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093536 1 (1974-04-18)

handle is hein.gao/gaobacxfg0001 and id is 1 raw text is: 



                 UNITED STATES GENERAL  ACCOUNTING OFFICE
   05                        REGIONAL  OFFICE                     0J    36
Out                       ROOM 201 415 FIRST AVENUE NORTH
                          SEATTLE, WASHINGTON 98109



                                                     APR 18 1974


Mr. A, G. Fremling, Manager
Richland Operations Office
United States Atomic Energy Commission
P.O. Box 550                                BEST   00CUMENT
Richland, Washington  99352                                   AVAILABLE

Dear Mr. Fremling:

     We recently completed a survey of the procurement of parts for
commercial-type vehicles by several Federal agencies and the Atlantic
Richfield Hanford Company (ARHCO).  Since we do not plan further
work on such procurements by AEC contractors, we would like to bring
the results of our survey to your attention at this time.

     We  found that ARECO is generally obtaining prices equal to or
better  than most Federal agencies we visited. However, there may
be opportunities to achieve some further savings.

     Automotive replacement parts can be classified into two
 categories--original equipment manufacturer's (OEM) parts and
 alternate parts. OEM parts are sold by the vehicle manufacturer and
 its dealers. Alternate parts are sold under different brand names
 and price lists than those identified with the vehicle manufacturer.
 Alternate parts are marketed primarily through auto parts stores
 rather than vehicle dealers. Examples of alternate parts brand
 names are Wagner, Gates, Monroe, Carter, and Borg Warner.

     We  selected invoices for OEM and alternate parts purchased
 during November 1973 to February 1974. All prices paid for OEM
 parts were compared to the prices that would have been paid had the
 part been purchased through nonmandatory Federal Supply Schedules.
 To provide a common basis for comparison, we related the prices paid
 for alternate parts to the prices available on the Federal Supply
 Schedule for an equivalent OEM part. An index system was developed
 whereby the Federal Supply Schedule price was set at a base of 100.









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