Skip to main content

ADP Procurements: Food and Drug Administration Circumvented Procurement Regulations

IMTEC-87-48 Published: Sep 11, 1987. Publicly Released: Oct 09, 1987.
Jump To:
Skip to Highlights

Highlights

In response to a congressional request, GAO reviewed allegations of improper computer procurements by the Food and Drug Administration (FDA).

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Health and Human Services The Secretary of Health and Human Services should withdraw the FDA delegation of procurement authority for the Import Data System project until FDA brings its acquisition strategy into compliance with GSA procurement regulations and guidelines.
Closed – Implemented
Although HHS did not withdraw the delegation of procurement authority, it did instruct FDA not to procure the equipment until FDA brought the acquisition strategy into compliance with GSA procurement regulations. FDA cancelled the procurement requisitions. As of June 1988, no further procurements in support of the project had been approved.
Department of Health and Human Services The Secretary of Health and Human Services should review any other automatic data processing (ADP) procurements planned by FDA to ensure that they are in compliance with the applicable regulations and guidelines.
Closed – Implemented
HHS conducts periodic acquisition management reviews to monitor contract offices' adherence to procurement regulations and procedures, including confirmation that procurements have not been fragmented. The next HHS review will pay particular attention to FDA acquisitions and review the controls initiated by FDA to prevent future fragmentation.
Department of Health and Human Services The Secretary of Health and Human Services should direct FDA to establish ADP procurement guidelines that are consistent with applicable regulations and guidelines.
Closed – Implemented
HHS directed FDA to: (1) alter any internal guidance that might encourage a fragmentation, or discourage consolidation; (2) issue a memorandum warning components to fragment procurements or informally transmit requisitions; (3) circulate the GAO report; and (4) certify compliance with the requirements.
Department of Health and Human Services The Secretary of Health and Human Services should review HHS procedures for approving agency procurement requests for computer equipment to ensure that such procedures are in compliance with GSA regulations and HHS guidelines.
Closed – Implemented
The HHS IRM program is under review and reformulation. One aspect of this effort is the establishment of a program of review and controls to ensure adherence to GSA and HHS regulations and guidelines.

Full Report

Office of Public Affairs

Topics

IT acquisitionsCompetitive procurementComputer equipment contractsFederal supply systemsInternal controlsIrregular procurementNoncomplianceProcurement policyProcurement regulationsProcurement