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DOCUREB3T RESURE
05427 - (80765689]
Need To Improve AiD1s Project management and Contracting
Practices and Procedures. ID-78-22; B-132961. March 14, 1978. 6
pp. + 12 appendices 131 pp,).
Report to John J. Gilligan, Administrator, Agency for
International Development, by J. Kenneth Fasickv Director,,
International Div.
Issue Area: International Dconomic and military Programs: r.S.
Development Assistance Overseas (603); Federal Procurement
of Goods and Services! Procurement of Only Needed Quantities
of Goods (1901).
Contact: International Div.
Budget Function: International affairs: Foreign Economic and
Financial Assistance (151).
organization Concerned: Department of State.
Congresmional Relevance: House Committee on International
Relations; Senate Comittce on Foreign Relations.
Selected contracts and grants awarded by the Agency for
International Development (AID) were examined to evaluate the
planning of pxocureaent requirements, compliance with
procurement regulationse and monitoring and control of
contracts. Findings/Conclusions: The development of
requirements for proposed procurements was not given sufficient
attention because of AIDs haste in making awards. This
sometimes resulted in delays in implementing contracts and
contract modifications. AID sometimes used inappropriate or
questionable contracting practices in the negotiation and award
Fhase cf the procurement process. Procurement policy calls for
maximum competition but allows for noncompetitive negotiations
under specified circumstances. AID used these exceptions rather
extensively, and justifications for these exceptions prepared by
the technical offices were seldom cLallenged by review levels of
the agency. Several contracting officers stated that the
technical offices and bureaus became too involved in the
procurement process, and this limited competition. The technical
offices and contract office should work as a team in the
procurement process. Weaknesses in contract and grant monitoring
led to: failnre by a contract or to fulfill the contract
objective, a change in contract scope, york on contracts after
expiration dates, and contract-incurred cost in excess of the
authorized amount. Recommendations: The Adinistrator of AID
should: closely monitor the implementation of the October 1977
directive to ensure that corrective actions are taken; establish
criteria defining the conditions when the impairment of foreign
assistance objectives exception can be usad; and elicinate
weaknesses identified in the reportv particularly those relating
to AID's monitoring of contracts and grants. (HTU)](ViewImageLocal?handle=hein.gao/gaobaawyc0001&div=1&collection=&method=preview&ext=.png&size=3)