Accession Number:

ADA555639

Title:

Award and Administration of Multiple Award Contracts for Services at U.S. Army Medical Research Acquisition Activity Need Improvement

Descriptive Note:

Audit rept.

Corporate Author:

DEPARTMENT OF DEFENSE ALEXANDRIA VA OFFICE OF THE INSPECTOR GENERAL

Personal Author(s):

Report Date:

2011-12-21

Pagination or Media Count:

35.0

Abstract:

We reviewed U.S. Army Medical Research Acquisition Activity USAMRAA task orders issued under multiple award contracts MACs for services to determine whether they were properly competed among all awardees and whether contracting officers representatives CORs performed adequate oversight, including reviewing invoices. We reviewed 20 task orders valued at about 235.1 million. USAMRAA contracting officials generally provided fair opportunity to compete for task orders awarded under MACs. However, USAMRAA contracting officials did not prepare adequate justifications for the use of sole-source procurements on three task orders, valued at 8.7 million, because contracting officials relied on the logical follow-on exception without verifying if the exceptions were valid. In addition, contracting officials did not prepare adequate fair and reasonable price determinations on two task orders awarded with only one proposal, valued at 35.4 million, because they relied on inadequate independent government cost estimates when determining price reasonableness. As a result, USAMRAA had no assurance that the Government obtained the best value when issuing the five task orders. The CORs did not perform adequate surveillance on 19 task orders reviewed. Specifically, quality assurance surveillance plans QASP were either nonexistent or inadequate, and the CORs did not maintain evidence of written approval for deliverables. In addition, the CORs approved six invoices containing unsupported other direct costs ODCs totaling 139,916. This occurred because contracting officers and CORs did not understand QASP requirements. As a result, USAMRAA had no assurance that services acquired were being rendered fully as agreed to in the task orders or that contractors were not overpaid.

Subject Categories:

  • Administration and Management
  • Medicine and Medical Research
  • Logistics, Military Facilities and Supplies

Distribution Statement:

APPROVED FOR PUBLIC RELEASE