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Metro Needs To Better Manage Its Railcar Procurement

NSIAD-83-26 Published: Aug 10, 1983. Publicly Released: Aug 10, 1983.
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Highlights

GAO examined a Washington Metropolitan Area Transit Authority (WMATA) procurement of 294 railcars. The review was conducted because of public and congressional interest in the completion of the rail system, which represents the largest Federal investment for a subway system under construction, and indications that slippages in the railcar delivery schedule are delaying new station openings.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Transportation The Secretary of Transportation should direct the UMTA Administrator to make periodic onsite inspections as required by Office of Management and Budget and UMTA operating procedures.
Closed – Implemented
UMTA procedures do not provide for onsite visits of third-party contractors. UMTA is in compliance with the provisions of Attachment I of OMB Circular A-102 with respect to the monitoring and reporting of program performance. However, no provision is made for onsite visits to third-party contractors.
Department of Transportation The Secretary of Transportation should direct the UMTA Administrator to enforce existing reporting requirements to provide more information on the progress and difficulties encountered by the railcar contractor. In connection with the enforcement of these requirements, UMTA also should ensure that it receives sufficient information to evaluate WMATA progress in obtaining quality assurance plans and performing comprehensive tests on railcars.
Closed – Implemented
UMTA has expanded the range and depth of information to be provided in progress reports, is reviewing such reports thoroughly and is clarifying visits. UMTA is aware of the status, schedule, and extent of the problems encountered by WMATA in the procurement of railcars. Although UMTA disputed and did not fully implement the recommendations, it has strengthened oversight.

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Topics

Advance paymentsContract progress paymentsDelivery termsFederal fundsRailroad transportation operationsSubway trainsTestingUrban transportationRail vehiclesProcurement