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PSAD-80-51 1 (1980-05-22)

handle is hein.gao/gaobabape0001 and id is 1 raw text is: A IEASED RESTRICTED . Not to be released outsde the General Accounting Office except oi the basis of specific approval by the Office of Congressional Relations. COMPTROLLER GENERAL OF THE UNITED sTATEs WASHINOTON D.C. ma May 22, 1980 A1241 B-197436 The Honorable Jim Sasser United States Senate Dear Senator Sasser: Subject: Analysis and Comparison of Costs and Benefits Associated with Dividing Operations at Arnold Engineering /,;435-L Development Centeg( PSAD-BO-Si Your letter of April 4, 1980, iie us to analyze and compare the costs and benefits associated with divid- ing operations at the Arnold Engineering Development Center (AEDC), Tullahoma, Tennessee, among as many as three con- tractors. You also requested information about the impact of a change in contractors on the efficiency of operations at AEDC and on employees of the incumbent contractor, Sverdrup/ARO, Inc. Your letter also requested that we provide the pre- liminary results of our work by May 15, 1980, and a final report by July 1, 1980. However, as discussed with your office on April 25, and May 1, 1980, the data we have gathered to date is all that will be available until the completion of the source selection. As requested by your office, we are sending you this letter to provide you with the results of our review. AEDC has been operated by a single contractor--ARO, Inc.--since its inception in 1950. A= s current three-year contract expires in September 1980 but includes two 1-year options, available to the Air Force, to continue with ARO through September 1982. The Air Force has decided not to exercise the options with ARO. The Air Force is considering dividing the opera- tions at AEDC into three discrete functional areas--propul- sion testing, aerospace flight dynamics testing, and mission (990516) 112403 -7

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