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092434 1 (1972-02-09)

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Major General Richard M. Hoban
Commander
Ogden Air Materiel Area
Hill Air Force Base, Utah  84401


FEB   91972


Dear General Hoban:

     During June through August of 1971, our office requested, ob-
served, and participated in, a physical inventory of selected ammunition
items in storage at the Tooele Army Depot.  The purpose was to determine
whether Army and Air Force records accurately reflected actual quan-
tities and condition of assets in storage.  The inventory was part of a
Defense-wide review of war readiness materiel stored in the continental
United States (CONUS).  Initially the inventory was to include only Air
Force ammunition.  For various reasons, however, it did include certain
Army assets.

     The purposes of this letter are to (1) provide you with the results
of our inventory at Tooele and (2) request that you advise us of the
status of the actions taken by the Air Force to improve the storage of
its ammunition at the various Army depots in CONUS.

EFFECTS OF PHYSICAL INVENTORY ON
THE RECORDS OF THE TOOELE ARMY
DEPOT (TOOELE)

     A total of 455 locations applicable to 42 federal stock numbers
(FSNs) was inventoried, resulting in the following corrective actions.

     --Adjustments were made to the location quantity balances for
       24 (57 percent) of the FSNs inventoried.

     --Location records were corrected for 83 (24 percent) of the 341
       locations on record at the start of the inventory.  An additional
       72 adjustments were made when assets were found in locations not
       on record.  (Value of these assets was computed to be $195,800.)
       In total, there were 455 locations inventoried and 155 (34 per-
       cent) were in error and required adjustment.  The value of these
       155 adjustments was as follows:


adjustment increases valued
adjustment decreases valued
gross adjustments totaling


at
at


$  499,750
   752,327
$1,252,077


UNITED STATES GENERAL ACCOUNTING  OFFICE
            REGIONAL  OFFICE
     7014 FEDERAL BUILDING, 1961 STOUT STREET
          DENVER, COLORADO 80202


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