Military Equipment:

Selected Aspects of the Army's Program To Reuse Pershing Missile System Equipment

NSIAD-91-96: Published: Dec 28, 1990. Publicly Released: Dec 28, 1990.

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GAO examined the Army's ongoing program to reuse Pershing missile system equipment, focusing on the program's: (1) effectiveness in filling the requirements of selected government activities; and (2) related budgetary savings.

GAO found that: (1) the Army's reuse program received 416 requests from 62 government activities for Pershing equipment that originally cost $756 million, and approved requests for equipment costing $227 million; (2) the estimated savings for 90 examined requests amounted to $12.7 million, only about 4.3 percent of the equipment's original cost of 292.6 million; (3) the specialized nature of the Pershing equipment partly explained the limited budgetary savings when compared to the equipment's cost; (4) the Army's reuse program's failure to emphasize, collect, and consider budgetary information could be a primary factor in the limited savings; and (5) program officials reported that budget savings was not the only basis for allocating equipment, but agreed that the use of budgetary information could increase budgetary savings.

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