DoD Functions Contracted Out under OMB Circular A-76: Contract Cost Increases and the Effects on Federal Employees.
Abstract
In accordance with OMB Circular A-76, DOD performs cost comparisons and contracts out commercial functions when the comparisons show that contracting is more economical than in-house performance. GAO reviewed a judgmental sample of 20 functions that were contracted out between Oct. 1, 1978, and Feb. 28, 1981. All but one of the functions had subsequent contract cost increases but savings were still realized on 17 of the functions. Savings were not realized on two functions and GAO could not determine whether savings were realized on one function. GAO also reviewed the effects of contracting on government employees in a random sample of 31 functions converted to contract during fiscal year 1983, GAO found that of 2,535 employees affected, 1,881 (74%) obtained other government positions. Most of the remaining employees resigned, retired, or obtained employment with contractors. Only 129 (5%) were involuntarily separated.
Document Details
- Document Type
- Technical Report
- Publication Date
- Apr 15, 1985
- Accession Number
- ADA154170
Entities
Organizations
- United States Government Accountability Office