Report | June 9, 2015

Defense Health Agency Complied With the Economy Act

DODIG-2015-131

Objective

Our objective was to determine whether the determinations and findings prepared by the Defense Health Agency support the use of Economy Act orders.

Finding

Defense Health Agency (DHA) personnel complied with Economy Act requirements for 31 Economy Act orders that were nonstatistically selected, totaling $52.3 million, issued between October 1, 2013, and December 31, 2014. DHA used a support agreement with the U.S. Army Medical Research Acquisition Activity and Universal Purchase Requisitions as Economy Act orders.

DHA complied because DoD Instruction 4000.19, “Interservice and Intragovernmental Support,” August 9, 1995, and reissued DoD Instruction 4000.19, “Support Agreements,” April 25, 2013, allows the use of support agreements as a method to comply with Economy Act requirements. In addition, DHA’s universal purchase requisitions included information required for Economy Act orders.

There was no indication that issuing orders to the U.S. Medical Research Acquisition Activity under the Economy Act was not in the Defense Health Agency’s best interest.

Management Comments

We provided a discussion draft of this report on May 15, 2015. No written response to this report was required, and none was received. Therefore, we will publish this report in final form.