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PSAD-80-57 1 (1980-06-26)

handle is hein.gao/gaobabatw0001 and id is 1 raw text is: EA 'Fr RESTRICTED - Not to be eiased outde the General Accounting Office except on the basis of specific approval by the Office of Congressional Relations. jq l'qv UNITED STATES GENERAL ACCOUNTING OFFICE WASHINGTON, D.C. 20548 PROCUREM ENT AND SY'S-TMS ACQUISITION 0IVISION B-199241 112806 JUNE 26,1980 The Honorable Thomas J. Downey House of Representatives Dear Mr. Dowpxne: , ....Ik Subject: Allegat ons Regarding t -a-r--tSy -te. £-1mma1&n-Contracts7 with Patty Precision Products Company (PSAD-80-57) At your request, we investigated certain allegations regarding Naval Air Systems Command (NAVAIR) contracts for bomb racks with Patty Precision Products Company, Sapulpa, Oklahoma. We performed our work at NAVAIR Headquarters, the Defense Logistics Agency, the Department of Justice, and the Small Business Administration (SBA) in Washington, D.C.; the SBA Regional Office in Dallas, Texas; the Defense Contract Administration Service Management Area and the Defense Contract Audit Agency (DCAA) Branch in Oklahoma City, and Tulsa, Oklahoma; the Federal Bureau of Investiga- tion and U.S. attorney's offices in Tulsa, Oklahoma; and Patty Precision Products Company, Sapulpa, Oklahoma. Based on our review, we concluded that: --A first article inspection clause was not improperly used by NAVAIR in a contract award won by Patty Precision Products Company. (See p. 2,) --Although out-of-date specifications were used in a solicitation by NAVAIR, generating the need for a subsequent $438,750 change in a contract, other offerors were also aware that the specifications could be changed, after the contract was awarded. (See p. 2.) --No information was withheld from SBA on the issuance of a certificate of competency (COC) for Patty Preci- sion Products Company. We believe SBA's lack of criteria at that time may have hampered its evaluation of the contractor's competency. (See p. 3.) (950569)

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