Skip to main content

The Navy Needs To Strengthen Facilities Construction and Maintenance Contracting Practices and Management Controls

NSIAD-85-16 Published: Jan 30, 1985. Publicly Released: Jan 30, 1985.
Jump To:

Highlights

GAO reported on its review of 61 naval facility maintenance contracts which were awarded by the Naval Facilities Engineering Command (NAVFAC) between fiscal years 1972 and 1982. GAO chose the contracts for this review because it believed that they showed significant opportunities for contract administration improvement.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of the Navy The Secretary of the Navy should direct the Chief of the Naval Materiel Command and the Commander, NAVFAC, to improve their oversight and controls over activities having NAVFAC contracting authority by: (1) increasing the effectiveness of the contract procedures review board teams by having them perform reviews as required, review contract administration activities by testing the effectiveness of contracting activities' key internal controls, and follow up on deficiencies disclosed in these reviews and deficiencies in other internal and external reviews, the follow-up should include recovering funds improperly expended; (2) systematically assessing the results of the contract procedures review boards' work and the findings in other audit reports, to determine whether reported problems are isolated or are indicators of problems that might be occurring NAVFAC-wide; and (3) communicating the results of these assessments throughout NAVFAC to alert field units to conditions that may adversely affect their operations so that corrective or preventive actions can be initiated.
Closed – Implemented
NAVFAC established a branch within the Contracts Division to perform indepth procurement management reviews of field activities and to develop and implement information transfer and other strategies to minimize procurement problems. The branch is operational and corrective actions recommended are followed up at 30-day intervals until all items are corrected.

Full Report

Full Report (96 pages)

Office of Public Affairs

Topics

Auditing and Financial Management
Contract administrationFacility maintenanceInternal controlsMonitoringNaval facilitiesNaval procurementPlanningProcurement practicesMilitary forcesSpecifications