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Acquisition Reform: Obstacles to Implementing the Federal Acquisition Computer Network

NSIAD-97-26 Published: Jan 03, 1997. Publicly Released: Jan 03, 1997.
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Highlights

GAO reviewed the federal government's progress in developing and implementing the Federal Acquisition Computer Network (FACNET), focusing on: (1) federal agencies' use of FACNET; (2) problems and benefits of using FACNET; (3) concerns relating to the Federal Acquisition Streamlining Act's (FASA) requirements for FACNET; and (4) management obstacles to effective governmentwide implementation of FACNET.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Office of Management and Budget The Director, Office of Management and Budget (OMB), should ensure that the Administrator for Federal Procurement Policy, in consultation with the Secretary of Defense, the Administrator, General Services Administration, the Administrator, National Aeronautics and Space Administration, and the heads of other major federal procuring agencies, develops a coherent and integrated federal strategy--and implementation approach--for using, where appropriate, various electronic commerce technologies and purchasing methods, including FACNET, for effectively and efficiently carrying out the agencies' requirements for the acquisition function. The strategy and approach should incorporate consideration of the need to achieve the single-face-to-industry goal.
Closed – Implemented
The Office of Management and Budget implemented both recommendations. The Administration proposed statutory changes to FASA to eliminate requirements that were impeding implementation of governmentwide electronic commerce (EC). These changes were incorporated in Section 850 of the National Defense Authorization Act for Fiscal Year 1998. The President's Management Council also developed a strategic plan for governmentwide EC that integrates procurement and payment functions. This plan was submitted to the Congress in March 1998.
Office of Management and Budget If executive branch officials conclude that the statutory requirements to focus FACNET--such as focusing it on providing widespread public notice of contracting opportunities and exchanging information with multiple vendors--are impediments to the implementation of the governmentwide electronic commerce strategy, the Director, OMB, should seek legislative relief.
Closed – Implemented
The executive branch proposed legislative changes to repeal FASA's requirements mandating use of Federal Acquisition Computer Network (FACNET). On July 8, 1997, the Senate approved an amendment to the fiscal year 1998 National Defense authorization bill which would, among other things, (1) repeal language mandating the use of FACNET; (2) broaden the definition of EC to include electronic mail or messaging, World Wide Web technology, electronic bulletin boards, purchase cards, electronic funds transfer, and EDI; and (3) require agency notices of procurement opportunities to be provided in a form that allows convenient and universal user access through a single, governmentwide point of entry. The amendment calls for uniformity in federal EC implementation to the maximum extent that is practicable and cost-effective.

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Topics

Competitive procurementComputer networksCost effectiveness analysisElectronic data interchangeFederal procurement policyInformation resources managementInformation technologyInternetProcurement regulationsSmall purchases