ADP Contracts:

Army Needs to Correct Budget Disclosure Deficiencies

IMTEC-89-13: Published: Jan 31, 1989. Publicly Released: Jan 31, 1989.

Additional Materials:


Samuel W. Bowlin
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GAO assessed whether the Department of Defense (DOD) and the Army adequately disclosed funding levels for indefinite delivery/indefinite quantity automatic data processing contracts in its 1989 budget exhibits.

GAO found that: (1) the DOD budget exhibit for fiscal year 1989 did not include three large Army indefinite delivery/indefinite quantity contracts with a total value of about $750 million; and (2) the error occurred because the Army had no written procedures or delegated responsibility for collection of information on those types of contracts.

Recommendation for Executive Action

  1. Status: Closed - Implemented

    Comments: DOD prepared instructions for the 43D-ARC budget exhibit in the Budget Guidance Manual and designated the Army as the responsible oversight official.

    Recommendation: To ensure the accurate reporting of indefinite delivery/indefinite quantity contracts in the President's budget, Information Technology Systems Exhibit 43D-ARC, the Secretary of Defense should direct the Secretary of the Army to: (1) establish written procedures for the collection and reporting of the information; and (2) ensure proper implementation by designating the official responsible for oversight.

    Agency Affected: Department of Defense


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