Defense Contracting in Iraq and Afghanistan: Issues and Options for Congress
LIBRARY OF CONGRESS WASHINGTON DC CONGRESSIONAL RESEARCH SERVICE
Pagination or Media Count:
This report examines logistical support contracts for troop support services in Iraq and Afghanistan for Afghanistan, beginning with LOGCAP IV administered through the U.S. Armys Logistics Civil Augmentation Program LOGCAP. LOGCAP is an initiative designed to manage the use of civilian contractors that perform services during times of war and other military mobilizations. On April 18, 2008, DOD announced the Armys LOGCAP IV contract awards to three companies - DynCorp International LLC, Fort Worth, TX Fluor Intercontinental, Inc, Greenville, SC and KBR, Houston, TX, through a full and open competition. The LOGCAP IV contract calls for each company to compete for task orders. Each company may be awarded up to 5 billion annually for troop support services with a maximum annual value of 15 billion. Over the life of LOGCAP IV, the maximum contract value is 150 billion. Under LOGCAP IV, the U.S. Army Sustainment Command awarded the first performance task order on September 25, 2008 to Fluor Intercontinental, Inc., for logistical support services in Afghanistan. Congress is concerned about the Federal oversight and management of DOD contracting in Iraq, particularly under LOGCAP. Recent assessments from the Government Accountability Office GAO, DOD Office of the Inspector General DOD-IG, and the Special Inspector General for Iraq Reconstruction SIGIR reveal a lack of accountability for large sums of money spent for Iraq contracts. Congress is also concerned about contractor insurance premiums through the Defense Base Act DBA such premiums comprise significant costs under LOGCAP. The DBA requires that many Federal government contractors and subcontractors provide workers compensation insurance for their employees who work outside of the United States.
- Administration and Management