Contract Pricing. DoD's Use of the Truth in Negotiations Act Deterrents Could Be Increased

Abstract

A key safeguard intended to ensure fair and reasonable prices in negotiating contract actions averaging over $65 billion annually is the Truth in Negotiations Act (10 U.S.C. 2306a). Under this act, the government can recover defective pricing that results when contractors or subcontractors do not provide accurate, complete, and current data during contract negotiations. As of March 31, 1993, about $1.8 billion in defective pricing identified in Defense Contract Audit Agency audits was pending against Department of Defense (DoD) contractors. This Report, done at the request of the Chairman Senate Committee on Governmental Affairs, Addresses DoD's use of the acts deterrent features. Specifically, GAO reviewed DoD's settlement of audit findings, interest charges on overpayments, and penalties assessed in addition, GAO reviewed DoD's management oversight of the settlement process.

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Document Details

Document Type
Technical Report
Publication Date
Oct 01, 1993
Accession Number
ADA273374

Entities

Organizations

  • United States Government Accountability Office

Tags

Communities of Interest

  • Biomedical

DTIC Thesaurus Topics

  • Acquisition
  • Agreements
  • Air Force
  • Business Administration
  • Congress
  • Contract Administration
  • Contractors
  • Contracts
  • Control Systems
  • Department Of Defense
  • Governments
  • Information Systems
  • Law
  • Management Information Systems
  • Military Acquisition
  • Personnel Management
  • Training

Readers

  • Government Contracting/Procurement.