IG Finds Violations by 8(a) STARS Vendors Some 8(a) firms on GSA’s STARS governmentwide acquisition contract have subcontracted more than 90% of their work in violation of regulations, according to a report by the agency’s inspector general. GSA officials said they will tighten controls over the STARS contract and will not exercise options with companies that break the rules. STARS, which stands for Streamlined Technology Acquisition Resources for Services, is the first GWAC set aside for 8(a) companies. It is managed by GSA’s Small Business GWAC Center in Kansas City, MO. The IG found several task orders that called for work outside the scope of the contract, which is limited to information technology services. In two cases, STARS contractors were hired to set up and operate a call center. The auditors said operating the center was not an IT function and was outside the scope of the GWAC. “The center’s controls to prevent and detect out-of-scope task orders do not appear to be adequate,” the report says. In reviewing a sample of 20 task orders, auditors found three in which the 8(a) firm subcontracted more than 90% of the work. They said other orders showed “a high probability” of excessive subcontracting. Regulations require 8(a) companies to subcontract no more than 50% of the work. Although STARS vendors are required to submit semiannual subcontracting reports, the program office had not been reviewing the reports because of high personnel turnover. The IG recommended an additional level of review of subcontracting. The auditors also recommended that the GWAC managers focus their reviews on high-value orders. Jim Williams, commissioner of GSA’s Federal Acquisition Service, accepted all the IG’s recommendations for tighter controls.