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114026 1 (1980-11-24)

handle is hein.gao/gaobacxtm0001 and id is 1 raw text is: \:~ ~ .~ -~.(.) COMMUNITY AN: ECOJOMIC DEVL7OPMENT DIVISION NFvmbe TO: Noveriber 24, 1980 Mr. Bernard Kulik Associate Administrator for Procurement Assistance Small Business Administration Dear Mr. Kulik: 114026 In response to reouests from the Chairman, Select Committee on Small Business, United States Senate, and Senator Jim Sasser, Tennessee, the General Accounting Office has reviewed the Small Business Administration's tSBAI Certificate of Competency (:CM Program SEA is authorized by section 8(b)(7) of the Small Business Act, as amended, to issue COCs for small businesses whose bids or proposals have been rejected by Government con- tracting officers because of lack of responsibility for any reason including, capacity, credit, tenacity, perseverance, or integrity. A COC is a written instrument, issued to a Government contracting officer or officer engaged in the sale or disposal of Federal property, certifying that the small company named therein, possesses the capability to perform a specific Government contract. The Government officer is re- quired to accept such certification as conclusive and shall award the contract to the firm in question without requiring it to meet any other requirement or responsibility or eligibility. In conducting our review, we (1) interviewed officials within the SEA headquarters, the SBA Philadelphia and Atlanta regional offices, the Defense Personnel Support Center, the Defense Contract Administration Service--Philadelphia and Atlanta, and-the General Services Administration--Washington, D.C.; (2) reviewed the files of 36 cases referred by Govern- ment acencies during calendar years 1978, 1979, and 1980 to the SEA Philadelphia Regional Office for COC action and the follow-up files on 63 active cases in that office; and (3) compared the performance (ability to deliver the items con- tracted for and in accordance with the specified time frames) of small businesses on 12 contracts awarded by GSA after COCs were issued with the performance of small businesses on 11 contracts awarded by GSA without the issuance of COCs. We reviewed a recent report distributed by the Defense Technical Information Center, Alexandria, Virginia, on the impact of COCs on the Air Logistics Center. Ve also took into account . P UYiTED STATES GENERAL ACCOUNTING OFFICE YASHINGTON, D.C. 20548 I ILf Q 2e/ V Z Of-

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