Contract Pricing: Material Prices Overstated on Ground/Vehicular Laser Locator Designators

NSIAD-88-25 Published: Oct 13, 1987. Publicly Released: Oct 13, 1987.

Highlights

GAO reviewed the pricing of an Army contract for Ground/Vehicular Laser Locator Designators to determine whether the: (1) contractor complied with the Truth in Negotiations Act in providing accurate, complete, and current cost or pricing data; and (2) contracting officer negotiated fair and reasonable prices.

Recommendations

Recommendations for Executive Action

Agency Affected	Recommendation	Status
U.S. Army Missile Command	The Commander, U.S. Army Missile Command, should initiate action to recover these funds from the contractor.	Closed – Implemented The contractor has claimed substantial offsets to the GAO claim for defective pricing and the Command has made a decision to close this case without reducing the price of the contract.

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Topics

National Defense

Army procurementContract costsContract negotiationsMissile basesProcurement policyProcurement practicesWeapons systemsMilitary forcesAircraftMilitary materiel