Federal Productivity:

DOD's Experience in Contracting Out Commercially Available Activities

GGD-89-6: Published: Nov 28, 1988. Publicly Released: Dec 29, 1988.

Additional Materials:


Office of Public Affairs
(202) 512-4800

In response to a congressional request, GAO provided information on the Department of Defense's (DOD) implementation of the Office of Management and Budget (OMB) Circular A-76 Program, which requires agencies to assess the relative costs of contracting for the performance of agency operations.

GAO found that: (1) DOD estimated $613 million in annual savings and also attributed increased competition between contractors and federal employees to A-76 implementation; (2) federal managers believed that the A-76 cost study process was time-consuming, difficult, and disruptive to the labor force; (3) DOD took up to 8 years to complete some cost studies, leading some employees to seek other positions; (4) about 74 percent of employees displaced by A-76 found other federal jobs, 7 percent found contractor employment, 5 percent were involuntarily separated, and the remainder retired or resigned; (5) the A-76 program's goal may not be achieved because agencies have studied only 26 percent of the 149,980 federal commercial activities positions that OMB targeted for study; and (6) to stimulate compliance, OMB plans to reduce agencies' budget submissions based on agencies' anticipated A-76 savings.

Mar 14, 2018

Mar 13, 2018

Mar 8, 2018

Mar 7, 2018

Feb 28, 2018

Feb 27, 2018

Feb 23, 2018

Feb 16, 2018

Jan 30, 2018

Looking for more? Browse all our products here