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Government Contracting: Proposed Regulation Would Limit DOD's Ability to Review IR&D/B&P Program

NSIAD-92-265 Published: Sep 24, 1992. Publicly Released: Sep 24, 1992.
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Highlights

Pursuant to a congressional request, GAO examined the effect of recent legislation regarding the Department of Defense's (DOD) reimbursement of contractors for their independent research and development and bid and proposal (IR&D/B&P) projects, focusing on whether: (1) DOD had adequate financial and technical data to assess the legislation's impact; and (2) the legislation would reduce administrative costs.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Department of Defense The Secretary of Defense should direct DCAA to resume preparing the annual financial report on contractor IR&D/B&P expenditures and reimbursements.
Closed – Implemented
In response to the recommendation, DOD has instructed DCAA to resume preparation of an annual Independent Research and Development Bid and Proposal Statistical Report.
Department of Defense The Secretary of Defense should ensure that duplicate technical databases are eliminated.
Closed – Implemented
DOD has taken action that will eliminate the root causes of database duplication.

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Topics

Administrative costsBid preparation costsContract oversightContractor paymentsDefense industryDefense procurementMilitary research and developmentOverhead costsReporting requirementsResearch and development costs