Economic Development:

Comments Relating to Reauthorization of the Defense Production Act

T-NSIAD-90-10: Published: Mar 1, 1990. Publicly Released: Mar 1, 1990.

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GAO discussed its proposed legislation to reauthorize and amend the Defense Production Act of 1950 (DPA). GAO noted that it supported: (1) modernizing DPA; (2) fostering development of technologies and advanced processes and investment in modern production equipment; (3) improving the integration of national security and economic policy; and (4) ensuring a realistic assessment of the demands of national defense plans. GAO believes that: (1) the proposed legislation could better provide for disclosure of significant dissenting agency reviews in the reports to Congress; (2) the proposed national stockpile fund could have a detrimental effect on the stockpile program because rapid technological developments would increase obsolescence; (3) proposed antitrust-related changes would improve the Department of Defense's (DOD) ability to increase the efficiency, competitiveness, and responsiveness of the defense industrial base; and (4) Congress and DOD need improved defense industrial base data collection and coordination for procuring from foreign sources.

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