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B-238581 1 (1990-10-31)

handle is hein.gao/gaobablfx0001 and id is 1 raw text is: 


*Comptroller General
             of the United States
             Washington, D.C. 20548


                            DO NOT MAKE AVAIABLE TO: PUBLIC READING
                                      FOR 30 DAYS

             B-238581


             October 31, 1990

             The Honorable John P. Murtha
             Chairman, Subcommittee on Defense
             Committee on Appropriations
             House of Representatives

             Dear Mr. Chairman:

             By letter dated February 1, 1990, you asked for our opinion
             on whether the Air Force, before using $13.5 million to keep
             the B-lB's ALQ-161A core (Core) program operational, complied
             with the congressional notification requirement of
             section 9071 of the Department of Defense Appropriations Act
             for fiscal year 1990, Pub. L. No. 101-165, 103 Stat. 1112,
             1145 (1989) (Appropriations Act). We have determined that the
             Air Force complied with section 9071.

             BACKGROUND

             In 1982, the Air Force awarded contracts to Eaton Corporation
             for the development and production of 100 units of the ALQ-
             161A and related support equipment. Because of performance
             and production problems and design deficiencies, the Air Force
             is negotiating with Eaton a scaled-down version of that
             contract, i.e., the Core program.1/ According to the Air
             Force, it has periodically obligated limited amounts to fund
             operations for specific increments of time. The Air Force
             explained that the incremental funding of the contract allows
             it to continue to correct the ALQ-161A's design and hardware
             deficiencies, while providing the Congress an opportunity,
             before the Core program is fully funded, to review that
             program.

             The Air Force informs us that on November 1, 1989, it
             obligated $22 million to the contract to fund operations
             through January 31, 1990. Unless additional funds were
             forthcoming, the contract would terminate on January 31;
             paragraph 17(a) of the contract allows Eaton to refuse to
             continue performance once it incurs costs equal to the amount
             obligated on the contract.



             1/ See GAO Report, Strategic Bombers: B-lB Program's Use of
             Expired Appropriations, GAO/NSIAD-89-209 (Sept. 5, 1989).


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