Defense Health Care: Actions Under Way to Address Many TRICARE Contract Change Order Problems
United States Government Accountability Office Washington United States
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Since the 1994 award of the first TRICARE contract, 357 change orders, which cumulatively have increased tasks and overall costs, have been made to the five TRICARE contracts now in place.2 DOD has settled 134 of the orders at a cost of about 336,000. DOD estimated costs for the 223orders that are yet to be settled at 38 million. But DODs initial cost estimates differ markedly from contractors estimates. For example, contractor-submitted cost proposals for 85 of the 223 orders amounted to423 million.
- Medicine and Medical Research
- Economics and Cost Analysis