Sept. 9, 2015 —
Our objective was to determine whether DoD information technology (IT) contracts issued without competition were properly justified. This report is the fifth and final report in a series of audits on IT contracts issued without competition. We nonstatistically selected for review 232 of 602 contracts valued (including options) at $1.4 billion.
Contracting personnel at the Army, Navy, Marine Corps, Air Force, Defense Logistics Agency Contracting Services Officeâ€‘Philadelphia, and Defense Information Systems Agency generally justified the use of other than full and open competition for IT contracts. For 117 noncompetitive IT contracts valued at $281.3 million, contracting personnel used a valid statutory requirement. For 115 noncompetitive IT contracts valued at $1.1 billion, contracting personnel properly justified 110 contracts for other than full and open competition. Contracting personnel did not properly justify four of the Army contracts valued at $83.3 million and one of the Defense Information Systems Agency contracts, valued at $151.0 million.
- For three Army contracts, this occurred because an Army contracting officer changed a multiple-award contract to three sole-source contracts when issuing the first task order in 2008. In 2013, the contracting officer then awarded three bridge contracts as sole-source, citing only one source.
- For the remaining Army contract, this occurred because an Army contracting officer did not include sufficient information in the justification to support a sole-source award because of year-end buys.
- For the Defense Information Systems Agency contract, this occurred because the contracting officer inappropriately included equipment on a sole-source contract for the convenience of the customers.
As a result, Army and Defense Information Systems Agency contracting personnel could have used full and open competition to save DoD funds.
Additionally, Army, Air Force, and Defense Information Systems Agency contracting personnel generally did not follow Federal Acquisition Regulation synopsis (summarizing) requirements. As a result, contracting personnel potentially excluded sources.
We are not making any recommendations in this report because we made recommendations in the previous reports in this audit series. If implemented, the recommendations should correct the weaknesses identified.
This report is a result of Project No. D2015-D000CG-0228.000.