National Defense Stockpile:

Relocation of Stockpile Materials

NSIAD-88-142: Published: Jun 15, 1988. Publicly Released: Jun 23, 1988.

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Pursuant to a congressional request, GAO analyzed the General Services Administration's (GSA) claim that the government obtained a $2.2-million benefit from its sale of a stockpile depot.

GAO found that the depot sale actually resulted in a net cost to the government of $500,000, since the GSA analysis: (1) only considered the depot sales revenue of $2.8 million, less $600,000 for stockpile material relocation costs; but (2) failed to consider $800,000 in revenue from the necessary sale of a satellite facility and its stockpile material relocation costs of $3.5 million. GAO also found that stockpile managers expressed concern that the depot sale could cause an undesirable concentration of national security assets and the loss of needed expansion space.

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