DOD small biz subbing audit
The Defense Dept.’s Inspector General found that contracting officials at two Army Contracting Commands are not doing adequate monitoring of small business subcontracting.
For 23 out of 50 prime contracts reviewed at ACC-Redstone and ACC-Warren, small business subcontracting was inadequate. Those prime contracts were valued at $914 million, out of $1.6 billion in awards reviewed.
Among those contracts, $331 million in awards had no subcontracting plan, or no contracting official’s signoff.
Problems included lack of subcontracting plans; inadequate monitoring of subcontracting plans; and poor followup on why primes did not meet their subcontracting goals.
Army officials said contracting officers did not always understand subcontracting plan requirements and treated subcontracting plans as a lower priority.
They also said high turnover in contracting staff and shortcomings in training contributed to the problems.
More information: DoD IG Report: http://goo.gl/tLw5td