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093272 1 (1972-10-06)

handle is hein.gao/gaobacxct0001 and id is 1 raw text is: 


     SO   UUNITED STATES GENERAL ACCOUNTING OFFICE

                     .         WASHINGTON, D C  20548


RESOURCES AND ECONOMIC                                      OCT  6  1972
DEVELOPMENT DIVISION



      Dear Mr  Morley

           We nave completed a limited review of the Department of Housing
      and Urban Development's (HUD) acquisitions of (1) a Univac computer
      system and (2) services for preparation of programs (software) for the
      new computer, other than the programs to be prepared in-house

           The computer system procurement process began in September 1969
      and culminated in February 1970 when contract H-1230 in the amount of
      $2.8 million was awarded to the Sperry Rand Corporation  Acceptance
      of the computer system and final payment was made in January 1971  The
      software procurement process which we reviewed began in January 1969
      and culminated in the award of two contracts totalling $1 4 million to
      Informatics Incorporated in April 1969 and June 1970

           In connection with the procurement of the computer system and
      software services, we reviewed the requests for proposals (RFP), vendors'
      proposals, Proposal Evaluation Board's minutes, memorandums exchanged by
      HUD ard vendors, and evaluation reports   We also interviewed individual
      board members-

           In procuring the computer system, HUD did not require the selected
      vendor to comply with one of the specifications in the RFP  This  speci-
      fication is stated in two sections of the RFP as follows

           Benchmark demonstrations will be performed on the configuration
           proposed by the vendor and at a time and place mutually agreeable
           to HUD and the vendor 



           As indicated earlier, vendors will be required to demonstrate
           the system performance of their proposed computer systems by pre-
           senting a live test demonstration to a HUD evaluation team 

           The importance that HUD attached to the foregoing specification is
      evidenced by HUD's refusal to permit one prospective proposer to demon-
      strate the operation of his computer system on one equipment configuration
      and list another configuration in his proposal



                                                     O   9  3  ca 72.

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