Consulting Services.

Introduction. The Department of Defense acquires contracted advisory and assistance services CAAS to support or improve agency policy development decisionmaking management of organizations or operation of weapons systems, equipment, and components. CAAS includes expert consultants, studies and analyses, management support services, and engineering and technical services. U.S.C., title 31, section 1114b requires that the Office of the Inspector General submit to Congress, as part of the agency annual budget justification, an evaluation of agency progress in establishing effective management controls and improving the accuracy and completeness of information provided on consulting services. Because of congressional concerns over excessive Government-wide spending for CAAS, Congress imposed limits on agency spending authorities for CAAS. In FY 1990, DoD was authorized a spending ceiling of 1.5 billion actual reported expenditures for FY 1990 were 1.22 billion and 1.37 billion for FY 1989 excluding Federally Funded Research and Development Centers. Previous DoD IG audit reports indicated that underreporting of CAAS expenditures may be much greater. DoD IG Report No. 91-041, Contracted Advisory and Assistance Services,1 February 1, 1991, estimated underreporting of 4.0 to 9.0 billion for FY 1987.