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AFMD-81-15 1 (1980-10-24)

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               COMPTROLLER GENERAL OF THE UNITED STATES
                 -. WASHINGTON. D.C. 2014-


B-200948


The Honorable Jack Brooks, Chairman            OT 24 Wu
Committee on Government Operations
House of Representatives

Dear Mr. Chairman:

     Subject: L eview of GSA's Acquisition of ADP Resources)
               (AFMD-81-15)

     Your July 14, 1980, letter requested that we review the
General Services Administration (GSA) plans to acquire auto-
matic data processing (ADP) resources to support its internal
data processing requirements. Specifically, you expressed con-
cern about GSA's continued reliance on sole-source, noncom-
petitive extensions of the Computer Sciences Corporation (CSC)
INFONET contracts for teleprocessing services. These exten-
sions have been justified by GSA as interim solutions until
its planned long-range acquisition of ADP resources is com-
pleted. This acquisition has been in process for at least
4 years, but GSA still has not completed the action. In
addition, GSA is now planning yet another sole-source, non-
competitive extension of the INFONET contracts.

     We intend to provide you with our final report on the
information you requested in your July 14 letter by
November 30, 1980, but we are making this interim report to
advise you of GSA's current actions.

INFONET CONTRACTS FOR
TELEPROCESSING SERVICES

     On March 21, 1972, GSA awarded a fixed-price requirements-
type contract to CSC IN'ONET, known as the National Teleproc-
essing Services (NTS) contract. This contract was a mandatory
source for all Government users requiring teleprocessing serv-
ices and consisted of interactive timesharing and remote batch
access to a common data base under a nationwide teleprocess-
ing network.) The initial contract period, subject to annual
renewals, was not to exceed 54 months. However, 103 months
have now passed since the award of this contract, and the
current extensions run to 1981 and 1983 for two dedicated
systems.



                                  111111H           (913659)
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