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PSAD-78-147 1 (1978-10-17)

handle is hein.gao/gaobaayeq0001 and id is 1 raw text is: DOCUM hIMRU33 07520 - [C29680S1 (IleitiriCted .o0fuso Department Is lot Doing Iugh To Saxiame Coptition wten Awarding Coutracts for. 1re-ts MIltary Sales. ,158-71-1475 9-165731. October 17, 197.. 33 pp..* 2 appendices (6 w4.- eot to Nov. jack Drooks Chaliz oum e NOcWtte ... Government operatious zogislatio m& Imtioia3 Security Subcommittee; by Elme 3. Stantse.oprlerGnrl Ise Area: Federal ftocuzemeft of Goods Und: 30mrWICOW Definition Of performance g-reqmmts !a Relation to god of the Procuring Agency (19021 gederal Proq. zaemt of Goods and Se vices (1901... Costact: Procurement and Systems acquisition. Div. Budt Functis: National Bofeome Department of Defense - Procurement & otracts 05 - . organiatiin Concerned: Departm et of Defense r of am Navy; Deprtmeav of the Army; -patatof tbe, MaVi rce Lorthrop Cp.: *Aircraft DIV*#l.authorme., CAw'. Conressional Relevance: ense Committee as Goernment operations: Legislation and latiomal -9ocuity I . Rep. Jack Brocks. Authority: Defense rocurement Circular 76-4. when transacting fov*Iqa solose the Department af Defense -DOD) generaly follows the me policies an d procelre required by the Armed Servi.-es Proment Regulations (AMM whether the contract is aw'nrded- for 9'.S. forces, or for forel ailitary sales (72S). Periign covatries are# however, allowed to make sole-source designations Is theftr rejmestx for procurmet. A sta U1stical aispie of DOD. contracts was studied. to. determine the extent of compettioZA ipus3., Iindinge/Covalusionaft -fy U.*S. firma lose- the Opportunity, to compete -for: 303 contracts. because the DOD is c.-rently- placing contzadfts valud at billions of dollars on a sole-soure basis to__buy_ goods aA services for other coutries.: DW activities often ignored or were unsware that US applies to foreign -military saloe - requested other countries to sk oesuc eintos awarded contracts that could, have been. handled Ithrough normal commercial channels, and fostered am& encouraged eig a ot high- priority requisitious msh ifne temdo sole-source procurmnts. The Northrop Coroain was designate& as the solio-source, sqnuppie for the-Feac.. Nnk program for Saudi Arabia. Dei9to ot Nothrop- as - plier for certain related efforts was logicalp but the Saudi AraIanS also designated Northrop as the sole source for phames of the program that would net normally be awarded to an. 1aircaft manuf acturer. As a result, many U.S. firms lost. the- oPrtunity to compete on hundreep -f millimou of dollars of mtrzacts In their own areas of expr~tIse. Nec omm at.s Ik. Secretary of Defense should: escomeaq Other con~trie end I.S.~ Program managers to avoid seting time schedules that compeole-ic

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