B-205830 L/M, MAR 17, 1982, OFFICE OF GENERAL COUNSEL
Highlights
WE DO NOT HAVE ANY OBJECTIONS TO SUBPARTS 7.1 AND 22.8. WE DO HAVE THE FOLLOWING COMMENTS ON PART 34. THESE ARE: 1) AUTHORIZATION TO BEGIN A MAJOR PROGRAM. AN AGENCY IS AN EXECUTIVE DEPARTMENT OR AN INDEPENDENT ESTABLISHMENT WITHIN THE MEANING OF 5 U.S.C. WHICH ARE CONSIDERED AGENCY COMPONENTS UNDER THE REGULATION. THE PROPOSED REGULATION IS CONSISTENT WITH OFFICE OF MANAGEMENT AND BUDGET CIRCULAR A-109. INASMUCH AS THE PROPOSED REGULATION IS BASED ON CIRCULAR A-109.
B-205830 L/M, MAR 17, 1982, OFFICE OF GENERAL COUNSEL
DIGEST: GAO BELIEVES THAT ROLE OF AGENCY HEADS AND HEADS OF AGENCY COMPONENTS UNDER PROPOSED FAR PART 34, MAJOR SYSTEM ACQUISITION, SHOULD BE CLARIFIED.
MR. WILLIAM J. MARAIST, EXECUTIVE OFFICE OF THE PRESIDENT:
BY LETTER DATED DECEMBER 11, 1981, YOU RE-REQUESTED OUR COMMENTS ON PROPOSED FAR SUBPART 7.1-ACQUISITION PLANS, SUBPART 22.8-EQUAL EMPLOYMENT OPPORTUNITY AND PART 34-MAJOR SYSTEM ACQUISITION. WE DO NOT HAVE ANY OBJECTIONS TO SUBPARTS 7.1 AND 22.8. WE DO HAVE THE FOLLOWING COMMENTS ON PART 34.
THE PROPOSED REGULATION PLACES PRIMARY RESPONSIBILITY FOR MAJOR SYSTEM ACQUISITION WITH THE HEAD OF AN AGENCY. IN THIS CONNECTION, THE REGULATION DOES NOT PERMIT AGENCY HEADS TO DELEGATE FOUR KEY DECISIONS. THESE ARE: 1) AUTHORIZATION TO BEGIN A MAJOR PROGRAM; 2) APPROVAL TO ADVANCE SELECTED MAJOR SYSTEM CONCEPTS TO THE DEMONSTRATION PHASE; 3) APPROVAL TO ADVANCE SELECTED MAJOR SYSTEM CONCEPTS TO FULL SCALE PRODUCTION AND, WHEN APPROPRIATE, LIMITED PRODUCTION; AND 4) COMMITMENT OF A SELECTED SYSTEM TO PRODUCTION. FAR SEC. 34.0003(C).
AS DEFINED BY THE REGULATION, AN AGENCY IS AN EXECUTIVE DEPARTMENT OR AN INDEPENDENT ESTABLISHMENT WITHIN THE MEANING OF 5 U.S.C. SECS. 101 AND 104(1). THIS DEFINITION INCLUDES THE DEPARTMENT OF DEFENSE, BUT DOES NOT INCLUDE THE DEPARTMENTS OF THE ARMY, NAVY AND AIR FORCE, WHICH ARE CONSIDERED AGENCY COMPONENTS UNDER THE REGULATION. THUS, UNDER THE PROPOSED REGULATION THE SECRETARY OF DEFENSE WOULD NOT BE PERMITTED TO DELEGATE AUTHORITY TO MAKE KEY DECISIONS TO THE SECRETARIES OF THE ARMY, NAVY AND AIR FORCE.
THE PROPOSED REGULATION IS CONSISTENT WITH OFFICE OF MANAGEMENT AND BUDGET CIRCULAR A-109, MAJOR SYSTEM ACQUISITIONS, WHICH ALSO PROVIDES THAT SUCH KEY DECISIONS SHOULD BE MADE BY AN AGENCY HEAD AND NOT BY THE HEADS OF AGENCY COMPONENTS. WE NOTE, HOWEVER, THAT THE SECRETARY OF DEFENSE HAS RECENTLY, WITH THE APPROVAL OF YOUR OFFICE, DELEGATED AUTHORITY TO MAKE CERTAIN KEY DECISIONS TO THE SECRETARIES OF THE ARMY, NAVY AND AIR FORCE. INASMUCH AS THE PROPOSED REGULATION IS BASED ON CIRCULAR A-109, WE BELIEVE THE ROLE OF AGENCY HEADS AND HEADS OF AGENCY COMPONENTS IN MAJOR SYSTEM ACQUISITION UNDER THE REGULATION SHOULD BE CLARIFIED.