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GAO-14-659R 1 (2014-06-24)

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G       A     O       U.S. GOVERNMENT ACCOUNTABILITY OFFICE
441 G St. N.W.
Washington, DC 20548


June 24, 2014


Congressional Committees

Prepositioned Stocks: DOD's Strategic Policy and Implementation Plan

This report summarizes our work to date in response to section 321 of the National Defense
Authorization Act for Fiscal Year 2014, Pub. L. No. 113-66. Section 321 requires the
Department of Defense (DOD) to maintain a strategic policy on the programs of the department
for prepositioned materiel and equipment that takes into account national security threats,
strategic mobility, service requirements, and the requirements of the combatant commands, and
to address the ways in which the department's prepositioning programs, both ground and afloat,
align with national defense strategies and departmental priorities. The act also requires that not
later than 120 days after the date of the act, DOD is to submit to the congressional defense
committees a plan for implementation of the prepositioning strategic policy. Section 321 further
requires that not later than 180 days after the enactment of the act, GAO is to review the
submitted strategic policy and implementation plan required and to provide to the defense
committees a report describing our findings and any additional information that we determine is
appropriate relating to the prepositioning strategic policy and implementation plan.

To respond to the mandate, we contacted the Office of the Under Secretary of Defense for
Logistics and Materiel Readiness, designated by DOD as responsible for the strategic policy
and implementation plan in response to the statutory requirements, to discuss DOD's progress
in developing the policy and plan and to obtain DOD's written submission to Congress in
response to section 321. We reviewed the letters DOD submitted to Congress regarding its
mandate and our previous work concerning the need for DOD to develop department-wide
strategic guidance and implement a coordinated joint-service approach for managing its
prepositioning programs, as well as relevant DOD documents and military service guidance.

We found that, as of June 24, 2014, DOD has not submitted a strategic policy or an
implementation plan to congressional committees as mandated by section 321. In letters to the
defense committees dated April 24, 2014, DOD stated it would establish an enterprise-focused
working group that would develop strategic guidance, including joint oversight for DOD's
prepositioning programs, and that a response would be provided by the end of March 2015 to
allow the group to develop the necessary guidance and oversight.

Because the policy and plan have not been finalized, we cannot review the documents as
mandated. However, we will continue to monitor DOD's progress and will review the strategic
policy and implementation plan for prepositioning as mandated by section 321 when they
become available. We will work with your staff on the timing of our future report.

We conducted our work from May to June 2014 in accordance with all sections of GAO's Quality
Assurance Framework that are relevant to our objectives. The framework requires that we plan
and perform the engagement to obtain sufficient and appropriate evidence to meet our stated
objectives and to discuss any limitations in our work. We believe that the information and data


GAO-14-659R Prepositioned Stocks

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