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LCD-78-216 1 (1978-08-09)

handle is hein.gao/gaobaaxwe0001 and id is 1 raw text is: 



                           DOCUMENT RESUME
 C7021 - [B2227279]
 (Evaluation of Constituent's Rebuttal to GAO Report cn rCCCs
 Carrier Evaluation and Reporting System]. LCD-78-;16; B-152283,
 August 9. 1978. 3 pp.
 Report to Sen. Strom Thuraond; by Richard 1. Gutmann, Director,
 Logistics and Communications Div.
 Issue Area: Facilities and Uaterial Management: Federal
     Transportation of Things (704).
 Contact: Loqistics and Cormun..cations Liv.
 Budqet FUL :ion: National Defense: Department of Defense -
     Iilitar7 (except procurew-.t 9 contracts) (051).
 Organization Concernef: Department of Lefence.
 Congressional Relevaace: Sen. Strom Thurmcnd.

          Clarific- --ion wos offered in respc .se to a
 constituent's rebuttal to a GAO report on the Department of
 Defense's (DOD's) Carrier Evaluation and Reportin3 Systev. The
 constituent's aain concert, was that GIO haa erred in statin*g
 that the financial information for detirmining whether or not
 rates are compensatory is not arailatle at the interstate
 Commerce Cosaissio- (ICC). Officials tit ICC's Cost and Valuation
 Branch confirmed that there is no way at present to make Auch
 determinations A formula is being established to acco-ijah
 this. Other concerns and arguments exzressed bi the constituent
 were that: GAO had spent more time with the military thar with
 him 3P stu4yina the household goods inustry; agents, not
 carrier,* should be rated; and GAOP suggestion that ecooomic
 conditions -aay have triggered rates to drop below a ccvpen;-_tory
 level was questionable. In resFonse to each of these points, GAO
 had given the industry ample opportunity to oifer its views;
DOD's contractual relationship is wit the carzier, not the
agent; and factors other tbi)n ,ronoic were cited in GAC's
report. (HTV)

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