Accession Number:

ADA242352

Title:

Review of the Traditional Stock Fund Surcharge

Descriptive Note:

Final rept.,

Corporate Author:

DEFENSE LOGISTICS AGENCY ALEXANDRIA VA

Personal Author(s):

Report Date:

1991-09-01

Pagination or Media Count:

16.0

Abstract:

The Defense Logistics Agency DLA Operations Research and Economic Analysis Management Support Office DORO was tasked to conduct a review of the traditional or pre-supply support cost surcharge methodology. The review found that existing guidance including interim policy and revisions in process on the subject is current but very broad, and that DLAs method of developing the traditional surcharge is in conformance with this broad guidance. It was noted that while long term cost recovery results are good, year to year cost recovery results fluctuate widely. Frequent change occurs in the components used to develop the surcharge rate and minor irregularities have occurred, however, no major discrepancies were noted. The report recommends that the traditional surcharge be incorporated in the standard unit price. It is further recommended that DLA standardize the procedure for computing the traditional surcharge.

Subject Categories:

  • Economics and Cost Analysis
  • Logistics, Military Facilities and Supplies

Distribution Statement:

APPROVED FOR PUBLIC RELEASE