Procurement Procedures Used by Naval Ships Parts Control Center, Mechanicsburg, Pennsylvania

PSAD-80-38: Published: Apr 3, 1980. Publicly Released: Apr 3, 1980.

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An inquiry was made of the procedures used in procuring wooden pallets by the Navy Ships Parts Control Center (SPCC). SPCC awarded all but the last of seven contracts based on oral solicitations of quotations. SPCC officials noted that oral solicitations were used to save time and that the depot had indicated that the need was urgent. The oral quotations documented in the seven records of contract actions indicated that the low bidder received the contract each time and each contract contained written specifications for recommended pallets.

Several practices followed for purchasing the wooden pallets did not conform with procurement regulations. SPCC files did not contain a resume of the circumstances which justified the use of an oral solicitation. The SPCC abstract of bids was prepared on the appropriate form but did not contain the date and time of quotations and the solicitation number. SPCC failed to provide written notice of the unsuccessful offerors. Neither SPCC nor the Defense Depot forwarded a copy of the contractual instrument to the appropriate Defense Supply Agency Center.

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