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PLRD-82-126 1 (1982-09-28)

handle is hein.gao/gaobabmpr0001 and id is 1 raw text is: 
                     UNITED STATES GENERAL ACCOUNTING -OFFICE
                             WASHINGTON, D.C. 20


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     B-207859
                                            September 28, 1982

     The Honorable Robert J. Lagomarsino
     House of Representatives

     Dear Mr. Lagomarsino:                                  119608

          Subjects Contracting for Support Services and Competitive
                    Procurement Practices at the Navy's Pacific.
                    Missile Test Center, Point Mugu, California
                    (GAO/PLRD-82-126)

          Your January 6, 1982, letter asked us to investigate
     on behalf of Federal employee union representatives, contract-
     ing practices at the Pacific Missile Test Center (PMTC), Point
     Mugu, California. It was alleged that the Navy had not complied
     with Office of Management and Budget (OMB) Circular A-76 by fail-
     ing to make cost comparisons to determine whether performance of
     functions by contract or by Government employees was more econom-
     ical. It was further alleged that support service contracts had
     been awarded without following competitive bid procedures.

     OBJECTIVES, SCOPE, AND METHODOLOGY

          Our objectives were to determine (1) whether cost comparison
     requirements of OMB Circular A-76 had been met in contracting for
     selected support services and (2) whether competitive procurement
     procedures had been followed in awarding selected support service
     contracts. We also reviewed the policies and procedures in OMB
     Circular A-76.

          We made our review essentially at PMTC. We reviewed con-
     tracts and management file documents, contract work statements,
     organization functional statements, and acquisition requests in
     support of proposed contract actions. We also analyzed work-
     load and personnel staffing statistics and related data for
     those functions under review. In addition, we reviewed Navy
     and installation policies and procedures relating to contract-
     ing out and competitive bid procedures. Discussions were held
     with Navy contracting, operations, and management officials.
     We also visited the facilities where the support service func-
     tions were performed.

          We made our review in accordance with our current Stand-
     ards for Audit of Governmental Organizations, Programs,
     Activities, and Functions.


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