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DOCUMENT PESUME
02966 - [A2013077]
To Provide Policies, Methods, Criteria for the Acquisition of
Property and Services by Executive Agencies. Juj. 19, 4977. 11
pp. + 2 enclosures (14 pp.).
Testimony before the Senate Committoe on Government Operations:
Federal Spending Practices, Efficiency and Ope- Government
Subcommittee; by Elmer B. Staats, Comptroller Genera].
Issuc Area: Federal Procurement of Goods ard Services (1900).
Contact: Office of the Comptroller General.
Budga.- Function: General Government: General Property and
Lecords Management (804).
Orgeai7ation Concerned: Commission on Federal Paperwork;
'ommission on Government Procure ni..; DepartreTt of Defense.
Cong_essional Relevance: Senate. Comu2,ttee on Gove'nment
Operations: Pederal Spending Practices, Efficiency and Open
Government Subcommittee.
Authority: Cost Accounting Standards Act. Renegotiation Act.
Armed Services Procurement Act of 1947. Federal Property and
Administrative Services Act of 1949. Truth-in-Negotiations
Act. S. 126- (95th Cong.). S. 3005 (94th Cong.). OMB
Circular A-109. A.S,P. 3. 3-907.3(b) (1). A.S.P.R. 2-500.
The purpose of . 1264 (95th Co1,g.) is to consolidate
ana reform the basic laws presently controlling Federal
procurement and to replace them with a single, all-inclusive
statute. TChe bill. provides for: putting negotiation on an equal
footing with formal advertising without written justification;
significantly increasing the use of performance type rather than
detailed specifications; requiriny certified cost ana pricing
data for sole-s.-.rce procurements ovar $10,000; and waiving
various surveillance requirements over contractors' activities.
The surveillance requirements should not be waived because,
although a contractor's business operations may consi :t of 75%
or more commercial and competitive Government contracts, there
is no assurance that the other 25% or less of Government
contracts is being conducted in a manner to protect the
Government's interest. Cost Ac-ounting Standards do not
constitute a Government Lurveillance requirement having an
effect on performance of contracts. Thp provision for executive
agency examinations to verify cost data should be altered to
provide that examinations be conducted only when necessary to
insure contract performance a.d/or to evaluate the accuracy,
completeness, and currency of data certified unuer section 305
of the bill. The rquirement for purchase descriptions may
unduly innibit the use of definitive specifications in
situations where the benefits of standardization outweigh the
advantages of such descriptions. (Author/Qr)](ViewImageLocal?handle=hein.gao/gaobadxvf0001&div=1&collection=&method=preview&ext=.png&size=3)