Improvements Still Needed in Negotiating Prices of Noncompetitive Contracts over $100,000
Abstract
Although DOD's procurement offices generally are effective in negotiating noncompetitive-contracts, improvements, both in practices followed by the procurement offices and in management controls, are needed. Improvements that will result in greater assurance that contract prices are fair and reasonable include the following: The 183 contracts included about$1.9 billion of proposed or negotiated cost. About $301 million, or 15 percent of the total cost examined, was not supported, to the extent required by the Armed Services Procurement Regulation, by cost or pricing data. (See p. 4.) There was no record that contracting officers had determined that the cost or pricing data submitted or identified met established criteria. A thorough evaluation of the adequacy of the data in support of proposed costs is necessary to identify and correct deficiencies before negotiating a final price. (See p. 7.)
Document Details
- Document Type
- Technical Report
- Publication Date
- Jun 01, 1974
- Accession Number
- AD1182557
Entities
People
- Elmer B. Staats
Organizations
- United States Government Accountability Office