary:


     The General Accounting Office reviewed the small caliber
ammunition program managed by the Frankford Arsenal, an Army
Materiel Command installation, at Philadelphia, Pennsylvania.
We found that Frankford's pacice of ma1ing rather than buy-
ig&.20-mm. projectiles was uneconomical. The Army Audit..
Agency (AAA) previously reported this practice to be uneco-
nomical for other types of ammunition.

     Frankford's fanctions include research and development
ajiAdoLorproduction.ofsmall caliber ammunition and such'  ems
as artillery ammunition components, fire control instruments,
and mechanical timing devices. Other functions are engineer-
ing, procurement of certain military commodities, and plan-
ning for industrial mobilization.

     To have maximum economy through co  dig      quie-
mrena, Frankford purchases small caliber ammunition for all
three of the services. The following summary shows total
small caliber ammunition procurements and sources of supply
for fiscal years 1971 and 1972.


Fiscal year
1971   1972


        Percent
Total of total


Government-owned, contractor-
  operated plants
Commercial
Frankford Arsenal

    Total



    QJ7-4-+ O~c?161'i


-(millions)


$129.0 $145.3 $274.3
  60.2  107.5  167.7
  8.1     2.5   10.6

$197.3 $255.3 $452.6


I


Source


60.6
37.1
  2.3

100.0


y'y (3/V


LM096444

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