Contracts Supporting Base Operations in Kuwait Need Stronger Management and Administration

This is the second in a series of audit reports on the contract supporting base operations in Kuwait. Our overall audit objective was to determine whether DoD properly managed and administered the contract supporting base operations in Kuwait in accordance with Federal and DoD policies. Our first report, Report No. D-2010-085, Kuwait Contractors Working in Sensitive Positions Without Security Clearances or CACs, September 22, 2010, focused on management of the contractors security program and contractor security clearances. This report focuses on areas that the Army Contracting Command ACC-RI officials should improve in management and administration of the Kuwait Base Operations and Security Support Services K-BOSSS, Supply Support Activity SSA, and Ammunition Supply Point ASP contracts. See the appendix for a discussion of our scope and methodology. We performed this audit pursuant to Public Law 110-181, National Defense Authorization Act for Fiscal Year 2008, section 842, Investigation of Waste, Fraud, and Abuse in Wartime Contracts and Contracting Processes in Iraq and Afghanistan, January 28, 2008. Section 842 requires thorough audits-to identify potential waste, fraud, and abuse in the performance of 1 Department of Defense contracts, subcontracts, and task and delivery orders for the logistical support of coalition forces in Iraq and Afghanistan and 2 Federal agency contracts, subcontracts, and task and delivery orders for the performance of security and reconstruction functions in Iraq and Afghanistan. The K-BOSSS, SSA, and ASP contracts will support base operations in Kuwait, to include logistical support of troops and equipment to and from Iraq and Afghanistan.