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PSAD-80-19 1 (1979-12-11)

handle is hein.gao/gaobabaau0001 and id is 1 raw text is: UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D.C. 20548 PROCUREMENT AND SYSTEMS -RESTRICTED pecific aPprkh 1 ACQUISITION DIVISION AcC OU7c- t . 0 uil t B-196962 by the O''= DECEMBER 11, 1979 The Honorable Robert J. Lagomarsino ~i3 ~III House of Representatives 111098 1K Dear Mr. Lagomarsino: Subject: IContracting Out Base Operating Support Functions at the Navy's Pacific Missile Test Center, Point Mugu, Californiaj(PSAD-80-19) As you requested on July 10, 1979, we investigated allegations by Federal employee union representatives of inefficiencies in the contracting-out process at the Pacific Missile Test Center (PMTC), Point Mugu, California. We spe- cifically considered allegations that (1) contracts for key- punch operations at the base and janitorial services on San Nicolas Island were more costly than those operations pre- viously provided by civil service employees and (2) proposed contracts for guard and transportation services at PMTC and food services on San Nicolas Island were not cost effective. Since PMTC did not make cost estimates, we could not determine whether the contracting-out decisions were cost effective for the keypunch, janitorial, or guard service contracts. In addition, PMTC intended to contract out the food service (mess attendant) and one additional function without determining whether the decisions were cost effective. After we brought this matter to the attention of Navy head- quarters officials, current efforts to contract out the func- tions were suspended. Concerning the transportation function (motor vehicle), PMTC canceled the contract solicitation be- cause the Naval Audit Service would not certify to the ac- curacy of the Government in-house cost estimate and had also found ambiguities in the statement of work. PMTC officials justified the award of the keypunch, janitorial, and guard service contracts because of reduced personnel authorizations imposed by higher headquarters offi- cials. They also stated that cost comparisons were not re- '1 quired because no civil service personnel were adversely af- fected by the contracting-out decisions. However, we do not agree with the PMTC position. ( 6 U S/ (950566)

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