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PLRD-83-2 1 (1982-10-21)

handle is hein.gao/gaobabmsk0001 and id is 1 raw text is: 


                    UNITED STATES GENERAL ACCOUNTING OFFICE
                           WASHINGTON. D.C. 2054



 PROCUREMENT, LOGISTICS,
 AND READINESS DIVISION


 B-209137                                       OCTOWER 21,1982

 The Honorable Arlen Specter                        Dlliiiliii li

 United States Senate
                                                       120075
The Honorable Charles F. Dougherty
House of Representatives

     Subject: Problems Encountered in Defense Procurements
               of Clothing Items (GAO/PLRD-83-2)

     This is in response to your February 9, 1982, letter
stating that the Government, specifically the Department of
Defense (DOD), is encountering problems in procuring clothing
items. DOD's clothing and textile items are procured by the
Defense Personnel Support Center (DPSC), Philadelphia,
Pennsylvania.

     In particular, you were concerned with the large number of
sole-source contracts being awarded and the high delinquency
rates in the delivery of items associated with these contracts.
Because of these problems, you believed there was a need to
establish a Defense procurement assistance center, a nonprofit
organization, to attract new supply sources and to provide spe-
cial procurement support to DOD, thereby improving competition
and reducing Government costs.

     After your request to us, the Office of the Secretary of
Defense (OSD) reviewed the areas of competition, delinquencies,
and outreach in clothing and apparel procurements and your pro-
posal for establishing a Defense procurement assistance center.
In a report dated July 8, 1982, the OSD study team concluded
that no significant problems in competition and delinquencies
existed but that certain improvements--particularly in the out-
reach area--were needed. It also concluded that the improve-
ments could readily be handled in-house by DOD and recommended
not funding a Defense procurement assistance center.

OBJECTIVES, SCOPE, AND METHODOLOGY

     we reviewed and discussed the OSD study with both OSD and
Defense Logistics Agency officials, interviewed DPSC small
business specialists and procurement officials, and reviewed
DPSC contract files. In addition, we visited several small
businesses DPSC identified as problem contractors to identify


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