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Report | Feb. 28, 2014

Naval Facilities Engineering Command Washington Properly Awarded Task Orders for Services

DODIG-2014-042

Objective

Our audit objective was to determine whether the Naval Facilities Engineering Command (NAVFAC) Washington properly awarded task orders under multiple award contracts for services. Specifically, we determined whether NAVFAC Washington contracting officials provided contractors a fair opportunity to compete, adequately supported determinations of price reasonableness in accordance with Federal and DoD policies, and used appropriate funding.

Finding

NAVFAC Washington contracting officials properly awarded the 33 task orders reviewed, valued at $305.6 million, from two separate multiple award contracts. For the 33 task orders, the contracting officials:

  • provided each contractor on the multiple award contract a fair opportunity to be considered for each task order awarded,
  • adequately supported price reasonableness determinations on all task orders reviewed, and
  • used proper funding.

In addition, NAVFAC Washington contractingofficials generally supported price reasonableness determinations for 23 modifications, valued at $14.1 million, of 25 modifications reviewed, valued at $15.1 million. However, the contracting officials did not adequately support their price reasonableness determinations for two modifications, valued at $1 million. Those two instances were isolated and did not constitute a systemic problem. Therefore, we are not making any recommendations.

Management Comments

We provided a discussion draft of this report on February 3, 2014. No written response to this report was required, and none was received. Therefore, we are publishing this report in final form.