Defense Finance and Accounting Service Contract for Military Retired and Annuitant Pay Functions

Abstract

At the request of Congressman Dennis J. Kucinich, we reviewed the Defense Finance and Accounting Service (DFAS) contract for military retired and annuitant pay functions. Specifically, we reviewed contractor performance, costs, and staffing, as well as the Government's management of the contract. We also performed a limited review of policies and procedures for voucher prepayment examination. The DFAS Continuing Government Activity (CGA) did not adequately monitor contractor performance for six of the seven critical performance standards on its $346 million (10-year) services contract with Lockheed Martin for the military retired and annuitant pay functions. DFAS also did not collect $547,236 in deductions for unsatisfactory performance. The call center for military retired and annuitant pay functions operated by Lockheed Martin was providing service to DFAS callers that is far below industry standards. For 2008, the call center monthly average call abandonment rates ranged from 11.0 to 40.6 percent compared to an industry standard of 4.0 percent. In addition, time to answer calls ranged from 108 to 280 seconds compared to an industry standard of 26 seconds.

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Document Details

Document Type
Technical Report
Publication Date
Oct 22, 2009
Accession Number
ADA512867

Entities

Organizations

  • Office of the Inspector General, U.S. Department of Defense

Tags

Communities of Interest

  • Human Systems

DTIC Thesaurus Topics

  • Accounting
  • Acquisition
  • Agreements
  • Business Administration
  • Commerce
  • Contract Administration
  • Contractors
  • Contracts
  • Cost Estimates
  • Costs
  • Customer Services
  • Department Of Defense
  • Department Of Veterans Affairs
  • Finance
  • Governments
  • Personnel Management
  • Standards

Readers

  • Defense Financial Management and Audit.
  • Mathematics or Statistics
  • Military Mobilization and Reserve Forces Studies.