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IMTEC-84-16 1 (1984-07-16)

handle is hein.gao/gaobabnlf0001 and id is 1 raw text is: 


                    )COMPTIOLLER GENERAL OF THE UNITED STATES
                              WASHINGTOND.C. 205
                                               JULY 16. 1984
B-214511
        ESTRICTD    - not to he roe.ed otsdo the  General  EVLEASED
        Accounting Office except o: he basis of specific approval
        bY .the  Office of pongressional RelaUons $..--

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

Dear Mr. Chairman:

     Subject: Navy Did Not Adhere to Procurement Regulations
                In Acquiring a Computer for Its Ships Parts
                Control Center (GAO/IMTEC-84-16)
     In your September 15, 1983, letter (see encl. II), you asked
us to evaluate the U.S. Navy's acquisition and use of an Inter-
national Business Machines (IBM).3032 computer installed at the
Ships Parts Control Center in Mechanicsburg, Pennsylvania. In
1979, the U.S. Army Corps of Engineers leased this computer under
the foreign military sales program to support the Saudi Arabian
Naval Expansion Program. Later, the Navy acquired the IBM 3032 for
its Weapons Systems File Download project.
     You asked us to evaluate the legality of the Navy's actions in
acquiring and using the IBM 3032, focusing on (1) the procurement
policies and procedures that governed the acquisition of the IBM
3032; (2) the roles and responsibilities of, and funding arrange-
ments between, the U.S. and Saudi navies; (3) the Saudi Navy's re-
quirement and what was actually developed during the project; and
(4) how the U.S. Navy used the computer for the Saudi project and
for its own project. We also evaluated the Army Corps of Engi-
neers' compliance with applicable foreign military sales and
computer procurement laws, rules, and regulations in leasing the
IBM 3032.

     On November 2 and December 6, 1983, we briefed your office on
the progress of our work. This is our report on the matter. Our
overall assessment is that the

     --Army Corps of Engineers followed established laws, rules,
       and regulations in leasing the IBM 3032 for the Saudi Naval
       Expansion Program;




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