ADP Equipment:

FAA's Use of a Suspended Contractor

IMTEC-86-23BR: Published: Jul 1, 1986. Publicly Released: Jul 31, 1986.

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GAO reviewed the Federal Aviation Administration's actions regarding its contracts with a suspended contractor, specifically: (1) its need to continue using the contractor's equipment and services; (2) the potential impact of switching vendors on the FAA schedule for implementing the National Airspace System Plan; and (3) the legality and appropriateness of any actions taken by FAA in response to the suspension.

GAO found that: (1) FAA continued to use the contractor's equipment and services to prevent a decline in air traffic safety; (2) FAA believes that obtaining equipment and services from other vendors would result in a delay in completing the project and in additional costs to the government; (3) air traffic safety will not be adversely affected, as long as existing equipment remains in place and is maintained until it can be replaced by alternate equipment; (4) FAA complied with federal procurement regulations in requesting an exemption from the suspension order; (5) FAA failed to provide evidence showing that additional purchases were necessary after the exception was granted; and (6) FAA failed to document analyses of potential alternatives to continuing business with the suspended contractor.