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092732 1 (1969-01-22)

handle is hein.gao/gaobacwpw0001 and id is 1 raw text is: 



                     UNITED STATES GENERAL  AccoUNTING  OFFICE

                               WASHINGTON, D C  20548

CIVIL DIVISION                                                  JAN  2 2 1969




        Dear Mr. Preston:

             On November 20, 1968, we brought to your attention the possibility
        of realizing savings in procurement costs by purchasing microfilm in
        quantities sufficient to take advantage of the maximum volume discounts
        offered by the suppliers.  During our survey at the Mid-Atlantic Service
        Conter (MASC) we noted another apparent uneconomical aspect concerning
        microfilm which raises certain questions as to whether changes are nec-
        essary in the procurement and/or use of microfilm at service centers.

             We found that during the microfilm reproduction process at the
        MASC, substantial quantities of film on each roll purchased by the NASC
        were not being used and were eventually destroyed.  This unused film
        resulted because the data being reproduced from master rolls furnished
        by the National Computer Center (NCC) is recorded on roll lengths aver-
        aging about 450 feet, whereas the length of the rolls on which the data
        is transcribed at MASC is 550 feet.  We were advised by MASC personnel
        that the unused film on the larger rolls was not being used because it
        would create a slowdown in the operation to reproduce data onto rolls
        that were shorter in length than the master roll.  MASC has destroyed a
        substantial quantity of the unused film.  In fiscal year 1968 we estimate
        that the cost of the unused microfilm could have been as much as $12,420.

             Each week the NCC updates the taxpayers' master file accounts and
        produces microfilm of data in these accounts for each of the seven service
        centers.  Upon receipt of the microfilm by MASC, additional copies are
        made for use by the various organizational elements of the center and for
        distribution to the district offices for research and reference purposes.
        At the MASC the reproduction process utilizes a film co ying machine to
        copy data from the NCC master roll onto rolls of Kalvar-  miciofilm.

             MASC and NCC officials informed us that the master rolls can be as
        long as 500 feet but that substantially all of the master rolls average
        about 450 feet in length.  Some 500 foot rolls have been received by MASC
        but most of the rolls are 450 feet.  MASC has been purchasing Kalvar



        1/
        Registered  trade name.


                                                         74~#5-~~NORM

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